Looking for referral for multifamily financing - Posted by Brad Kingston

import · July 10, 2011, 1:54pm

Posted by Ed Garcia on July 11, 2011 at 23:27:15:

Brad,

There are a lot of loose end in your post from the view point of an outsider looking in.

You?ve displayed 3 deferent deals that have no correlation of your buying strategies other then you and your partner are interested in multiple units.

Your (Property A) would eat up the liquidity or immediate cash that you have stated you and your partner currently have in pursuing conventional financing.

Property (B) If you are correct in your current NOI of $162,000 with it being 68% occupied, would have an NOI of $239,000 if it were 100% occupied and at a 10 cap wouldn?t be valued at any more then $2,390,000.

Since I don?t agree with your numbers on Property B, there is no reason to attempt to analyze property C.

In all fairness to you, you haven?t mentioned what you and your partner would offer on each deal. For starters, you may just be showing some of the deals that you and your partner are entertaining doing.

Could you do creative financing? Maybe, if you have motivated sellers who are willing to work with you. I smell syndications as way for you to accomplish your goals with what little information you?ve provided.

I would be willing to talk to you and your partner if you would pick the deal you feel you would like to do and give me your game plan or intentions. If you?ve done a business plan better yet. My number is 909-944-0199.

Thanks for coming to our forum Brad, looking forward to talking to you,

Ed Garcia

import · July 10, 2011, 1:54pm

Looking for referral for multifamily financing - Posted by Brad Kingston

Posted by Brad Kingston on July 10, 2011 at 13:54:01:

My partner and I each have credit scores in the 700’s. We have $500,000-$700,000 liquid without tapping private lenders who already work with us in our real estate business.

Overview of properties we are considering in Georgia:
WE WILL RETAIN QUALITY MANAGEMENT COMPANY TO OPERATE

Property A

150 units
93% occupied
Trailing 12 NOI $339,000
Purchase price $2,900,000
Stable “C” asset with same onsite manager for 17 years.

Property B
130 units
68% occupied
$2,000,000 in very recent upgrades to property (kitchens/baths/flooring/roofs)
Trailing 12 NOI $162,000
Purchase price $2,500,000
Best “C” property around, with stabilized value of $3,750,000
Stabilization requires roughly $300,000 to complete the upgrades to the last 20% of units

Property C
85 units
57% occupied
Acquisition cost $850,000
Renovations $550,000
Stabilized value at a 9cap of $2.27 mil

Looking for referrals for lenders who have an appetite for these deals at reasonable cost/terms. Thanks