Your plans should take into account your proximity to the core drilling areas and the projected growth of the field.

In nearly three years, Rock Ventures has acquired more than 40 properties totaling nearly 8 million square feet of commercial and parking space in Detroit's urban core."

I think the core issue or barrier to this going the way that some of the guru's describe is that the SELLER actually acts as a LENDER.

@Kameron Smith start building a core team of Realors, Contractors and lenders.

Now, if you buy the note at a good discount and have to foreclose, you should not only get your core capital back but most likely make a decent profit on the resale, or you can do a seller finance via land contract and restart your cash flow.

On the face of it, the return numbers themselves don't seem very compelling, but if you're picking up a lot of equity by buying below market, or you have some well-founded reason to believe there will be strong appreciation, then my opinion of the deal might improve.Also, just for clarity, are you assuming 5% each for lost rent and capex, or 5% total?  

The critical item is to find a good core team to help you.

My experience as an investor made me feel compelled to add the bold part!

Most owners avoid it because even though the #s look compelling, it becomes a PITA to manage payments over the long-run.

Eventually I would like to own my own single family residence within the urban core of Portland, but there is a premium for a purchase like that.