All Forum Posts by: Paul Vail
Paul Vail has started 6 posts and replied 189 times.
Post: Deal 1: Self Storage Facility - Learn with me & offer support
- The Triangle, NC
- Posts 189
- Votes 117
Quote from @Eric Don:
Running into some setbacks with the city. Also need to wait for them to get back to me on a few things. Here's a summary:
All roads surrounding the parcel of land are unpaved, however they are public county roads (good news), waiting for confirmation, but seems like the developer is responsible for paving roads to get access to the facility. Between the two main roads thats about a mile of road that needs paving just for accessibility from the nearest main already paved roads. There is also an unmapped road that potentially needs to be accounted for in the build, but I dont think it leads anywhere so hoping they could scrap that. Theyre talking about fees with permitting for compliance, and SPR fees.over 2k in total.
Nearest water line is about 1100 ft from the property. $100 sq to extend it, or can apply for a well with a tank that could be used in case of fire emergency. Needs approval by fire department once they see the plans.
Waiting to hear back if a public bathroom is required on the property. No word from the electric company either. The parcel is surrounded by other vacant pieces of land. 5 in total.
P&L is important because I still need to submit that to get started for qualification on the road. Bank wants projections and then personal tax history. According to sparefoot,
10/10: $140-$150
10/15: $125 for 3 months then $250 (a lot seem to be on sale)
10/20: $200 for 1 month then $280-$290
Happy to share my worksheet with you as I am using a google worksheet, you would be able to make comments there. And we can continue the conversation on BP for visibility of others.
Eric,
How is the analysis project going? Are you still willing to share your spreadsheet analysis for educational use? Thank you!
-pv
Post: Deal 1: Self Storage Facility - Learn with me & offer support
- The Triangle, NC
- Posts 189
- Votes 117
What an amazing thread. Having been stalled on waiting for the correction in the market for small multifamily, I'm moving into my two backup plans of exploring private money lending and learning about SS. But rather than buy or build, I'm going to spend several months learning how to property manage at one. I prefer to work on my business and not in it, but for the time being, working in it will give me what I hope will be amazing hands on experience. This thread alone is gold. Thank you to @Henry Clark and other contributors - two thumbs up. And you @Eric Don for triggering the talk.
I'm also reading Your Self Storage Planning-Site Selection-Design-Construction and Self Storage Business Plan (both from Marc Goodin).
Post: Rent by Room in Raleigh NC
- The Triangle, NC
- Posts 189
- Votes 117
@Julian Drew in addition to the great info the others posted, your model for crafting a multi-residential out of the structure is pretty common for the AirBNB folks. I know of several units in Wake Co and downtown Raleigh that were similiarly partitioned and subsequently rented out.
Post: In person Real Estate investing events
- The Triangle, NC
- Posts 189
- Votes 117
I have a separate question for you: if I wanted to learn more about investment brokerages, working for one from the inside, who would you recommend? I am not necessarily looking to become an agent.
Post: Best Practice for LLC Meeting Notes
- The Triangle, NC
- Posts 189
- Votes 117
Quote from @Charley Gates:
Hi Tam.
There is no statutory or case law requirement for LLCs to have annual meeting minutes.
Having said that, I definitely create annual meeting minutes for my LLCs for the following reasons:
1) it's fairly straightforward to do
2) it shows that you are following corporate formalities which strengthen the legitimacy of the LLC
3) it makes it more difficult for a creditor to 'pierce the corporate veil' meaning the creditor argues that the LLC is really just a proxy for you and thus tries to pursue you personally for damages
I also recommend that each LLC has its own bank account and that funds are never mixed between companies.
Hope that this helps!
Charley, thank you for posting this. As I dip a toe or two into the LLC world, I was wondering the same thing as the OP (@Tam Nguyen). Also trying to lay out best practices for transferring money from personal to LLC checking. My initial feel is this should be done as a loan from me to my (single member) LLC. That would keep the funding monies from being considered profit.
So figuring this out from what I've read thus far, I would need to charge an interest rate on the loan (perhaps something nominal like 1% or 0.1%), work up a generic loan document that would state the terms and such. Would I even need to have this notarized or simply documented in my files, along with monthly interest payments? Generic documents seem to suffice.
Thoughts?
Post: General Liability Insurance
- The Triangle, NC
- Posts 189
- Votes 117
Post: Building A Team In North Carolina
- The Triangle, NC
- Posts 189
- Votes 117
Quote from @Anthony Rivera:
Hi Sabrina, I’m local in Raleigh. License Contractor and Realtor. I’d be happy to help in anyway I can. Check out my site and reach out if you would like to connect.
www.alphacontractingllc.com
Thanks.
Anthony, the link for your website doesn't seem to be working.
Post: The CPA search continues...
- The Triangle, NC
- Posts 189
- Votes 117
@Cory J Thornton, thank you for that thoughtful reply. Looks like another podcast to add to the queue :) You mentioned insurance... that's another item. General liability or some necessary riders for investors who are lenders only (not insurance related to actual property acquisition and ownership such as title, fire, theft, etc.).
Post: The CPA search continues...
- The Triangle, NC
- Posts 189
- Votes 117
My current question was more for tax planning on selling some equities to explore private lending. How interest income from PL could be protected from taxes as much as legally possible. I see that such interest from an individual or LLC is treated as ordinary income, so if I can tax-loss harvest from equities to offset the gains, how to optimize? I think I've answered my own questions, but curious how others manage to minimize taxes on lending if this isn't done from within a SD-IRA.
Post: The CPA search continues...
- The Triangle, NC
- Posts 189
- Votes 117