December 10, 2008

President Torrijos said Panama will maintain high levels of growth and a low jobless rate next year

Panamanian President Martin Torrijos said his country will maintain high levels of growth and a low jobless rate next year even as the credit crisis triggers a worldwide economic slowdown.

The Central American country’s economy will probably expand between 6.5 percent and 8 percent in 2009 and 9 percent this year, Torrijos said in an interview with Bloomberg Television today in Panama City. The U.S. recession won’t impede financing for his government’s $5.2 billion project to expand the Panama Canal, he said.

Panama President - Martin Torrijos

Just saw this on Bloomberg: Bloomberg.com: Latin America

Think now is a time to invest in Panama?

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April 09, 2008

A Sterling Equities person visited - How could I attract their interest to discover more?

Great Looking Buildings, Aren't they?

Sterling Equities | History

Statcounter is great since I am able to see (sometimes) what companies are visiting my Opportunistic Investment site. Unfortunately, I'd like one level deeper. I want to know who visited my site so I can call them to see if they have any questions I can answer. How can I do that?

BTW, they look like a pretty interesting company. Among other things, they own the NY and they also have several real estate funds through Sterling American Property including the latest one where they raised $600 million. Maybe they were looking to spend some of their funds through some of the real estate opportunities. Man!

What could I have done to capture their attention and actually attract interest so that they could have contacted me?

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April 04, 2008

Anyone have a spare $100M laying around? or Equity Fund buys S&L home loans

 

Equity Fund buys S&L home loans

I wish I had a $1 billion pool that I could tap for investing in distressed real estate over the next decade...

Anyone want to start one? I bring the sweat equity, you can bring the capital. :)

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March 17, 2008

Opportunistic Deal of the Week - What a deal? - 7 cents on the dollar - Bear Stearns Crisis Averted With Acquisition

JPMorgan is buying Bear Stearns for the price that non-performing 2nd liens (notes) and HELOC portfolios are trading for. Incredible! And the fed is helping make it happen. Sweet deal!

JPMorgan is acquiring Bear Stearns at a huge discount of $2 per share. On Friday the stock closed at $30 per share.
Bear Stearns Crisis Averted With Acquisition


Anybody else have a billion dollar company that they are looking to sell for 7 cents on the dollar? I have buyers for opportunistic investments!

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February 19, 2008

Chicago Real Estate Property Management and Apartment Locator

I recently came across this Chicago property management company and wanted to post information on it in case you are in the market for one. They also have a site for finding Chicago apartments and a Chicago real estate blog. (BTW, tell them Marvin Corea of creiZ.com referred you.)

Have fun in the Windy City!

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January 27, 2008

What Christmas Wreaths and Distressed or Discounted Real Estate or REOs have in common

On my way back from Safeway this morning after buying about a week's worth of milk (in other words 6 gallons, hey I've got 4 kids and it's just past noon and half a gallon is gone already... but anyway), on my way back home I passed by Michaels and saw a bunch of Christmas wreaths selling for 90 cents each. These are normally about $5 to $10 wreaths at the peak of the Christmas season. If someone or even maybe a Christmas store (you know those that only open for a couple of months at the end of the year) bought these and held them till the end of the year, they could probably make a killing. They could probably have an ROI in the few hundreds.

Rather than stopping and buying 100 wreaths (since I know my wife would not be too happy seeing 100 wreaths in the garage), I got to thinking how much the wreaths were like discounted real estate/REO properties (or in general any discounted asset that is out of season). The subprime mess (among other things) in the United States has caused a glut of residential real estate to fall out of season.

As with wreaths, residential real estate will be back in season eventually. The time frame may not be the same since wreaths will most likely be back in season in the latter part of year and residential real estate may or may not recover some, but it will recover. It always does. It is, to use Warren Buffett's words, a "high-probability event" that residential real estate will be back to where it was 1.5 to 2 years ago. It may just take 1, 2, 3 or more (or less) years to get there.

So imagine the returns those that buy now at 40 to 70 cents on the dollar will see once the residential real estate market is back up again. It may not be in the hundreds as with wreaths, but in the 30s to 50s shouldn't be too bad.

Could this be of interest? If not, I can definitely find you some wreaths that available for pennies on the dollar. You can open up your own Christmas store and you'd make a killing!

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January 10, 2008

Government of Singapore Investment Corporation takes 3% stake in British Land

Just saw this on Thomson Merger News and thought this was interesting. If the big guys are doing opportunistic real estate plays doing it, why don't we do our own?

BTW, British Land was (don't know if they still are) in the top global 25 REIT according to NAREIT, so I would imagine that 3% is a pretty good chunk of change (maybe not for a multi-billion dollar sovereign fund, but for me it is).

On a side note, anyone interested in helping me contact the top 25 REITs to see if they are looking to do opportunistic plays. (We can split the finder's fee! :)

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November 13, 2007

AD: Corea Properties Real Estate Properties Portfolio Video for debt and equity financing sources

The purpose of this video is to introduce Corea Properties' strategy for acquiring commercial and residential real estate properties portfolios in the United States (initially in the Washington DC Metropolitan area) and to obtain debt and equity financing for the portfolio acquisitions. (Call +1-240-441-5086 if interested or have direct sources of debt and equity financing that may be interested.)

Thanks for watching and Much Success! Comments Welcome!

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October 31, 2007

CMBS - What are they? I bet Lucy the 6-year-old knows!

Who's Lucy and who taught her about CMBS, you ask? Lucy is the fictional 6-year-old Jordan Crouch created in his CMBS for 6-year-olds post. I think you could even use the explanation for 30-year-old folks!
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October 29, 2007

Interested in buying properties at 34% off retail value in Maryland or Texas?

for 5306 Wendley, click here. 

I am buying $10 million worth of bank-owned properties that need little to no work in Maryland (Anne Arundel, Prince Georges, Montgomery & Howard counties and Baltimore City and County) for cheap and I am wholesaling them. Wholesale prices starting at $165,000+ with retail prices of $250,000+. I will have properties in 21076, 21228, 21045, 21144, 21113, 21075, 21061, 21060, 21228, 21229 and many others. You can find more details about this great Maryland real estate deal here: http://esenai.com/real_estate_deals/66_cents_deal.pdf

Email or call me, if interested, or if you have a particular that you are interested in and if you'd like a copy of the Letter of Interest.

Much Success!

Marvin "eMarv" Corea
240-441-5086
mcorea@yahoo.com
mcorea@esenai.com

licensed MD agent

Broker's Protected!
EHO

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September 27, 2007

What would I do if I had a spare 200K for real estate and why?

The short answer is: I'd buy a $1 million apartment complex that needs work (not too hard to find) or a small shopping center that needs work (a little more difficult to find for that price).

Some questions you may have:

Q: Why don't you buy a single family rental for cash?

A: Simple, cash is king and the more I can leverage it, the better. Why tie up 200K in one house? I wouldn't be fully utilizing one of the benefits of real estate: leverage. A key ratio that I use here is cash-on-cash return. Below is a classic (oversimplified) example that I'm sure many have seen in real estate books. (I know I have. :)

 

Property Type

Cash Needed

Purchase Price

Leverage

Gross Rental Income per Month

Gross Rental Income per Year

Cash-on-Cash Return after Year 1

Single Family House

$200,000

$200,000

0%

$2000

$24,000

12% (not bad)

20-Unit Apartment Building

$200,000

$1,000,000

80%

20*$500 = $10,000

$120,000

60% (wholly ratio, Batman!)

So which one looks better on paper (well, actually on the web)? Naturally, the 20-Unit Apartment Building scenario does. Of course, there are many other things that you need to consider because now you are getting into the semi-pro league, so you have to be more diligent in everything or hire someone that can help (psst, I can help :). In the apartment building game, lenders will not be as worried about your personal credit score as much as they are worried about whether the property will be profitable. It will be a factor, especially in the smaller apartment complexes, but they want to ensure you have your share of equity (i.e. cash) in the property and that its profitable. There's a lot more to investing in apartment buildings, but this is a quick summary.

Something else that you may have caught is that I would look for an apartment building or shopping center that needs work. Why? For the same reason that you would buy an ugly property, to get a bargain deal and then add significant value. One caution on this though is that there are fewer lenders that will lend on this type of property, but they're still out there. Another option for financing commercial properties that need work is to joint venture with larger investment companies. (They're out there. I've seen them.)


Q: Why don't you buy an ugly single family house to rehab and resell for cash?

A: So the single family house is not a rental and I am actually remodeling and reselling the property quickly (withing 6 months, but ideally within 3), then I may consider paying cash for it to get an excellent deal. Even so, I think I'd still lean towards longer-term income since taxes are not as high (think short-term vs long-term capital gains tax) and you have more control over the property because when doing a remodel and resell, you are at the mercy of the market especially if it's a buyer's market.


Q: Why not just invest in stocks?

A: I like stocks. They're fun to watch when prices are going your way. The problem is when they go in the opposite direction! Another issue that I have is that I really don't have any control over the stock, whereas with real estate, I do.

 

Q: Why not invest in a startup?

A: Now, you got me. Depending on the situation, I would rather invest in a startup, than in real estate. Personally, I haven't done it on my own. I have invested with an angel group before. Why not on my own? Because just like in real estate, there's a lot of due diligence that needs to be done to ensure that that the startup is a viable investment. Even after diligence though, nothing's ever 100% sure. One potential disadvantage is that you may not see a return (if any) for a while (think years, not months). But just imagine, owning a little piece of the next Google...


Before I digress to much further into startup land...let me say this, every individual's situation is unique. So even though what I wrote above may sound logical (or not), in your specific situation, it may not be.


***Warning-Sales Pitch***

So consult, your tax and legal professional and when they tell you that what I mention above makes sense :), call or email me and we can create your unique investment experience.

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August 07, 2007

CoStar Group to Provide CCIM Members with Access to Researched and Verified Commercial Property Listings Across U.S.

Just saw this in an IAMC email from CNNMoney... As if the education itself weren't enough, "CCIM Members will Benefit from Access to CoStar's Industry-Leading Information, Including For Sale Listings Nationwide and Local For Lease Listings Within Their Markets."
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July 30, 2007

64 Comal St - east Austin rehab - now under contract

We went into escrow last week and assuming all goes well, will close by the end of August. I'm sure the buyers will be able to do great things with this property. (fortunately and unfortunately, it has been a learning experience for me.) more to come... (I expect my next post about this property will be at the end of August and titled something like SOLD!)
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July 13, 2007

just bought another house for remodeling purposes - 5306 Wendley Rd, Baltimore, MD 21229

UPDATE: Take a look at the new and improved 5306 Wendley house. Please tell us what you think.

We went to closing at 3pm at Cross Country Settlements (not recommended) of Hanover, MD. (This is another Baltimore remodeling job.) I must say that this is one of the faster closings I've ever been to. We were finished signing our last papers around 3:35pm! More to follow...

BTW, let me know if you have any leads on the Alameda property. I am working with agents and offering a FREE plasma TV at closing.

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July 02, 2007

64 Comal St, Austin, TX - finish this remodeling/rehab job in HOT east Austin

LIVE/WORK SPACE WITH LIGHT OFFICE ZONING

Walk to downtown and Town Lake!!

Perfect for a realtor, accountant, architect, insurance, life counselor, massage therapist - any kind of low-traffic home based business where having downtown and Town Lake at your doorstep makes this a project worth completing! Property in this neighborhood is appreciating at an amazing rate!

Buy this UNFINISHED remodel project, finish it yourself for less than you can buy completed remodel and suit YOUR taste in finish out!

Lot size 46' x 117, has 6 beautiful mature pecan trees that form a 60 foot canopy of deep shade over entire lot.

Scope of completed work:
Demo done
New floorplan framed in, architects design, 3/2.5 of 1480 sq ft
Foundation rebuilt
Master suite addition roughed in
Metal roof complete
New wooden fence
Some plumbing, electrical, and HVAC work complete
Some materials included in sale ( wood, concrete)
Recent electrical service panel and meter
Recent gas meter
Insulated windows
Hardisiding exterior, unpainted
Full light, insulated wood doors on front and side, full light french doors in master View Map

Price: $299,000

Here is a pic (click on the pic below to see all of them on photobucket):

 64 Comal - Austin rehab - well-shaded lot

I currently have it listed with Laura (not recommended), an Austin Realtor, but feel free to email me for more details.


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June 15, 2007

back on the market - 4132 The Alameda, Baltimore, MD (near Morgan State, Johns Hopkins and Loyola College) - selling my remodeled house (part 2)

QUICK LINKS: See 4132 The Alameda pictures and a video of the house.

Unfortunately, the buyer was not able to obtain financing for 4132 The Alameda in Baltimore and had to back out of the contract so its back on the market. To make things easier this time, I am offering owner financing. (However, you can still get your own if you'd like.)

Please read below for more details about this property and to see a video. Call me if you'd like to see it in person. I look forward to hearing from you!

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May 11, 2007

4132 The Alameda - Pending Sale or Looking for more ugly property to buy in Baltimore

I received an offer for 4132 The Alameda on May 9 and accepted on May 10. We will close next month. (I wonder if the blog helped any...) I know that seeing the actual house did! The buyer's agent told me that the buyer "loved" the house after they saw it.

Now I need to find more ugly properties. Let me know if you come across any ugly properties (rehab/remodel candidates) in Baltimore. I will happily pay a finder's fee when I close on the property. Comments Welcome!

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May 06, 2007

video now online - 4132 The Alameda, Baltimore, MD (near Morgan State, Johns Hopkins and Loyola College) - selling my remodeled house

Here's a video of 4132 The Alameda, our most recently remodeled house. I hope you enjoy. Let us know what you think!

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photos now online - 4132 The Alameda, Baltimore, MD (near Morgan State, Johns Hopkins and Loyola College) - selling my remodeled house

now you can find a good number of pictures of the house 4132 The Alameda on flickr! Click the link, for a full description of the house features.

front of house - 4132 The Alameda, Baltimore, MD - beautifully remodeled house for sale

 

4132 The Alameda remodeled kitchen

bathroom at 4132 The Alameda

kitchen at 4132 The Alameda

 

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April 29, 2007

4132 The Alameda, Baltimore, MD (near Morgan State, Johns Hopkins and Loyola College) - selling my remodeled house

I am almost done with the remodeling work at 4132 The Alameda, Baltimore, MD 21218 and posting information about it. You can find it on MLS at BA6329680. Here's what I posted on Zillow about the house:

What curb appeal! Be the envy of the neighborhood! Beautifully landscaped front garden and trimmed front bushes. New Anderson screen door. New locks. Refinished hardwood floors in the dining and living room. New living room lights. Marvelous and new kitchen and dining room space. Nothing else like it on the block! Over 10 more linear feet of countertop and cabinet space. New silver metallic refrigerator. New stainless steel oven and range and microwave/range hood combo. New carpet upstairs. Redone upstairs bathroom with HUGE mirror and new vanity sink and lights. New window air conditioners. Newly tiled basement bathroom shower. New basement paneling. Newly upgraded wiring. What more can you ask for?

Neighborhood description: Excellent location between in between Johns Hopkins & Morgan State Universities & Notre Dame & Loyola Colleges. Right on the bus line!

Neighborhood: near the intersection of the Original Northwood, Pen Lucy and Waverly neighborhoods 

I will post pictures and probably a video up here shortly...

Baltimore house, northeast Baltimore househouse close to Johns Hopkins, house close to Morgan State University, remodeled Baltimore house, new Baltimore house, Waverly houses, Pen Lucy houses, Original Northwood houses, house close to public transportation in Baltimore
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April 22, 2007

Reading the "Welcome to Metropolis" article in Retail Traffic or A potential Baltimore real estate infill opp for an "inner city retail" development company like Johnson Development, MacFarlane Partners, Capri Capital or the like

I was just reading the "Welcome to Metropolis" article in Retail Traffic magazine. The article states that "MacFarlane already has 2.2 billion to invest. Meanwhile, DLC Management Corp. Has joined with G.L. Blackstone & Associates to form DLC UrbanCore LLC and is sitting on $100 million in capital." Imagine that! (I wish I had $100M to sit on!) I actually know of a couple of potential infill sites in Baltimore that could be ideal for redevelopment. In particular I know of one on the west side of Baltimore that currently has a number of vacant buildings. There are also vacant warehouses in several Baltimore areas that could be redeveloped.

So if anyone that reads this blog works for (or knows) any of the inner city developers, let them know I have candidate sites for them.

BTW, for those that are not convinced about inner city retail, here's an impressive stat from the retail traffic article:
"In 2002, ...inner city shoppers went outside their neighborhoods to buy $42 billion in goods, or 25 percent of the total $122 billion retail demand of those consumers, according to a study for the Boston-based Initiative for Competitive Inner City by Boston Consulting Group Analytics with Claritas Inc."

Another benefit (according to executives in the know) is the good returns. G. Lamont Blackstone of UrbanCore states that they are exceeding 13 percent returns and Victor MacFarlane says "the return rate for an initial $50 million (of a total $3 billion) invested by the California Public Employees' Retirement System was 30 percent in 1996."

Still not convinced, here's another extract from the article:

Baldwin Hills-and other inner city successes like Harlem USA, and Gulfgate Center in Houston-are convincing a widening pool of players that investment in minority communities is a good bet. "It will increasingly become mainstream as retailers recognize that there are few other commercial real estate opportunities in this country of the magnitude these present," says Capri CEO and Chairman Quinton Primo, III.

So where are the big inner city players looking next? (I thought you'd never ask... :)

According to Retail Traffic, they are looking in Seattle, Phoenix, Tucson, Dallas, Denver, Fort Worth, Austin, Fort Lauderdale, Tampa, Miami and Jacksonville. While Pittsburgh, Philadelphia and Detroit are flat.

So do YOU know of good potential inner city retail sites in a city near you?

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April 18, 2007

Anyone looking to build a city in TX (near El Paso)?

I just saw this listing on LoopNet and thought I'd post it in case anyone is interested in building a city in Texas. :)

Any international investors interested in building a US city? So if you had the opportunity, would YOU build a city? What would be unique about it? Comments Welcome!

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April 14, 2007

Careful when you're entering vacant properties, especially Baltimore rehab properties

My wife and I went to see a Baltimore property (for rehab purposes) earlier this month that was supposed to be vacant. It wasn't in a great neighborhood, but it wan't completely bad either (especially since it did not have board ups next to the house). We found the place and parked on the street. The house looked fair enough from the outside: No broken windows, etc. I opened the house (in case you didn't know, I'm also an agent) and my wife and I immediately smelled something foul. (First red flag.) We also saw that the house needed a fair amount of work since the ceiling was open in the main floor and we could see the second floor floor joists. (But it still wasn't a complete gut job.) We went to the kitchen and saw a jacket and an almost complete loaf of bread. (Second red flag.) Then we heard a noise upstairs (third red flag), so in classic horror movie style, we went upstairs to look around and sure enough we heard more noise from the bathroom and an even fouler smell. So I quickly took a couple of pictures of the bedrooms upstairs and we left. I called the listing agent and let him know that there was someone in the house. He told me that this was not the first time a person had gotten into the house. (I wish he would have told me sooner...)

The morale of the story is to be careful. I am undecided whether I should announce myself before entering into vacant houses, but I guess I probably should...

What would you do?

BTW, I wonder if this is the case in other places, like New York, LA, Houston, Atlanta, Chicago or other major metro areas. Do you know?

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March 22, 2007

Positive news for Houston: Houston has the best job growth in the US

From the Houston Business Journal: More jobs were created in Houston between January 2006 and January 2007 than in any other metropolitan area in the nation, new figures show. "The [US Bureau of Labor and Statistics] numbers show Houston on a dramatic growth trend, outpacing the rest of the nation in jobs gained," said Jeff Moseley, president and CEO of the Greater Houston Partnership. "This is great news for our region and further validates our board's vision of contributing to the creation of 600,000 new jobs and $60 billion in capital investment by 2015."

what this means for Houston real estate:

It means that there will be some growth in practically all Houston real estate sectors. After all, where are 600,000 people going to live, work, play and shop? One of the things that concerns me the most about Houston (which is probably the case with a lot of metro areas) is traffic. Downtown real estate is going to continue to increase in value so where will the majority of people (in the low to mid income range) end up looking for houses? More often than not they will probably be looking for real estate in the suburbs as property gets more and more expensive closer to downtown. (Remember, expensive is relative to Houston because you can still find decent single family homes under $200,000 within the main city limits whereas in DC, well...you'd be lucky to find a good 1 bedroom condo for that price!) So back to the topic...what this means is that there will continue to be more and more traffic! Naturally, developers and city of Houston and Harris County officials need to continue addressing the traffic issues immediately. Expand on the positive that Houston is already working on which Tory Gattis talks about in his houston strategies blog.

Personally, I think that more mixed used the development would be helpful. In many areas it is practically impossible to find places that you could actually walk to from home or work (except in the downtown areas). It'd be nice to actually walk to places without having to take a car everywhere and always have to find parking. I know that a common argument against this might be that it is way too hot to being walking outdoors in Houston, especially in the summer, but a good integration of trees would help too. (And according to Tory and the Houston chronicle, it looks like that is starting to happen too.) Only time will tell...

shameless plug: And I hope that my company can be a part of the Houston's future in the near future!

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March 20, 2007

Austin Business Journal: Austin named one of best cities for walking

According to the Austin Business Journal: Prevention magazine and the American Podiatric Medical Association have named Austin the second best city in the country for fitness and walking.

"While it's nice to receive accolades, in my opinion, we're nowhere near as pedestrian-friendly as we need to be," says Austin Mayor Will Wynn. "Fortunately, the continued revitalization and repopulation of downtown, as well as other developments like the Triangle and the old Mueller Airport, are big steps in the right direction."

comments: so what does it boil down to real estate, if Austin developers and the City do not develop properties in a citizen friendly way, Austin would have no chance at this recognition. And what does that mean for the future of Austin, only good news really. Many people are looking for this type of environment and where there are more people, more employers and retailers will start appearing or expanding. Really, these are all positive signs for the Austin residential and commercial markets. Let's just hope that they don't grow too quickly...

Interested in finding out more about the Austin market or investing in real estate there, contact me

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March 19, 2007

Interested in Houston foreclosures? - You might be interested in this class...

Questions about the Houston Constable's Foreclosure Auction?

 

Daily Court Review has answers.

 

Join us for a 3-day seminar that will teach a plethora of information regarding the purchasing of tax foreclosure real estate at the Constable's Foreclosure Auction.

 

Dates

Wednesday, March 28: 5:30pm - 9:00 pm

Thursday, March 29: 5:30pm - 9:00 pm

Friday, March 30: 9:00 am - 4:00 pm

 

Location (see map at the bottom)

Daily Court Review

6807 Wynnwood Lane

Houston, TX 77008

 

Price

$199 for current subscribers (Subscribe today!)

$225 for non-subscribers

 

Day 1 class only: $75

Day 2 class only: $75 

Day 3 class only: $150

 

Syllabus

DAY ONE (March 28): The first class will provide an introduction to the foreclosure process, including how to read the data in the Constable's Foreclosure Auction edition of the DCR newspaper, how to look for the best foreclosure deals, and the intricacies of purchasing foreclosed real estate.

 

DAY TWO (March 29): Day two will consist of a variety of topics, including the Texas statutes pertaining to purchasing foreclosed real estate. Post-Constable's Foreclosure Auction topics will also be discussed, including how to obtain title insurance after the auction.

 

DAY THREE (March 30): Day Three will consist of title research. Our real estate foreclosure investor expert will demonstrate the proper techniques for researching tax foreclosure real estate prior to the Constable's Foreclosure Auction. Multiple resources will be displayed and handed out in the class in order to provide a strong foundation for conducting title research.

 

Speakers

Our speakers consist of a prominent real estate foreclosure investor as well as a highly respected real estate attorney, who specializes in title insurance and investing in foreclosure real estate.

 

Don't miss out on a great opportunity for beginners to learn about the hottest investment opportunity in Houston!  Call today to reserve a seat by registering for our September Seminar.

 

(713) 869-5434

See you at the seminar!

 

Refunds

If a cancellation is required, then a credit will be applied, which can be used for a future seminar up to six months from the day of cancellation.

 How to Get to the Daily Court Review

The DCR is conveniently located just inside the loop near the Heights. The red star on the map below indicates the location of the DCR relative to the West Loop (610) and the Katy Freeway (I-10).

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March 17, 2007

Another Austin condo conversion or Does anyone have an empty spare building laying around in Austin

from the Austin American-Statesman – Next up in downtown's condo-building boom is Sabine on Fifth, a ten-story building of mostly empty offices that CWS Capital Partners LLC is converting into 80 condominiums.

Crews are gutting the building, which adjoins the Hilton Garden Inn on the corner of Sabine and Fifth. Prices start in the mid-$190,000s for one-bedroom units with about 700 square feet and range up to the mid-$500,000s for 1,461-square-foot units.

Urbanspace Realtors LLP of Austin is marketing the units.

comments: OK, expanding on my comments in the last post, if anyone has an empty building of a decent size anywhere close to downtown Austin, I'd be interested in it. Thanks!

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Austin Condo Conversion or I want to do that too!

This was in the Austin Business Journal:

SUMMERFIELD SUITES CONVERTING TO CONDOS

AUSTIN (Austin Business Journal) – Developer Bill Hale has purchased the Summerfield Suites near Northcross Mall at 7685 Northcross Dr. with plans to convert the hotel to condominiums.

Each of the 11 buildings has 18 units that will continue functioning as hotel rooms while the conversion is conducted in phases. The project will include a mix of one-bedroom units at around 575 square feet and two-bedroom units at around 850 square feet. On the ground floor, 20 units will serve special-needs residents.

The city is purchasing 34 one-bedroom and six two-bedroom units to resell through its affordable housing program. Paul Hilgers, director of neighborhood housing and community development for the city, says the project is significant because it will be the first for-sale affordable housing in the city's program west of I-35.

comments: I need to find something like this myself. I think Austin is still an excellent place to invest in since it is relatively small compared to other cities. Case in point, my brother lives in Austin and suggests that long-distance driving in Austin is having to drive over 15 minutes. Contrast that to Houston (used to live there) and the DC area (where I live now), you'd be lucky if you get anywhere part of downtown Baltimore or DC (specially if you are in the suburbs) in less than 30 minutes.

Anyway, if anyone has or knows of an ugly or vacant apartment complex or hotel in the Austin area, I'd be interested in talking further or better yet let's partner!
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March 14, 2007

costar.com - HOUSTON APARTMENT SALES SKYROCKET & some Houston value-add plays

CoStar.com:
Houston apartment sales increased 58 percent last year over 2005 sales. More than 30,600 multifamily units were sold last year compared with 19,300 units sold in 2005.

Sold units last year totaled more than 26.8 million square feet, while the 2005 total was just over 17.8 million square feet.

Last year’s top three Houston multifamily transactions include the 346-unit Montierra Apartments for $60 million, or about $173,400 per unit (January); the 314-unit San Montego for $52.1 million, or about $166,000 per unit (June); and the 385-unit Pin Oak Estates for $45.7 million, or about $118,700 per unit (September).

Transactional unit counts and square footage calculations are important indicators of real estate investment behavior in Texas because of the state’s nondisclosure rules.

my comments:
I am very interested in acquiring value-add Houston apartment complexes. I've got a couple that I've had my eye on that I'd need partners to do the deals with. One in particular is a 500+ unit currently priced at ~$15k/unit with an asking price close to $8M that needs about $3M of work done. The estimated value after the project is done could be around $14M. So know of anyone with extra change in their pockets?
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March 13, 2007

Mueller Airport Redevelopment - Children's Hospital update

From Texas Contractor magazine:

White Construction Co. of Austin and their subcontractors have reached the finish-out stage of the new Dell Children’s Medical Center of Central Texas for the Seton Healthcare Network. The facility, designed by Karlsberger Architecture, is located on approximately 32 acres of the old Austin Mueller airport site and will be the first Platinum LEED Certified hospital in the U.S. It is also a pilot for the Green Guide for Health Care, a model for new LEED Health Care documents. The four-story pediatric facility will contain approximately 480,000 square feet of new hospital and a three-acre landscaped and "xeriscaped" Healing Garden. A grand opening is being planned for June 2007.

My comments: What I'd like to buy close to there are any as-is apartment complexes. 100% vacancy, run down, and anything else ugly are what I'm looking for. Anyone know of anything out there?
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Comments on listing I visited - 506 Maude Ave, Baltimore, MD 21225

I passed by 506 Maude Ave, Baltimore, MD 21225 on 3/12/07 to take a look at the house for my own investment purposes and was disappointed. This is not a 4 BR as noted on the listing. It is only a 2 BR like the other ones on the same side of the street.

It is also having water pressure issues on the main and second floors which may be galvanized pipe related. This house is not worth the asking price. I think that the most I would offer is around $50k since it still needs work as a rental property let alone a fix and resale. There is also a strange and severe dip in the laundry room that is covered with vinyl.
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March 08, 2007

Unfortunately, I lost out on the Austin apartment complex...for now...

I made mention a few posts ago that I had submitted a contract for a 98 unit apartment complex. Unfortunately, the owners decided to back out of the deal so I've lost out on it...for now...
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Positive signs for DC real estate

Just saw this article on the Retail Traffic website: Washington’s Development Machine Grinds On

I must say that I'm very pleased by the news (since I'm so close, only 45 minutes away and). I only wish that I had been able to get into the Anacostia area sooner to buy some beat up buildings to redevelop... Hindsight is 20-20... ugghh! :)
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February 17, 2007

Testing a LoopNet listing post

Just wanted to test this to see how it looks.

NOTE: Eventually when this listing sells and it is removed from LoopNet, the listing will disappear. (at least that's what I think will happen...) Comments Welcome!

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February 16, 2007

Who said only Joe and Jan Normals do flips? or Could there be a new show coming soon "Flip This Office Building"?

How about flipping a $7 billion office portfolio in 48 hours? I wouldn't mind that! According to the National Real Estate Investor website, "[r]umors of this side deal were first reported in the Wall Street Journal [on Feb 8, 2007]." (And I bet that they didn't even have to replace a kitchen! :)

The office space is being acquired by Harry Macklowe who already owns 6 million square feet of space in Manhattan. Real estate investor Larry Fiedler also suggests that up to 25% of Blackstone's ~$39 billion  acquisition could be sold to Vornado Realty Trust, Starwood Capital and/or Walton Street Capital over the next few weeks. Wow!

 

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February 12, 2007

Who I want to partner with eventually... unless they'll have me now... :)

I just read about Istithmar (the investment arm of the Dubai government) and the Abu Dhabi Government Investment Authority (with assets in the 100s of billions, yes billions) in the Global Real Estate Monitor and I must say I am very impressed. If I could just partner with them to work deals involving a few thousand acres involving a few 10s of millions (pocket change for them :) in areas like Texas and Alabama or Panama and other places, I'm sure we'd all make a decent profit. I wouldn't ask for much. I'd accept 70/30 split on the first project. After I make them a few hundred million, I'll go for a 60/40 split.

Think they'd go for it?

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November 18, 2006

Thank you for contacting Esenai Capital - Value-Add Commercial Real Estate Financing

We will contact you shortly regarding your request.

If you believe you have arrived at this page in error and are interested in commercial real estate financing, please see the commercial real estate financing page.

You can also visit the creiZ.com real estate blog.

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Service: Esenai Capital - Specializing in Value-Add/Opportunistic Commercial Real Estate Financing

Thank you for visiting Esenai Capital for your value-add commercial real estate financing needs. Esenai Capital specializes in sourcing debt and equity financing for our clients for opportunistic real estate invesments with the following guidelines:

  • Eligible Property Locations: Major markets in the United States.
  • Deal Size: Above $500,000.

Please complete the form below.

The intent of the following form is to provide Esenai Capital with preliminary information regarding your financing needs. Once this simple form is submitted we will contact you within 24 hours to discuss your needs in greater detail:

Contact  Name:
Borrower Name:
Company Name:
City/Town:
State:
Phone Number:
Fax Number:
E-mail address:
Amount of Financing Requested:
Type of Financing Requested:
What is the property type?
Are you a/an?
How did you hear about us?
If other or search engine, please specify:
Property location:
Appraised Value of Property:
Describe the purchase or project:
Contact me via:

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October 20, 2006

International Real Estate Investing, Management and Consulting

FOCUS

Our primary area of focus is in finding opportunistic (i.e. value-add or as-is) multi-family real estate properties in the United States where we can increase the value of a property by 25%-50% (or more) through physical and managerial improvements.

PARTNERING 

We are interested in partnering with institutional, international and other accredited investors that are looking for higher yields than typical turn-key real estate investment properties can provide. Whereas a NNN leased single tenant office building can provide cash-on-cash return in a major market of 10% or less, we are able to obtain cash-on-cash returns of 20% or better (i.e. twice as much as an average cash-on-cash return).

OPPORTUNISTIC INVESTMENTS

Interested in Opportunistic Investments? 

CONTACT US IF YOU READY TO INVEST FOR GREATER RETURNS

240-441-5086

mcorea [at] esenai [dot] com 

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Web site developed and managed by Marvin "eMarv" Corea and Esenai Corporation. We also have a Panama Online Shopping and Panama Souvenirs website and manage a free online business sales lead generation website.