19 Unit in Lakewood with No Money Down
Investment Info:
Large multi-family (5+ units) commercial investment investment.
Purchase price: $1,125,000
I found this mom & pop owner of a 19 unit on Lakewood's west end through a direct mailing campaign. The husband and wife team had owned and operated the building for the last 20 years. They kept it in fantastic shape. It was one of the best apartment buildings I have seen in my career. We brought in equity partners on this purchase; my partner & I retained 50% of the deal for finding and negotiating, and our other partners put up the downpayment and manage it for the other 50%. Rents have been steadily increasing. It's a great property.
What made you interested in investing in this type of deal?
Great value add commercial opportunity in an A+ suburb
How did you find this deal and how did you negotiate it?
Direct mail. Negotiated with the owners directly.
How did you finance this deal?
Bank financing with an equity partner supplying 100% of the down payment.
How did you add value to the deal?
Updating units and consistently pushing rents.
What was the outcome?
Stabilized building in a great community. We still own it.
