Is there any fix for a bad location?

[Edward Pluchar]

Hello BP - will keep this brief but feel free to ask questions if you need clarification.

I live in Chicago and bought a duplex in St. Louis last year.  That has been performing decently, and I wanted to move more funds out of my bank account and into real estate for all of the usual reason.

I landed on a 4 unit, and after surveying everyone I knew in the area, I felt I had my hands on a C, maybe C- property.  My PM said there would be no problem renting the 4th and only vacant unit.

No kidding, within a week of closing, the PM complained to me that this was a very dangerous location.  And it has proven difficult to manage over the last 7 months.  We're now down to one unit rented and one being evicted.

I should have done more due diligence, without a doubt.  Very expensive mistake.  But I can't be the only investor who has purchased in a bad neighborhood.

For those of you who have, is there anything that worked for you, to encourage new renters?  

Do you still own the property?  If you do, why do you still own it?  (Genuinely curious about the reasons)

If you don't, how did you end up off-loading it?  Did you just cut the losses, or did you try to get it rented out by any means necessary, then sell?  Looking for any genuine and helpful advice you can offer, appreciate it!

[Crystal Smith]

Quote from @Edward Pluchar:

Hello BP - will keep this brief but feel free to ask questions if you need clarification.

I live in Chicago and bought a duplex in St. Louis last year.  That has been performing decently, and I wanted to move more funds out of my bank account and into real estate for all of the usual reason.

I landed on a 4 unit, and after surveying everyone I knew in the area, I felt I had my hands on a C, maybe C- property.  My PM said there would be no problem renting the 4th and only vacant unit.

No kidding, within a week of closing, the PM complained to me that this was a very dangerous location.  And it has proven difficult to manage over the last 7 months.  We're now down to one unit rented and one being evicted.

I should have done more due diligence, without a doubt.  Very expensive mistake.  But I can't be the only investor who has purchased in a bad neighborhood.

For those of you who have, is there anything that worked for you, to encourage new renters?  

Do you still own the property?  If you do, why do you still own it?  (Genuinely curious about the reasons)

If you don't, how did you end up off-loading it?  Did you just cut the losses, or did you try to get it rented out by any means necessary, then sell?  Looking for any genuine and helpful advice you can offer, appreciate it!

We've made mistakes purchasing in bad locations and have also purchased in locations that were transitioning from bad to good. (This included St. Louis about 10 years ago). While we could not do anything about the neighborhood we could control our property (or at least try and control it) Things we've done to make the property more attractive & safer- Privacy Fences; Security Cameras; Exterior Lighting....   Emphasized security, security, security.  Once units were occupied we then sold it as turnkey.