A Break Up Letter to my SFP

Dear Peak Place,

Our last 2 years have been mixed. I found you a HUD – vacant and lonely, without even flooring to offer. You had not been in a relationship for a couple years (minus teenagers who used you for a place to drink and raccoons who loved your open floor plan). You were a deal and after 15k of cosmetic surgery you became a beautiful mix of vinyl plank and beige paint. I was in love.

You were my first. And for that, I will never forget you. With you I have laughed, cried, and scratched my head wondering how human beings could create uninhabitable conditions only to habitat them. Through it all, your cash flow has been consistent and equity capture admirable.

But it is time for us both go our separate ways. I am not breaking up with you because of the bad tenant. Of course, I took no pleasure in reporting them to the police or taking phone calls from neighbors who were convinced of illicit behavior. I do still have questions of just how many kids were living in the house towards the end (seven, maybe?), if their pet deposit would have covered funeral costs of the neighbors’ mauled Chihuahua (had I known they had a pet), or if their make shift above ground pool met HOA approval. But once the eviction was over, raw garbage removed, and missing bicycles from the neighborhood were recovered from the backyard we moved forward together, stronger and more determined for the future.

Then we met our next tenant.

She has been delightful, dare I say the perfect? She is leaving having made you better - easily the most attractive home on the block. She has taken care of you like you were her own and all the while has never missed a payment. But alas, her lease is up, she is not renewing, and she is the reason I am leaving you. She has given me a taste of what property ownership can be without dealing with tenants, and for me the taste is...sweet.

I can truly say – it is not you, it is me. Peak Place, I will miss you. But not that much.

For a list of reasons I prefer multifamily apartments, check out my partner Mike Krieg's blog at Steeplerockpartners.com: The 5 reasons I prefer multifamily apartments.