Multi unit in east Fort Lauderdale
Investment Info:
Small multi-family (2-4 units) buy & hold investment in Fort Lauderdale.
Purchase price: $340,000
Cash invested: $170,000
Converted income producing tri-plex on a 10,500 sq foot lot in a desirable neighborhood one mile from the beach. Lot is zoned for up to 3 units. Will develop property with new construction within the next year.
What made you interested in investing in this type of deal?
Location and lot size and zoning.
How did you find this deal and how did you negotiate it?
Listed on MLS. Property was not suitable for financing due to distressed condition and non-conforming status. Seller was motivated and accepted a cash offer at a below market price.
How did you finance this deal?
Cash
How did you add value to the deal?
Increased rents by small improvements to the property.
What was the outcome?
Property cash flows at a 7% cap. Will hold until ready to develop.
Lessons learned? Challenges?
Deciding on highest and best use of the land.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
I am a licensed realtor with investment experience so I recommend myself :)