Hi BP community I just set up my account and was hoping I could get some feedback on setting up an industrial value-add fund specific to cannabis land & infrastructure development.

VAMy development background is fairly diverse; however, I concentrated mostly in developing small subdivisions, and building SFRs.

After watching the roller coaster ride of my work 401K, I decided to halt putting any more money in, and concentrate on putting that money towards debt reduction and new properties.

If you concentrate on finding distressed sellers, then you will have the best chance of having an agreement that suits you because the seller has few choices.I have had as many as 225 options in place at one time, never paying more than $1 for option consideration.Good luck.

The areas that have a lot of draw for these sorts of STR uses are more dispersed and not necessarily concentrated around the high dollar ski towns, so you can get stuff at much lower prices that can tolerate a lower occupancy rate without killing your overall cap rate projection.

Apartments are different because the concentration of tenants increases the risks of ownership, there is a difference between someone who trips over a skateboard left on a step by a neighbor kid than by one left by your kid on the front porch.Insurance takes care of most risks, but not all, the risks not covered stem from your management and knowledge, which is the very best defense. 

I can now concentrate in bigger deals but the way I do things remain the same.

We're a regionally focus (c. 90% of our loans in the Boston MSA) - others might be pro's at ground up lending, or cannabis etc... and different minimums etc... 

Long-term fixed rate financing at this point in the interest rate cycle (below 5%) lets me take rent increases over the years to my bottom line, rather than sharing those increased rents with lenders over the longer-term, in the form of higher rates, when they go up 2) More concentrated than SFH, so I don't have to end up with XX properties all over the place.

Example:"Even though the west side of Providence has done well over the last 10 years, the area is convenient to me and I still think there is a lot more room for growth, so I will concentrate most of my buy-and-hold efforts there.