looking to invest in some apartment buildings on Aurora's North side just south of the outlet malls. Can anyone tell me what the CAP rate is on properties in the area?
Multies are a little hard to find an average cap in Aurora but if you'd like to send me some details on that specific building I can compare it to some comps.
Great Justin, I'll DM you later this evening. Any averages you'd be willing to share? per/unit cost etc?
Sorry can't answer your question here and it's a little late, but I am a newer investor from Aurora, IL maybe I could help you out find with the area as Aurora is my hometown. I am on my mobile now so can't send you a PM but feel free to reach out. Would love to get some advice from you as well seeing you are an experienced investor from Illinois!
Would it be on Indian trail ?
I used to manage those apartments on Reckinger back in the early 2000s. Ownership has changed hands a couple of times since then. I would recommend plenty of diligence. I have considered those but they would need to be much much lower for me to bite, I am a value add player these days. Good Luck to you!
The areas are referring to has 2 pockets. Cap rate is going to vary greatly in terms of the pockets. Some of the pockets are undesirable based on our standards but you get a high cap rate. Also depends on your strategy in terms of buying. If you buy in the MLS if will be low because your all in cost is high. Yet for some of the off market deals the rate of return is very good. Just be careful what pocket you buy.
@Meghan McCallum just FYI Aurora requires landlords to take class/be registered and also has an annual licensing fee. Just don't want you to run into any surprises!!
Check this out if you want any more info
I have a mentor who has been in the Aurora market for 40 years. PM me if you'd like a referral.
@David Dachtera I would like a referral to your Aurora mentor