All Forum Posts by: Ryan Cole

So I have mentioned this potential commercial investment in an earlier thread, and the deal is getting closer.

I am acquaintances with the owner and we have agreed not to use a realtor.  I personally asked for this to give me room on negotiating with the buyer and cutting out his seller commissions.  The problem is, I don't know who to ask or even where to look. Iv never bought a commercial property before.  If anyone could help or give me any ideas it would be greatly appreciated.  I could give more info on the deal/property upon request.

Great feedback guys, love all the input. Normally, I type up a letter introducing myself with all of my contact info as well as info on how and where to pay. I usually try to drop it off personally so i can get a better understanding of who im dealing with.  With the letter, i attach a form for the tenants to fill out providing me with all their contack info, nicknames, etc...Iv never used google voice before, sounds like it might be something i should check out. 

I know what I do/have done, but I'm curious to hear how some of you handle introducing yourselves to tenants inherited via purchase.  Do you send letters? Call? Knock on the door? Or all of these. Please share, thanks!

@Joel Owens what percent return do you typically want on an 800-900k investment? Im looking at this as being a longterm hold.. Its in great location and would have very low vacancy if done right.. I can do this deal by myself but was thinking about bringing in another party to share some of the liabilities?

Thanks for all the feedback @Jim Walters, @Joel Owens, @Andrew Li.. Please keep them coming, what are some questions I need to be asking.

Appreciate your insight. @Russell Naylor

I'm pretty new to real estate investing. I currently own 4 cash flowing multi fams in Morgantown, WV that I have acquired over the last 2 years. A commercial building located down town is about to go on the market for around 650k that I am interested in. It's in great location and has 3 businesses currently bring in $3400 a month. I am interested in the property because of the potential units that could be built on 2nd and 3rd floors.  After construction, which I had estimated at 200-250k, it would have three 1 bed room apts, two 2 bed room apts, one 3 bed room apts and a coin operated laundry for the tenants. After completion it has the potential of bringing in 9-10k a month. I have spoke with lender and can get financing. Assuming I can get the property at 600k, lender would give me 850k loan at 15% down with the first 12 or 18 months being interest only, which would be nice because the building doesn't cash flow as it sits today.  It sounds like it could be big op for me. Just need some advice? Maybe some motivation? It's a huge step for me and I'm honestly pretty nervous about getting into this.