All Forum Posts by: Kellen Driscoll

Thank you all for the responses! Does anyone have a basic operating agreement that they like to use in a partnership?

Frank Chin thank you for response!

Hey BP, I am currently looking to partner on a small multifamily deal with a friend. Basically my friend will put up the money for the down payment and I will handle everything else. My question is how should I handle the bank account in which the rental income will go. Should I keep an account in which I only have access to and pay him out of the cashflow. OR should I setup an account in which we both have access to so that he can be reassured that there is actually money in the account and not going to other places. Thank you! Kellen

I like the idea of the 8% preferred return and then a 60/40 split. Now once the 8% is paid out of the cashflow, would the remaining cashflow be split 60/40 or if 8% is more than 40% of the cashflow would the 8% be the only returns paid out for the month?

I second Jeff Copeland. I have a fourplex in Clearwater as well that he manages.

Thank you all for the great responses and ideas!

Hey BP,

I am curious how other investors are structuring their deals with private money lenders in regards to multifamily apartment buildings. Do you give a flat interest rate on the money lended to you? If so, what is a typical interest rate you give? 

Do you give up a portion of equity and cashflow? If so, what portions make sense? 

What terms are you typically offering and how does the money flow back to your private investors?

I realize every deal is a little different, but I am just looking for some solid advice from individuals that have experience with this already. My situation is that I have 3 or 4 friends that want to invest with me, and with their money combined I am looking to purchase an apartment complex. I am unsure however on what terms to offer them in return for their money.

Thank you!

Thank you all for the reply’s I am going to use a pest control company to come seal every up from pests without restricting the airflow.

Hey BP, Can anyone recommend a good way to seal the holes in the cinder block foundation of my building so that rodents can’t get in? I am in the Tampa Bay, Florida area. Thank you! Kellen

All if you might like to know that I walked across the street and found the railing in the neighbors yard! Took that sucker back and welded it back in!