All Forum Posts by: Jordan Archer

Hi BP,

This is a question for any investors who are familiar with the closing costs associated with commercial multifamily purchases; that or title attorneys.

I would like to know what a ballpark figure would be for title insurance on a $1mil , $2mil and $5mil commercial multifamily property? I understand that it will probably depend on a lot of other factors that I'm leaving out of this question, but for hard and fast calculations, what do you think?

As a residential agent, I know for my area the formula is $500 per $100k purchase price.

Thank you!

@Todd Dexheimer

I'm on the sidelines, because I'm hoping multifamily prices will come down with the residential market. I know there is divided opinion on this due to the strong demand in commercial multifamily. If prices do not adjust then I will start digging for off market deals rather than going through brokers. 

My current location in FL is pretty highly priced; ie the Palm Beach County market. Jacksonville FL is seeing some good prices atm, but I felt that if I was willing to go as far north as Jacksonville I might as well make my reach national. 

Hi BP,

As I wait on the sidelines for prices in multifamily to come down, and deals to become more abundant, I'm keeping a close eye on real estate trends and market indicators to stay ahead of the curve.

I wanted to share a report conducted by CBRE regarding the 2020 U.S. Multifamily Market Outlook. Follow the link below to view the article:

https://www.cbre.us/research-a...

From the analysis, multifamily development completions in 2020 is to remain high, due to cycle high of permits, starts and completions in 2019.

Rent control is a looming issue in Washington State and Illinois, which may be implemented to offset the lack of inventory in affordable housing.

Finally, some of the top performing markets predicted for 2020 are: Atlanta, Austin and Colorado Springs. I especially appreciated reading this, since the three markets that I'm focussing my efforts on are: Atlanta, San Antonio and Colorado Springs.

I hope you found this article educating, and if you have any feedback on the information I would love to hear your thoughts.

Thanks and have a great day.

Warm regards,

Hello BP,

Currently, I’m raising $1mil in private money for the downpayment on a $5mil commercial loan. The next down turn is expected to commence this year, 2020, and I’m positioning myself to get involved in multifamily acquisitions at this opportune time.

In the next 24 months I will be purchasing a 20 - 30 unit apartment complex in one of the following markets: Sant Antonio TX, Orlando FL, Atlanta GA and Colorado Springs CO, I’ve chosen these rental market for the following reasons:

1. Population Growth: Orlando’s population grew from 2,512,917 to 2,572,962 from July 2017 to July 2018, a difference of 60,045. That was topped only by four metro areas in the nation: Dallas (131,767), Phoenix (96,268), Houston (91,689) and Atlanta (75,702), the bureau said. Source: https://www.bizjournals.com/orlando/news/2019/04/19/metro-orlando-population-grew-by-60-045-last-year.html)

2. Ensured Performance through Stable Job Growth: Orlando ranks third for job growth in the category for large cities with populations greater than 500,000. The City Beautiful added 128,600 jobs from 2016-2019. That's a growth rate of 11%. At the end of July 2019, Orlando had 1,328,400 total jobs. (Source: https://www.bizjournals.com/orlando/news/2019/08/28/see-how-orlando-ranks-among-big-u-s-cities-with.html).

3. Historical Rent Figures - Though the cap rates in these areas are currently unfavorable due to where we are in the market cycle, historically there have been opportunities to find projects with cap rates over 8%. (Source: Creative Realty Partners - http://creativerealtypartners.com/wp-content/uploads/2016/10/Orlando-Multifamily-Outlook-8.15.16.pdf)

What can you expect from your investment?

1. A completely passive cash-flowing investment: I do all the work involved, including property maintenance and tenant placement.

2. An 8% preferred return, then a 70/30 split on: After all expenses and debt servicing, your COC return will be approximately 10% (or more!). I won't consider anything with a total COC return of less than 15%.

3. PEACE OF MIND: I take extra precaution when dealing with your money through insurance policies that protect your property against any possible damages, and the loss of income that results.

If you or anyone you know is interested in working with me on a future project, give me a call at 772 - 577 -0084.

Hello BP,

I’m an active investor, flipper and realtor (#3365094) in the South Florida Real Estate Market. Over the past 2 years I’ve purchased, sold, rehabbed and managed dozens of single family and multi-family properties in Palm Beach, Martin and Saint Lucie Counties.

Now, I'm building capital for the acquisition of a 10 - 30 unit apartment complex, with an approximate COC return of over 15%.

Any and all property management would be handled by me, so your investment would be completely passive. I am also affiliated with the NRT Property Frameworks property management team, and have a list of qualified referrals.

Due to the property size, I expect I'll require at least $1mil for the downpayment on an 80% LTV loan...depending on how much I can get the seller to carry back.

I'm pursuing markets with great job growth and stable economic situations. Also, the properties that I consider will be ones where I'll have the opportunity to force appreciation through minor renovation and increased rents; the properties will already have equity when they're purchased. Further, I am only considering properties that can be acquired at CAP rates higher than market average.

I've gained some momentum identifying properties of this nature through pocket listings brokers have sent me from Orlando, FL. I'm continuing to build relations with brokers in other cities as well.

Let me know if you or your affiliates are interested in working with me on a future project.

Thanks,

Jordan Archer

772-577-0084

@Jermaine Chad Ingram Glad you thought so! Come by to the next one.

@Matt S. I am holding another one on Dec. 10th at the Hampton Inn (just north of the Rosevelt bridge) from 6:30 - 8:00 pm. You should come!

Hello BP,

Currently, I’m raising $1mil in private money for the downpayment on a $5mil commercial loan. The next down turn is expected to commence this year, 2020, and I’m positioning myself to get involved in multifamily acquisitions at this opportune time.

In the next 24 months I will be purchasing a 20 - 30 unit apartment complex in one of the following markets: Sant Antonio TX, Orlando FL, Atlanta GA and Colorado Springs CO, I’ve chosen these rental market for the following reasons:

1. Population Growth: Orlando’s population grew from 2,512,917 to 2,572,962 from July 2017 to July 2018, a difference of 60,045. That was topped only by four metro areas in the nation: Dallas (131,767), Phoenix (96,268), Houston (91,689) and Atlanta (75,702), the bureau said. Source: https://www.bizjournals.com/orlando/news/2019/04/19/metro-orlando-population-grew-by-60-045-last-year.html)

2. Ensured Performance through Stable Job Growth: Orlando ranks third for job growth in the category for large cities with populations greater than 500,000. The City Beautiful added 128,600 jobs from 2016-2019. That's a growth rate of 11%. At the end of July 2019, Orlando had 1,328,400 total jobs. (Source: https://www.bizjournals.com/orlando/news/2019/08/28/see-how-orlando-ranks-among-big-u-s-cities-with.html).

3. Historical Rent Figures - Though the cap rates in these areas are currently unfavorable due to where we are in the market cycle, historically there have been opportunities to find projects with cap rates over 8%. (Source: Creative Realty Partners - http://creativerealtypartners.com/wp-content/uploads/2016/10/Orlando-Multifamily-Outlook-8.15.16.pdf)

What can you expect from your investment?

1. A completely passive cash-flowing investment: I do all the work involved, including property maintenance and tenant placement.

2. An 8% preferred return, then a 70/30 split on: After all expenses and debt servicing, your COC return will be approximately 10% (or more!). I won't consider anything with a total COC return of less than 15%.

3. PEACE OF MIND: I take extra precaution when dealing with your money through insurance policies that protect your property against any possible damages, and the loss of income that results.

If you or anyone you know is interested in working with me on a future project, give me a call at 772 - 577 -0084.

Hello BP,

I’m an active investor, flipper and realtor (#3365094) in the South Florida Real Estate Market. Over the past 2 years I’ve purchased, sold, rehabbed and managed dozens of single family and multi-family properties in Palm Beach, Martin and Saint Lucie Counties.

Now, I'm building capital for the acquisition of a 10 - 30 unit apartment complex, with an approximate COC return of over 15%.

Any and all property management would be handled by me, so your investment would be completely passive. I am also affiliated with the NRT Property Frameworks property management team, and have a list of qualified referrals.

Due to the property size, I expect I'll require at least $1mil for the downpayment on an 80% LTV loan...depending on how much I can get the seller to carry back.

I'm pursuing markets with great job growth and stable economic situations. Also, the properties that I consider will be ones where I'll have the opportunity to force appreciation through minor renovation and increased rents; the properties will already have equity when they're purchased. Further, I am only considering properties that can be acquired at CAP rates higher than market average.

I've gained some momentum identifying properties of this nature through pocket listings brokers have sent me from Orlando, FL. I'm continuing to build relations with brokers in other cities as well.

Let me know if you or your affiliates are interested in working with me on a future project.

Thanks,

Jordan Archer

772-577-0084

Hello BP,

Currently, I’m raising $1mil in private money for the downpayment on a $5mil commercial loan. The next down turn is expected to commence this year, 2020, and I’m positioning myself to get involved in multifamily acquisitions at this opportune time.

In the next 24 months I will be purchasing a 20 - 30 unit apartment complex in one of the following markets: Sant Antonio TX, Orlando FL, Atlanta GA and Colorado Springs CO, I’ve chosen these rental market for the following reasons:

1. Population Growth: Orlando’s population grew from 2,512,917 to 2,572,962 from July 2017 to July 2018, a difference of 60,045. That was topped only by four metro areas in the nation: Dallas (131,767), Phoenix (96,268), Houston (91,689) and Atlanta (75,702), the bureau said. Source: https://www.bizjournals.com/orlando/news/2019/04/19/metro-orlando-population-grew-by-60-045-last-year.html)

2. Ensured Performance through Stable Job Growth: Orlando ranks third for job growth in the category for large cities with populations greater than 500,000. The City Beautiful added 128,600 jobs from 2016-2019. That's a growth rate of 11%. At the end of July 2019, Orlando had 1,328,400 total jobs. (Source: https://www.bizjournals.com/orlando/news/2019/08/28/see-how-orlando-ranks-among-big-u-s-cities-with.html).

3. Historical Rent Figures - Though the cap rates in these areas are currently unfavorable due to where we are in the market cycle, historically there have been opportunities to find projects with cap rates over 8%. (Source: Creative Realty Partners - http://creativerealtypartners.com/wp-content/uploads/2016/10/Orlando-Multifamily-Outlook-8.15.16.pdf)

What can you expect from your investment?

1. A completely passive cash-flowing investment: I do all the work involved, including property maintenance and tenant placement.

2. An 8% preferred return, then a 70/30 split on: After all expenses and debt servicing, your COC return will be approximately 10% (or more!). I won't consider anything with a total COC return of less than 15%.

3. PEACE OF MIND: I take extra precaution when dealing with your money through insurance policies that protect your property against any possible damages, and the loss of income that results.

If you or anyone you know is interested in working with me on a future project, give me a call at 772 - 577 -0084.

This is an opportunity for local investors of Martin County and Saint Lucie County to network and introduce themselves to others in the industry. This is an event for all skill/experience levels and guests are welcome. There will be no presentations or speakers.

Thank you to everyone that participated in our first meet up. Since there was a positive turnout and clear interest, I wanted to hold a second, but better.

This time the meeting will be held in a conference room at the Hampton Inn. It will be open floor format, which will give people a better opportunity to speak with everyone who attends. I will also provide coffee and snacks.

There is no fee to attend.

I look forward to seeing everyone there.

Let's keeping growing : )

Location:

Hampton Inn & Suites Stuart-North

1150 NW Federal Hwy, Stuart, FL 34994