11-Unit Apartment Complex
Investment Info:
Large multi-family (5+ units) buy & hold investment in El Paso.
11-Plex Currently being remodeled, Increased CAP rate from 8% to 14%.
Bringing the building from a C- to a C+
What made you interested in investing in this type of deal?
Better Cash Flow
How did you find this deal and how did you negotiate it?
MLS, 2 months of negotiation
How did you finance this deal?
Commercial Loan
How did you add value to the deal?
Remodeling, 12-month leases
What was the outcome?
Increased CAP rate to 14%, from 8% when I bought it
Lessons learned? Challenges?
C- neighborhoods are not for everyone, learned about Evictions (personally handled all of the legal through writ of possession), Pests control (bed bugs, roach infestation).