All Forum Posts by: Subbu Munagala

As many have mentioned, deal flow is usually the stop gap for most investors.

I would start building relationships with brokers, but you have to think why should they bring you a deal vs someone else the already know in their network? 

Are you willing to buy very distressed? Smaller markets? I would try to be very clear on your deal criteria and be sure to be transparent with the brokers. MF is very competitive right now and it may take 12 months+ to find a deal.

Make sure to have your capital, lenders and UW skills ready to go so when you get a deal you can respond promptly about how it fits your criteria or not.

A lot of properties around the Triangle are trading at pretty crazy figures so just be prepared to be aggressive in your UW if you want to be competitive. 

Good luck!

Subbu, The quantity of commercial multifamily listed on the MLS will be very small. In North Carolina roughly 60% of commercial multifamily is traded off market via relationships. And the properties that are marketed you would need to be on the brokers list to receive the offering as properties become marketed. I recommend a phone call with Mark Kenney and @Brent Kawakami. He could help guide you because buying 20 units takes about the same effort or more than buying 200 units. And with 20 units you typically can’t afford on site staff so it’s actually more challenging to operate anything between 20-100 units. Once over a hundred you can afford on site staff which makes it much easier and cost effective. I’ve tagged Brent in this post, but if you would like me to introduce you to Mark and see if/how we could help let me know. Thank you!

@Subbu Munagala Have you ever thought of partnering up with others who do larger deals? Deal flow will be hard at first, but if you work with some more experienced people it will help you get ingratiated quicker to the brokers who are in that space.

Subbu, Hope you and your family had a Merry Christmas!  Are you looking for residential Multifamily (2-4 units) or 5-100 units or 100+ unit Multifamily properties?  Let me know which you're interested in and I can better help.  Thank you!