What would you do? Any advice?

4 Replies

so I have this deal, it looks great. commercial Property in Denver. it is a warehouse with an existing tenant. the business is a legal grow oporation. the asking price is 1,025,000. the monthly lease is $12,000. total monthly estimated clear profit is $3,450/ month. I thought I had a Private lender lined up at 100%, but he was a scam. It all looked good until he insisted on an origination fee up front of 1%. I refused to pay it except to a title company. when he insisted there was a 100% money back guarantee and he needed it to process the loan, I walked. Origination fees and other fees are paid at close or rolled into the loan. Anything else is likely a scam. the owner is still interested so I am asking my fellow investors, if you only had $10,000 for this, what would you do? Thanks, Chad Bilstein Buyvon Investments LLC

Find another investor who has some cash or financing available. Partner with them on the deal. 20% of the deal is better than 0%

OR wholesale the deal to someone else.

The great thing about being a part of a Real Estate Investor Assn is that there are lots of folks of varying abilities. There has to be someone who has cash or credit or someone to wholesale to. If you are not in a group, now you know the benefits for the next deal that comes along. It is well worth the $150 or 250 annual dues.

I agree wit has Rick pozos. If it's a good deal you can find someone to partner with you. I would be more concerned with zoning and legislation. Dealing with grow ops can be extremely dangerous and it may be hard to convince someone to put their money in POT.

Do you have any experience manageing warehouses or experience in the grow industry? I feel like it would be a tough sell to get any kind of lender to give a guy with only 10k and no experience a million bucks to buy a warehouse but I'm pretty new to this so I could be off there lol.