Investing in poor neighborhoods close to rich neighborhoods?

[Bryan Tasumi]

I am thinking of investing in a poor neighborhood (poor schools, more crime, lower house prices) in Houston, TX (the Third Ward) which is only 10 miles away from the medical center/Rice University and the "rich" neighborhoods. I would like to rent to medical students (Baylor College of Medicine), doctors, hospital employees, and Rice University students and not anyone else. 

Do you think I would be able to attract and obtain these kind of tenants if I purchase a new or renovated property in the Third Ward area? There are also 2 universities in the area but I prefer not to attract those students. Can I only advertise to hospital employees/doctors/medical students and Rice University students?

[Eric H.]

Great morning @Bryan Tasumi,

I think 10 miles is too far for college kids to WALK through a war zone to get to school. Furthermore medical students, graduate/post graduate students, and doctors are definitely not going to want to rent there because they can AFFORD to rent elsewhere. I am coming from the perspective of a former college student as well as helping a landlord go through tenant applications in an affluent area. A great deal of applicants were of your target demographic. There are a number of colleges in this particular area and it was probably max 6-7 miles away from the farthest one. Ultimately, you won't be able to compete with the properties that are closer nor the ones that are farther but may be more expensive.

Happy investing!

Peace!