1,052,211
Have a business plan that is made of Play-Doh 😉 constantly being reshaped.
Study the market. Your broker can help you with that. Employment, Development. You need to have a gap analysis done to measure market potential so you know what kind of businesses might locate at your site, where symbiosis exists, and where there is oversaturation.
Do the math, pad your projections in all directions.
Allow yourself extra vacancy rate, extra reserves, extra expenditures.
An inferior location, even for a better price, is a bad call.
Take your time. Don't do a deal that doesn't make sense. It's better to marry at leisure than repent in haste.
Leverage your money if possible. Get resources for good local lenders who can also help you with analysis.
And hire someone that knows what they're doing. A lot of children are out there doing commercial real estate. Ask them how many deals they've done, how long they've been in business and if they worked with any large names.
Ask for references. And ask around. The best people have really good reputations.
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John Juarez
Fremont, CA
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David Gibson CNE, 719-...
Colorado Springs, CO
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Eve Alexander
Tampa, FL
-
Doug Dawes
Topsfield, MA
-
Dan & Laurie Pittsenba...
Bellingham, WA
-
Nina Hollander, Broker
Charlotte, NC
-
Debe Maxwell, CRS
Charlotte, NC
-
Anthony Acosta - ALLAT...
Atlanta, GA
-
Jeff Dowler, CRS
Carlsbad, CA
-
Wanda Kubat-Nerdin - W...
St. George, UT
-
Bob "RealMan" Timm
Minot, ND
5,583,278
another question for Candice A. Donofrio
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
-
Nina Hollander, Broker
Charlotte, NC
-
Debe Maxwell, CRS
Charlotte, NC
-
Wanda Kubat-Nerdin - W...
St. George, UT
-
Bob "RealMan" Timm
Minot, ND
-
Candice A. Donofrio
Fort Mohave, AZ
3,125,942
Candice A. Donofrio may be able to offer some good advice. Great minds think alike Jeff Dowler, CRS!
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
-
Nina Hollander, Broker
Charlotte, NC
-
Debe Maxwell, CRS
Charlotte, NC
-
Anthony Acosta - ALLAT...
Atlanta, GA
-
Bob "RealMan" Timm
Minot, ND
-
Candice A. Donofrio
Fort Mohave, AZ
5,049,477
Perhaps Candice A. Donofrio will weigh in on this given her background
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John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
-
Nina Hollander, Broker
Charlotte, NC
-
Debe Maxwell, CRS
Charlotte, NC
-
Bob "RealMan" Timm
Minot, ND
-
Wanda Kubat-Nerdin - W...
St. George, UT
-
Candice A. Donofrio
Fort Mohave, AZ
2,220,654
Candice A. Donofrio has this one too.
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
-
Nina Hollander, Broker
Charlotte, NC
-
Debe Maxwell, CRS
Charlotte, NC
-
Candice A. Donofrio
Fort Mohave, AZ
-
Anthony Acosta - ALLAT...
Atlanta, GA
5,772,575
James,
If CB RE is still doing their mentorship progam, I would join them and learn. A
-
John Juarez
Fremont, CA
-
David Gibson CNE, 719-...
Colorado Springs, CO
-
Doug Dawes
Topsfield, MA
-
Nina Hollander, Broker
Charlotte, NC
-
Debe Maxwell, CRS
Charlotte, NC
-
Wanda Kubat-Nerdin - W...
St. George, UT
3,345,091
It looks like you are a broker/owner and real estate investor. I wish you all the best.
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
-
Nina Hollander, Broker
Charlotte, NC
-
Debe Maxwell, CRS
Charlotte, NC
-
Anthony Acosta - ALLAT...
Atlanta, GA
-
Wanda Kubat-Nerdin - W...
St. George, UT
2,390,630
I did very little commercial but I can tell you this: The two biggest commercial sales people in Minot had no commercial experience but took the bull by the horns and dropped all residential interests, spent a bundle to market themselves as commercial Realtors, and within a year they became the BIG names in commercial.
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
-
Nina Hollander, Broker
Charlotte, NC
-
Debe Maxwell, CRS
Charlotte, NC
-
Anthony Acosta - ALLAT...
Atlanta, GA
-
Wanda Kubat-Nerdin - W...
St. George, UT
3,416,038
Learn the area. Hire the right agent. Be ready to purchase when you find a deal. Ask questions, complete due diligence and get an advantage through the agent you hire.
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
-
Nina Hollander, Broker
Charlotte, NC
-
Debe Maxwell, CRS
Charlotte, NC
-
Wanda Kubat-Nerdin - W...
St. George, UT
-
Bob "RealMan" Timm
Minot, ND
6,393,609
Partner with someone who knows what they are doing.
-
Bob "RealMan" Timm
Minot, ND
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
-
Nina Hollander, Broker
Charlotte, NC
-
Debe Maxwell, CRS
Charlotte, NC
629,708
I have some commercial real estate, but can't add anything to what Candice has said
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Bob "RealMan" Timm
Minot, ND
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
-
Nina Hollander, Broker
Charlotte, NC
-
Debe Maxwell, CRS
Charlotte, NC
417,221
Who is your major tenant? How long are their financial legs? Will they be in business ten years after the end of the lease and need to expand or raise rent?
-
Bob "RealMan" Timm
Minot, ND
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
-
Nina Hollander, Broker
Charlotte, NC
-
Debe Maxwell, CRS
Charlotte, NC
900,128
Know what you're doing!
-
Bob "RealMan" Timm
Minot, ND
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
-
Nina Hollander, Broker
Charlotte, NC
-
Debe Maxwell, CRS
Charlotte, NC
7,836,425
Know the market.
-
Bob "RealMan" Timm
Minot, ND
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
-
Nina Hollander, Broker
Charlotte, NC
-
Debe Maxwell, CRS
Charlotte, NC
469,510
For me I have two points of advice for you.
1. Actually start. Find a property and write an offer on it and due you do diligence to make sure it's going to work. But the key thing is to start.
2. If it's not already make reading books on commercial real estate and how to purchase commercial real estate part of your daily agenda.
-
Bob "RealMan" Timm
Minot, ND
-
John Juarez
Fremont, CA
-
David Gibson CNE, 719-...
Colorado Springs, CO
-
Doug Dawes
Topsfield, MA
5,216,875
Candice A. Donofrio has a primer for you!
-
Bob "RealMan" Timm
Minot, ND
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
-
Nina Hollander, Broker
Charlotte, NC
5,230,119
Well, I suppose you're seeking commercial advice - seek an experienced commercial broker - a seasoned one who works with investors.
Again, good luck!
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Bob "RealMan" Timm
Minot, ND
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
-
Nina Hollander, Broker
Charlotte, NC
617,935
James,
Once again Candice A. Donofrio has given you an excellent start.
As a former bank president, mortgage lender, investor and now long time broker/owner I would add this.
Investors are in the money business first and real estate second.
Learn the money side very, very well before the buying and investing side.
The best commercial brokers and investors understand the money aspect and know how to structure deals for optimal financing.
Right up there in the cardinal sin category are properties / deals that aren’t good financing candidates.
As a lender, the first question I always asked on any new commercial / real estate deal was “what could we do or might have to do if this loan ran into trouble?”
You need a thorough understanding of why regulators put loans on “non-accrual.” Lenders hate loans that may or may not be performing but that regulators put on non-accrual.
You need to be well versed in the various financial statements and property records that lenders and potential buyers want to see. In particular, lenders like to see detailed “sources and uses of funds” statements in addition to balance sheets and P&L’s.
You may have a great property or deal but if they lender doesn’t have confidence in your financial acumen you may get endless rejections.
Reminder – lenders loan money to people not property or deals. Lenders care about you as much or more as the deal.
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Bob "RealMan" Timm
Minot, ND
-
John Juarez
Fremont, CA
-
Candice A. Donofrio
Fort Mohave, AZ
1,196,798
Make sure you have an experienced and reputable commercial agent
-
Bob "RealMan" Timm
Minot, ND
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
2,781,173
Know how to do the math...
-
Bob "RealMan" Timm
Minot, ND
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
921,504
Keep digging.
Learn how to ask questions that do not result in binary responses. The BEST information is revealed inadvertently.
The easily accessible information is not sufficient. Dig deeper.
Even though CRE deals are all about the numbers, attention is not. Attention is about the WHY? Develop a greater good vision that allows others to sojourn with you. Then maintain impeccable fidelity to the commits you make to yourself. An example is how others leverage their involvement the HABITAT.
Lastly, understand there is no shortage of money, just vision.
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Bob "RealMan" Timm
Minot, ND
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
5,104,931
The best advice... to work with a commercial real estate specialist... since I am not that, I always refer.
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Bob "RealMan" Timm
Minot, ND
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
2,685
Establish what you goal is and be conservative on the pro forma.
-
Bob "RealMan" Timm
Minot, ND
-
John Juarez
Fremont, CA
1,725,996
Follow the leader
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Bob "RealMan" Timm
Minot, ND
-
John Juarez
Fremont, CA
1,502,998
1,543,833
The math never lies; do your due dilligence and know your clients' needs and goals. Know your market.
-
John Juarez
Fremont, CA
-
Doug Dawes
Topsfield, MA
1,311,397
Best advice I can give is to talk to Candice A. Donofrio
-
Bob "RealMan" Timm
Minot, ND
1,239,901
4,936,716
5,868,565