You really need to look at capital expenditures.

Not trying to twist the knife once it's already in here, but you also aren't accounting for other expenditures such as taxes, insurance, vacancy and any other ongoing maintenance.

That for me would include capital expenditures.

(viii) The cost of any Capital Expenditure to the Building or the Project not covered under the provisions of Paragraph 2.3 provided; however, that Lessor shall allocate the cost of any such Capital Expenditure over a 12 year period and Lessee shall not be required to pay more than Lessee’s Share of 1/144th of the cost of such Capital Expenditure in any given month.

The reason you need to start right away, is since it is a rehab, you will have to show documents and expenditures to verify the rehab.

> Management agreementHere is a good little tip...add a place for a SECOND contact person- outside of the owner's immediate family, that can authorize financial expenditures when the owner is unreachable.

I'm assuming, James, that in your discussion it was clear the 50% number includes vacancies and capital expenditures, even though these aren't “expenses” in an accounting sense.

It does not include cash flow, tax deductions (also cash in your pocket), forced appreciation (increased value through captial expenditures & other sources), or even the possibility of buying below the value which you can not do in stocks.

You would include the rental income at the prevailing exchange rates when received and similarly translate your expenditures.

Through tracking of all of our advertising expenditures the money spent through adwords was the least productive, and I am being kind by implying it was productive at all.