All Forum Posts by: Alan Y.

@Dan Fine I just went through clearing a Make Safe Violation on a property I had purchased in Nov 2019. There were no monthly fees owed to the city. It required construction plans to be submitted so the GC or Architect should know how to file and navigate through L&I.  Just be aware that L&I has been very slow to respond since the pandemic hit last March.  I had plans submitted in March to clear the Make Safe violation and was told it would take about 4 weeks to have it reviewed and approved.  L&I seemed to shut down in March and we didn't get an appointment with L&I until August.  Between Mar and Aug we couldn't get in contact with anyone from L&I. It's a good sign that you were able to get someone on the phone so perhaps it's opening up again but be prepared that violations may take longer than you think.  Once the violations were cleared, the building permits, electrical permits, and plumbing permits took another few months.  Rehab was on hold until last week.  We are finally starting up rehab again after a 10 month delay dealing with violations and permits. I am sure the pandemic was the major reason but dealing with L&I can be difficult and unpredictable on violations so make sure you plan for longer than you expect.  Make sure you have an experienced GC or consider hiring an Expediter to your team to help navigate L&I.  Best of luck!

@Account Closed Thanks.  I guess if I can find the council member that has an interest in that neighborhood and explain that I am trying to rehab a distressed property to improve the neighborhood they might be motivated to help.  Great suggestion.

@Kevin M. thanks for the suggestions. As far as I know we are out of plans and waiting for the local L&I office. I was originally told back in Feb that everything was in good shape and we were just waiting for L&I to update their system to clear the violation which should have taken a few weeks.  It seems to have just gotten stuck since then. I went with a turnkey provider because of their experience and connections with the city for this exact scenario which I thought would be advantageous but here I am with no progress.  Thanks for your advice on doing more research in eClipse to see if I can get more information.  I appreciate it.   

@Stacia S. thanks for the suggestion on hiring my own expeditor. I hadn't considered that. I will DM you for the contact to avoid and any other suggestions.  I do have an email from June that TCS had forwarded from an Expeditor so it seems they were heading down that path as well but so far no progress. Thanks for the advice.

I purchased a Cobbs Creek duplex through a turnkey provider TCS Investments in Nov 2019.  The property needed a Make Safe Permit so the architecture plans were drawn up and some of the exterior work required to be remediated was done and the permit application was submitted by TCS to L&I in Feb 2020.  It's been 6 months that all work is on hold waiting for the permit to be issued and I'm told that L&I has been not responded to any permit requests. TCS is telling me that L&I has essentially shut down activity since March. They had submitted an application for an appointment to resolve the issue and remove the violation on the property through the City Permit Expeditor's office back in early June but still no response. In the meantime the property sits vacant and I am paying monthly interest on a line of credit waiting for rehab to start on a property I purchased 9 months ago.  I can understand the pandemic slowing things down but I wouldn't think that the L&I activity would be completely shut down for 6 months.  I am being told that there is simply no response from the city to the many requests that were put in for an update.  I see other Phila investors posting stories about receiving permits over the past months.  I am wondering if anyone else is experiencing similar issues with L&I?  I would like to think TCS is doing what they can but I the project seems stuck, the losses are mounting, and seems that there is no end in sight for getting the permit and starting rehab.  The reason for wanting to use a company like TCS is help navigate through these issues but it doesn't seem to be working. Any experienced Phila investors have advice on an avenue I can pursue to get some response from L&I and get the permit process moving?  Thanks!

Hi @Bryan Angelo. Welcome to BP. I am also a Philadelphia-area Tech Exec. I spent several months learning on BP and recently jumped into my first BRRRR project with a duplex in Phila. It's easy to be paralyzed by analysis and fear and never do anything. The hardest part is to learn enough to figure out your goal and then jump in and get the first deal started. Feel free to reach out with questions. Good luck!

Thanks @Jimmy O'Connor.  Looking forward to closing on this first deal next week and starting rehab.

Hi @Justin Dixon. I am scheduled to close on a duplex in Phila next week. I work in the Wayne area and would also be interested in meetups or REI networking events in the area. Let me know know if you find any of interest.

@John Anderson as others have stated there are plenty of lenders on BP that can answer your questions. When I was looking for lenders, I spoke with a lot of different types of lenders and decided on a small community bank. I think it will be advantageous to have a personal relationship with a lender as the business grows and they learn to trust that you are able to find good deals that will cash flow and minimize their risk. At least in my situation using an LLC, they have debt service ratio requirements but only seem to look at the property, expenses, and cash flow. They will look at personal credit and require a personal guarantee on the loan but they don't factor personal finances into the debt service. There should be plenty of lenders that can help you. I would find the senior loan officer at a local bank and they are usually more than willing to spend time with prospective customers to give guidance on how to satisfy their underwriting requirements. Good luck!

Hi @Chintan Parikh.  Yes, I am using TCS and have a closing scheduled on my first property in Philly next week.  They have been easy to work with leading up to the deal so I am looking forward to closing and getting started on the rehab.  It is still early days, but so far I am happy with the people and the process.  I can share more details when the project is  complete and I've placed tenants.