If my crystal ball is correct, we are going to see a lot of these sub2 deals hit the fan in the next 36 months. 

and that's just lending - partnerships and equity are even more complicated.now if this would be your 50th deal you can correct me but that's my take. 

@Troy SmithThe advice you received is correct.

They are lenders and not brokers correct?

With less experienced or just poor planning operators, it isn't uncommon that they spend years distributing all the cash out to the owners, and then the time comes for a multi million dollar refresh to maintain the hotel brand, and no one wants to cough up the money back into the entity.

My definitions of the classes are (someone else might have different opinion):Class A - higher property prices, low crime, highly rated schools, tenants and homeowner usually higher income (although if the owner bought years ago they could be lower income), streets are well kept, yards maintained, no run down cars parked in street. 

@Bob Dole please tell me you have a CPA and you're simply educating yourself so that you can verify what he is saying is correct? 

With how old NYC's buildings are, everything has to be grandfathered in until the city calls for correction which will happen when he lets the inspector in.

Make sure you do your math correctly when analyzing property taxes…they will be eye opening.

Correction, I just re-read my notes from last October.