All Forum Posts by: Ryan Dunigan

@seth johnson  Partners and I also own similar properties in the area, we have been happy with WASH.

I use these guys:  

https://rossettiaz.com/

They do an adequate job for the cost and this end of the market.  Some buildings lend themselves to submetering better than others, if its single level and easy to find the supply line then it may make a lot of sense...

Couldn't agree more with Brian/Greg.  Last month my partners and I closed on an age-restricted 30 unit apartment building in a decent part of Mesa, just outside of Phoenix.  The in-place cap rate was a 3.9% - that was because the rents were so far below market at roughly $546/mo (18 1BR units and 12 2BR units).  No real deferred maintenance - just wasn't updated over the years, the amenities weren't fully optimized, and was mis-managed from a revenue standpoint.  Once we finish adding washer/dryers, semi-enclosing the patios, and re-tenanting the property, the cap rate should be over a 9% and the average rent should shake out in the $895+ range with another $30 in RUBs for water/sewer (just signed the first two new leases yesterday, each for $1,030 all in!).  The plan is to refinance in 10-12 months and return at least 40% of investor capital and enjoy the high cash on cash returns for many years.  I hadn't done a deal like this in a few years, I thought we were overheated then...  There are still "deals" out there!

Hi Mike!

I followed that same trajectory - living in San Diego and investing in the East Valley area of Phoenix (primarily Mesa), starting in 2009.  We are up to about 200 units that we own with partners and manage another 100 units for other owners.  I have found it very rewarding.  You are on an exciting path!

Ryan