All Forum Posts by: Gaspare U.

Congratulations Michael! Seems those that aren’t prepared are prepared to miss opportunities. 

@Cody L. understood, thank you.

I know Solar City (Tesla) offers a subscription service. Their large is $150 per month and you receive the electric generated. 

I do NOT want to start selling electric to my tenants. What if they stop paying? What are the laws regarding turning off the electric on tenants. I think this is too great a risk for the reward. It's bad enough when they don't pay the rent, no need to add insult by giving them free electric. 

I think a cleaner option would be you are basically earning income for renting out the roof space to a panel company. I would prefer to partner up with a solar panel company and splits the money that is generated by selling it to the electric company.

Having said that... if anyone knows of any companies that do that, please share!

Clearly not questioning you, since that would obviously grab my attention. My question is how are you able to determine a price of X without seeing what condition the apartments are? And on top of that offer a non-refundable upfront with close as is.

Are you inspecting the property as a possible tenant? 

Thanks in advance!

Perhaps as others have said it’s best to shake hands, thank them for their time and leave the door open for a possibile connection later on. But...

I would toss in the from research here (I believe I am quoting @Michael Ealy) and other sources, the good syndicators always make sure they buy right. Buy for cash flow! This allows you to weather the storm during the downturns. Show them how this property IS purchased right and demonstrate different situations. Use reduced rents, increased vacancy rates and higher cap rates for an exit strategy. And don’t forget the tax differed benefits :)

Good luck... and like others said, I wouldn’t push it. 

I would use a 1031 business (custodian, accommodator, enter any name you like). That's what I did and always consulted them BEFORE doing anything. One small mistake can cost you a fortune. So best to be sure. This is how I successfully sold one property and purchased two, all tax deferred.

Good luck!

This is my greatest concern when hiring a PM to run an OOS property. If the PM is calling the same 3 crooks to place bids on the work they will never know they are getting robbed. They are complying with standard practices. 

@Jeff Quinlan how much did he save you (ballpark) for being honest?

I would look see if at all possible to lease it to them vs selling. Create a lease that you and the franchise agree to and offer them 10 free months or something. At that point look for a commercial loan to refinance. 

I know you asked about selling, but I am just trying to think outside of the box. This would solve your lack of immediate funds to float this deal AND will offer you a much more valuable property with a NNN single tenant lease in play.

IF that is not an option, bring in a partner to help float the loan till closing? See if you can rent it out short term as a parking lot? Perhaps the hospital would rent it for storage of materials, trucks, etc?

Good luck!

I also agree with the attorney route. You can always use that lease as a “fill in the blanks” later on. That’s what I did. I paid the attorney once and now mimic his process. 

Good luck, and sorry to hear about your dad.

Is the company publicly traded, if yes seeing their credit worthiness will be easy. If not, take a look at their business. Things I would consider is how old, industry, how many employees, online reviews? Will they be around for 12 months?

At the end of the day you are renting to the company not the employee. Which on paper should be better. Just make sure the lease is the way you want it. What happens if this employee leaves for one reason or another? Can the company sublet, must you approve the new tenant? Can they offer the apartment to clients as short term stays (think airbnb/hotel).

Good luck!