I just came from a conference called the “Future of Downtown”. Onstage were a whole bunch of the key players in the development boom downtown, including the head of Mack Urban, the West Coast guy for Brookfield, the head of EVOQ, etc. All the talk was about how great downtown is / will be. Cool … Continue reading “What’s wrong with downtown?”
Author: Moses Kagan
3210 Bellevue is done
Signed the last lease on Monday. We’re at $122,160 / year gross, a bit better than I expected when we bought the property last summer. I’m estimating the unlevered yield at around 8.7% / year… not amazing, but definitely a big win in today’s market. If lending markets were rational, I’d be able to refi … Continue reading “3210 Bellevue is done”
Wading through shit
That’s basically what we do all day. What do I mean? Well, we’re looking for mismanaged, run-down, incorrectly-priced assets for ourselves or our clients to buy. Very often, the processes we have to navigate to secure these screw-up assets are, to put it mildly, “non-standard”. This ain’t the kind of brokering they teach down at your friendly … Continue reading “Wading through shit”
A terrible, terrible feeling
Was looking through some public records yesterday and came across this little bit of heartbreak: 1516 Micheltorena LLC was us, through our old entity, Better Dwellings. We purchased the property from Kinsling in September of 2010. We bled and sweated over that property, transforming it from a beat-up old dump into a beautiful place to live. … Continue reading “A terrible, terrible feeling”
Great listing!…Oh, wait
Just ran across a listing for what looks like a turn-key 4plex in East Hollywood priced at $1,095,000. The listing advertised a 12x GRM. Now, that’s not a great deal or anything, but at a little less, maybe 11.5x, it would probably work for someone. So, I prepared to shoot an email out to my … Continue reading “Great listing!…Oh, wait”
Am I a principal or a broker?
I get this question a ton, usually from brokers who are interested in figuring out a way to take both sides of the commission (by representing both the buyer and the seller). For the record, here’s my answer: 1. If you bring me a deal which is “off-market”, in the sense that it has not … Continue reading “Am I a principal or a broker?”
Are there any deals out there?
In a word: “Yes”. I wrote two offers yesterday and have been writing on a pace of roughly five / week for months. We’re helping a client close one deal on Friday and another the following Friday. We’re in escrow with a client trying to determine whether to move forward on a deal now. I’ve … Continue reading “Are there any deals out there?”
Why did I sell?
That’s how I feel about nearly every one of the deals I’ve ever sold (16 so far, 13 renovated through Better Dwellings and three completed through Fund 1). Why did I sell? Because I’ve always done deals with investor money, and investors always (understandably) want to get paid. And, because we don’t really make a … Continue reading “Why did I sell?”
When condos are a great play
Just had coffee with a regular reader who told me about his exploits buying condos as rentals during 2011-2012. Now, generally I dislike the condo-as-income-property business. It’s incredibly rare to be able to purchase condos with a decent yield in Southern California (because there isa huge ownership premium). And owning a bunch of condos in different … Continue reading “When condos are a great play”
How you know it’s time to get out of the house flipping business
Just kill me now…