I've come across a potential deal in Daytona Beach for a value add apartment that looks pretty good after doing the first underwriting pass. My problem is that I'm located about an hour and a half north in Ponte Vedra and I've been told for agency financing they want one of the partners to be local to the property. Is that always true and if so am I close enough to be considered local?
If not, are there any multifamily investors in Daytona Beach that might be interested in partnering?
@Joshua Schoer it's not always true, as there are exceptions, but they certainly do prefer to see somebody on the sponsor team that lives within 100 miles of the asset. Having a strong property management company with a local presence can help, although the agencies have been stricter about this since the pandemic.
Thanks very much Charles, that is very helpful!
I am about 80 miles from the property and would probably keep the existing PM already in Daytona Beach for the transition. So hopefully we would still qualify since I think we can check those boxes.