All Forum Posts by: Joseph Bushnell

Quote from @Peter Zynko:

1) get someone with experience on your team, an expert - verify their track record. 

2) something invisible might be the politics of the town to get your permits and what ever else approved...

partner atleast with your first one with a seasoned operator.

 The politics is a good point, I also have an operator already. 

Something I cant seem to find is a fair lease price per room.   

This is a weird one for me, I have a friend that wants me to help him convert his motel "with restaurant attached" into an assisted living facility. Currently I am having a hard time finding reasons that it wont work and I feel like we are missing something obvious. 

Any help would be great! 

Quote from @Henry Clark:

Before you put too much thought into this, I would develop an order of magnitude for this discussion.  We are near Omaha, Nebraska and have several data centers nearby.  From what I can tell one bought 800 acres and another 100 acres.  They are in the order of $50mm each just for the buildings.  The largest site is about 1/2 way through building a second phase the size of the first phase.

All within 10 miles of the power plant.

In Commercial or industrial development, you would need both the track record of success and also the financing.  

Plus, just the Holding cost for one month at say 7% of $50mm is $3.5mm just for one month.

If you're in your 4th year of school or the trades, do you have both of them covered?  Even the bigger people on here couldn't swing that or would have to Syndicate out which is another animal.  Plus, as mentioned your risk exposure would be huge if you didn't have a contract in hand to lease, plus they won't want to lease from you, because they are a Sticky or capture tenant.

Start small and Make Your Big Mistakes Early.

For a minute i couldn't figure out what you where talking about, then I realized I hadn't updated my bio in 5 years. It is surreal to look back and see how far I have come with my "Bigger Pockets degree" 
I owe a lot to this community. 

Thank you for the replies! 

Just as speculation do you think there will be a demand for smaller scale data centers as AI sucks up more and more of the available storage?

The lot I am looking at is near a Dam and the power in my area is super cheap.  

I'm testing out the idea of building a data center and I was wondering if anybody has heard of owning the building and having a third party operate the data center itself. 

It really is more of a build and flip, my question would be then do things like mileage driven, interest paid for private loan, purchase of tools such as a generator or chop saw and anything else that I'm not thinking of count towards my cost basis?

Hello I'm an electrician in North Idaho.

I'm not certain if anyone's covered these items yet but I just completed my first new construction spec and here are the big mistakes I've made that that cost me time and money. 

1: spend whatever time it takes to double check all the prints from the truss company window dimensions from supply yard and anything else where you have to order the material ahead of time. Also make sure you and the suppliers are using the "same technical language"

2: show up as much as possible when you're subcontractors are working get your tape measure out and check plumbing stub ups door openings Concrete form dimensions and square and really anything else that will cost to be adjusted or impact your project down the road.

3: lastly

if a subcontractor does not meet the preset expectations for completion do not wait around hoping they'll get their act together, fire them pay them out move on.

I hope this helps, good luck it's a lot of fun!

 All right, we built and sold a spec and the time we held the property was under 12 months, we are trying to figure out ways to mitigate the tax burden some but I'm having a hard time finding resources on the subject. 

I'm not really certain what all is tax deductible and my CPA is way too busy to answer these sorts of questions right now.

Any links podcasts or tips on making my CPAs life easier would be much appreciated. 

Ok any help with this would be great! 

here is the deal, 

1 we( my dad and I) have completed a spec and have the profit (180k) in a 1031.

2 we have a comical property under contract for 310 (180+100extra+30 owner financed) 

3 we don't have enough down for the building we want to build so we want to use the 1031 to 30+ year lease for 280 with option to buy for 30k  ( we happen to know the seller)

will this allow us to 1031 another spec house to exercise the option and make a down payment without the irs clapping us? (The bank says they are good with it).

again, any help would be greatly appreciated.

Originally posted by @Ash Fields:

Hey @Joseph Bushnell.  I'll send you a contact.

Cheers.

 Thank you very much!