We have recently assisted in the purchase of 2 more apartment complexes, one in Orlando and one in Jacksonville. We are buying direct from the banks and are looking for agents or buyers to expand our buyer network.
We get a few at a time to look at and although some don't make economic sense, we have lost some deals because we didn't act quick enough. Looking to alleviate fallout so our track record with the banks and asset managers remain high.
We have been negotiating multi-family residential to pennies on the dollar which in return we have to provide an offer with no due diligence. Yes, I know that is tough, but we provide all of the due diligence upfront including receiver reports, P&L Statements from most recent months, title, surveys, rent rolls, etc.
Of course buyers are welcome to visit the complexes however an offer must be presented hard right off the bat when they are ready and comfortable with the deal.
As of today, we do not have anything available but will likely have something during December. If you are interested, please let me know. I can send you info on the recent complexes we sold so you can see exactly what we provide.
FYI, most bank owned complexes are value adds. Our complex in Orlando was 330 units, purchased for $3 million. Needed $2 million in improvements. Vacancies were high and needed a full reposition and stabilization. Typically this is where you find the good buys though, in my experience. At 80% occupancy (which will likely take 18 months), the complex would have a value of $11 million with a Cap Rate of 9.5%. Area has an occupancy rate of 92%.
