All Forum Posts by: William Yeh

Hey @Joseph Arico Depends on what you want out of a broker. I'm a broker myself and happy to chat and give some feedback. Feel free to DM me.

If it's a small residential lot, go with the MLS. If it's larger, go with Loopnet/Crexi as that's where most commercial developers are searching. If it's a tweener (small multifamily) go with both.

How about "Have You Started NNN Investing Or Are You Just Happy To See Me?" J/K #1 is definitely better! As others have said it's direct and to the point.

Definitely check with your CPA on whether you can 1031 out of your former primary residence.

Are you kicking in additional capital on top of the 1031 proceeds to take the commercial property down? What's the cost of debt? What's your cash on cash both before and after factoring in the 1031 proceeds? Do you have diversification via other properties in your portfolio or would this one property be the lion's share?

I personally prefer a more diversified approach to investing and my group tends to take down multi-tenant assets but that's our comfort zone. If you're in the process of building your portfolio, it will be impossible to be well diversified.

If you are holding long term and you end up going commercial, consider a cost seg study to accelerate your depreciation. This is IMO one of the top reasons to go commercial. Otherwise, you may be better off diversifying into multiple residential properties assuming you haven't hit the limit for Fannie/Freddie loans. Doing so will get you a fixed rate, fully amortizing 30 yr loan with better rates than commercial under 99% of cases which is especially attractive if you think that rates will be higher by the time your commercial loan is due assuming you are financing.

@Stephanie C. I've seen extraction operations in light industrials rent anywhere from $1.50/sf up to $2.75/sf. The $2.75 number is an absolute outlier. Vacant units have been listed closer to $1.50/sf. Hope that helps.

+1 on this request. We are also looking to get into the cannabis RE space but without lending and commercial banking, it's a stretch.

Hi All. My group is also looking to get involved in the cannabis RE space and the biggest challenges that we see are 1) lending and 2) commercial banking. If anyone has recommendations on either of these that are pertinent to CA and Sac specifically, that would be much appreciated by all looking to get into this space.

Hey friends. Long story short the group was run by a scammer and the guarantee was worthless at the end of the day. We sued both the head of the group as well as the company. Both filed for bankruptcy and while we won our case, this guy made it impossible to get to any of his assets, assuming he had any left.

Luckily we made out OK on our investment in total but I have friends that didn't fare as well.

Moral of the story is watch out who you do business with and think 5 steps ahead in case your deal starts falling apart. As my dad says, in business assume everyone is guilty until proven innocent.

@Chris Mason Appreciate the additional context. Yes the Fannie loan deal is always the sweetest deal but sadly not available for businesses. I'm seasoned enough in the business that I don't get shocked too easily ;)

@Matt Ward Thanks for the gut check.

@Kam T. That is a super helpful list. Yes would love to get intros. Will PM you.

@Guifre Mora Yes the goal is to keep it all under the LLC and not involve any individual partners of the LLC. Someone floated the idea of getting the loan in an individual's name and then quit claiming to the LLC but that's too messy.

@Chris Mason Well given that I've already got loan offers better than what your suggesting is technically possible, I guess the universe is imploding?