All Forum Posts by: Robert Gillenwater

Park pays water and sewer and there were some significant expenses in 16 and 17 to rehab some of the POHs. I appreciate everyone’s replies and I do think that our approach is sound. I did make my initial offer on the lower end assuming their would be some negotiating. I think we will let them sit on the market for a while and see if they get any takers and reengage in a few months if its still around.

We just made an offer on a 20 unit MHP. 100% occupied, 10 units are Park Owned. Broker said our offer didn’t have a shot with the owners and wouldn’t present it. We offered 440-460k plus market value of the park owned units. Here is how we based our offer: Average pad rent per month based on the 10 TOH’s - 350 350 x 20 = 7000 per month GOI 7000 x 12 = 84k annual GOI We averaged the expenses provided from 18,17,16 financials = 46k Average NOI = 38k Value based on approx 8.5% cap 450k Then we would add the market value for the Park Owned Homes to be determined during due diligence. Their asking price was 669,000. Am I missing something ie. Additional value for the POH’s income generation? Their 16 and 17 financial showed some high expenses for maintaining those homes. I didn’t feel it prudent to pay above market value for depreciating assets. I appreciate any insight anyone can provide. Robert

Does anyone know if there are any restrictions on AirBnB or short term vacation rentals in Chesapeake, VA? A friend of our told us that they were not allowed but I have not found anything stating that to be true.

Damon,

Thank you, do you have any recommendations?  If so could you private message me or email?  I am looking at making an offer on two different places and I want to make sure I am getting as accurate an estimate as possible.  Both properties will be close to a full rehab I am assuming.

Thank you,

Robert

Does anyone know of a rough estimate per square foot for complete rehab costs in the Hampton Roads area?

Sean, Thank you for the prompt reply. On a separate thread do you have any recommended general contractors that are familiar with rehabbing under BRRRR budget restrictions?

Does anyone have any insight on the most adequate BRRRR deal finding strategies in the Hampton Roads area?