September 2013

posted in: Uncategorized | 0

This month my husband and I are looking into 3 possible commercial size investments.  These particular investments can have the possibility of yielding pretty good amount of returns within 2 years of owning them and getting them up and running as expected and predicted.  The first investment is a commercial gas station, convenience store, and laundry mat for $700,000 which has in the past produce nearly $3 million a year in sales.  There is no math to really be done here, investors.  So, if you want in on this deal, then contact JJ for more details.

The second property consist of 4 duplexes.  This is definitely under rented.  It has too low of rental income besides the fact that it is only 25% occupied.  Next is has several cosmetic issues keeping them from getting rented.  These issues are usually inexpensive to fix and can encourage the higher rent rolls.  These units are terrific for the elderly, very close by a hospital, and centrally located to downtown, events, the riverside walk, shopping, etc.  The owner currently wants way too much for them in their current state.  However, we may be able to ‘prove what their true value is’ via an appraisal (about $300,000).  But if we can get them for what they are truly worth plus do $50,000 in upgrades during the first 6 months, then income is expected to be $6800 to $7360 a month.

The third property, is a duplex.  Currently, it is not rented and it is in extreme disrepair.  We are hoping to pick up this property for no more than $100,000 or lower.  There is at least $30,000 in minimal repairs to get it rented.  We would feel more comfortable with a $40,000 remodeling budget.  (Remember, we don’t ‘slick up’ properties.  And especially, not in this area.)  This property has the potential to rent anywhere from $750 to $990 a month per side when all repairs and updates have been done within the 6 months to a year time frame.  There would be no pay out in the first year in order to get the repairs done, get both sides rented, and have the emergency repair funds funded up to $5,000 in reserve.  Afterwards, quarterly payouts begin and go up from there.  Management fees are 10% with an hourly labor repair rate of $25 an hour plus material expenses.

If any of these 3 units appeal to your desire to invest as an angel or silent investor with no time or labor necessary, than call us.


Johnny and Crissy