Turning Due Diligence Red Flags Into Negotiation Pivot Points

When it comes to investing Due diligence is important… you don’t have to be a rocket surgeon to know that. However, it can be, especially at the start of your investing career, sometimes confusing and scary… How do you know what’s a deal breaker and what obstacles can be overcome and still keep the deal a winner? The answer is not always easy, but it comes down to research and good communication. Here’s an example I recently gave in a podcast of a property where …

Yields, Valuations and Hidden Opportunities

Investors will often hear the term Yield or Capitalisation Rate. (Cap Rate)   What is the difference between them?   Well not much…Essentially they are the same but are derived from different sides of the analysis.   From a valuation perspective in the case of an untenated property the rental is capitalised to determine a freehold capital value whilst a property that sells in the market with an income stream in place establishes the yield achieved.   Either way both terms establish the same thing …

How To Choose The Right Builder For Your Next Commercial Development

Over the years I’ve done various forms of works on commercial properties, from simple renovations to full developments and one thing I’ve learned is this: Not every builder is going to right for your job. Thanks to trial, error and many years under my belt in the commercial space I’ve developed a few rules to help me always find the right building for the job, the budget and the timeline. In today’s podcast I share with you the benefit of many mistakes and much experience …

Curing Deal Breaking Due Diligence Obstacles

How to cure deal breaking due diligence obstacles you might find when you are investigating otherwise attractive commercial deals.   Sometimes a deal looks great, but when you start looking closer you find things in the due diligence that turns you off.   Sometimes these things might be red-flags telling you to move on, other time it’s can just take a little creativity to turn the deal around and make it work.   I’ve seen too many deals go sour because the buyer has not …