Updated over 5 years ago on .
First Commercial Property
Investment Info:
Large multi-family (5+ units) commercial investment investment.
Purchase price: $825,000
Cash invested: $200,000
Contributors:
Robert Musallam
Acquisition and Exit Strategy: BRRRR. Financing: Traditional via local portfolio lender. Business plan: Rehab all 24 units to achieve fair market rents over 5 year hold period. Upgrade units with complete HVAC systems and new water heaters. New external paint and landscaping. Implement professional property management. Achieve new income streams with existing storage units and laundry room.
What made you interested in investing in this type of deal?
Seeing the benefits of scale through larger, commercial asset classes.
How did you find this deal and how did you negotiate it?
Local broker. Flew out to local market, met Broker and Property Mgt firm, worked with them to identify the right project.
How did you finance this deal?
Traditional financing via a local portfolio lender, leveraging partnership member equity for both acquisition and rehab costs.
How did you add value to the deal?
Currently completing rehab of final phase of units. New property mgt with systems put in place.
What was the outcome?
Still in process
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
DM me for recommendations