My partner is based in Central Jersey and we are looking for a property manager to help manage day-to-day operations as we aren’t super close to the building.

I am told the current owner operated on handshake agreements. 

Currently tenants go off site to do their laundry, I plan on cleaning out the basement and adding coin operated laundry and installing storage cages for the tenants to rent if needed.  

@Kristin Shopp I have partners who operate in Dallas and San Antonio as well as Austin.

rehabbed the trashed studio into a 1 bedroom, made repairs to broken exterior staircases, coin operated laundry room, and fixing up the garage for extra income.

With a projected 5% vacancy rate, and 10% factored in for annual operating expenses, and a conservative $800 per month rent, I'm still calculating a Cash on Cash ROI of 19%.If possible could you provide slightly less subjective feedback, and share with me what you think an acceptable cashflow should be. 

More to the point on this though, was that his dad made some very shrewd investments including buying the building he operated his practice in.

Year-end comes and the CPA will be spending countless hours to fix the financials and bill a huge amount for the work without a reliable person to speak to on what went on during the year of operations.

I just want to make sure I’m doing the right calculations.. for the cash on cash I’m doing the annual net cash flow/ total cash investment times 100 and for the cap rate I’m doing net operating income/ sellers price...Also what would be a good cash on cash return and a cap rate ratio

Currently it is operating as a 18 unit motel (11 units + garage/storage area in one building, 7 units + laundry facilities in second building).