2007-11-16 12:33:40 · 2 answers · asked by Anonymous in Business & Finance ➔ Investing
You don't give enough information. Do you own the property outright, or is there a mortgage? What is the going rate for similar property in your area? Is there competition for such space, or are there many vacancies? Will you or the tenant bear remodeling costs? What are the terms of the lease? Try to get a triple-net lease. You need a good accountant and an even better attorney.
If you are a prudent real estate investor, I think you should aim for 10 - 12 percent return. Your return might be less in the early years of your investment, but it should improve later. Later still, it may diminish as aging takes its toll and major renovations are required. Don't forget to allow for replacement reserves.
2007-11-16 12:53:57 · answer #1 · answered by greydoc6 7 · 0⤊ 0⤋
Definately need to give more information before anyone can answer your question. Are you looking at a Class B Real Estate Investment Trust (REIT)?
2007-11-16 14:22:50 · answer #2 · answered by lmcginnis14 2 · 0⤊ 0⤋