All Forum Posts by: Michael Powell

Joel,

I agree that the strip centers would be a much better investment.  I've paid royalties before and it eats a good portion of the profitability of the business. 

100 employees is definitely a lot of payroll expense, workers comp, and overhead!  I've never been to a Steak N Shake before but now I'm curious to stop in one to see how they operate.

Thanks for the insight on cap rates for the single tenant NNN leases. It does seem risky to invest in these if there's little upside in rent increases and just one tenant. I would also like to diversify more with the retail strip centers to get higher returns.

You've truly walked the path that I'd like to be on! 

Hello Elizabeth!  Thanks for the welcome to the forum and it's nice to meet a fellow mustachian.  :) 

I will read as much as I can here as I'm sure it will open up my mind to many opportunities I haven't seen before.  Great tip about looking at blogs in members signatures!  I will make sure to peruse through them, including yours. 

Good luck with all your investments and badassity :)

Mike

Joel,

Thank you for your post!  Actually your posts are the ones I read in the commercial forum that brought me back down to earth about buying commercial.  Still got a good 2-3 years of disciplined saving before approaching the down payment and liquidity requirements for a retail strip center, but maybe sooner if I invest with a partner or partners.

Glad to have met someone who has experience in retail strip centers!  I live near a street where many strip centers have been renovated recently and some that have sat empty for years are finally filling up.  I found a few on LoopNet within a few miles of my house for sale and they are between 1.8M and 2.9M.   

Were you thinking of buying the actual Papa Johns or Steak N Shake franchises or investing in the property in which the restaurants are located?  

Regards,

Mike

Hello everyone,

Hope all is well!  I've enjoyed this forum very much since joining last week.  

I came across biggerpockets.com through a mention from the Mr. Money Mustache forums.  First, I thought to myself... bigger pockets?  What an ego booster!   But seriously, after spending a week reading through the forums here I'm very impressed.  There is some serious investment knowledge being shared here.

I'm from Houston and currently invest in single family homes in my area, but as I progress in experience and cash, I would like to go full steam into commercial retail strip centers.  For the time being, I'll continue with single family homes and possibly multi-family.  From reading the commercial forums here, it seems I'll need some time to build some cash reserves before making the jump!

I was a member of the Realty Investment Club of Houston for few years and was involved in their Toastmasters club for about a year.   Got married in 2012 and me and my wife are excited about making some more investments for our future. 

I look forward to meeting you, my fellow investors! 

Regards,

Mike Powell