All Forum Posts by: Eric Schleif

Need a little more detail. What type of asset? How much leverage? Etc.

Are they able to provide audited financial statements for the property? 

@Shmuel Harris Yes Kevin should be able to get a loan. You'd just underwrite a commercial loan to the NOI of the 6 unit building he currently owns. It's not as dependent on personal income but there are certainly other factors to the underwriting. I sent him a PM to get some more information. I highly doubt a 3 resi unit above a retail store fully rented in Brooklyn has a negative NOI.

Kevin, if you want to send me the numbers I'd be happy to take a look.

What you're looking to do is most likely achievable. I sent you a PM.

The expenses are most likely underestimated. Are you able to analyze the property and put together your own pro forma? The true NOI is probably somewhere in the $80k to $90k range but take that with a grain of salt since I have no details on the property. Your bigger problem is that your essentially seeking 100% financing for the acquisition. I don't know who would lend it to you but maybe someone else on BP has an idea.

Hi Richard,

Couple of questions...

1. Do you own the land free and clear?

2. Do you have an estimate for the costs to build the 6 units?

3. Were you planning on contributing any additional information other than the value of the land?

I'm assuming you don't have any prior development experience. 

Thanks.

Where are both properties located? Brooklyn?

Austin, 

How confident are you in these numbers? The expenses seem fairly light. Where they provided to you from the seller or seller's broker? I don't know of any bank up there that would underwrite to a 25% expense ratio. 

Yeah it's the lessor of the purchase price or appraised value. Pretty standard.

Where in NY?