Originally posted by @Richellon Belk :

Congratulations!  I would love to hear more about your lessons learned.

 Thank you, Richellon!

I just submitted the first article to Allison. It should be out on the blog within a few days. My take on teaching, though, is less about giving folks answers and more about encouraging thought...

@Ben Leybovich Wow amazing job!!!! One day I hope to close a nice multi like this in the near future!!!

Originally posted by @ROGER RAMIREZ :
@Ben Leybovich

Wow amazing job!!!! One day I hope to close a nice multi like this in the near future!!!

"Nothing in this world can take the place of persistence. Talent will not: nothing is more common than unsuccessful men with talent. Genius will not; unrewarded genius is almost a proverb. Education will not: the world is full of educated derelicts. Persistence and determination alone are omnipotent."

Calvin Coolidge

@Ben Leybovich Congrats Ben!

@Ben Leybovich that's awesome congratulations!

@Ben Leybovich and @Sam Grooms You both worked very hard on this, and I am glad to be a part of it. 

I am an investor with Ben, one of his students, and I consider him to be a friend.  Take note that Ben offers a class called Cash Flow Freedom University.  From there he offers one on one advanced coaching where he explains his methods in further detail to you over the phone while you share a computer screen.  Its all reasonably priced and it is time well spent.  

I look forward to the day when I have the opportunity to work with Ben and Sam on a general partner level. 

Originally posted by @Mark Forest :

@Ben Leybovich and @Sam Grooms You both worked very hard on this, and I am glad to be a part of it. 

I am an investor with Ben, one of his students, and I consider him to be a friend.  Take note that Ben offers a class called Cash Flow Freedom University.  From there he offers one on one advanced coaching where he explains his methods in further detail to you over the phone while you share a computer screen.  Its all reasonably priced and it is time well spent.  

I look forward to the day when I have the opportunity to work with Ben and Sam on a general partner level. 

 Mark - thank you! This was not requested but is very much appreciated. You've known me for quite a few years now...

Yes, Ben did not ask me to mention his course, but I thought others on this thread would benefit from his wisdom, knowledge, and experience. 

Congratulations @Ben Leybovich and @Sam Grooms , sound like great investment opportunity. Glad I was able to help some of your investors to unlock their IRAs to invest in this project with you!

Wishing you success with this one and more to come! 

Originally posted by @Dmitriy Fomichenko :

Congratulations @Ben Leybovich and @Sam Grooms , sound like great investment opportunity. Glad I was able to help some of your investors to unlock their IRAs to invest in this project with you!

Wishing you success with this one and more to come! 

 Thanks for your help, Dmitriy!

So, many of you had asked for this, and now this thread will basically become an update vehicle for Silver Tree. It's not going to stay Silver Tree for too much longer, as we are changing the name and re-branding the community as part of our business plan.

In the first 2 weeks, we are busy collecting contractor bids. From communications with the Vice-President of Construction at the PM, I am gathering that exterior paint and landscaping buds are all coming in under budget. We've priced out kitchen/bath cabinets and everything seems in line at about $700 per door in materials cost.

The lender released the first draw of $400,000 toward the CapEx. We are tacking the exterior first, and lots of big decisions will be made early next week.

In the first week of ownership, however, there have already been a few big decisions. Most notably, this is a 1986 asset, and there were about 20 HVAC systems that were original. We've budgeted about $120,000 for HVAC replacements in our stack. This cost reflects the replacement of the entire system, compressor, exchanger, etc., and is based on about $2,400 per unit. 

Sure enough, got a message 4 days into our ownership that one of the original units passed away a slow death. We decided to deploy about half of our budget to replace 100% of the original units, plus a few more. The scope is about 50% of the quote, so our cost per units went up by $200. Basically, we decided to pay $5,000 for the privilege of keeping about 50% of our HVAC budget liquid - not a large price to pay. Since the newer systems have enough life in them to be maintained for quite a few years ti come, I think this is the correct approach.

More is coming...

Our exterior paint quotes came in $15-$20k under budget, so that'll help offset the possible increase in HVAC costs. 

Congrats @Ben Leybovich and @Sam Grooms . This was an inspirational post with fantastic timing since I just posted about my 44-unit syndication in Kenosha, WI. As you eluded to, the process seems very straightforward with a basic recipe to follow, but I think many aspiring syndicators underestimate the trials and tribulations we are faced with on a daily basis up until closing. Ben, your Calvin Coolidge quote so appropriately reminds us these challenges must be met with persistence and determination as talent, genius, and education alone will not lead to success. 

I'm still only 75% subscribed to my syndication as we just got it under contract, but I already have my sights set on a 100+ unit like your gem next. Congrats, guys, and thanks for providing quality content and extracting all the details out of this deal. 

Ben & Sam thanks for the continuing updates.  This will be a great learning tool, so please post any detail you can.  

First off, congratulations @Ben Leybovich . That's something I would love to get involved in after learning the ropes. I know that a lot of people specialize in certain arenas of investing and business but diversifying is the key to added protection and profit. It's really interesting to read these comments and see the differing opinions. A lot of great material here. Maybe you'll be adding syndication to your CFFU course down the road? 

Originally posted by @Joey Tuckey :

First off, congratulations @Ben Leybovich. That's something I would love to get involved in after learning the ropes. I know that a lot of people specialize in certain arenas of investing and business but diversifying is the key to added protection and profit. It's really interesting to read these comments and see the differing opinions. A lot of great material here. Maybe you'll be adding syndication to your CFFU course down the road? 

Can't really teach syndication in a course. Too many moving parts. Has to be live. Sam and I are thinking about doing a weekend workshop in Phoenix... Otherwise, I've started doing one-on-one with folks. There is just too much content to be viable for a course.

So, a few updates:

In the week or so that we've owned the property, there have been 2 lease-ups. Basically, the PM is getting $80 premium without us having done anything to the property. This is just because the property is under the market even in as-is condition.

As of yesterday, we have 2 vacants. Over the next couple of months, we will have close to 10 lease renewals. We are about to discover some things...

I love Arizona. Everything is so competitive. The bid for the paint literally came in $20,000 under budget. The bidding process was very strong. 

Amazing! You two are doing big things down in Az. My 3 brothers and I were just analyzing a deal yesterday in the am. It was smaller. A 32 Unit in Middle America. We live in California. Very motivating to hear that you and Sam do this all the time. Sam even stopped being a CPA to underwrite deals. That takes some balls. I love it! Maybe my brothers and I should just have invested with you two. Seems like you two are doing great things out in Az. Are you buying in Chandler?

Originally posted by @Marcello Oliveri :

Amazing! You two are doing big things down in Az. My 3 brothers and I were just analyzing a deal yesterday in the am. It was smaller. A 32 Unit in Middle America. We live in California. Very motivating to hear that you and Sam do this all the time. Sam even stopped being a CPA to underwrite deals. That takes some balls. I love it! Maybe my brothers and I should just have invested with you two. Seems like you two are doing great things out in Az. Are you buying in Chandler?

Marcelo, thank so much. Yes, Sam's got balls for doing what he did. Absolutely!

Yes, I would buy in Chandler. I live in Chandler and love it. In the current market, it would take one hell of a value-add project, and most likely off-market. We are working on that. But, while I am very bullish on Chandler, it is not what I would cal an emerging market within Phoenix MSA...

@Ben Leybovich , good to see you get off of preaching from the pulpit and back into the field to work.  I had not seen many posts from you lately. I understand why Sam left his job to do this.  I am barely over 30 units and it is getting harder to balance the day job versus the real estate.  I even have my 12 unit under management.  Anyway good to hear about your deal and share in the euphoria a little even though it is from a distance.  Enjoy the ride my friend.

Originally posted by @Jerry W. :

@Ben Leybovich, good to see you get off of preaching from the pulpit and back into the field to work.  I had not seen many posts from you lately. I understand why Sam left his job to do this.  I am barely over 30 units and it is getting harder to balance the day job versus the real estate.  I even have my 12 unit under management.  Anyway good to hear about your deal and share in the euphoria a little even though it is from a distance.  Enjoy the ride my friend.

Thanks, Jerry! 

Good deal! Congrats! You guys have a great business plan. 

@Ben Leybovich I thought you retired?

Originally posted by @Rich Hupper :

@Ben Leybovich I thought you retired?

 Do you have any idea how bored I got...?!

Congratulations! That's incredible :)