All Forum Posts by: Greg V.

I would go on LoopNet and find properties of the size and location that you’re looking for.  I would look at both properties for sale and for lease. Then see who has the listings.  I would first contact the person who has the most listings and if that person doesn’t work out then work back to who has the least.

The bank I started with was in the local area.  I think they had like 3 branches in  2010 and then took over 2 failing banks and grew.  The one I just went with on 2 properties is in an adjacent city that is 20 minutes away.  They understand the local market and the expected rents and want to grow.  They also offered me 3.5% on a 5 yr fixed versus 4% at other banks.  In fact my new loan officer was one that declined the loan 10 years ago when he was at a much more conservative bank. It was easier for me to get to know most loan officers because I grew up in the area and either they knew me or my family.  My family are basically all farmers so many of banks already had loans with my immediate or extended family.  

For our community, it would be better to meet in person.  It would be even better if you were referred by an active commercial broker.  If you can convince a reputable and active commercial broker that you know your stuff and are committed to investing in the area, then the loan officers should be easy.

You’re both right.  I’ve bought a couple vacant commercial (office and retail) buildings.  I’ve found a limited number of banks willing to lend on a pro-forma.  However they are out there.  My biggest successes are banks that are trying to expand in a particular market.  I have a bank that was looking to expand in 2010 that would lend on a pro-forma but now does not.  Also, obviously they won’t approve a loan for the full stabilized value but you wouldn’t be paying that much anyway.  Sounds like we found a simile niche.

Can you send me the info?  I may be interested.  I looked at a similar business a couple months ago.  I’m wondering if it’s the same one.

I buy and hold all types of commercial properties including office, retail, daycares, etc.  I haven’t owned industrial yet but I’m always looking.  There’s a lot of aspects you should keep in mind before you get into this space.  I like investing where I know which usually means staying in my local area.  We assume a vacancy will last 2 years and depending on the size of the unit, it could be $100k+ to remodel and get someone in.  I can talk you through it if you want.  Shoot me a message.  

Everybody l’ve asked has said that it’s the same.

I use the LoopNet app. It’s free and shows the local listings both for sale and lease. If I want more detailed info, I use my broker.

What does the new law say about the passive activity loss deduction limit? Is it the same?

Can anyone tell me whether the new tax law kept the current passive activity loss limit?

It’s definitely important to look at trends but if the trend is already expected then returns tend to be lower and opportunities for smaller investors are less. What are the emerging cities that may be not be on large investor’s radar? Maybe some sort of an analysis of growth rates, vacancies, rent growth versus cap rate??