All Forum Posts by: Steven Gesis

@Steven Gesis

USB outlets are cool and probably not much more expensive than a regular outlet, so go for it. I don't think anyone is expecting that nor will it sell the unit that much. I think you want to have things that "pop" when tenants walk in. To me this is nice flooring, nice clean walls, nice modern ceiling fans, nice countertops, lots of counterspace, gas stove, lots of storage, nice closets, in unit laundry (best) or free laundry (second best), nice bathroom with tile and storage. The more I think about it the more I think you really have 2 minutes to make the impression, wow, it would be so awesome to live here. You want to catch them in their emotional decision making state. I think that the amenities like pool, sauna, gym, shared working space, actually serve that purpose. I actually moved into a "luxury" apartment for all those reasons. I never used any of the amenities and moved out because the soundproofing was so bad. How many units is the one you are talking about? Ikea can be awesome for bathrooms and kitchens if you don't have wholesale modern stuff available to you. 

@Steven Gesis

I'm an RE investor in MO but a renter in CA. I've lived in a variety of rentals in CA I also renovate properties, so I'm always interested in the amenities/trims to include. One thing I will always put into future renovations is dishwashers. I also won't go for grantite countertops, but something in stone I will do, maybe quartz. Ikea has awesome countertops in stone and non-stone. In unit laundry is best. Second is free laundry in a common area. I think one of the most important things is sound blocking walls in between floors and shared walls. Also lots of outlets. I don't think amenities mater, I've lived in places with them and I didn't use them. Pools, hot tubs, gyms, saunas, I would not spring for those. 

Interesting discussion! 

@Steven Gesis

Love it!  Now your getting me pumped.

@Steven Gesis

I would recommend seeing what the area commences because every area is different so you want to do some market research to help see what amenities are worth your wild.  Some of the amenities you listed (new kids playground, lobby, lake view) can add some value to your complex so I would focus on those BUT try to ask professionals who know the area well.

@Steven Gesis - The complex I lived in was right by an interstate and a mall which made it very convenient. I would have chosen a place that wasn't so convenient however if I could have had the amenities with a slight discount for the loss of the convenience. The living space was more important to me than the location. 

Hi @Steven Gesis - When I rented a higher end place, I wanted:

-A view with outdoor space (patio, balcony, etc)

Done - this has a balcony with lakeviews

-Nice lobby and entrance - I could control the look of my home but not the common area so having this updated and clean meant a lot to me.

Good point - plan on making the lobby and entrance super nice 

-Secure parking/garages - In particular, I wanted at least one garage stall.

No Garage at this property, but I am also considering the property next door it is 88 units needs lots of help - but has a 2 level garage - figured if I got both I can offer residents the option at either property to use the garage they are literally next door to one another

-On-site (or even better - in unit) laundry

Will not be able to do the in-unit luandry (in this case it was space and cost prohobitive - but this ammenity was high on our list, it will have to be a common laundry on-site

@Steven Gesis If the property doesn't already have a pool, don't put one in.  Tenants almost never use them, and they add enormously to your insurance expense.  They are a drowning hazard and can draw in kids from the neighborhood.  They also add to water expense.  Not worth it in my view.

Dog run is better.  Super-cheap to put up, negligible effect on insurance, dog-lovers love them.

Part of an article that just came across my desk. 

"Retail and industrial sectors

2017 was a record year for retail, and not in a good way. Last year store closing announcements more than tripled, reaching about 7,000, said retail think tank Fung Global Retail and Technology. Bankruptcies have increased too, with over 600 reported in the retail sector in 2017. The hit list has included big guns like Sears, Kmart, J.C. Penney and Macy’s (store closures) and Toys R Us, Payless, The Limited and Hhgregg (bankruptcy).

And there’s more to come, warned Cushman & Wakefield. The commercial real estate firm said the number of U.S. store closings is expected to jump at least 33% in 2018, to more than 12,000, and forecast that another 25 major retailers could file for bankruptcy. Gap, Banana Republic, J. Crew and Teavana have already announced plans to close stores in 2018.

Walmart has already kicked off the year by shutting down 63 Sam’s Clubs stores – including those at 2425 E. Florence Blvd. in Casa Grande, Arizona; 3360 El Camino Ave. in Sacramento, California; and 5135 S. Dale Mabry Hwy. in Tampa, Florida – even as it attempted to control the news cycle by announcing employee bonuses and an increase in its hourly minimum wage." 

It’s no coincidence that some of the Sam’s Clubs stores belonging to one of Amazon’s biggest rivals will be converted to e-commerce distribution centers. This brings us to a key point about retail trends and their effect on commercial real estate: As e-commerce keeps growing, the retail sector’s need for commercial real estate isn’t disappearing, but rather is shifting as industrial real estate – namely, warehouses and distribution centers – play an ever-bigger role in the retail industry.

Indeed, commercial real estate industry observers like PricewaterhouseCoopers and the Urban Land Institute, which publish an annual report on commercial real estate trends, have singled out the industrial segment as the top-ranked property type for 2018 as well as the previous four years, while Colliers recently found the industrial sector far outperforms all other segments.

Hi everyone, I would like to buy a property, build for NNN lease but run the tenent business the sametime. I don't know if someone here has done something like that. What are the pros and cons?

For example, if I have bought a piece of property. And I would like to own a Dunkin Donuts and maybe DQ as stand alone building. and build a strip center and own franchises on UPS store, Anytime Fitness and a smoothie store etc. 

This way I am NNN leasing myself. how is that possible?

I try to do this with around 10M cash.