All Forum Posts by: Ash Patel

My first property was a mixed use and seeing both sides of things, I chose the commercial route.  Mixed use is a great stepping stone.  Often you can find mixed use buildings for the same price as a house.  Don't let the mental barrier keep you from going into commercial.  I would much rather deal with business owners vs. residential tenants.

I am a full time CRE investor in Cincinnati. Happy to answer specific questions.

@Joel Owens couldn't have said it better.  I am in the growth phase so I purchase $500k-$1mm mom and pop strips/office, ideally with some vacancy.  I love properties in neighborhood locations that provide essential neighborhood services and are land locked.  30% cash on cash with vacancy and 60-80% if filled.  This is not as passive but I am a full time investor and self manage all of my holdings.  A lot of these properties are being held by people who cannot stomach recent vacancies or are panicking about the state of affairs and are desperate to sell.  Good luck.

I think a seasoned CRE investor would be the best help you could find. Find someone to partner with or someone that would be willing to mentor/advise you through the process. All of my suburban office buildings/strip malls are doing well post covid. Post your potential deals on this forum for some guidance.

Vacant buildings are easy to finance when you have a relationship with a lender.  I have used the same local bank for 10+ years and they will finance any property that I bring to them.  I would suggest finding a local bank with 3 or less locations and get in bed with them.  Good Luck and nice work!

I don't buy anything less than a 10% cap.  These are typically class B/C strips and stand alone buildings.  I have sold properties through Loopnet that were 10 caps as well.

Even better, take the lazy approach and call your banker or title person whom you should have a great relationship with and ask them to get the details.  They will often find a ton of info.

I primarily buy value add retail/office/NNN. Mom and pops don't scare me as long as you are realistic about their chances for survival and knowing what it will take to get another tenant in place. I love the neighborhood strips that are somewhat isolated or land locked where they just can't build more. If you are hands on, go for the mom and pops. If you want mailbox money and have the cash, call @Joel Owens

Thank you @Joel Owens - It is an estate sale where one of the son's inherited the property and wants to cash out.  The older brother thought the price was too low and told him to call off the sale.  After threats of lawsuits, they decided to follow through with the sale.  

Thank you all.  I will definitely consult my attorneys if they decide to not follow through.  I was just hoping for someone to share a similar experience and the result.  I will post the verdict.