All Forum Posts by: Richard B.

Thanks Filipe, I'm from NY but quite familiar with Windsor/South Windsor which I like but not too familiar with Hartford itself.  I have general concerns about investing there in terms of crime and Hartfords financial issues.   The warehouse itself is on a major street near several large car dealerships and seems ok. Thanks for your input 

Hi BP community. I’m looking at a commercial property (it’s a warehouse) in the North Meadows area of Hartford. It’s well located on a busy street. I’m interested in getting your opinion on investing in the city limits of Hartford and specifically in this neighborhood! If you are a local and have insight that would be great!

Hi shak can you send me the listing to review You can message it to me.

A few factors that may help to understand the risks Property type - retail office or warehouse and vacancy rates for the category Prop Taxes - how much are they per square foot and how does that compare with area? Rent - how does that compare with area rent? above or below market?

Looked at the listing online , on a major real estate site, not sure if I’m allowed to write name here. It’s been on & off the market for a couple YEARS not months with price changes down not doing the trick. It’s listed as a handyman special “as is” and buyer needs to get certificate of occupancy as well as smoke certificate. There is clearly more than just cosmetics here. priced right could be a buy! Seems very risky though due to above.

Hi. Seems to me the numbers don’t work for a refinance. You have $38k equity. ( $150k-$112k cost). And you need $38 k equity to put 20% down on the $190k new purchase. there are closing costs on the new purchase you’ll need to fund. Plus you can’t pull out 100% of your equity on a refi or line of credit from the existing property. The bank will likely want loan to value close to 80%. Maybe a little more. Adding $ from savings, 401k or elsewhere seems necessary.

I always visit the property before buying it. Usually 2 or more times. Feel the neighborhood, location, tenants and judge the property condition. Get to know the area. You can find a PM and contractors and meet them while there I realize others might successfully buy without a visit but I always feel like the trip is worth it for the insights and clarity I gain from the visit. Especially if it’s 2 hours away it’s not such a big deal to see it prior to a significant investment. Hope this helps you.

There are a ton of spreadsheets available on BP. I’m sure you can find relevant ones. For me i looked at a bunch and then found that I preferred to create my own. Im focused on commercial real estate so that was one reason to create my own. Plus it helped me learn the concepts and formulas by creating the formulas and sheets myself. I’m still tweaking but the process helped me learn a lot ! Thanks BP!

Thank you for your help!  I appreciate it

I wouldn't run away yet. I would learn more first. Whats the housing demand like in the area? Is the area tenant quality similar to this property or much better? What is the situation like at MHP Property locations nearby? What do they charge? Obviously 33% vacancy is high but represents opportunity and might be you can keep or find better tenants with an investment And better management If there is solid demand for space and the numbers work this might be a great opportunity for you.