Fix & Hold Deal in New York City

[Kobi Nagar]

Investment Info:

Other buy & hold investment in Brooklyn.

Purchase price: $700,000
Cash invested: $120,000

Mixed Used property.in ocean hill in Brooklyn NY.
3 residential and one store. It was an estate deal that had some issue and was finally closed on October 2019.

What made you interested in investing in this type of deal?

Property is in upcoming area with solid student’s rental market. property was in need of renovation, Plan was gut renovation and rent it out… then pandemic come… work was stopped, and the project was delayed for a while.

How did you find this deal and how did you negotiate it?

One of my agents in my office.

How did you finance this deal?

Financed with hard money loan.

What was the outcome?

Property was apprised for 1.3m and Finally refinanced in 2/2021 but due to all the delays had to leave some money…
At the end cost was higher than anticipated but it is a nice add to my portfolio.

Lessons learned? Challenges?

The real challenge was the refinance, commercial lending was closed early 2020… had to wait couple of months in order to get the finance done, process is not fast as the residential and had go throw two banks. be prepared and talk to a few brokers before choosing one.