First deal in the bag, 135 units in Phoenix Arizona🌵
After 12 months of hard work, we have just landed our first135 units in Phoenix Arizona🌵
I am happy to answer any questions from newbies or seasoned investors about our process of vetting deals in the current market conditions, how a bunch of Aussies have built an apartment portfolio in the US or any general questions about the apartment investment space.
Cheers!
Please share how you did it? How easy for Foreigners to buy US assets and is it under company or personal name?
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#5 Multi-Family and Apartment Investing Contributor
- Investor
- Shelton, WA
@Josh Oaten Heartfelt congratulations! Can you share some details?
@Josh Oaten Is this a deal you closed or are just looking at? What is your role in this syndication? What are you looking to do next?
BOOM! Congratulations!!! More to come.
Can we talk financials on this one? Thank you
Quote from @Tom Nguyen:
Please share how you did it? How easy for Foreigners to buy US assets and is it under company or personal name?
Tom,
I went against the grain in what is preached of buying your way up from a duplex and rolling into larger deals. I skipped this route and chased investors doing the 100 unit deals. I offered my assistance and worked on the side for free, for years. This route took longer for sure, but what I did get was a large investor network, a lot of great knowledge, and an understanding of how hard you really need to work to get to the larger apartment space.
Offer your services, get to know a lot of people and just keep hanging around the hoop.
To answer your question - it is not easy but can be done.
Quote from @Bjorn Ahlblad:
@Josh Oaten Heartfelt congratulations! Can you share some details?
Bjorn,
Thank you.
135 unit portfolio (87 unit and 48 unit) within half a mile from each other that we will operate as one community in Mesa AZ0. This was a $240k/door purchase. Our investor proforma returns were over a 5% CoC with a 7% pref, 15-15.5% IRR and +1.93x equity multiple.
@Josh Oaten can you elaborate on how you financed the deal? Would love to hear all about it.
Can you share any of the details about what approaches you've seen work the best for identifying and approaching off-market sellers? In my market, no publicly listed sales will pencil, so only off-market sales work.
Quote from @Kenneth Mendonca:
@Josh Oaten can you elaborate on how you financed the deal? Would love to hear all about it.
Keneth,
Our deals are financed through syndication and capital raisers at $50k at a time.
Quote from @Jorge Abreu:
@Josh Oaten Is this a deal you closed or are just looking at? What is your role in this syndication? What are you looking to do next?
Jorge,
We closed on this deal last week. We are the main GP on the deal, and are looking to do a deal a quarter out here in Phoenix. We also have just got a large community under contract in Greenville SC.
<< I offered my assistance and worked on the side for free for years. [...] Offer your services, get to know a lot of people and just keep hanging around the hoop. >>
What kind of "assistance?" What kind of "services?" "Hang around" where?
@Josh Oaten How did you raised 10 mln$? 50,000 an investor would mean you have 200 investors.
Quote from @Amin Akhmadi:Amin,
@Josh Oaten How did you raised 10 mln$? 50,000 an investor would mean you have 200 investors.
My apologies. $50k is the minimum investment on our deals.
Quote from @Dan Cioaca:Dan,
Can you share any of the details about what approaches you've seen work the best for identifying and approaching off-market sellers? In my market, no publicly listed sales will pencil, so only off-market sales work.
I can only speak to the Phoenix market and to be honest nothing is really “off market”. These deals are more so pocket listings, and the goal is to be the 1st one a broker goes to with these pocket listings.
Congratulations!! Keep ‘em coming!
Great job Josh!!
@Josh Oaten how did you pay the bills while you offered your services for free for many years to learn?
Quote from @Brian Plajer:Brian,
@Josh Oaten how did you pay the bills while you offered your services for free for many years to learn?
I was still working full time in property management. Though I did not like working in property management, I new it was another aspect I needed to learn.
Quote from @Darryl Griffin-Simmons:Thanks Darryl!!
Great job Josh!!