Amazon no longer offers textbook rentals. We do!

Wealth Opportunities in Commercial Real Estate Management, Financing, and Marketing of Investment Properties

by: Grabel, Gary

Wealth Opportunities in Commercial Real Estate Management, Financing, and Marketing of Investment Properties

by: Grabel, Gary

ISBN 13:
9781118115749
ISBN 10:
1118115740
Edition: 1st
Format: Hardcover
Copyright: 10/11/2011
Publisher: Wiley

Rent From $44.63

New From $48.21

List Price $49.95 Save

Rent $44.63

TERM	PRICE	DUE
SEMESTER	$44.63	Aug 02

Added Benefits of Renting

Free Shipping Both Ways
Highlight/Take Notes Like You Own It
Purchase/Extend Before Due Date

Add to Cart

List Price $49.95 Save $1.74

New $48.21

Usually Ships in 2-3 Business Days

We Buy This Book Back!

Included with your book

Free Shipping On Every Order

Add to Cart

Note: Supplemental materials are not guaranteed with Rental or Used book purchases.

Extend or Purchase Your Rental at Any Time

Need to keep your rental past your due date? At any time before your due date you can extend or purchase your rental through your account.

Summary

Commercial real estate investing is a strong investment choice for those with the right perspective and the patience to see their investment through. It is essential to know the basics of the real estate game including how to evaluate a real estate transaction and how to create value before you buy real estate at any level. Author Gary Grabel understands that to succeed in real estate, one must take the time to learn the basics and build on the skill set to properly evaluate investment opportunities and create value. The book covers a broad range of topics from basic terminology and analysis to leasing, financing, marketing, management, structuring a partnership, real estate tax consequences, buying and selling property, and the steps needed to preserve wealth. The book sets forth a practical step-by-step process on how to acquire real estate through a real estate vehicle to build significant wealth over time.

List of Abbreviations	p. xiii
Introduction	p. xv
An Overview of the Problem, a Solution, and a Game Plan	p. 1
The Problem	p. 1
The Solution	p. 2
Four Key Elements in the Solution	p. 3
Concerns about the Solution	p. 8
Acquiring the Skill Set to End the Cycle	p. 9
A Game Plan to Achieve the Solution	p. 9
This Book Is about Center B Properties	p. 18
The Basics	p. 21
Gross Income: The Starting Point	p. 21
Vacancy and Collection Loss: Gross Income Reducers	p. 21
Operating Expenses and Net Operating Income	p. 23
Fair Market Value and Capitalization Rate: What's It Worth?	p. 24
Gross Rent Multiplier	p. 25
Value per Square Foot versus Reproduction Cost per Square Foot	p. 26
Inverse Relationship between Cap Rate and FMV	p. 29
Initial Determination of Value	p. 29
Leveraged Return and Return on Equity	p. 30
Cash Flow before Taxes (CFBT)	p. 32
Reserves/Impound Accounts	p. 32
Taxes and Insurance Impounds	p. 32
Cap X, TIs, and Leasing Commissions	p. 33
Devil in the Details: Over Simplified Analysis	p. 38
Detailed Financial Analysis	p. 41
Gross Income	p. 41
Vacancy and Collection Loss	p. 43
Operating Expenses	p. 43
Four Basic Types of Leases	p. 46
Nonrecoverable Expenses	p. 55
Time-Frame Assumptions	p. 56
Static versus Active Analysis	p. 57
Compounding	p. 58
Rent Roll	p. 59
Argus Ten-Year Discounted Cash Flow Model	p. 60
Analysis Reflecting 100 Percent Occupancy	p. 65
Reversion	p. 66
Disposition Costs	p. 66
The Time Value of Money: Present Value and Discounted Cash Flow	p. 67
Net Present Value (NPV)	p. 68
Internal Rate of Return (IRR)	p. 68
Conclusions from Argus Analysis and the Hypothetical Facts	p. 69
Analysis Reflecting a Large Vacancy after Purchase	p. 70
Analysis Reflecting a Large Vacancy with a Tenant in Tow	p. 72
Lease Analysis	p. 75
The Importance of Basic Lease Provisions	p. 75
Twelve Key Economic Ingredients in a Lease	p. 77
Frequently Negotiated Lease Provisions	p. 96
Real Estate Financing	p. 119
Sixty to Eighty Percent of the Game	p. 119
Types of Financing	p. 120
What Is the Right Answer to Debt Structuring?	p. 122
Seven Key Factors to Consider in a Real Estate Loan	p. 124
Loan Underwriting	p. 131
Cash-on-Cash Return	p. 137
The Mortgage Loan Application	p. 138
The Pitfalls of Mortgage Lending	p. 138
Negotiable Points of a Loan	p. 153
Real Estate Taxation	p. 157
Income Taxation	p. 157
Real Property Taxation	p. 163
Taxation in the Event of a Refinance	p. 164
Taxation in the Event of a Sale	p. 165
Installment Sale	p. 166
Section 1031 Exchange	p. 168
Acquisitions and Dispositions	p. 179
Focus on Specific Property Types in Specific Geographic Locations	p. 179
Establish Buying Criteria	p. 181
Acquisition Philosophy	p. 181
Governmental Impact	p. 182
Initial Screening	p. 183
The Purchase and Sale Agreement	p. 187
Building a Team	p. 199
Due Diligence	p. 199
Dispositions	p. 206
Case Studies	p. 219
Problem Number 1	p. 219
Problem Number 2	p. 230
Problem Number 3	p. 242
Problem Number 4	p. 244
Problem Number 5	p. 248
Problem Number 6	p. 255
Problem Number 7	p. 258
Development or Rehabilitation (Build to a 12 Percent Yield)	p. 269
The 10 Phases of a Construction or Rehab Project	p. 269
Assessing a Construction Project	p. 270
Developer as Conductor	p. 272
Does the Project Hit Your Minimum Yield?	p. 274
Argus Developer	p. 279
Feasibility or Market Study	p. 283
The Composition of a Feasibility Study	p. 284
Residual Land Value	p. 285
Preleasing	p. 286
Equity and Financing	p. 287
Mechanics' Liens	p. 287
Liability under the Construction Loan	p. 288
Design and Construction Drawings	p. 289
Governmental Approvals	p. 290
Covenants, Conditions, and Restrictions (CC&Rs)	p. 291
Ground Lease Restrictions	p. 292
Construction of improvements in a Ground-Up Development	p. 292
Inspections	p. 295
Insurance	p. 296
Decisions, Decisions, Decisions	p. 296
Communication, Communication, Communication	p. 298
Graphic Time Line	p. 299
Project Operating Costs	p. 302
Lender's Disbursement Form	p. 303
Change Orders	p. 303
Rehabilitation Project	p. 303
Construction of Improvements in a Rehab Project: Decisions, Decisions, Decisions	p. 311
Rehab Project: Communication, Communication, Communication	p. 311
Summary	p. 311
Marketing, Leasing, and Management	p. 313
Definition of Marketing, Leasing, and Management	p. 313
Marketing	p. 314
Leasing	p. 319
Strategy	p. 319
Management	p. 345
Management as a Business	p. 353
Conclusion	p. 354
Partnership Structuring and Deal Restructuring	p. 355
Partnership Structuring	p. 355
Securities Issues	p. 357
Fifteen Key Structuring Issues	p. 351
Debt Restructuring	p. 371
Borrower's Proposed Terms	p. 383
Lender's Counterproposal	p. 384
Keeping the Money	p. 389
Planning	p. 339
Fractional Interests	p. 396
Estate Planning Checklist	p. 400
Acknowledgments	p. 433
About the Website	p. 405
About the Author	p. 497
Index	p. 409
Table of Contents provided by Ingram. All Rights Reserved.

Amazon no longer offers textbook rentals. We do!

Wealth Opportunities in Commercial Real Estate Management, Financing, and Marketing of Investment Properties

Wealth Opportunities in Commercial Real Estate Management, Financing, and Marketing of Investment Properties

9781118115749

1118115740

Summary

Author Biography

Table of Contents

Supplemental Materials

Write a Review