All Forum Posts by: Dale Cooper

As a class C multifamily owner/operator, my company often buys properties where crimes (from petty theft to murder) have occurred. I want to do *everything* in my power to scrub the internet of negative information related to these events, particularly press coverage of them. Any suggestions?

This is probably a stupid question, but please bear with me. Entity paid cash for 10 properties (4 unit rentals) a few years ago and has been operating them debt-free since. Unfortunately, taxes were not paid (since 2010).

We are now approaching banks to take out some debt on the properties before interest rates go up. Are banks going to uncover these tax issues?

In other words, will I be able to get financing and pay the old taxes with the financing proceeds? Or will I be blocked from financing until old taxes are resolved?

This is probably a stupid question, but please bear with me. Entity paid cash for 10 properties (4 unit rentals) a few years ago and has been operating them debt-free since. Unfortunately, taxes were not paid (since 2010).

We are now approaching banks to take out some debt on the properties before interest rates go up. Are banks going to uncover these tax issues?

In other words, will I be able to get financing and pay the old taxes with the financing proceeds? Or will I be blocked from financing until old taxes are resolved?

I have a single family rental home in the Albany area. 6,000 sq.ft. joisted masonry, built in 1900, assessed at $140K. Not a slum, but certainly not a mansion. My insurance policy is up for renewal, and my (new) broker just came back to me with an insanely high premium. Almost 3x higher than last year despite no losses.

The reason for the higher premium: the underwriter's new "e2value system" values joisted masonry at $165/sq. ft. So this humble investment property is worth over $900K in the underwriter's eyes.

I'm used to seeing valuations of $65/$75 per square foot in FL, but this guy claims $150-$300 per square foot is the standard in NY. Am I getting fleeced?

Cerberus (through FirstKey) and Blackstone (through B2R) seem to be trying to quasi-institutionalize blanket/portfolio lending in the 1-4 unit SFR market. Is anyone aware of other players in this market (i.e. are Colony Capital or other big VC/hedge funds getting into this)?

@Robert Friou those terms are significantly better than any competing product I've encountered. I'm interested in learning more about who is offering this financing and what is needed to apply. Sending a colleague request now.

I know I'm late, but I'm interested in discussing options in NY @Jared Rine @Jesse Gonzalez @Kevin Yeats

One last question for the moment: you mentioned that I will likely need a commercial-type loan. Is this true even though all properties contain less than 5 units?

Properties were purchased with cash in 2011 and 2012. After about 18 months of operation, and with personal guarantees from two principals (who aren't particularly wealthy), the holding LLC was able to obtain a substantial revolving credit facility from KeyBank.

Steve, your response is interesting. I have not found LLCs (I'm in FL and have 50+ LLCs under my holding company) to be much of a hassle or cost. What problems did you experience?

How are your properties held now, in your own name?