All Forum Posts by: Christian Decker

Hi Olu

I am a commercial broker and investor in Seattle WA. Commercial Real Estate is not dead. Investors are still very actively purchasing these properties because they see the long term potentials of these sites. Office and Retail sites in the Edmonds Area (about 30 min north of downtown) do not stay on the market for longer than a week and are selling at 400/sf. Seattle commercial properties are usually purchased by large scale developers because they can be developed to 40+ feet, depending on zoning. That being said, commercial sites are still very hot here.

Happy to answer any questions you may have!

@Logan Hartle

I would love to join!!

@Annie Johnson

Thank you!

Investment Info:

Office Space commercial investment investment in Edmonds.

Purchase price: $2,500,000

Waterview Office Building. Value add property, rents are at about half of market and needs significant capital projects. A+ location, long term play. Off market purchase.

What made you interested in investing in this type of deal?

A+ location and value add project

How did you find this deal and how did you negotiate it?

Called owner from a craigslist add for an office space to lease. Talked to him and he agreed to look at a offer. We negotiated through a commercial PSA that I represented myself (since I am both a Commercial Real Estate Agent and Investor).

How did you finance this deal?

Cash

How did you add value to the deal?

This will be a long term releasing deal. Tenants have 2-3 years left on leases. At that time they will be brought back up to market.

What was the outcome?

Cash flowing property and home office.

Lessons learned? Challenges?

Always get estoples from tenants!

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Myself! I am a Commercial Real Estate Agent that focuses on investments!

Hi Jacob

We expect it to be somewhere around the $240,000/year mark.

Investment Info:

Office Space commercial investment investment in Everett.

Purchase price: $2,500,000
Cash invested: $1,250,000

Invested with partner 50/50. Building was 70% vacant by the end of 2019. Spent 2020 releasing and capital improvements. At this time, only 1 suite left to lease, should have it leased by summer and ready to refinance.

What made you interested in investing in this type of deal?

Purchased at a 10% CAP rate at existing rents (knowing the building would be vacant). We could hold and release in our own timeline and should be able to refinance the purchase price out.

How did you find this deal and how did you negotiate it?

MLS, had been on the MLS for quite a while.

How did you finance this deal?

Cash

How did you add value to the deal?

Re-Leased the building

Lessons learned? Challenges?

Commercial just takes time.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I am a commercial agent that leased the property.

@Brian Garrett

If you want a turn key in Seattle, WA you might be able to get a duplex. If you are willing to do value add you can get a nicer duplex or triplex. If you have a good agent you might be able to find a 4-plex!

@William Fifield

Hi William

I am a Real Estate Agent that focuses on investments and also own multiple commercial buildings in snohomish county! I can help you with many contractors and also help you find properties if you are interested! While I specialize in Multifamily and commercial, I can also help you on your fix and flips. Just shoot me a message if any of this interests you!

Thanks

Christian

@William Fifield

Hi William

I am a Real Estate Agent that focuses on investments and also own multiple commercial buildings in snohomish county! I can help you with many contractors and also help you find properties if you are interested! While I specialize in Multifamily and commercial, I can also help you on your fix and flips. Just shoot me a message if any of this interests you!

Thanks

Christian

@Greg Barrett

Hi Greg

Nice job outlining this. A lot of people seem to have a lot of confusion around Cap Rates. You were able to get an overview and detailed explanation in one! I will have to memorize some of those points for future reference trying to explain it to others!

Thanks

Christian