I have a client with an short-term rental on a somewhat busy street in the Denver metro area.

Seems to be focused on his business.

A number of things, including changes in market conditions, and failure of certain contractors to satisfactorily complete their work obligations, led to the financial failure of CALM.Unfortunately, everyone, including myself as well as Mike, Steve and Karen lost money on this venture.

@James Potter there are a lot of people on BP who like to share their expert advice, although having never done business in that market.

I highly suspect over leverage accounts for a majority of RE investor failures.  

That means build or buy a small business!

A number of things, including changes in market conditions, and failure of certain contractors to satisfactorily complete their work obligations, led to the financial failure of CALM.Unfortunately, everyone, including myself as well as Mike, Steve and Karen lost money on this venture.

It is a 30M fund on the verge of failure.

Real-life landlord experience (our portfolio + contractors):We manage units with:Small workshopsAuto baysWarehousesFlex spacesIndustrial officesAnd the pattern is always the same:👉 Tankless = headaches, callbacks, and premature failure👉 Mini-tank = install and forgetThe reliability alone is worth more than the theoretical efficiency.Bottom LineFor industrial sink use:✅ Go with a 3–5 gallon traditional electric tank heater❌ Avoid small electric tankless unless you absolutely need endless hot water(which you don’t in this setup)Your electrical panel, your tenants, and your maintenance budget will thank you.

Second, the investment may have been made anticipating a chance of failure; for example an investment may correctly analyze that it has a 50% chance of a 25% ROI, a 35% chance of a 50% ROI, and a 15% chance of a 50% loss.