All Forum Posts by: Eddie Delaney

Thank you Kevin. Yes we are building house 6/7 right now. Sold houses 1-4 and I’m currently renting out #5. DM me..would love to help if i can.

Its been a while since my last post. Just wanted to share with those that are interested about my one of my last investments I participated in Southeast Houston as an investor and the General Contractor.  I invested 200K into the partnership and participated as the General Contractor. Delaneys Restoration Inc has been rehabbing multifamily for over 20 years and was able to bring that experience to the partnership. I have done my own smaller multifamily repositions but this particular asset I wanted to learn more on how the syndicated investments work. I'll dive into the numbers. 

Purchase-  Nov 2019 $28M  460 units

Rehab 2M

Sale $41M Dec 2021

My role was primarily to handle all the rehab. I saved the partnership from replacing all the roofs by doing over 60 quality roof repairs to problematic flat roofs. Installing all the siding/painting to mansards, patio and balcony repairs, restoring 12 units that were empty due to a fire and helping with make readies and turn overs.  

Any experienced multifamily/commercial investors purchasing a value add and need a reputable and experienced contractor/investor ( yes there are out there) to  help. LMK.   

Eddie Delaney

Just wanted to update the case study with my first apartment complex. We are in contract to sell the property!! Return on investment for 16 months is over 120%.  It's been a great experience and a tremendous boost financially.  So it's time to look for another opportunity. Anything with extensive rehab needed to re position property up to 10M. The uglier the better! Let me know..would love to partner or return some equity for any deal you bring us.  Also, please feel free to PM me for any help or encouragement! If you can dream it you can achieve it!! 

I will say this..if you don't pay a reasonable draw once a verified amount of progress is complete, it's likely the last time I'd work with you. 

I am contractor...I just completed a 3.5 million dollar rehab and we never asked for money before we did something that warranted a draw. I don't think I've ever asked for 50% down. Too many possible scenarios where that can go south real quick. 

Thanks Robin! Sunset Grove is down the street! Was the same owner that we bought from though. 

Thanks for all the responses and helpful suggestions!! Much appreciation!!   I'm going to refi in the Spring and continue to look for deals. I'm looking forward to utilizing this site for connections and a learning tool. I was showing my son (senior in HS) the post and he is getting tuned in.  For those that reached out, I'll be in touch! 

Thx Nuz! We went up on about 75-110 per unit...but they also had a problem with vacancy before. Sometimes at 70 % We added washer and dryer connections at 1500 per unit and hope to get 30 per month additional and keep tenants longer. 

thanks Michael. I wanted very lil to deal with on turnovers...so granite was the best choice in my opinion. It also helped that we installed it in house. The difference in costs was close to an additional 600 per unit. Also I got the SS package-refrigerator,dishwasher, and stove  from Home Depot for 1600 each. The cheapest Kenmore black package was 1250 or so. Saving 24k didn’t seem worth it.  Especially considering the quality difference. Next property I’ll revaluate my purchases and see what worked and didn’t 🤙

I wanted to share my story...it's stories like this that kept me motivated and I hope it can do the same for those on the sidelines or those getting started.

It's been 7 months and we are about nearly finished with the rehab to our first multifamily complex we picked up in April. For those who didn't read or remember my last post, let me give you a little background. I am a contractor that has worked for other investors rehabbing their apartments. After about 15 years of talking myself out of it, my brother and I finally committed to investing in our own multifamily property.  Most of our money was tied up in a vacation home in Nosara, Costa Rica ( we love to surf).  We had a blast and my kids loved it too, but there wasn't much financial return besides appreciation...time to sell! We had nearly 900K in equity. Fortunately it sold quickly and we were looking to put it to use.  We closed in February '18.  Didn't take long before we found out one of our customers was in a squeeze. Three of his properties in Orange, TX flooded during Harvey and he only had insurance on one of them. He sold me that property for 1.1 million. Closed in April '18 , the timing was perfect. But the purchase left us cash strapped. Fortunately, we did have another large project going that helped us out...(rehab of 138 units that flooded in Spring, TX) Every ounce of profit we had was dumped into our property. That got us through all the basic rebuild until we secured a 750K loan to finish.  So this is the breakdown.  

1.1 purchase price 

1 million invested in the rehab.

Proforma rents $51K/ month  (65% occupied today and expect to 95-100 by January.)

Stabilized Value $3.5 ? 

We ended up putting a great product together for the community. Leasing agent is filling it up nicely. New cabinets/ Granite/ LVT flooring and SS appliances. Changed out the siding and new paint.  Some might argue we over spent, but I'm hoping that we will have less turnover and hopefully less maintenance.

So what's next? Don't know. I'm considering going to FL...but can't refinance until March or May.  Open to partnering or hear of best strategy from here. Sell or refi?