All Forum Posts by: Maxwell Lee

 except for the trendy historic neighborhoods: Riverside, Avondale, San Marco. Springfield arguably...

I know of one positive story, although it didnt happen to me. We're working on a small commercial deal for about 16,000 sq ft, and next door is a single commercial building on .3 acres that we'd love to have to round out the lot and allow for a bit more flexibility in our redevelopment. Current owners have had it sitting vacant and in disrepair for a couple years now, so I thought I might be able to grab it for a great price. I'd be willing to pay at least $250k for it, probably would be willing to go higher after more diligence. They got it for under $30k. Owner mentioned another $30k in court and legal fees, but they obviously made out big time. 

They're asking $450k, which is ridiculous, but they're finally fixing it up and obviously don't really want to sell. 

yep! I mean I still invest here but we take care in searching for our deals, whereas two years ago a big fund could buy a tape of 100 properties and expect most to perform well. 

I should add that the NYC hedge fund I mentioned earlier was an established one but had never done RE. Which is why they had to build that operation from the ground up. 

That makes sense. I do know specifically of an established NYC-hedge fund that entered the market in September of last year. They planned to make anywhere from $10-20 million in acquisition over the next year. That one was a legitimate hedge fund and they probably realized they were coming in a bit late (just my perspective) because they were really really rushing to get operations set up. 

They've been buying in Jax for 2-3 years. In fact, many of the early entrants have already stopped buying. Meanwhile, some new ones are now just entering the market. So clearly people have different ideas of what are good numbers. 

I don't really know what C+ means to you, so it's hard to gauge from that angle. 

But $400/month sounds like a pretty bad area to me (which might be what C+ means to you haha). I'd imagine either that grade is a little low or the rent is a bit low and you could inch up on that at the appropriate times. 

That said, sounds like the numbers will work out fine. The only thing you really need to think about is whether it's worth dealing with tenants in those neighborhoods, or if you have a good property manager who can take over if you so choose. 

Good luck!!

Love this thread. Thanks for starting it all @Anna Watkins 

I have a strong interest in Atlanta, being a nearby market and the fact that I have traveled there very often for work and pleasure. 

@Daniel Ryu 

Thanks for the shout out! Looking forward to the future of our collaborations!

Welcome and good luck, @Wei Peng I have some friends who own condos in Toronto so I know how a good unit can cost ten times what it does here!! Aside from the cost of RE, I'm a big fan of your city and love to chow down in Markham :D

Feel free to ask if you have any questions about Jacksonville. 

I used a close friend and did feel a little bad making, in total, probably about 30 fairly low offers. But she seemed to not be bothered at all. 

I strongly echo the sentiment that you should find a realtor well-versed in the investor side of real estate.