Investor · Bet Shemesh, Israel · Member since 2016 · 9 posts · 0 votes
Hi BiggerPockets Friends,
I am an Investor and was recently offered an opportunity by a friend who is successful in the NY state area, to buy into a 500 door rental project (already built)
with 70% occupancy. The goal is to fix up and hold, refinance in 1-2 years. Certainly, I trust my friend however he himself asked me to look into the Atlanta market as well as his due diligence, thus my post here today. I am not familiar with the Atlanta region and wanted to know if there are any neighborhoods to stay away from and anything else that may be of importance.
Developer · Philadelphia, PA · Member since 2015 · 2k+ posts · 904 votes
10y
Snir Bitton , how experienced is your friend in apt complex turnarounds?
A 500 unit deal is sizable and the project will run between $25-40 million.
Lots to look at in due diligence including area and why the occupancy is so low. If you believe you can bring up occupancy and increase rent roll, you may have a winner.
Miscalculate and you can loose quite a bit.
Rehabber · Smyrna, GA · Member since 2013 · 864 posts · 510 votes
10y
Are there regions in Atlanta to shy away from? haha, hell yes there are! Feel free to reach out, I'm just far enough out of Atlanta to leave my doors unlocked, but close enough in to get downtown in no time. I'd be happy to give you my $.02. I don't do a lot of apartments but know guys that do and can get you some advice on the deal. Like Percy said, 500 doors is the big leagues.
Atlanta, GA · Member since 2016 · 9 posts · 1 vote
10y
I'm employed with an organization that own and develop Affordable Housing Apartment complexes in the city of Atlanta and Cherokee county. A 70% physical occupancy is quite a concern and it's safe to say the economic occupancy could be much lower. I would be more than happy to provide some insight. Please reach out if interested.
Investor · Bet Shemesh, Israel · Member since 2016 · 9 posts · 0 votes
10y
Hi Percy,
Thanks for the reply.
My friend is very experienced in complex turnarounds, has several complexes in NY State and NJersey and this is his specialty, Knows all the ins and out in those states and is looking to invest in a more affordable market.
He's got people lining up to work with him. i just happen to be lucky because I'm his friend, really.
I am an Investor and was recently offered an opportunity by a friend who is successful in the NY state area, to buy into a 500 door rental project (already built)
with 70% occupancy. The goal is to fix up and hold, refinance in 1-2 years. Certainly, I trust my friend however he himself asked me to look into the Atlanta market as well as his due diligence, thus my post here today. I am not familiar with the Atlanta region and wanted to know if there are any neighborhoods to stay away from and anything else that may be of importance.
Any advice is appreciated
Depends on goals and what your trying to accomplish.
Its been years since I been in Atlanta
2009 -2013 was there.
Pm I can put you in touch with some folks who are active there.
Investor · Woodstock, GA · Member since 2015 · 57 posts · 19 votes
10y
If you give me a neighborhood in Atlanta I can probably tell you why there is a 70% occupancy. Crime probably has a lot to do with it. I live in Cherokee county but have worked in Atlanta as a fireman for 17 years. Started investing in real estate almost a year ago. Apartment complexes are being renovated all the time and we can tell when the rent has gone up by the change in call volume to the complex. PM me and I would be more than happy to let you know.