All Forum Posts by: Percy N.

@Ron, anything 4 units or under will be considered as a single-family loan and not commercial.

@Herbert Fletcher seems like you could use something that gives you some tax benefits too.

Look into larger multifamily (you can scale these to 20mm-100+mm per deal). You can partner with a syndicator to start.

If you are in the Philly area, send me a DM.

Except your lender might charge 6% for their funding ;-)

@Herbert, it is good to have big plans, but if you want serious responses, you need to provide a few more parameters. What type of interest does the lender charge? Are they lending against the asset or your net worth? It is recourse? etc etc 

Agree with that. We have a couple ground up projects in the early stages and will be taking that into account when planning.

 Jay, when we were looking at it a few years ago in a secondary market (this is where we specialize), the EV penetration was not that high. Moving forward we would just add it in the parking areas as well (the cost was not that high, just needs a good electrical source nearby).

There are companies that provide this and I even believe some do a revenue share with apartments.

We had looked into this a while back for some of our properties.

Not a bad revenue stream and a nice little perk to have new EVs charging near the clubhouse/office where new prospective residents can also see them.

@Lee Whitford depends on the market you are in and the quality of the deals.

e.g. We would be interested in off-market deals that are 150+ units, 2000+ vintage in the $20-$80mm range in the markets that are up and coming.

@Mark Motyl you have some good advice already.

What work do they need?

Are you planning to manage these units yourself?

Will you be inheriting the tenants? Do you want to inherit them all?

What other investment options have you looked into?

Do you want to be active or passive in the investment?

Have you looked at syndications that allow you to invest passively but get good returns?

@Johnie Hsu the main reason is to differentiate "investment management" (or Capital Mgt) from Operations or Property Mgt.

We are vertically integrated i.e. we are an investment management firm that also does its own property management, but we have different entities for each.

@Chad Olson OK that changes things.

What is the business plan?

How long are you telling investors they would need to hold the property?

Is there a refinance part of the plan? Will that return some capital?

Investors will expect to see a cashflow projection on how their capital and return are being paid out over the investment term.

Most will look at the Average Annual Return, some the IRR and some will factor in the distributions during the hold period.