Posted by Greg Meade on August 21, 2003 at 19:07:49:
NOI of 171k is key.Can they prove these figs? Revenue is easy…expenses can be tough. Will they show tax rets? if not to you a third party acct or lawyer? IMHO with a true NOI of 171k i would not want to pay over 1,068,750 so i could get 16% return on my money. There is upside potential (20% vacant) but that is not here and now and will cost$ to fill. You can vastly increase cash on cash by getting good terms on an owners contract but need to be careful there is still adequate cash flow after debt service. As you well know parks often sell here with 8-10 CAP rates. I can’t do that. Will he discount for all cash? Good Luck!