I’m working on a deal that I need help with…Seller is selling a all in one 30unit Resident with 12 commercial unit complex for $1640000…I think the price is too high but owner is willing to carry a note…I want to offer him $1000000 but I just dont know how I should structure this deal if it is a deal…Here is the break down…Is this a good deal or should I run away fast
of Units Unit Type Rent Monthly Yearly
4 studio $400 $1600 $19200
20 1 bdrm $425 $8400 $100800
6 2bdrm $500 $3000 $36000
12 Commerical $3900 $3900 $46800
Vending $500 $6000
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$17400 $208800
Vacany loss $1740
Total operating income = $15210
total expenses = $6852.51mnth or $82230.12yrly
NOI = $100289.88
Future Income Increase
Actual Commercial Rental 42,093.00
4000 ±sq Ft Commercial Space (vacant-owner) X $9.00sq ft 36,000.00
4 studio units @ $400 per month X 12 months 19,200.00
20 1 Bedroom Apartments @ $450.00 108,000.00
6 2 Bedroom Apartments @ $550.00 per month 39,600.00
Vending 6,000.00
250,893.00 = NOI