I have a Letter of intent written up by a broker on an off market deal were the seller is going to take out the commission from the sale.
Structure of the offer is as follows.
-Price 2.15 Million
-mix of RV’s and mobiles 100% full with calls asking for space.
-450k down, seller to carry the balance at 5.1% , 25year amortization, Balloon Due in 8 years.
-Pad rent produces $17,000 per month which is conservatively 15% below market value from comps.
-City is 90k plus in population and growing with a super Walmart less than 4k away.
My intention would be to first try and purchase the park myself, shopping around for the 450k down at a 10% return hard money which the income should support.
Or wholesale ?
I am moving forward being conservative as possible on numbers.
Anyone who could rank this deal 1 to 10 and or have some input on this deal would go a long ways in boosting my confidence.
60 days due diligence.
Thank you very much!