You could have environmental risk.

No Lender Points No Commitment Fees Limited Appraisal - No Environmental No Replacement Reserves Monthly / Annual Leases Acceptable Substitute Leases With Bank Statements A, B and C Property Types Considered No Balloon or Call Provisions Maximum LTV 80% / 85% CLTV Step Down Prepayment Minimum DSC of 1.20:1 Standard 1 Fee Closing Cost No Outside Legal Fees 60 Day Rate Lock Limited Impound Requirements Section 8 - Subsidized Rents OK Assumable at Lender Discretion - 3% Seller Concession Allowed on Purchases - 10% Seller 2nd Allowed - Contact CommercialBanc to Learn More - - Reduced Recourse and Non-Recourse Personal Guarantees Available - Mixed-Use Commercial/Residential Acceptable to 25% Commercial Use - Small Balance Conduit Multifamily Loan Program Option Starting at $500,000 - In-House Mezzanine Financing Option to 85% CLTV - Mobile Home Parks Eligible for Apartment Loan Program with 15+ Pads - Property management experience is generally required for properties with 12 or more units, or property management letter and resume may be substituted

Real estate may also involve personal liability for leases, contracts and mortgages as well as for expensive environmental remediation and clean up.  

I don't have any experience with car washes. however; I would think that the biggest issues will be water availability, and any environmental regulations that might make it costly to operate?

Locally, you have to hire an engineering company to do the surveys, elevations, environmental reports.Sit down with them for a talk about what is involved.In my local, a 3 way split is pretty easy (cost, about $5,000).

If that's the case, you could have environmental issues also, depending on if the meth lab was in the basement that's still left.

I suspect they would want to see a long term lease on the warehouse before they will give that any value.Any environmental issues?  

According to my contract, "Buyer shall have 10 calendar days after the date of acceptance of the contract by both parties to have inspections, environmental inspections, and/or tests completed."

You may also be requires to undertake an environmental assessment of the property by the lender (to prove there are no old USTs or other surprises waiting to ruin your, or rather, the lender's day).Where you can often successfully purchase a residential property without using a buyers agent, an experienced commercial broker will be an invaluable player on your team during the purchase of your first few multifamily properties.Enough rambling ... and I did not even get through the purchase processes ... must take the boy to daycare.

Biggest issue if the warehouse is old for adaptive re-use is does it have asbestos and are there any environmental issues with the property??