|

Multi-Family
Investments:
Examples: Duplexes, Tri-Plexes,
4-Plexes, Apartment Buildings
Residential multi-family properties tend to spread risk and provide more
predictable occupancy when compared to single family, retail, office and industrial
properties.
1) Cash Flow tends to be solid given the greater number of tenants involved
which spreads the risk if you have one tenant leave you still have multiple
tenants occupying the property. In comparison to a single family dwelling
you have a greater chance of maintaining cash flow than when the single family
vacates and you are in the position of finding a suitable renter.
The more units you have under one roof, the less risk you have. If you have a
single family house and you lose your tenant, you've lost 100% of your income.
In some instances, this could be your entire profit for the year. If you had a
three family and lost a tenant, you still have two rent coming in to pay your
expenses.
2) Less competition in the marketplace in comparison to single family
residences. Single family residences include families purchasing for their
primary residence as well as investors looking to add inventory to their real
estate portfolios. The higher purchase prices for multi-family excludes
many buyers resulting in lower overall square footage costs.
3) Management is more viable with multi-family and less expensive then
single family residences. Again using 8 tenants in one location as
compared to 8 tenants scattered the ability to negotiate lower management fees
is enhanced.
Retail Investments:
Examples: Shopping Malls, Retail Centers, Strip Malls
Office Investments:
Examples: Office Buildings
Motel/Hotel:
e-mail: MultiFamily@MY1031SOLVED.com
Securities
offered through Welton Street Investments LLC, member NASD/SIPC, 4600 S. Syracuse Street, Suite 530, Denver, CO 80237, 888.569.1031. This is
neither an offer to sell nor a solicitation of an offer to buy a security.
Such an offer may only be made by means of a private placement memorandum.
As with any real estate investment, there are various risks including, but not
limited to: loss of principal, variations in occupancy which may negatively
impact cash flow, limited liquidity, and limits on management control of the property. Steve
Krutzfeldt, David M. Miller, and Russell Pederson are Registered Representatives of
Welton Street
Investments.
|