If there are any shared utilities or other items (example, a shared driveway, lawn, septic tank or well that needs maintenance, plowing or other upkeep), this creates another set of issues that could be perceived as self-dealing.  

as @Chris Reeves said, you need all the other variables....Lot rents, number of occupied lots, (the ability to expand is usually worth zero...... and thats what you you need to value it at) More info on utilities ....Lets stay away from gut feelings for the moment and work off hard numbers.Also, it would be extremely helpful to know where the seller wants to be at price wise. 

I have 2 questions for all you fellow investors that have utilized commercial financing:1.

We do not offer that legal advice we payed for as legal advice to our clients, but rather utilize it to guide our suggestions and solutions. 

The number may have to be slightly higher than $1500 to cover utilities.  

Did you factor in Cap Ex, Maintenance, Vacancy, utilities?

I.e.pay the mortgage, taxes, insurance, maintenance, utilities, etc., while depositing the income into his own accounts.  

- it's always good to see another Hoosier utilizing this great site!

Heres the way I calculate it,(Gross Scheduled Rent) - (Vacancy rate (at least 5-6%)) = Operating Income(Operating Income) - (Repairs & Maintenance + Utilities + Taxes + Insurance + Management Fees (at least 8%) + Replacement reserve (capX)) = NOIThen I simply divide the asking price by the NOI (Asking Price /  NOI) to get the cap rate.I can't find anything above 5 or 6 % at best, am I doing something wrong or does the MLS just suck that bad??

The utility room is a nightmare.