All Forum Posts by: Matthew Toporowski

Super helpful.  Perfect thank you Michael! 

Hello!

Looking to connect with a property manager in Omaha.  Looking at a multi-family and want help on value.  Also would need management following purchase. Thank you!

-Matt

That's a good idea too, or a personal guarantee potentially if they signing as an LLC. Of course, some of the potential tenants want flexible terms at start to get themselves set up in the space. I'm moving slow with it to avoid getting someone in there I'll just have to get out if it doesn't work...thanks!

Right, I asked for books and a schedule for the biz from the return.  

Hello!

I purchased a mixed-use triplex with the bottom floor zoned commercial.  It was a pizza shop and now is a blank slate.  It's a good location so I have had several inquiries from pizza, tacos, gyros, deli, etc. you name it.  It's a small space good for takeout.  Most inquiries are from folks looking to get into the takeout business.  I have solid commercial leases, but I am interested in what landlords request of prospective commercial tenants to do the due diligence? What kind of documents?  I want a successful, long-term operator.  Thanks much! 

Appreciate the feedback on this.  So far lenders are telling me it has to be commercial loan and then they are wary of the property because only one out of the three units is presently rented.  I could get the other residential rented, so 2/3 units rented, before closing because I know the seller, but the commercial space on ground floor is a question mark and is forcing this to be a commercial loan.  Lenders I spoke with are wary about mixed-use right now, I'm told.  Any potential financing solutions as a conventional investment property would be great! Based on YOY return where this is located my sale price is $20k-$30k lower than present market, and it should just keep going up, but this mix-use presents an issue.  Thank you for any help! 

Thanks! I appreciate the feedback.  

Thank you! Yes that’s what I’m doing and two banks told me it would be commercial financing because it’s zoned mix-use.  

Hey All,

Looking for some advice. I have a 3-unit off market deal. 2 residential units and ground floor commercial. 3,600 total sq. ft. Residential units rent for $1075 each, ground floor pizza shop for $1100 so total cashflow is about $3,300. Purchase price is around $250k. The one residential is moving out, so I could go with an owner-occupied FHA or conventional loan. Pizza shop on ground floor is moving out too, so I could go for an SBA loan and put my business on the ground floor. I understand there are sq. foot restrictions based on the loan type. For example, SBA would be 51% has to be owner-occ commercial. For FHA 51% has to be residential. For conventional not more than 25% can be commercial. The commercial space is 1/3 of the building or 33%. It's the whole 1st floor. The building is zoned mix-use so I could always just make the 1st floor residential into an apartment. I could also wall off half of it to decrease that commercial footprint.

My question is, since there is flexibility with the building itself, what would be best loan option to go with that would work for this property in terms of best rates, lowest down payment? Or just general advice on making it a 3 unit residential or keeping it a 2 unit residential with commercial on the bottom and get a new tenant.  Seller has offered to demo and build the 1st floor into residential, sale price would increase obviously.  The building is right next to a high school in a small, upstate city. Thanks much!