It is a fairly small project- under $200,000. The building was a shell that would need to be built-out and tenants put in. Here is the interesting part: projected rents over $3,200 per month. Hmmm..... have you seen the rents on a $100,000 house? Let's be generous and call it $1,000 per month. So two $100,000 houses would bring in $2,000 per month, right?
So if we do the math, this project would bring in 50% more rent for every dollar of capital invested. This sounded so interesting that we decided to fund the project. Sure enough the build-out took less than $200,000 in capital and rents are over $3,200.
Nice....
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