I have heard the term "war zones" used here from time to time. What is the opposite of war zones?
I wonder how many of you have been around neighborhoods where one switches to the other within a short distance. There are many such mixed neighborhoods down in South Florida. War zones, but three blocks down, you have million dollar homes.
One such extreme is in Fort Lauderdale. Here is one street.
To the right of this street are expensive homes, in the 500K, 600K range, they are water front homes along the river. You can see parts of sailboats docked behind them.
Now if I turn and look to the left, same street, you have these apartment homes.
If you look close enough, EVERY window has holes in them. I don't know if they were caused by bullets or baseball bats.
I do know these are NOT hurricane damages!
It looks to me like there is an opportunity there. Get the apartments at a low price and reposition the tenant profile.
What does the rest of the area look like?
Houston was or maybe still is like that. Zoning is weird.
There is no "zoning" in Houston, although they do have rules about "adult businesses" around schools and churches. But that is not the point here. I have no problem bringing up a property to the level of the neighborhood. If the neighborhood is a dump that is much more difficult. I was working on a dump property in a great c+ B- neighborhood. I just was unable to get the owner to agree with my numbers and my price. If the rest of the neighborhood looks up then go for the property and bring it up for a good profit to you.
Sometimes things really do change just by walking across the street. Be careful not to use comps from one side when the property under consideration is on the other side.
There could be several reasons for the extreme change by just crossing the street:
1. The street is a boundary between to cities
2. Zoning is different on each side
3. School district border
4. Utility access
Jeff, the rest of the area are fine. Those few buildings are the worst on that street. Two of the building are occupied, one is vacant. I actually thought the same, that I may be able to turn this into something better.
Philip, I looked into this last week there isn't any changes in any boundary I can tell, except one is SFR, the other side is Multi, and of course, one is waterfront with ocean access no fixed bridge, the other is land locked.
is the MF for sale? Can you locate the owner? What is the occupancy for the area. I would also check what the insurance rates are for that area.
How many units is this in total?
The worst on the street is a good thing. Keep us informed.
I spent a week in Ft. Lauderdale about 4 years ago. There are some low income areas there but there are no war zones in Ft. Lauderdale. A war zone is defined by the frequency of violent crime, not by the condition of the properties.
The holes in the windows look like pellet gun holes to me.
Jeff, the MF is not for sale, it's a series of four buildings, each have 12 units.
Each building has a different owner, but they do not own the land these buildings sit on, there is a land trust. One of the building is vacant, and another is semi-vacant, that's why I got interested, need to look further into it.
John, I am not too familiar with the official definition of war zones, I have always assumed an area is a war zone if:
(1) As I drive through it, all the passengers in the car have a sudden desire to lock their doors...
(2) You wish you have a weapon with you, if not, one of those "club wheel locks" you had back in the 80s might help a little...the female passengers finger through their purse to check for their mace or pepper spray.
(3) You pray your car doesn't break down, you would never stop to fill your gas tank even if your dash says your gas tank is empty.
(4) You check how many bars your cell phone has, you pre-dialed "911" just stop short of pressing "CALL".
If some of the above are true I call it a war zone.
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