Analysis of this Deal- Is it too THIN? - ASAP - Posted by TeleComp Media, L.L.C.

Real Estate Investing
1

Posted by Terry Heilman on January 17, 2003 at 15:30:14:

Scott,

You will get a better response if you post the actual income and expenses for the last three years.

2

Analysis of this Deal- Is it too THIN? - ASAP - Posted by TeleComp Media, L.L.C.

Posted by TeleComp Media, L.L.C. on January 16, 2003 at 11:35:13:

Here is a mini-storage property I am looking at. I am new at Commercial REI, so I need some more experienced viewpoints.

Please tell me if this is too Thin of a cash flow, what would make it better, etc. I think the rents are too low and can be up-ed by $5 per unit or so. There is no vacancies and there have not been any in 3 years. This is in a retirement villiage that attracts the affluent.

Now down to business:

6000 sq ft
89 units
20 units 5x10 @ $20
28 units 10x10 @ $35
19 units 10x15 @ $45
3 units 10x20 @ $50
19 units 10x25 @ $55

Yearly Gross: $42,360 at current rental pricing.

Asking Price is $320,000. Have not tried to negotiate this down yet, because I am looking for the best possible angle to go on.

Also, if anyone has ideas about financing this, if I can make it a good deal, I would appreciate it as well.

Thanks,

Scott P.