All Forum Posts by: Ronald Rohde

There is. You'll need a minimum of 1.25x DSCR to qualify. There are minimum loan amount requirements as well.

Quote from @Ronald Rohde:

Welcome to BP. what types of CRE?

I too love commercial real estate, all i post about on YouTube is my industrial properties in DFW.

Are you concerned about population or COL in those markets?

I primarily do retail and mixed use. Industrial is certainly interesting to me as I have never really did that product type. Not sure what you mean by COL or population but my biggest concern in SoCal is just the government. It is getting harder and harder to be a landlord here. Other than that the CRE market in general is pretty bad given how low transaction volume have gotten across the board.

How is the bank able to finance you on month to month lease?  

So, I mentioned Nasty properties.  The following is an example.  Google Loopnet Commercial Nova Scotia.  Only one property should show up.  28875 Hwy 7, Halifax.  I like Loopnet for old properties.  Something is wrong with them.

What makes this nasty?  You should be able to get for a lower price and also negotiate on price and terms.

1.  Has an old school building on it.  Says it's condemned.

2.  Has a baseball field in the back on separate property they want to put an access easement across this ground.

3.  Property Type Commercial, but is what is it zoned?

4.  Houses in front along the highway.

5.  Originally listed 10/2020

Now how do you tackle Nasty?

1.  Check zoning.

2.  Demolish the building your self. Rent a midsize excavator with a bucket and a concrete hammer.  Rent a skidsteer.  Spend about $2,000 on equipment rental and have fun doing it.  Keep all of the concrete on site where needed.  Metal- get a scrap guy to haul off for free.

3.  Abestos??-  Don't ask just demolish.

4.  EPA Phase 1/2 or Canadian equivalent.  Get a sign off from the seller.

5.  Looking at similar properties, land only this is priced the same.  You want cheaper since it would cost you $20,000 to have someone clear the building if you hired out.  Plus the baseball field easement, plus it isnt road frontage.

Now what do you do with the property?  Why do people want to come to there?

1.  RV park.

2.  Tiny house rentals.

2.48 acres for $35,909.

Right across from a nice bay with access to ocean and river.

Main Ocean front highway to Halifax.

About 2 hours out of Halifax.

Has well and septic already.

Off the highway.

Even if you don't buy this property go thru the process and make an offer on it, subject to this or that and at a price that works for you.  Learn by doing.  Make and offer subject to, for $20,000.

But you're in Halifax and want to do a Big Deal.  

Start small and Make Your Big Mistakes Early.

Full Disclosure- I have no experience with NNN, but it is of interest to me and I'm learning about it.

One observation I have made is that there is a need in my area presently and my previous state I lived in for "contractor garages". These would be a fourplex (or six or whatever) industrial metal type building, shared walls between each unit, and they typically have a tall garage door on them and an office space and bathroom. Renters that use these that I have observed are contractors, t shirt screen printers, a coffee roaster, and even guys with classic cars that don't have space at home. As I recall the shop spaces were around 1700 sq feet, and then they had bathroom and office space on each unit. These buildings were all NNN and were in all kinds of areas- suburban, rural, cities. It's something that interests me, maybe it would be something to look into for yourself. Just sharing the thought!

For WAG and CVS properties with 10+ years remaining lease term, I have lenders at 6.00% or perhaps slightly below depending upon the demographics of the location.

@Ronald Rohde Are you referring to my post? If so, you are wrongly mistaken. The owner started the company back in 2009 in Marietta, GA and has grown the business to 70 plus locations in the Southeast. It looks like you're in Dallas, the company actually recently opened a location in Irving, TX. The property is in the process of getting electrical right now, please stop by and take a look; https://www.loopnet.com/Listin...

I'm not sure what your question was about leads in TX...we get a lot, so we're actively looking if you have any Industrial properties available. 

@Ronald Rohde roughly how much are you renting out the yard space? How long is the lease term? I would think you would want to keep the lease on a shorter term in order to keep the options open for a potential buyer. If you had a buyer that would want to go vertical, but the property had a land lease set for lets say 5 years, I would think that would not attract buyers. 

@Ronald Rohde - Right now I am managing individual spots but want to buy lots as that is the way to scale.