All Forum Posts by: Clifton Kaderli

Many, including myself, have gone through the romantic idea of containers. Some like the altruistic reuse, some like the edgy look. If you call enough architects and people actually active in using containers, there is one remark that you will hear repeatedly: "You're not going to save any money." 

That being said, you CAN save money IF you do fabrication systematically and do multiples. That concept is also universal. 

Here are a few hurdles to containers:

1. Insulation. This is a metal box. There are some reflective coatings that can be applied that work well BUT do they suit any local codes. Codes may not be an issue if using as portable... You are putting humans in these. 

2. Arsenic. The containers are treated to repel bugs and critters, and not rot. Some funky stuff can be in the wood floor that you may want to leave exposed. 

3. Codes. IBC codes have few, if any, specs for these. Local engineers like "commonly used" building materials and systems. Permitting these in construction  projects is becoming easier...but not as easy as stick built. 

Here is a plus if you can get a piece of land suitable:

1. Taxes. These are portable. If you don't permanently attach them to the real property you MAY get by with not adding to your real estate property tax. If you are in a state that taxes personal property this may not be a big savings. 

2. Agritourism. This may be a stretch for you, but all of this on a farm can be part of a trendy place to stay. 

At the end of the day, the sun will rise and set on IF local authorities want you to do this. Even if it is permissible, fight them at your own peril. 

From staying in touch with friends and family in Texas as well as network on BP, here are some updates to thoughts?

1. No mass migration. The job centers are still in Houston and most will rebuild. 

2. There is still much sorting and regrouping. People are still being helped with basics and are returning and sorting. Programs and insurance are starting to make progress beyond clean up. Rebuild will be a long-term project. 

Thanks to all who have been in touch. 

Quest. 

New construction single family homes built on in-fill lots in San Antonio, TX to be held as long term rental units. 

I am building new homes for long-term investment. I am seeking financial participation. I offer flexible scenarios. 

To build with cash offers a 9% cap rate. Use of leverage requires less capital and generates higher cap rate. 

Seeking debt and/or equity. 

Updates:

New construction: Some business colleagues and I are discussing some systematic approaches to new construction that may be less cumbersome than remediation of a water damaged house. Their company can manufacture building systems (frame and exterior) and deploy labor for most of construction. They are checking with some of their suppliers to see if they are able to reduce or donate material. 

Syndication: The funds to fuel any solution will need to be organized, efficient, and protected. I have initiated conversations with some attorneys that are working some other projects in Texas. They have big hearts and the skills to make a syndication happen. I like that they participate in projects as well. I will let them share more and the conversation incubates. 

Rescue: Special kudos to all of my friends and colleagues that are still working to navigate the disaster. I wish I could be more boots on the ground in the Houston area. My point of this bullet is timing. They will be in rescue and first efforts for a while. I'm proud to lead some conversations that can potentially change lives as the people in this region rebuild lives. 

Thanks again.  

Thanks for all of the interest thus far. I would like to continue as a brainstorming round table, then transition to an action team. Note that I am not a multifamily guy. I am SFR with a multifam brain though. 

Question: What is the greatest need and/or a need that the investor community can address?

Question to follow: How to best go about addressing the need?

Feel free to include aspects such as doing the most good, and making the most profit. We should not apologize for making profit as long as meeting needs ethically. The more profit that can be made, the more good can be done without burdening charitable efforts. 

The logical answer is housing. To be more specific I have heard commentary about the following variables:

1. Damaged houses with no insurance.

2. Damaged houses with insurance that will want to sell without repairing. 

3. Undamaged areas that will likely skyrocket with demand. 

4. Temporarily taking our core competencies from one market into Houston (construction, prospecting, lending...)

5. Buy vacant lots to build new homes in damaged areas. Then rent or seller finance.

6. Create a financial vehicle to help flood victims get in a home or back in their repaired home. 

I love working with other investors and look forward to more ideas developing into actionable steps and solutions. 

This is an excellent thread, and I don't want to take away from this discussion about the Houston market. I just want to recruit idea makers and strategic thinkers to a thread I started about how the community of investors can create a positive outcome for Houston and profit by doing good by the area. Thanks for sharing thoughts. 

https://www.biggerpockets.com/forums/311/topics/483147-how-investors-can-create-a-win-win-to-rebuild-houston 

I'll connect and PM. I have some specific projects as well as team resources. I'd like to know more about what flavor or real estate and what area... before making a referral. 

I love what I get from www.oncarrot.com.  They offer DIY resources. 

The founder also has an excellent podcast that you will enjoy. 

Many are discussing how to capture opportunity in Houston. Many fortunes will be made and lost in the aftermath of Harvey. My career has placed me in positions to help create win-win scenarios for families and business. I am from New Braunfels, TX (3 hrs west of Houston). I am passionate about my home state, the people, and real estate as a tool for good. 

My question is this for discussion: How best can the investor community deploy profit seeking capital and effort into the devastated Houston market area to create the most profit for the investor(s) and the most benefit/good for the individuals and community being helped by the solutions that only investors can bring to bear?