W. Village Townhouse investment

WV 700sf walkups dont rent for $4000-4500. End of discussion.

Depends on the location - and this one is questionable. It's close to Superior Ink and all that uber-pricey stuff by the water, so it may appeal to some. The walkup factor certainly hurts.

Flip - house sold for 2.2mish in March '11. Looks to be arms' length. I bid 2m. Tops.

west34, they can and do.

wrong again. check out the rental history. $2,300 to $3,200. not even close. no surprise.

I just loved the "lot of annualized profits to play with" line. Ad says financing costs of 80% will be $115K (9,583 per month). But if you finance 2.8MM your rate needs to be 1.44% to get to 9,583 per month. You wld be luck to get 4% which puts you at $160K in financing per year, plus tying up $700K in equity and probably getting only $168K in rent (3,500 per unit)

Yeah but you guys are forgeting growth factor.
It grew from 2445 sq ft in 2010 to 3200 sq ft in 2011.
So if the units after eating their spinach grew nearly 25%, that makes units that used to rent @3K now able to rent at 4K very conceivable.

Buyers beware. 700 foot townhouse floor which has a lot of wasted space will be $3K on the parlor floor if you are lucky.

They tried to rent this at 3,000 per month and couldn't. Apparently it needs a boat load of renovation expenditures and they know it. Cost 3.5 plus 1.5 in renovation. More like a 100K annual return after expenses on a 5 mil investment.Comes out to about a 2% annual return.

I stand by 2m offer. I don't see the sale of air rights, so I would add another floor, do a 1st floor extension. Bring reno under 1m, then rent out for 30k/month.

>WV 700sf walkups dont rent for $4000-4500. End of discussion.<
exactly.

a broker's projected income on vacant apts is usually BS.

"I'm an investor in this building & we are looking to roll into something bigger which is why we are selling."

Sure you are. And sure you are.

why do i see post by someobdy with "Jim" in the tag and immediately assume it is full of sh*t.....?

Apologies JimBob, just realized what side of the argument you are on......

price per sq ft of west village rentals is nearly $70. Therefore, 700 sq foot townhouse rentals can rent as high as $4-$4500 per month. Im not saying this is a good investment, I am contradicting west34's blanket statement.

http://streeteasy.com/nyc/rental/829041-rental-68-bank-street-west-village-new-york

isnt this a one bedroom in a townhouse?

Find me an example of a WV apt. renting for $70 a square foot. Post a listing.

Hones, you've gotta be kidding. Do you read your own links? You're quoting a delusional asking price on a unit listed yesterday? Look at the ACTUAL history of those units: 3200- 3500. How about comps like 53-55 Barrow (bigger building but valid comps)? Typical no frills WV walkup 1brs are renting for 3000-ish. I know because I have friends who live in them. Stop the bs.

1. I own 2 (prime, not by the river) WV walkup buildings and we get about 60-65 PSF (~$3000 per unit) for renovated units.

2. I CAN NOT BELIEVE NO ONE HAS MENTIONED THE FACT THAT NO BANK WILL FINANCE 80%, THIS IS NOT A HOME. GOOD LUCK GETTING ANYTHING WITH A VACANT TOO!

3. Why would a seller go with Corcoran rather than an investment property broker? Maybe then, they would know at least this much....

>3. Why would a seller go with Corcoran rather than an investment property broker?

I haven't seen the ad, but agree this is a big tip off: a residential broker marketing a multiple dwelling usually means (IMO) that the price is very inflated.

saw this bld on trulia: http://www.trulia.com/property/photos/3059656270-372-W-11th-St-New-York-NY-10014#item-0

I agree with whoever said that this is a tenement, a multiple dwelling, not a TH, especially due to the fire escapes. Looks like at one point it had commercial/retail on the ground floor. Looking at the photo, this is a double building tenement.

Yes, one may (or may not) be able to vacate all Ts & convert to single family, but it ain't no TH. Also agree 80% financing ain't gonna happen.

Looking at the location, I doubt a T would pay $3k per mo to live in a renovated 700 sf tenement apt all the way over by the river. Walking from there to reach civilization, esply in the winter, is a beetch. Also, go measure those supposed 700 sf units: I bet they're actually 500-400 sf.

http://maps.google.com/maps?q=372+West+11th+Street,+New+York+NY+10014&oe=utf-8&um=1&ie=UTF-8&hq=&hnear=0x89c259eb9e40c161:0x8ebb9e4e17dd3c3a,372+W+11th+St,+New+York,+NY+10014&gl=us&ei=QJjzTqWZHaf30gH337CSAg&sa=X&oi=geocode_result&ct=title&resnum=1&ved=0CB4Q8gEwAA

this bld could be a horizontal multiple dwelling since it seems to share a fire escape with it's sister bld.

http://www.housingnyc.com/html/glossary_defs.html#h
Horizontal Multiple Dwelling: A dwelling complex, which may consist of attached, detached, or semi-attached dwelling units, containing six or more housing accommodations having common facilities such as a sewer line, water main, or heating plant and operated as a unit under common ownership. These units are generally subject to regulation even though Certificates of Occupancy were issued for portions of the complex as one- or two-family dwellings.

Seems like very ethical brokers listing this property.