All Forum Posts by: Sam Askar

@Josh Shaughnessy. Thank you for your info. For the $140-160 sqft cost Which areas/city ? 

Hello, 

We have been Building some Multifamily out west for few years mainly NM , Tx area 4plexes and 30 units or less/Type A complex and students housing/apartments  near major universities 20k plus students. 

I Would like  to expand into Florida region somewhere near the major metro Areas ( Orlando, Tampa , Miami, Jacksonville), would like to get some feedback from other investors/ builder  in the state and which area is worth looking into to  build few 4 plexus to start and which city , I have notice there are few lots are still available for somewhat reasonable  price still ( i think), what price per sqft the rent is going for in the area for new build ?  building cost for single story 2 beds, 1bath ,2 or 1 car garage unit  example our area ( between $100-$125 sqft /current lumber prices ) cost of building (not include land) of 4 plex, rent is about average of  $1 per sqft/M 

Any feedback is much appreciated 

Looking for a real estate Attorney and CPA in NM to set up , structure Multiple LLCs, ( Construction LLC , , holding LLP or LTD or INC ( main holding + passthrough entities/ sub LLC for each property ) and property Management LLC) . I Have other LLCs and INC and i want to keep them separated from my none real estate related LLC/business.

Any suggestions?, Do I have to have NM Attorney?,

Thanks for the Help

— looking for recommendations.

@Will Teas 

Hey Will , I live in Cruces as well I might be able to help, I have a Duplex that we are working on In Sonoma Ranch area that i am thinking of selling . send me a pm and we can talk

@David Torres. Is there price different between your newer units and the Neighbors units?  are they providing the washer and dryer or just hook up ?

I have been looking for new modern designs for multifamily complex, does anyone know / dealt with an architect in El paso Tx or Las Cruces, NM with positive experience ? Also which 3D rendering company do you recommend? 

@Michael Chen . I just went through this for myself,  Down here in NM building cost will be any where from $75-85 sqft , it good more or less in your market plus the cost of the land 

@Chris Grenzig  thank you for your thoughts. But here is my answer to your question 

Why would I live in your building surrounded by crappier buildings, when I can live in the same style new building surrounded by new buildings for the same price?

1 Because  the new buildings  are 1-2 miles away from campus. ( still walkable but we ll all know when we’re stsudents how lazy we were when it’s comes to walking and showing up on time . Shoot I was one myself ) this building will be 1 block away and cross the street from campus with all the bars and restaurants  the other new complex do have pool but I think the distance and little cheaper rent than other new building. will attract students more  

2  the old buildings around it  all have evaporated cooling ( which sucks bad on really hot days down here )  our will have central Ac  

3  I was thinking of building a gated capmlex  to give them little something different 

4  will have  washer and dryers  on site ( coin operated )

5 will have masters bedroom set up  each person has his/ her own bathroom  

6 if there is room left on the lot we can put little shade stricter and build it grills  

Around us  1 bed room renting $450-500  2 bedroom  $685   In the old building 

I was thinking of renting 2 bedroom -735    And 3 bed room  for 850    1 bedroom for $535 

 Project cost with lot will be about $1.2 -1.4    20 units will average at 680 a month $13,600 a month gross.   $7 mortgage. Total with T&I. Managements And Set a side for  maintenance  $9,600. 

Breakeven point 14 units rented. Or with 70-75 % occupancy.   

All  all calculations above with 100% of the construction costs being financed and zero out-of-pocket  ( I know we have to put some money out of pocket. But  this is how I calculate everything and then I’ll figure out cash on cash return afterwards )

I am a build and hold investor. We usually build 4 plexus and build and sell SFHs. We came a cross this lot from another deal we had Previously made with the seller after we bought 14 lots from him. He mentioned that he has a commercial lot in the University area currently zoned to have two 4 Plexes on 2 Separate lot next to each other. The replot is easy to combine them to 1 lot. We went though it recently on a different deal it took about 4-10 weeks to get it done.

The lot can handle 20 units apartments two stories 10 on 2nd floor and 10 on the first floor. There are many apartments already existing in the surrounding area and they are all build in the 60s 70s and 80s Currently a one bedroom renting for $450 and two bedrooms renting for $650. But kinda of trashy old buildings around the lot. The university has 30,000 students.

There are some other new apartments (1-10 years old ) but Within 1 to 2 miles walking distance this lot is within two blocks from the University with a lot of bars and restaurants in the area

My questions are.

How can you build them on the cheap to make Sense and make the numbers work ? and still make them look nice For students?

Should I go with a plan for 2 master bedrooms with 2 bathrooms. ? Or 3 beds with 2 bath. (1 master bed ). ?

Anybody have done /rented to students in the past ?

Building cost about is about $60k per door and land is $200k. Renting 2 beds 2 baths. For $600 per month. Paying water and trash only. Will have prepay washer and dryers on site , no gas. All electric stoves, heating cooling , and water heater . Electric paid by tenants. Will be turned to management company to Handel once built rates here from 7-10%

Any thoughts /advice experience will be much appreciated