Wish me luck, I'm about to buy a mini warehouse complex!!

[YY1]

I'm incorporated!!!:headbang:

It seems I'll also be inheriting a "property manager" that predates the current owner. He's a loooong term tennant that is renting 3 units, collects the rent, shows the units to prospective new tennants, mows the grass, and intimidates other tennants into keeping the areas in front of their units clean.


I'm pretty sure this has been the premise for several comedy movies.


He called this evening to make sure I wasn't going to raise the rent, and that he would still get to mow the grass etc.

 

[68sportsatelliteragtop]

Congrats, now tell us the truth, who is the President of the Company, You or the Boss? LOL, BTW I made the wife a 51% shareholder in our Corp. so we would be able to qualify as a "Minority Owned" company.

 

[YY1]

Dang that's a good idea!

My wife still owns the house she bought before we got married.

That's her business (literally). I just pay for 1/2, but we apply any profit to our primary residence (my house). we are generally about 1K either way of breaking even, but at least we do own two homes.

Funny how things work out. I NEVER imagined I would be in this situation.

My 16 year old self has been having some conversations with my current self lately.
He really thought he'd be dead prior to turning 30.

Of course all of us that grew up in the late 70s early 80s thought we'd have been to war with the Russians and that would have been the end of the world.

I think my 16 year old self would be OK with my 44 year old self.
My 44 year old self is also not ashamed of my dirt poor, punk *** 16 year old self, either!!

Whoa, maybe a little too deep. Time for another beer.

celebrating with Tucher heffe weisen....good ****!!

 

[MarPar]

Dang that's a good idea!

My wife still owns the house she bought before we got married.

That's her business (literally). I just pay for 1/2, but we apply any profit to our primary residence (my house). we are generally about 1K either way of breaking even, but at least we do own two homes.

Funny how things work out. I NEVER imagined I would be in this situation.

My 16 year old self has been having some conversations with my current self lately.
He really thought he'd be dead prior to turning 30.

Of course all of us that grew up in the late 70s early 80s thought we'd have been to war with the Russians and that would have been the end of the world.

I think my 16 year old self would be OK with my 44 year old self.
My 44 year old self is also not ashamed of my dirt poor, punk *** 16 year old self, either!!

Whoa, maybe a little too deep. Time for another beer.

celebrating with Tucher heffe weisen....good ****!!

looks like we got an aristocrat!!! LOL

it is good ****!!

my 16-year old self has been talking to my 35-year old self also, and he says... go chase some skirt fat-***!!!!

on a lighter note, 16-year old me would be happy with 35-year old me cuz i finally got my b-body!!!

 

[Propwash]

Dang that's a good idea!

My wife still owns the house she bought before we got married.

That's her business (literally). I just pay for 1/2, but we apply any profit to our primary residence (my house). we are generally about 1K either way of breaking even, but at least we do own two homes.

Funny how things work out. I NEVER imagined I would be in this situation.

My 16 year old self has been having some conversations with my current self lately.
He really thought he'd be dead prior to turning 30.

Of course all of us that grew up in the late 70s early 80s thought we'd have been to war with the Russians and that would have been the end of the world.

I think my 16 year old self would be OK with my 44 year old self.
My 44 year old self is also not ashamed of my dirt poor, punk *** 16 year old self, either!!

Whoa, maybe a little too deep. Time for another beer.

celebrating with Tucher heffe weisen....good ****!!

looks like we got an aristocrat!!! LOL

it is good ****!!

my 16-year old self has been talking to my 35-year old self also, and he says... go chase some skirt fat-***!!!!

on a lighter note, 16-year old me would be happy with 35-year old me cuz i finally got my b-body!!!

And who says split personalities aren't fun??? As long the 2, 3, 6, 7.....of ya get along, you'll always have someone friendly to talk to.

 

[YY1]

Whooo, hoooo!

Financing was approved today, pending LTV versus "tax card".
Shouldn't be a problem since sales prices is 30K below tax appraiser's site, and loan is for 20K less than that.

I did back off the corp, and went with LLC, as it's apparently a tax nightmare to get real estate out of a corp.

Building 1 is 4800 sq ft in ten 20w x24d units,
Building 2 is 3600 sq ft in ten 10w x20d units and three 20x20 units.

Now that's what I call a NEW GARAGE!!!!

 

[68sportsatelliteragtop]

Sweet! How far do you live from the property?

 

[YY1]

Half a mile.

If that house next door ever comes up for sale.....

 

[696pack]

Whooo, hoooo!

Financing was approved today, pending LTV versus "tax card".
Shouldn't be a problem since sales prices is 30K below tax appraiser's site, and loan is for 20K less than that.

I did back off the corp, and went with LLC, as it's apparently a tax nightmare to get real estate out of a corp.

Building 1 is 4800 sq ft in ten 20w x24d units,
Building 2 is 3600 sq ft in ten 10w x20d units and three 20x20 units.

Now that's what I call a NEW GARAGE!!!!

Unless they are all rented for good money you will likely get more rent per square foot by splitting those 20 X 24s into at least 10' wides. In fact if you have access from both side I would make a few 10' X 12"s or 5' X 12's. There is a call for all sizes and the smaller the size the more per sq. ft. they rent for.

 

[HEMI-ITIS]

Congratz:hello2:That's awsome!! I wish you good luck in the new venture!!!:headbang:

 

[Ron 73]

Wish you all the luck in the world, sounds like things coming along the way you want! Un- less the "Property Manager" is like one of those comedy movies you mentioned, having dynamite and high tech rifles talking to himself hunting a cute little gofer down on the property. Seriously, Good fortune to ya!

 

[YY1]

Thanks agin everyone!

Actually, all the "big" units are rented, but only 30% of the smaller units are rented.

I was actually thinking of the oposite- removing an interior wall, so I can offer more 20x20 units (with a bonus of two doors).

I realize the rent per sq ft is higher on the smaller units, but if there is no demand...

 

[696pack]

Thanks agin everyone!

Actually, all the "big" units are rented, but only 30% of the smaller units are rented.

I was actually thinking of the oposite- removing an interior wall, so I can offer more 20x20 units (with a bonus of two doors).

I realize the rent per sq ft is higher on the smaller units, but if there is no demand...

You have to go with the demand, different area have different demands. You will certainly figure it out.
Congratulations on your purchase. It is the only way to be a landlord. No broken water heaters in the late night, not even a light bulb in most storage units.
What does a 20 X 24 rent for in your area?

 

[YY1]

Mine are $95.
Down the road is a much larger (but just as old) facility with gated access.
Theirs are $110.
Around the corner is a slightly newer and much, much larger facility with a gate and pavement.
Theirs are $125.
There's a real new facility about 3 miles away.
I have no idea what those go for.

I'm on the hook for the electric bill, but it's average over the past year is $165 /mo.
If I get a tennant that's real power thirsty, I'l show them the bills before and after and increase rent by the difference, or give them the option to install a seperate meter.

The zoning is comercial/light industrial, so some tennants are doing things, not just storing things. There's a lot of that sort of thing in that area.
The current owner has at least a dozen other similar, but much larger properties. (all in his personal name with no LLC/corp protection).

 

[hemichuck]

Good thing about Fla. is lots of retirees bring their stuff and end up storing it. It can be as good a business as you make it. No guts...no glory...Go for it.

 

[Budnicks]

Looks like a great piece of property & buildings... Good luck in your business venture....

 

[YY1]

Well, closing is tomorrow, and I've hit the first snag. After taking their leisurely time writing me a quote, and after I signed the policy, the insurance company casually asks me "when you get a chance, can you send us a copy of the lease you'll be using?".

Well, last week I sent one, and last night they come back with "we don't like that lease, so we'll pass on insuring you, unless you agree to use the Florida self storage association standard lease"

This lease costs $170 AFTER you pay another $275 for membership, and it takes two weeks for "processing". I'm sure it's not "car friendly" in the least, either.

They did say they will write the policy if I agree that their reccomended lease is forthcoming. I aint crazy about commiting to use something I haven't seen.

I guess I'll eat that $450, and start shopping for another insurance company.
One who knows the difference between "when you get a chance to show us your lease..." and "we won't write a policy unless you use this specific lease".

GAWD I HATE the insurance industry!!!!!

 

[shag766]

congradulations buddy on your new venture. i have some commercial investments and they are a big part of my retirement future.

 

[YY1]

That's the plan. Big garage that some one else helps me pay for, frontage on a well traveled road to sell a car, or hold a yard sale, and keep me from working at Lowes after I retire (although the employee discount might be nice).


It's officially mine as of noon today !!!!!!!

 

[MarPar]

Woo-hoo!!! glad to hear your gettin' thru all the hoops!!!