6-12 unit building to buy in GTA

[spark]

Hi Spark,

I need a silent partner for my 17 unit apartment. My part is that I need cash to renovate. I'm looking for about $75,000. Interested? It's in a great location in St. Catherines. 15 minutes to the American borders. 10 minutes to Niagara-on-the-lake and wine country.

Thank you Bonellj. Sorry, I am not interested.

[Lee]

Don't fret, Benollog. You will find a good partner.

I would be interested except for the area of your building.

I would like to find something like what you have, only north of T.O. (within a 30 min. drive). I would then invest fast.

[spark]

still looking for a multi unit in GTA (up to 12 unit), any leads? I will pay a referral fee or finder's fee for an off-market deal.

[YoungLL]

Spark, with that budget you could likely do much better than 6-12 units.
The agent I work for just brokered a deal for a 20 unit building in Hamilton for $1.3 mil. They also only put 15% down, due to a second VTB mortgage.

If you are interested, the agent I work for is more of an investor and land developer. He owns about 200,000 square feet of commercial and industrial space in the GTA as an investor. He also works as a land developer, and teaches commercial real estate (as well as having written the book on it).

He can often find opportunities that aren't on the market, and has about 45 years experience in commercial and multi-residential, so he can broker some very imaginative deals. He doesn't take on a lot of clients as an agent anymore, but he is willing to take on clients that he likes.

Not trying to push my boss on anyone, just mentioning that I know a good agent if you need one.

Otherwise, feel free to increase the amount of units you are looking to buy, if you want to come out near the top of your budget. The more units, the less risk you have, as one vacant unit is a smaller proportion of your total revenue. Also, several costs do not increase proportionate to number of units, so you can experience economies of scale.

If this would be the largest building you own by far, it might be better to buy two smaller ones. This reduces the risk to you if you end up having a problem with the building (accidentally buying a lemon even though you do all your due diligence.)

Good luck!