Hello everyone:
If you were trying to acquire an apartment complex, how would you structure / wholesale a deal for an apartment complex that has an assumable, non-recourse conduit loan?
And, if there was an apartment complex that had 50 units, but 25 were vacant and all were in need of better management, repairs and updating…how would you structure a Master Lease Option and would you give any money to the owner to consider your offer. If you would give the $$ for consideration, how much would you consider giving??
Hi,
First I am going to say that you can lose big money trying to deal in apartment properties if you don't know what your doing???
First I would abviously find out the number of lien’s (mortgages) against the property and the terms and conditions (interest & payment) of the loan’s?
Second I would go through the current financials and review (forensic disect) the exact numbers and why those numbers exist today?
Third I would estimate a new set of projected financials showing the operation for the next 2 years in writing projecting the profit & loss?
Fourth do a comprehensive constructioin budget for repairs, project available unit dates and create a critical path to complete repairs?
Once you complete this informnation you should better have the answer to your question!
Good luck,
GR