Option #1: Purchase units in our Safari Realty &
Loan sponsored LLC:
Option #2:
You select the property, or we will find it for you. We will supply you with an Investor Package
featuring: Pictures, Formulas, Comparable Sales, Demographics etc. We will
walk you through the offer process, the physical inspection, help you
obtain your loan, and set you up with a professional management company.
We can also advise
you on partnership formation, whether it be an LLC, General Partnership, Limited
Partnership or a Tenants In Common Partnership.
Option#3:
Equity Ownership LLC, or Tenants in common: Safari Realty & Loan will
partner with you and fellow investors to purchase an apartment building. Safari
Realty & Loan will handle acquisition, management and ultimate disposition.
The investors form a Limited Liability Company or Tenants In Common, with Safari
Realty & Loan as it's manager. Great for IRAs.
Method #1: Use “Other Peoples Money” for the down payment and
guarantee a 10% Preferred Return plus 1/2 the benefits and 1/2 ownership in the
property. Hold title in an LLC (Limited Liability Company) or other partnership
arrangement. Have your property professionally managed (Property Management)
with directions to mail each investor their own share of monthly operating
income.
Method #2: Pool your own funds equally with investors or friends. Hold title as Tenants in Common or in another form of partnership. Have the
property Professionally Managed (Property Management)
with directions to mail each investor their share of the operating profit
monthly.
BENEFITS OF GROUP INVESTING:
1. When investing with a group, the property is professionally managed.
2. Pooling investment funds with other investors enables you to acquire
larger buildings, and usually more profitable properties than you might have the
ability to purchase on your own. Should you so choose, this gives you the
ability to invest in high cash flow deals, which are often located in less
attractive, more management intensive neighborhoods.
3. When banks consider making loans on larger properties they look to the
ability of the property to cover the debt service, rather than the ability of
the borrower.
4. On larger properties the debt is usually non-recourse, which means the
property is the banks security for the debt, generally relieving you of personal
liability for the loan.
Safari Realty & Loan Track
Record:
Partnership#1:
725-729 Sanford Ave. Wilmington CA, 90744
Purchased this 20 unit “fixer” for $360,000 in 2001. Three partners
contributed $18,500 each, and Steve Nauert contributed his $9,000 commission.
Using a professional management company, “Sanford” began to throw off $2,000
per month in spendable income, which we received for 90% of our holding period.
We re-financed in 2003, took out $80,000 and split 4 ways.
We sold Sanford 11/30/04 for $1,040,000. Each partner made $139,826.17 on sale,
plus previous $20,000 in re-finance proceeds, plus dividends.
Partnership
#2:
1619 N. Avalon Blvd. Wilmington Ca 90744.
Purchased this 4 unit building in 2001 for $339,000. Three partners contributed
$15,000 each; Steve Nauert contributed his $8,475 commission. Moved out tenants
and replaced with section #8’ tenants. Increased annual rental income from
$33,000 to $52,000. Sold on 6/05/03 for $461,000. Entered into a 1031 Tax
deferred exchange. Used profit of $117,000 and 2nd T.D. of $52,000 to
purchase 14 units at 1253 E. 64th St. in L.A. for $550,000. Building
appraised on 2/01/06 for $832,000. One partner recently cashed out. Selling
partners cash-out was $91,500. Three remaining 3 partners will each own 33% of
building, and split $400.00 per month in spendable income.
Partnership
#3:
842 Wilmington Blvd. Wilmington CA 90744.
Purchased 4 Units in 2003 for $225,000. Three partners invested $8,500 each;
Steve Nauert contributed his commission of $5,625. Building was grossing $23,000
per year. Turned over all units and increased annual income to $48,000. Sold on
2/18/05 for $664,000. Entered into a 1031 Tax deferred exchange and purchased 10
units on 1109 N. Wilmington Blvd for $1,040,000. This building grosses $105,000
per year. We used our equity of $372,000 for a down payment, borrowed $675,000
to complete purchase. Partners will hold building and receive dividends until
next exchange.
Home Page
310-493-1999 Staff@SafariRealtors.com
Safari Group Keller Williams Beach Cities
1601 Pacific Coast Highway #265
Hermosa Beach CA, 90254
