Updated almost 7 years ago on . Most recent reply
Conant Street - 6 Unit Multifamily
Investment Info:
Large multi-family (5+ units) buy & hold investment.
Purchase price: $362,000
Cash invested: $15,000
This was my first commercial (6 unit) multifamily deal. When acquired, the property was mismanaged, there were tenant issues, deferred maintenance, and was rented at below-market rates. After we bought it, we renovated multiple units, brought rents to market, and upon refinance, pulled out almost all of our invested capital (minus $15,000). We plan to hold this for the long term.
What made you interested in investing in this type of deal?
My main goal will always be to build a portfolio of long-term buy and hold investments and to acquire properties with as minimal cash invested as possible. This property fit that description very well.
How did you find this deal and how did you negotiate it?
It was an off-market deal, marketed by a broker.
How did you finance this deal?
Private money, with the goal of refinancing within six months.
How did you add value to the deal?
Raised rents, cured some different maintenance, installed professional management.
