Bought a 5 unit storefront in Rogers Park

6 Replies

Just bought a 5 unit storefronts in Rogers Park, IL.  Property is cash flowing some although it was zero down payment with 100% financed as a commercial bank loan.It is good to be part of Bigger pockets for advice, just look for others view points and help you grow as an investor. I am optimistic about the growth of this neighborhood also although it is a cash flowing property and I am not counting on appreciation alone.

Can you share some of the stats? Rental income, payments etc. Cap rates.

It was not the best neighborhood years ago. They had securities carrying guns question even if you live there.

Cap rate is 9%.  Rental income is $7100.  Price is $531000.  Commercial loan is 4.75% fixed for 5 years, and adjustable for next 5 years.  This area is certainly more secure than 5-6 years ago and is still poised for growth I think.

@Atul Mohlajee congrats! essentially you got a free cash flowing retail property! you must tell us more. curious to know did the apprasial come out higher than PP or was this cross collateralized, or bank owned property that they wanted off their books?

This post has been removed.

A paid off property is being used as a collateral.

This year this will be second commercial property that was 0 down for me because in both these cases I used a paid off property each as a collateral.  Bank gave me 75% of the appraised value.  Remaining 25% was a residential property in each case.

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