It is time for us to modernize our practices.We are a fairly basic operator/developer with a few 3-4 unit buildings.

Anyone who has actually been active in this space will know that borrower behavior can be predictable and irrational, and they might have a fundamentally different mode of operating their life than you do.

With NNN there is no reduction from operating expenses so monthly NNN x12 should equal NOI. 

- How would one run the numbers on a mid term rental when it comes to startup costs, rental rates, and operating costs?

On top of that, you’ll want to budget for ongoing expenses like property taxes, insurance, operational costs (such as utilities and property management), and maintenance.

I can give you insight to their operation

So, in some cases their legal training is somewhat limited anyways. 8.

They are also getting a seller's concession which will keep their acquisition costs down.The deal will cashflow from day 1 after debt service and ALL operating expenses. 

Unless apartments are just not as marketable, then a multifamily building is likely the most efficient for construction expense, operating expense, and rent/SF.With a building of only 12 units, I doubt you'll see any time-based advantage by phasing in duplexes.

(especially for those involved on this website)The reason I mention if it matters on this website is because most are real estate investors(long term buy and hold) and will most likely operate at a tax loss which doesn't have an impact on taxes.The second point is, will you invest or not invest in a good investment because of what your tax rate is?