All Forum Posts by: Jeff Flaherty

I understand 95-99% of the time tax liens don't end up in foreclosure but in the event it did would the certificate purchaser be responsible for the mortgage on the property? I'm assuming so since it seems silly that you could buy a cheap tax lien, end up foreclosing and then have the bank lose the property. It's probably an irrelevant inquiry but I'm more curious than anything else. Thanks!

Would a rental in an LLC qualify as self employed and make it eligible for a solo 401k?

If you're looking at bringing on LPs then I would imagine you would need a Reg D 506(b) or (c) filing for the exemption depending on the type of capital raising that you're pursuing but just as everyone on here has mentioned I would consult with an attorney first. I have a presentation I was provided ] on legally raising capital and have the presentation if you'd like that just PM me your e-mail address

Well done! I personally would have held on it it longer as well, especially given the cash flow but I'm assuming there was some logic behind your decision. Additionally, I don't know the slightest thing about the TX market so perhaps your timing was strategic. At the very least I'm glad you were able to capture that profit!

@Mark Nolan

Not sure - from my understanding all incomes passes through to my personal return since it's single member but I'll check when I get a moment to see if there was a return specific for the LLC

@Mark Nolan It's ran as a single member LLC

Anyone know if a owner managed rental property would qualify as self employed?

@Zach Quick a good portion of the equity was from an existing investor that has partnered on previous deals . The rest of the equity was raised through friends and family. The deals are sourced through a few brokers that my colleagues work with.

@Brian Adams The article is actually referencing two separate transactions; only one of which we participated in. The play on this acquisition was simply purchasing an undervalued asset with strong cash flow. If we can dispose of the asset in a few years at the price per door that our current comp sold for then that we would consider selling at that time. In the event the value isn't where we want it or believe it to be then we'll continue to just refine the operations to add the value through the increase in NOI. The structure for the deal was a 72% LTV with the remaining 28% made up of 15% our equity and the remaining balance was supplied by our private investors.

@Zach Quick I'm still very new to BP so I apologize if this wasn't the appropriate avenue. My role within the company is raising private equity to fill in the gap between conventional financing and our own equity.

Below are two recent articles regarding our most recent acquisition.

Goodyear – In sales totaling $61.54 million ($121,142 per unit blended average), Fairfield Residential Inc. in San Diego, Calif. (Chris Hashioka, pres.) has sold 508 units in neighboring apartment projects located near the southeast corner of Estrella Parkway and Van Buren Street in Goodyear. In the larger of two separate transactions, a company formed by ReNue Properties in Scottsdale (Michael Christiansen, managing partner) paid $32.5 million ($121,269 per unit) to purchase the 268-unit Sera统Ỻna apartments located at 15400 W. Goodyear Boulevard. The seller was Fairfield Centerra LLC, formed by Fairfield Residential.

(article excerpt provided by the Business Real Estate Weekly of Arizona)

On May 24, Berkadia facilitated the $32.5 million sale of Serafina Apartment Homes, a garden-style property located at 15400 W. Goodyear Blvd North. The seller was Fairfield Centerra LLC, a Delaware limited liability company. The buyer was an entity formed by ReNue Properties.

The property features 268 units with one-, two- and three-bedroom floor plans. Built in 2009, apartment units feature kitchens with cherry and maple cabinetry, black GE appliances, a Roman oval soaking tub, oversized walk-in closets and a covered patio or terrace with storage room. The community offers residents a resort-style heated swimming pool and spa, outdoor fireplace, fully-equipped fitness center, clubhouse with plasma TVs, business center, picnic areas and playground.

(article excerpt provided by the Commercial Executive Magazine)