I prefer a more conservative exit, particularly 5-10 years out.I typically review the stress test IRRs at varying exit caps and see if the asset will perform at more conservative exit caps (and many of these properties should be fine even at levels above +100 bps).I invest with a self storage operator who typically models exit caps that are 150 (sometimes 200) bps higher than current market cap rates...with an exit in six years; so, +25 bps per year rather than +10 bps. 

After observing the properties performance we have noticed three major deficiencies which need our attention for the property to perform much better -  1.)

I can make a strong case for investing in San Diego as it has worked well for us and we have been doing it long enough to have been through multiple declining markets.BTW every one of our local RE purchases have out performed everyone of out OOS purchases (we only have had 2 OOS purchases and only still own one of them). 

The better prepared I was, the less performance anxiety I had, the better I pitched. 

I really don't know, but chasing appreciation is basically like predicting the best performing stock for next year. 

The few that had performed similar exercise typically were on condo boards and had to do this exercise for some reason and those people were not surprised by my numbers.So I believe my numbers to be as accurate as I can forecast but I have had some surprises such as I still have a working 1956 furnace (In San Diego where this unit is located the furnace gets used less than 30 days a year). 

There is a level of complexity to the process that requires there to be a retail client focused team that most big manufacturers are not able to perform.

Another thing to consider is that if your portfolio is under performing, economy pressures, or even bank's own risk exposure at the time could be reasons for the Bank to deny LOC which will cut off your access to funds. 

Among the biggest projects anchoring the boom: The $524 million Bucks arena.Northwestern Mutual's $450 million office tower and $100 million apartment high-rise.The $137 million BMO Harris Financial Center office tower.The $122 million Couture apartment high-rise.The $80 million conversion of the Warner Grand Theater into the Milwaukee Symphony Orchestra's performance hall.The $50 million Westin Hotel.Large projects already completed over the past year include the $101 million 833 East office building, the $53 million latest phase in The North End apartments and retail development, and the $52 million Kimpton Journeyman Hotel.Finally, there are several new and ongoing downtown-area developments below the $50 million mark, including apartments, offices and hotels.Of course, Milwaukee has it's challanges too.

I know that I start with the 3 day notice to perform, but I was wondering if i was able to evict for the water bill.