All Forum Posts by: Peter Dunne

Looking for SERIOUS BUYERS ONLY with proof of funds and history of closing $10M+ Deals.

I work as VP of Acquisitions & Capital Markets for a national ownership group, with a growing portfolio in Philadelphia and New Jersey. 

We hold a 120+ apartment building near a university in Philadelphia, several blocks from a regional rail train station. The property consists of two, 4-story, brick apartments on the same lot in a B+/A- neighborhood. There are some unusual details with the current leasing situation, however, there is also the opportunity to deliver a completely vacant property for value-add development summer 2018. I am happy to discuss on the phone.

The owners have been exploring several development strategies, but just this week decided that it would be ideal to shift capital and energy to other emerging projects (pending the right offer). They would seriously consider selling if they receive a vetted offer in the $14-15M range.

Please message me if you have SERIOUS interest. We are working on packaging the financials as we speak and will require any interested parties to sign an NDA. I WILL NOT be posting the details publicly (Sorry my deal analyzing friends out there).

Conversations have already begun in my local network, but I have benefited so much from the BP community, I wanted to share the opportunity.

Best!

As with many BPers, my obsession with real estate leads to many fun conversations at family gatherings. Over the past three years, a family member on my wife's side has become increasingly interested and even reads books I recommend (Even technical ones like "Loopholes of Real Estate"). Our conversations recently got very real, exploring the possibilities of using this money to invest in multi-family, such that my relative gets short-term cash flow and tax benefits, but that the equity growth and future ownership would fall to my family. I would help locate and manage the investment.

Essentially, we would want to hold title as joint tenants, such that title would pass automatically upon death. However, we would want to hold the real estate investments in an LLC to protect everyone's other assets.

Are there ways to structure LLC ownership such that it performs like joint tenancy? Or would you recommend we keep it it clean and set up a debt arrangement such that my relative gets the desired cash flow, but we maintain full ownership of the property? We are talking around $100k of cash.

Thanks @Art G. The video is helpful.

My purposes are purely about maximizing after-tax revenue as a licensed real estate agent. Liability is generally covered through errors and omissions insurance. I would not be created an LLC so much to manage risk, but to be able to be taxed as an S-Corp and not as a sole proprietor, as most agents are. LLCs are able to elect from several taxing options. I am not looking to provide additional professional services like legal or tax advice (In fact, I am prohibited from doing so unless I am duly licensed).

Thanks again.

Hi All,

As one step towards my real estate investing goals, I have recently acquired my RE license in PA. I am focusing on buyer representation for income-producing properties (I am blessed to already have an investor client looking for 100+ unit apartments) and assisting investors with listing rehabs (I has a design/construction background and can add value other than simply marketing the finished product). I like to be strategic in setting up the business and tax structures of new ventures and was already familiar with the benefits of being taxed as an S-Corp when high enough earnings are expected.

In asking around, most brokers and agents seem to think this is a terrible idea and probably illegal. I have also spoken with two CPAs who don't think it is an issue so long as actual income is high enough about the 'reasonable salary' such that the tax savings are equal to or greater than the $2000ish annual costs of administrative maintenance (LLC expenses, payroll company, added filing expenses, etc.)

Is anyone actually doing this who can shed a little light? I am not one to try to do anything sketchy and don't mind paying taxes, but if I can do this in my consulting business, I don't see why I couldn't in real estate sales.

Welcome @Ahmed Ogunbunmi! Finding the deals is the hardest part, so congrats on moving ahead in that realm. With all the new investment, the city is just buzzing with new GCs (many not so great), so I would strongly encourage trying to find someone with prior projects around your specific investment area. If you are interested in the NW Philly neighborhoods or student housing, feel free to reach out and use me as a sounding board. I spent the last 7 years on the university side of student housing and am happy to share any insight I can offer.

Hi All,

I have been enjoying some of the content put out by the Urban Land Institute and am considering becoming a member. I have an architecture background with a masters in sustainable design and would like to get involved with larger scale development projects. Is any one here a member of ULI and willing to share some of your thoughts?

I am a believer in being actively engaged with any memberships (unlike the gym where you pay the fee and never go...), so it's not so much about the money as it is about fit and value.

Thanks so much.

Welcome to BP Derek,

A financial background is definitely a helpful piece to have as you begin to find where you fit in the RE space. I work for Saint Joe's, managing university housing (my background is architecture and sustainability) and have been learning the market and building a solid network. I try to grab lunch/coffee with one new RE contact every week if you ever find yourself in the Mainline or NW Philly area. 

I agree with James, the podcasts are a phenomenal resource to start building your RE vocabulary and getting a sense for strategies that get you excited. The market is incredibly hot right now (meaning expensive), so be careful if you are looking to buy before understanding how to evaluate a good deal.

Welcome @Joseph Cochran!

It sounds like you have the drive to get moving, are taking appropriate action and have some potential partnerships around you. You will hear this all over the site, but the hard part is finding the deals, not finding the money. If you demonstrate professionalism, have a plan and find good deals for flips, there is plenty of hard money and private lenders in the Philly market looking for opportunities. 

All the best.

@ Michael Quarles showed some good principles. Though I see you have already ordered them.

I don't think this should be a pattern for your company (as you want a little more pop), but here is mine for reference of a simple design (which matches my brand and style):

Bill,

I have lots of thoughts for you. First off, it is very helpful to have a clear and memorable business card that is consistent with your business or brand. I don't know your background so can't comment on whether this captures it or not, but here are a few design pointers.

• The design needs to be used strategically to draw the eye to what is important. This could be using color, bigger/bolder text for specifics items, placing things in order left-to-right or up-down. 
• If you are going to use a photo background on the entire thing. The photo should either be darker with white/bright-colored text or a lighter photo with dark text. That way it is easy to read. 
• Something about your business name and logo are squashed/stretched. Your logo should always look the same. Protect that. 
• Finally, people generally like some white space on the back of a card so that they can write notes about your interaction. Or you can write a note before handing it out. I think it is more professional to have some content on the back, but to keep it classy with white space left over.

All the best with your ventures.