I would anticipate a rate in the 8s-10s for a deal like this.

Most importantly, it helps you future project anticipated equity, cash flow and net worth based on whatever variables you want to input for things like appreciation, rental increases, loan terms, etc. 

Hi all,There is a distressed property I have had my eye on for several years that is in extremely close proximity to a property from my childhood, and an area I would like to own in.  I have written a personal letter ...

For a property like this, even in California, I would anticipate at least a +7% CR.Additionally, betting on appreciation is speculative and not the best approach to long-term investing.

Fast will definitely be a negative.The only impact I can anticipate with the railroad's presence on the zoning decision is if the railroad divides you from something you want to be part of.

I would run a spreadheet and compare the present with the anticipated.

My firm also manages properties for our clients and although its a small portion of our business, its a great way for us to stay involved with clients to better understand & anticipate their needs. 

How long do you anticipate owning the property? 

We can actually use the other units anticipated rent in the income calculation as well.

I anticipate it will rent higher than what was originally estimated though.