The local govt has a history of corruption & overspending.Last time I was down the Hilton Coronado had shut down its casino.

They guys who sell it push it because they collect fees but sophisticated investors know their limitations.

Noticing these types of shifts in the free market is how the sophisticated investors are able to make their best guess at where we are in the cycles. 

Trying to deal with this in a sophisticated manner with C class tenants could be a nightmare.

The area is primarily Hispanic and some black, neighboring (across the street)  the oldest and still very sophisticated area of Kansas City.

EX1: The Fee Deal This deal is best if you have a large team or overhead you have to pay.1%-2% Acquisition Fee5%-20% Construction Management Fee1%-3% Disposition Fee30% of profit after fees to you70% of profit to capital partnerEX2: Preferred Return DealThis deal is best if your capital partner wants a consistent return with some upside and/or if you think you have a smoking hot deal. 8%-15% Interest payments on your partners capital investment (paid when the deal closes)60%-80% Profit to you after Interest (Preferred return)20%-40% Profit after Interest to your capital partnerEX3:  The Simple DealThis deal is best if your capital partner is not sophisticated. 50%/50% Split of profits0%-2% Listing Commission (If you are the broker)I've put together dozens of partnerships.  

Thanks again Chris Mason for taking the time, that is extremely helpful knowledge for this new investor.Al Casino , also a very valid point.

Purchase price: $482,000,000 Cash invested: $26,000,000 The Las Vegas property is a Hotel and Casino, Chicago is a 814 unit profile.

Commercial owners tend to be more sophisticated. 

I will retire and will get a % in retirement income- my base plans center on this concept...I know I will need to earn at least an equivalent income to maintain my lifestyle so my current pay minus the retirement pay becomes the target 'free and clear' number I am targeting to earn from rentals.2years: purchase rentals such as to meet the requirements above in the Everett area so that I can do it locally and learn the ins/outs of property management...5years: develop (aggressively) rentals in Tucson Arizona to an arbitrary level of 10K/month (this would be in addition to my living income from retirement checks and Everett rentals.7years: (side goal- personal dreams and all...) finance a golf tour across the country10years: Certified/Sophisticated investor status and begin investment journey in other asset classes (if not there already...)These are just loose concepts in my mind, with the exception of course that when I finally do 'retire' from the Navy, I really do have a goal of having replaced my current levels of income so that I don't have to work for others unless it is something that I really want to do.I see my primary focus as being in the buy/hold/rent arena, but I am not discounting other methods including wholesale and fix/flip projects for capital injections periodically.Finally, I see a lot of value in the Rich Dad encouragement for folks to get into business.