All Forum Posts by: Robert Harpster

 And mistakes can be very expensive!

 Looking to buy.

Looking for a an experienced NNN broker to analyze a $500K investment property.

Thank-you. 

@Dana Ogan

How did the NNN purchase workout? Did you go through with it?

New to the site and would like to connect with Brokers specializing in NNN properties here in Washington state. I am looking to acquire my first property under $1 mil. Please reach out if you have experience in this area and know of available properties.

Thank-you.

All very valid point that I will definitely look into. This is all new to me so the comments are very much appreciated. The insurance cost does look low. And i agree that I need to thoroughly look at the renovation and what specifically was done. Further, it will give me an idea of what will need to be done in the next 5-10 years. 

Thank-you for the above comments. With regard to the property, it is a single building divided into two equal spaces which both have a drive-thru window. One is a coffee company (6.9 years remaining on lease) and the other is fast food (2.3 years remaining) and is the Gross lease tenant. 

INCOME SUMMARY:

Gross Income: $46,800.00                              $18.24 Per SF

Reimbursements: $6240.00                            $2.43  Per SF

                  TOTAL: $53,040.00 

EXPENSE SUMMARY: 

Property Tax: $6093.00                                   $2.37 Per SF

Insurance: $1200.00                                         $0.47 Per SF

Utilities: $3550.00                                              $1.38 Per SF

Supplies: $80.00                                                 

Repairs: $190.00 

Snow Removal: $300.00 

              TOTAL: $11,413.00                                   $4.45 Per SF             

NET OPERATING INCOME: $41,627.00              $16.22 Per SQ FT

So the Gross lease tenant is adding to the expenses correct? Would it be wise to approach the tenant and convert over to a NNN? Or wait until the lease expires and then convert the tenant over to a NNN. Or they may decide to leave at lease expiration and then need to fill the space again. Are drive-thru spaces more desirable?

Thank-you again for all your help!

Brand new to the site and looking to purchase first investment property. Located a NNN two tenant 2600 sq. ft building built in 2003 and renovated in 2016. The numbers are:

Price $600K

Cap rate: 7.0%

NOI: $41, 625

One tenant lease is up in 7/2021 (Gross Lease) and the other 9/2026 (NNN Lease). Both spaces are 1283 square feet. Both tenants have drive-thru windows. First lease was six year and second is a ten year.

My initial concern is having the building appraised. Property taxes are $6093.00, Want to see what comps are running at. 

Does anything immediately jump out regarding this purchase? How do you ask if the expiring tenant expects to renew? What questions do I need to ask?

The information on this site is amazing and I apologize in advance if I left out any information. 

Thank-you!