But I don't sell SFRs!

A little while ago, an Owner/Seller ("Client") asked me to help him sell his rented houses.

Well, I am NOT a Realtor and I am NOT a member of the local MLS.

But, that didn't deter him from insisting I try to get him +$2.1 Million for his 12 rented homes.

Well, if it's a portfolio, I will give it a try.

Here are the 11 SFRs and 1 Condo For Sale.  They are all 100% Occupied!

1189 BALZAR                        $160,000

1392 HART                             $165,000

1913 WILD JAN                     $195,000

2060 LA SALLE                     $139,000

2160 CLANCY                       $167,000

4019 ASANTE COVE            $205,000

4420 SHALIMAR                   $145,000

4562 BABY BIRD                  $220,000

4604 VAN BUREN                 $207,000

4608 VAN BUREN                 $216,000

5151 PARADISE VALLEY    $188,000

7078 BURCOT                       $125,000

Anyway, that's the list of properties.
To buy them all at once, it is: $2,132,000.

If interested:

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Truth from another Point of View!

Recently, an agent tried to get me to sign an agreement to pay his firm 2.5% of a sale purchase agreement.

Okay, normally, when you purchase a property, the Seller pays a "marketing fee" and that fee is usually split between the procuring broker and the listing broker.

In this transaction, I am the listing broker.

It has to do with five multi-family properties I have listed.

The agent sent me a form to sign that would have held me and my company liable for commission even though there was no buyer mentioned in the form.

Now, having the experience I have in my near 28 year real estate career, I have only run across this scenario once before.

It's a backhanded way of stealing commission from a broker.

You see, if I signed this form, this agent could in turn claim a commission if I sold the property to a buyer NOT affiliated with the agent -- even without this agent involved -- the form states that I would owe them part of the commission.

Not going to happen.

I work too hard for the little money I earn.

Anyway, the agent called me.  I politely took the call.  And, he began to invalidate and bully me because of my steadfast refusal to believe his truth from another point of view!

His bullying included insults for not seeing this his way of trying to earn a procuring commission by stealing.

I told him that this call was over and I hung up.  I even blocked his number.

Anyway, who needs this attitude.

This guy is an idiot!  Fortunately, I am smarter than the average bear to NOT be stupid in signing  away a commission to an agent who comes across as sleazy.

I proceeded to persuade another buyer to make an offer.

We'll see what happens.

=)


To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

He has $60 Billion in the bank!

So, I wished this to be true!

Unfortunately, as a skeptic of agents (or Buyers) or even investment advisers who attempt to persuade me that they, or their clients, are wealthy, I do what I can do to verify -- or, dispel -- such claims.

Recently, I asked this contact at a resort casino/hotel whether or not, they would sell one of their large Resort properties, which is rumored to be for sale -- was true or not.

It is true.

Great! Because, I was working with a middle eastern businessman/hotelier who had an interest in acquiring a Las Vegas resort.

But, Don's racist presidency killed any chance of them moving forward to invest at that time.

Oh, well, I will find someone else.

Anyway, another investment company I have worked with in the past referred me to a third investment company who claimed they had a buyer for a Las Vegas Resort Property.

Ok.  Prove it to me.

After assembling the Buyer pays me paperwork, a get a confirmation letter and a bank statement from this investment company which they claim is the buyer's true net worth.
Well, I give it to my retired gaming business partner friend.  He says, it looks good, but why don't you call the bank to see if it is real?

Oh!  Good idea!

I proceed to email the two forms to the bank, hoping beyond hope that what I was given is real.
Two days later, I get the bank's reply.

Thank you for your e-mail of 2 February regarding the Bank Confirmation Letter and Statement. After checking with our department concerned, I would like to confirm you that the letters you attached on the e-mails are not genuine or issued by our bank.

Son of a B**h!

I hope you know how I felt.

There are too many persons in the world who want to be involved in a fraud.  I am so glad to have done what I did to prevent me from damaging my reputation by a want to be criminal trying to pose as a high wealth individual.

All I can say is good riddance to this agent/investment adviser. Never again.

Lastly, I don't need anyone to waste my time, I am perfectly capable of doing that on my own.

At this point, I can honestly say, Lesson was learned and I am glad to have followed the advice to check the information myself.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

SOLD!!! ...okay, it's just in escrow.

Finally, after nearly 12 months of haranguing, negotiating and cajoling, I was finally able to open escrow on the four Downtown Properties I listed early last year.

Now, I didn't get the owner as much as I thought I would.  But, the Buyer, from California, understands the operation of low-income motels and apartments.

AND, while I was in Downtown Las Vegas, I stop by another owner's property to check on the condition the property condition is in.

(Yes.  He bought these low income motels and is dead set on converting them into studio apartments.)

Okay, I can still help!

BTW: I also have listed five multi-family plex properties for sale as a portfolio in Downtown Las Vegas, too!

These will only set you back $1.5 Million!

But, they Gross in rent $14,000 per month.

Send me an email for details!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

"Just hope he's cool with Mexicans"

While texting a manager at one of my listings, to set up a showing, the manager texted me back that the manager: "Just hope he's (the Buyer) cool with Mexicans."

At first I was surprised by this remark.

Then, after thinking about it for a while; and, being constantly being reminded about the Twitter Washington stand off with high school white kids and the Indian Vietnam Veteran, I realized what he meant.

As a Real Estate Broker, I learned early in my real estate career, and in life, that you need to treat everyone with respect and admiration.

If you are one political party, don't let a political discussion with any client get in the way at all.

Yet, since I haven't ever been discriminated against, to me discriminating or invalidating some one isn't something I care to do. (At least I don't think I ever have been discriminated against.)

I value my time, effort and knowledge to the point that discriminating against anyone, to me, is to lose money.

The first Real Estate Broker I learned real estate from once said, the only thing you should care about as a real estate professional is how much money your client can qualify for.

To me, I look at people/clients I deal with NOT as what their skin color is; but, rather, how much worth do they have for me to provide them with my services.

Even though I am NOT a Realtor, I still value the Realtor HUD commitment.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Rain, Rain, Go Away! Wait, we need the rain....

Rain in Las Vegas is a rare occasion.

Yet, recently, Nathan Tannenbaum, of Channel 8, reported that Las Vegas has had more rain this year than Portland, OR.

Ok!

Since we've had a lot of rain recently, I'll go with it.

But, that's not the only thing that is raining.

Since it is very early in the process, I can only tease you until the paperwork is signed, sealed and delivered.

Stay tuned!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Dancing! Dancing! Dancing!

Yes!

I seem to do a lot of dancing.

Not any particular form of dancing.  It's more as if I do a lot of dancing around.

I suppose I could call it the Soft Shoe, or Jazz, or (since I live and work in Las Vegas) Line Dancing? If that's a real form of dancing.

Anyway, it's definitely NOT ballroom dancing -- though I do dance at my desk while marketing Las Vegas properties!

The latest is all of the activity I've had on the three motels and the studio apartment portfolio I have listed.

Since the Seller has given me his 2017 PLS, more potential Buyers have shown an interest in this portfolio.

Yet, I get the feeling that even though the Seller's selling price is in the Buyer's favor, they want an even better price.

Oh, well.  I suppose I should be appreciative the amount of calories that dancing burns off!

Back to more dancing.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

HAPPY NEW YEAR FROM LAS VEGAS!

HAPPY NEW YEAR 2019!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

...and to all a Good Night!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

It's a tear down!

To the average tourist, walking into a Las Vegas Resort Casino is usually a wonder.

How did they build this?  It's amazing how such structures are even conceived.  Etc, etc.

Yet, when a bank forecloses on a property; OR, an owner tries to cut cost by ignoring simple maintenance issues because the owners are (desperately) trying to maximize their capital investment, they will do the usual paint and carpet to try and hide the simple problems that slowly erode the property to the extend that this erosion effects the property's mechanical systems and so forth to the point of decay thus effecting the buildings structural integrity.

Okay, this just means that the lack pf preventive maintenance has eroded the property and thus are no longer able to supply comfort to the tourist staying at the properties.

Such is the case at two well known Las Vegas Resorts.

Yet, the companies that own these properties currently, want top dollar for them.

Recently, I had the privilege to meet with a long time, very experienced casino-hotel operator who has his own opinion about both properties.

His reaction after viewing the properties was surprising, yet not surprising.  He referred to both as, "It's a tear down!"

He stated that the only value they have left is in the land.

And, after touring the properties, I am in agreement.

What is that old saying?  If you put lipstick on a pig, it's still a pig? That applies here.

Sure, the owners want as much as possible to be rid of these problem properties they have continued to throw money at.  But from the very beginning, the fact they they continued to throw money at them was in reality wasting money. (They should have known better.)

If you want to know which properties I am referring to, email me your contact information, I will send you my Non Circumvent, Confidentiality Agreement, then we will continue this discussion.

Happy Holidays!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Las Vegas Resort Properties For Sale!

It is a notch in your belt.
It is something you will talk about forever.

Selling a Las Vegas Resort is considered a pinnacle of a real estate career.

But, most will never accomplish this for one reason.
They don't understand the Las Vegas market.

In order to acquire a Las Vegas Resort, Buyers MUST compensate the real estate broker.

It's simply because the Seller, which in a normal real estate transaction usually does, won't when it comes to such a big ticket item.

So, just FYI: when it comes to a sale of a Las Vegas Resort, the Buyer must compensate the broker.

Why?

Because the Seller's corporate attorneys will handle the paperwork - thus handle the entire transaction.

They do this because it is big money to their firms and to them.
They don't want an outsider (a Broker) interfering in their transaction.

It's a sad state for us Brokers, but that's the way it is.

If you want my help in acquiring a Nevada Resort, Casino or Hotel Casino, email me for my 'retainer' form. Once received, fill it out, sign it, email it back then will I proceed to help you acquire a casino type of property.

If you are a qualified Buyer...

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Where Nevada Ranks in Best-Worst States for Women

At least Nevada isn't Louisiana! OR, Arkansas! Or Mississippi!

But at 44 out of 50, that's still horrible.

Maybe Senators Catherine Cortez Masto and incoming Senator Jacky Rosen can have some effective change on this.

44. Nevada
Total score: 44.22
Ranking for women’s economic and social well-being: 39th
Ranking for women’s health and safety: 50th

Nevada scored poorly in two categories relating to women’s quality of life. It came in third from the bottom for women without insurance, and it’s tied with three other states for having the highest rate of women killed by homicides.

For your own perusal of the story, click this link. Best Worst States for Women

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

United States Land Use News Story

This Bloomberg news story on the use of US Land was interesting.

OK.

Maybe it's only interesting to me.  But, I learned something by reading it.

Maybe you will, too!

Please enjoy.

2018 US Land Use

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

The constant state of receiving Low-Ball Offers!

Recently, I've been trying to sell a property that is producing a steady monthly net income.
It's NOT for everyone.  It will require some work from the Buyer once they are situated as the New Owner in order to keep this property income solid.

The Property in question is priced so that a qualified Buyer can, and will, be able to make the necessary improvements to keep the property's income flowing in on a monthly basis.

Yet, for some strange reason, Buyers continue to make less than admirable offers.
(Yes, that's a nice way of referring to those offers as Low-Ball.)

And, when you are dealing with a procuring agent who insists their Buyer's offer is above value because of the state of the property, it makes me wonder why I am even dealing with that agent.

You see, if the Seller was going to accept a Low-Ball Offer, I would have Sold the property already -- by myself -- with one of the thousand (it seems) of Buyers who "Have the ability to acquire these types of properties and turn them around," who I already have their contact information in my Outlook Contacts!

And, why would I want to split a Low-Ball Offer commission with an agent representing a Low-Ball Buyer when I can do that myself -- without their help?

Sigh!

So, I contact my Seller, tell him my concern, he authorizes me to turn down all Low-Ball Offers below a set price; and wants me to try to find a better type of Buyer.  OR, at least, a Low-Ball Buyer who offers more than the current one.

Good thing I love working Real Estate!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Look! A Four Property Portfolio Available at a 9% Cap Rate!

DON'T LOOK AWAY!

If you do, this four property portfolio will be gone!

The Owner is willing to sell at a 9% Cap Rate!

Three Motels that have been renovated; AND, a 42 unit Studio Apartment Building that needs renovation.

Altogether, there are 139 units for sale at $12 Million!

OR, on a Cap Rate basis, that's a 9.1% Cap Rate!

And based on the 2017 PLS, this portfolio is worth +/-$14 Million!

In this market, that's what is called a STEAL!

30 Units

15 Units

52 Units

42 Units

If you are a qualified Buyer, and you want to take advantage of this Steal of a Deal...

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 0 1 9 3 8 8
AND Please #Follow David on Twitter: @DavidAHowes
Have a nice day!

The Alpine Motel Apartments!

Alright, it's a misnomer.

It's actually 42 Studio Apartments of which 34 have a Kitchenette (or Kitchen Area).

Plus each unit has a full tub shower bath!

AND, it could be yours for the reasonable price of $2.8 Million.

And, because the net income is $20,930 PER MONTH!, that's a 9% Cap Rate to you!
The property does need renovating. But at $2.8 Million, there is room to make changes.

Interested?

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

The Lucky Dragon Should have never been built!

There are Good Ideas; and there are Bad Ideas.

The Lucky Dragon was a Bad Idea.

Sure, a resort casino dedicated to the Asian Gambler was a Good Idea  -- at concept.
However, a resort casino dedicated to just the Asian Gambler is a Bad Idea -- at the end result.

My take is, you don't build a tourist attraction anywhere near the 'edge of sketchy,' as one investor I was dealing with called it.
But, that's exactly where they built this property.

The neighborhood to the north is well known as The Naked City.  It's a collection of 6 to 10 unit low income apartments which have always had a difficult time maintaining tenants simply because they only attract the low income minimum wage workers who can barely afford their monthly rents.

(I know several owners of properties in this area.  They constantly complain about the lack of qualified renters. One, I know, had let his 8 unit apartment property go into foreclosure only to re-acquire it post Trustee Sale for less than half what he owed.)

Oh, well.  But, as this news story tries to explain, the bank thinks this location will be successful some day.  I think they are being overtly optimistic.

Have a read for yourself to see if you agree with me: Lucky Dragon

Since most of the hotel rooms were never used, I think a major re-tool as a locals casino is more in line than as an Asian Gambling Resort.  But, I think it's days as a major Asian Resort are long gone.

That's just my two cents.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

How much are your fees?

Yesterday, I saw a posting from a lender blog that stated For Sale By Owner (FSBO) is a good source for originating new loans.

Now, in their blog the author was stating that FSBO's are cost sensitive; and, they are a good market for loan originators to solicit business from because they can refer you potential buyers for you to qualify.

Okay.  This is NOT an original idea.  Twenty plus years ago when I was still working real estate by doing homes and loans, I did this.

As a loan originator, I'd approach a FSBO with the slant that I will qualify ALL of their potential Buyers that needed financing for free!  I worked this angle for a few years -- until I realized that all of the potential Buyers they were referring were NOT qualified to borrow anything -- let alone money to buy a house.

Now, years before, when I first started out in the real estate business working for Mike Sitren, he once told me that, "if a seller, buyer or agent is worried about their cost in fees, they're seeking a kick-back.

Huh?

I was surprised to hear this given I had been to several real estate brokerages and heard this a lot.
One brokerage sales manager even sat me down in his office and point blank told me that unless I paid him 1/2 point per loan, I'd never get any loans from his office.  (Illegal? Yes!)  But, he didn't care.

So, when I recently heard a seller tell me that my fee must be obtained from the Buyer, I keep thinking this thought in mind.

Since the world knows the seller pays the marketing fees for selling their property when they are selling, it is just surprising to learn that a recently listed for sale Las Vegas Resort casino owner told me that I would have to get my fee from the buyer. 

You know what crossed my mind upon hearing that line.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

The incredible shrinkage of Las Vegas M-1 Land!

For about two maybe three weeks now, I have been conversing with a Las Vegas Land Owner (Client).

During this time, this Client has educated me on some particulars about being a Las Vegas Industrial (M-1) Land Owner.

This very intelligent man owns a large trucking company located in Las Vegas.  During the housing boom of the last 30 years, the Client was one of the largest supplier of trucks to developers so that they could haul/transport building materials, equipment, dirt and debris in and around the Las Vegas Valley as they moved dirt and built real estate.

To see the Client on the street, you'd think him a poor, old man.  That's the way he likes it.

Anyway, he has a decision to make and it's about two of his "yard space" parcels he owns in the southwest of Las Vegas.

He wants to sell his property to a neighbor -- who is even a larger land owner in Las Vegas than my Client -- but he knows this other Owner is trying to low-ball him.  And, this other Owner has already bought, or is buying up, the properties around my Client to kind of force Client to sell to the other Owner at the other Owner's price.

My Client knows that the other Owner has plans for a very, very large rail served warehouse, marshaling yard in the area. 

Now, with the limit of M-1 Land in this area, my client is willing to sell to the other Owner; it's the price that's the sticky situation.

My Client just doesn't want to be taken; NOR, does he want to stop the development.

You see his dilemma?

This is why we met yesterday for lunch: to strategize a selling procedure in which we hope will be beneficial to all parties.

Hopefully, in the next 7 to 10 days, we will have a sale.

In the meantime, if you have any Las Vegas CRE related questions, contact me.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Underwriting says the property won't pencil out!

The headline of today's post is a lie!

It's what California investors have been telling me about one of my Downtown Las Vegas listings that's for sale at $2.8 Million. That's the Owner's selling price.  And, I agreed he shouldn't sell it for any less.

But, a lot of the California Investors that have approached me on this studio apartment building just want to steal.

They are retreating from California because the prices are way, way too high there.  So, they are crawling into Las Vegas trying their best to steal a property.

Now, some have been doing this for years and years.

Others, are new to this market.

But, when I tell them about the benefits to buying at a 9.9% Cap Rate and that area rents are slowly increasing, they take the information under advisement and then -- a few days later -- they give me the phony excuse.

The Alpine Motel Apartments Downtown Las Vegas, NV

(And the parking lot is part of this parcel.)

Yes, the property needs remodeling.  Paint and carpet has a cost but NOT a $1 Million dollars worth of cost.  Besides, the already renovated 27 unit apartment property one parcel north SOLD for +/-$87,000 per unit six months ago!

These investors seem to like wasting my time.

If I had $2.8 Million, I would have acquired the property already.  But, I'm short in that area.

And, no I'm NOT going to play the lottery even if it's more than $1 Billion.

Too many dumb people play just to make one dumb person rich.

So, I will continue on with my marketing.
There is a buyer out their looking for a fixer upper who doesn't mind earning +/-$21,000 per month!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Operating Brothel For Sale!

This morning, I received this via email.

I've never sold a brothel even though they are legal in Nevada.

I just had to blog this so you understand that when it comes to real estate, a business can be included in the sale -- which this business sale includes the real estate!

Operating Brothel - Owner will finance

Located in Northern, NV 

Asking Price:       $2,000,000

Cash Flow:           $245,772

Gross Revenue:             $469,444

EBITDA:                       $245,772

Real Estate:                  $440,000

Business Description

Rare opportunity to purchase a Licensed Brothel. Seller Financing.

One of the last truly cash businesses available. Legal, operating, turn-key Brothel. Management in place and Seller will provide training. Limited competition located at the intersection of 2 major highways. Seller financing to a qualified buyer. Real estate included. Rare opportunity – these licenses rarely transfer to new owners!

---

Detailed Information

Inventory:                 Included in asking price

Real Estate:             Owned Included in asking price

Building SF:             6,590

Employees:              4

Facilities:                  6590 square feet, new roof. Real estate assessed at $436,229

Competition:            Very difficult to get into this business. Licenses are limited and none      are available in this area at this time.

Financing:                with $450 K Down

Support & Training:          Seller will train new buyer. Management is also in place

Reason for Selling:            Retiring

If interested in owning/operating a brothel...

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Unemployment is DOWN! Under employment is UP!

Unemployment is at such a low, low number.
This is great news!

But, as my PhD in Economics uncle once said while bragging, 'The economy is doing great! More people are back to work and off unemployment lines.'

To which my Mom replied to her brother, 'That is great news! Now, if only they had found equal work to what they were doing before they were laid off!'

Such is the case today.

Unemployment is down.  Workers have run the fixed time that they can collect unemployment. (Which is six months.)
But, have those people truly found work?

OR, did their unemployment time just run out on them.  And, since they are no longer collecting unemployment checks, have they truly found a job?

You see, historically once your unemployment runs it's course, the government considers you have have been re-employed -- whether you truly are or not.

But, in truth, most probably did find a new job.  They probably did become re-employed.
But, that new job most probably came with a drastic pay cut.

To go from earning $40,000 per year to earning $16,000 may be considered re-employment, but that doesn't cover the bills.

If these former unemployment collecting workers did find work, it was that they had to settle for a job that pays much, much less then what they were earning.

That's IF they actually did find work!

So, until I see a more comprehensive study on this matter, I'll keep my excitement for the re-employed to myself -- for now.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

LAND! HO!

Since I live and work in the Southern Nevada Desert, this doesn't make much sense.

But, my ancestral line runs smack through east coast whalers who captained the ships on those long ago whale hunts.

But, as I live and breath dusty desert air, I do find myself helping land owners to sell their land.

This one particular parcel is actually two parcels that are very close to each other.

A 7.89 Acre parcel and a 5 Gross Acre parcel.  Each has water, power and telephone service to their sites.  Each is on Septic Tanks.

Anyway, the Seller's asking price was $12.18 PSF.  We immediately received an offer at $13 PSF.

I strongly suggested to the Seller "Take It!"

He did.

The property details are it is M-1 Land with outside storage.  Most of the land in this area is ground leased to contractors.  These particular parcels generate more than $10,000 per month in gross rent.

The Owner is a local business man who owns a large local trucking company.

I think he's done well for himself through the years.

Still, you blog readers can do the same if you give yourself time and effort.

You just need to begin.

And, you begin by contacting me to see where your starting point is.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Sports Loving Investors! A Las Vegas Sports Bar For Sale at +/-6% Cap Rate!

With Football back in full swing, I'm hoping for a tremendous Football Season!

Okay, I'm a Patriots Fan and they forgot to show up against Detroit!
(I guess they wanted Matt Patricia to win so badly, they gave him the game?!)

Ouch!
Sorry, Lions fans!

With that said, there are fabulous opportunities for the right Sports Loving enthusiast to acquire a perfect Net Leased Investment Property where local Las Vegans go to wet their whistles and make friendly wagers on the games right inside of the bar!

That's right!  These Sports Bars are now licensed to have a sports wagering kiosk that can accept wagers on the game right at the bar location without having to go to a major resort to place a bet at a sports book!

And, these are located in these particular sports bars because of the credibility of the Tenant which is a National Credit Tenant who -- at this particular location -- is on the hook for at least 13 more years with a Corporate Guarantee!

So, if you are interested in a long term Net Lease Investment, this is the property to acquire!

Not only does this property have 13 years remaining on the initial lease term, the tenant is paying a 2.5% increase per year (which doesn't happen anymore for this tenant), and for the options, the rent increase is 3%!

AND, for a long, long time, I have blogged about these types of properties because I feel that these NET LEASED INVESTMENTS! are the best to have and hold long term.

The Tenant at this location pays for the building maintenance, the building's Real Estate Taxes, and Insurance on top of their  $202,000+/- annual rent!

So, if you have been searching for a long term single tenant NNN Investment, this is for you!

Don't wait!  Email me right away so you do NOT swing and miss on this too good of an investment opportunity!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

RIP, Tiah Brooks!

Way back in 1998 when I decided to stop selling/financing homes and to get into Commercial Real Estate (CRE), I met a nice, professional woman by the name of Tiah Brooks.

She was an enthusiastic title representative, a mom and a wife! (This is the order that I knew her.  It's NOT the order that others knew her. I hope you get the drift!)

She helped me through several escrows, and she was instrumental in making sure I continued to think First American Title when any CRE sales popped up on my CRE schedule.

Anyway, the last time a saw her was a while ago.  Her daughter was attending University of Nevada Reno and she was going to make a journey up to see her.  She never let on that she was sick or just how sick she was.

This past week, I just found out, Tiah passed away.  Apparently she had been very sick and she only allowed a few people to know just how sick she truly was.

RIP, Tiah!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Here Come The California License Plates!

Full Disclosure!

I am guilty of this!

Years & Years ago, I grew tired of the hustle & bustle of Massachusetts!

Longing for a change, I broke up with my then Girlfriend, packed my things and moved to California!

At that time, I had always wanted to go to LA.  The warmer climate suited me.

While there, I worked a variety of jobs, some on Film/TV sets, and I met my wife/life partner.

Recently, we were discussing the heavier than usual traffic in and around our Las Vegas neighborhood.  I mentioned that I am seeing a lot more California license plates on various vehicles and she reaffirmed this.

She added, "Their driving is atrocious!"

Bemused, I agreed.

Lately, for some reason, there seems to be a lot more California license plates on vehicles driving around Las Vegas.

I don't know the reason.
I don't have any statistics that would confirm this observation or not.
I have NOT discussed this with anyone else, so this is just my opinion.

Now, I don't care if there are more Californians moving to Las Vegas.
(I'm guilty of this when we moved out of overcrowded Los Angeles in 1991.)

I take it in the ensuing years, things have just gotten more crowded in Southern California.

I try my best to NOT go there unless it is absolutely, impossible to NOT go.

Lately, I've succeeded in staying away.

And, I do receive a lot of up calls from real estate investors considering acquiring a Las Vegas property -- which is okay with me.  If you have cash, give me a call! I will find a suitable CRE property for you!

Will this trend continue?
I hope so.

In my profession, I really don't care where buyers or sellers hail from -- as long as they are qualified!

If qualified,

Contact David Howes at: davidATdavidhowesDOTnet
OR; 7 0 2 5 0 1 9 3 8 8
AND Please #Follow David on Twitter: @DavidAHowes
Have a nice day!

Passive, Net Leased, Freestanding Real Estate Investment Income UPDATE!

With the recent news of Actors/Entertainers working day jobs, I think this should bring into focus just how volatile your work income could be.

Actors/Entertainers will work on a single project for maybe a few days to a few months.  If they are lucky enough to work on a popular TV Show or in a Hit Film, or even if they sing/write a hit song, they will have a steady flow of residual income for a particular period of time post the end of that project.

However, most end up working a "Regular Job" to make ends meet.

And, there is nothing wrong with that!

However, what is wrong is the lack of investing in income sustaining investments -- whether stocks, bonds or in my expertise, Commercial Real Estate (CRE).

The wife recently made me realize that in the blog readers everyday life, if you are NOT experienced in Real Estate, when someone like me comes along and I refer to Real Estate investing in terms such as: "Passive" or "NNN" or "Net Leased Property," you might conjure up an image of troublesome tenants who you will have to hunt down to collect your monthly rents.

Then again, I am NOT trying to point you in the direction of becoming heavily involved in property management.  My intention is to help you -- if you are a novice when it comes to real estate investing -- to become more educated and to better understand this lucrative world with as little anxiety for or against property management concerns as possible.

And, a "Triple Net" or "NNN" property is that type of venue for you.  These types of real estate investments are the most popular type of real estate ownership.  AND, even experienced real estate investors looking for a better than average Wall Street type of investment product, will acquire these types of property simply because of their better than normal Return On Investment (ROI).  Unfortunately, most normal people do NOT understand this because these properties are the last thing you would think about when you think about real estate.

Summerlin Area Map

So, you see, as an owner of a "Net Leased Property" that has a Credit Tenant under a "Triple Net Leased" property, you simple collect rent.  Your monthly or quarterly responsibility is to cash the Tenant's rent check.   (Well, with direct deposit, it is checking to see if it was deposited.)

Another advantage is that even without a mortgage loan secured by a Note and Trust Deed, you still gain an the equity of the property for the time you own the property.  And, the Tenant in a "Net Leased" Property is (usually) responsible to pay ALL of the expenses associated with the property.  That means, your property's Real Estate Taxes, Insurance and Common Area Maintenance (CAM) are paid by the Tenant.  AND, you will receive (in most NNN Leases) an annual increase in the Tenant's Monthly Rent.  So, as you can see, the longer the tenant stays either through their initial lease or through their options or extensions, their annual rent usually goes up and they will cover your property ownership cost as well.

Sure, in the last few years, we have seen a decrease in real estate values.  Monthly rents have decreased as well.  And, as Tenants have gone out of business and moved out, it was because Tenants could no longer afford the rent because their business has suffered dramatically from the collapse of the housing financing market.  But, the properties mostly hurt in the Commercial Real Estate (CRE) realm were Multi-Tenant properties, such as: Business Parks, Shopping Centers and Professional Offices.

So, for properties that are free of the property management hassle, a freestanding NNN passive, investment property is the way to go.  Thus, the current higher than normal demand for these properties has driven the acquisition price higher.  Thus, lowering the Cap Rates.  And, thus -- just like the rest of the US, Las Vegas Cap Rates for these properties is heading down -- which means acquiring a 9% Cap Rate property is far and few between.  In other words very, very few remain unsold.

So, be brave.  John Wayne made his fortune in Orange County Real Estate development.  Why do you think Orange County named their airport after him.  And, Wayne Rogers from the early M*A*S*H! fame, quit TV because Real Estate even back in the 1970's was making him more money than TV.

And those of you currently earning a majority of your income from TV Royalties, you will soon learn the fate that Alan Alda learned as M*A*S*H! grew old in syndication.  The show quickly lost appeal as the show grew older.  And, this makes the TV Show less valuable.  Thus, Alan Alda earned less and less as the show grew older.

And, even IF you want some of the rent income to go toward charity or just to pay your monthly household expenses, a steady income from a Net Leased property allows you that opportunity.

So, give me a call.  Let's discuss this further.  Once you have seen the light of a regular monthly income, you will NOT want to go back to business as usual.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

My 89 Year Old Mom Fell and Broke Her Ribs!

OK, something personal this time around.

My Mom turned 89 this past May.

She still lives alone and was laundering her sheets when she tripped and fell on them while remaking her bed.

Now, us siblings have long said she needs someone to live with her.

One of my younger brothers has been, but he also has a full time job, and can't be there full time.

So, another younger brother suggested we get her an "assistant."  I reminded the siblings that, that will never work because Mom wants to remain independent.

(If your Mom is like my Mom, you understand.)

(Just to clarify, I have four brothers and three sisters.  BTW: the Irish Catholic rhythm method doesn't work.)

Anyway, last week my sister, Susan, texted that Mom was in the hospital because she fell while making her bed.

My brother, Thomas, confirmed later that Mom broke 5 ribs but they weren't displaced.  I guess that is the "Good News!"

The wife & I decided to send a 'Get Well' gift to my Mom.

As of Monday, my Mom was home and resting.

Since she lives in Massachusetts and we live in Las Vegas, there's probably a field trip over the holidays to visit her.

Hey!

Your Mom is your Mom regardless of your ages!

Get Well, Mom!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

The First to $2.8 Million gets the Property!

For about 8 months now, I've been trying to get a listing that I have in Downtown Las Vegas SOLD!

It's been a rough 8 months but when I finally convinced the owner to drop his price to an 8.5% Cap Rate, "things" started moving.

Very recently (I mean this past week) I have had a lot of inquiries about the property.  I think it's because of the reduced price.

But, something else is brewing -- as far as I can tell.

One of the inquiries to purchase this 42 unit Studio Apartment property was The Downtown Project located right here in Las Vegas.

They came by, did their inspection and then decided to pass. (I guess Tony has gotten smart about buying Downtown Properties.)

Then, a procession of investors came inquiring and all of a sudden, a national Computer software company is interested.

Wow! Was my immediate thought.

Anyway, if any of you blog readers have $2.8 Million and are the first to successfully negotiate a purchase agreement, you will rule.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Don't You Wish You Had!

This past Saturday, I was roped into helping my Son and his Finance move some items to and fro to make room in their 2 bedroom 2 bath condo.
(They have a lot of stuff!)

They had to rent a U Haul truck for the occasion.

After it was over and we were returning the truck, I went to use the rest room.

Inside, I found these prints of an old, old Las Vegas from years and years ago.
(I didn't see any particular date as to when these were taken.)

But, as you can see, these are from a time when there was a lot of open space in and around the "Major Casinos."

And, in the background, there is even more land spread out as far as you can see.
And, it was all undeveloped.

But, who knew?

Who knew Las Vegas Land would be so extensive and spread out and most likely even back then: Expensive!

Now, I know a few people who did buy and sell land in Las Vegas back then and still do so on a smaller scale today.  And, through the years, they would developed some and rent them out.  And, during that time, they made millions!

Which brings me to my point.

There is a large parcel of land that could be developed either as a casino or retail and it sits in an area which indicates it should already be developed.

And, it is for sale for the right price.

Interested?

Contact David Howes AT: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8
AND Please #Follow David on Twitter: @DavidAHowes
Have a nice day!

"We need your expertise!"

Late last week, I received a call from an "Investor" who called me because he was waiting for a resort property to recommend an agent to him that could help him buy their resort property.  Since he was impatient, he found me and gave me a call.

OK, not a bad situation on the outside looking in.

Yet, he admitted that he had already made an offer for a 'Strip' resort property and wanted my expertise to tell him whether or not the price the resort wanted to sell was too much.

He felt it was way too high.

Now, in the past I've received calls like this and they all turned out to be fake buyers.

But, this Investor claimed he had already contacted the resort directly, then called me to get advice on whether the resort was asking too much?  I sensed I was talking to a rookie.

Anyway, he wanted to meet today in Las Vegas to discuss his situation.

Since he already contacted the resort directly, I said, OK, but I want 1% paid by you the Buyer to help you!

He asked if I would just accept an hourly fee for giving him an opinion.

I said, 'No!'  I retorted , 'If you want my help, you pay me a commission!'

That was the deal killer for him.

Over the weekend, while out to dinner with my wife and family, I mentioned this scenario.  My wife agreed with me.  If you are an Investor/Buyer, and you want my help acquiring a Las Vegas Resort Property, you call me first!

You then, sign an agreement that if you are successful in buying a resort property, you compensate me for my time and effort.

I did ask which resort he made the offer to? He replied with something about a confidentiality agreement and couldn't disclose it.

I know this is BS!

Most resorts will NOT even accept an offer unless it is at their price and they have fully vetted you.

This Investor, after researching him via Google and another web site I've come to rely on to verify client statements, doesn't appear to be able to complete a multi-million dollar sale.
(I could be wrong, but since I've been down this path before, I'll take my chances.)

My thought first thing this morning is, 'OK, I did kick him to the curb.'

In my time here as a Real Estate Broker in Nevada, I've run into too many want-to-be casino owners barking up the wrong tree who usually end up NOT ever closing any deals at all.

I wish the Investor all the best.

Interested in a Las Vegas CRE property?

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Las Vegas "Strip" land is too expensive for me!

Years ago, I was dealing with an investor about some land on Las Vegas Blvd that sat right smack in the middle of the "Strip."

I found this picture of where the land was vacant at the time.

Las Vegas Blvd mid 1990's

It once was a helicopter pad with the Jockey Club to the north and several No Tell Motels to the south.  You can even see the former Dunes Golf Course is in the background.

Now, back then, price per acre was maybe $1 Million an acre.  The SWC of Tropicana & Las Vegas Blvd had been purchased by Mike Ensign for $60 Million for the 60 acres.
(What's there now?)

A short while later, MGM (Kirk Kerkorian) bought this parcel and developed City Center. So, you see, price for land is relative.

Currently, there is a +/-40 acre parcel for sale on Las Vegas Blvd.  One acre that was owned separately and is surrounded by this land recently sold for $7.4 Million.  To me, that makes the land surrounding it +/-$5 Million an acre(?).

Anyway, I think a Retail Mall with multiple national credit tenants could work at this site.
I don't think a full scale Las Vegas Resort would work simply because of the Airport Noise that would be 24/7 -- just as Las Vegas is.

So, if any of you are ambitious enough to create another outstanding Las Vegas Retail Mall on Las Vegas Blvd, email me for the property details.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Everyone wants to own a Las Vegas Resort Hotel Casino!

All of you.

Yes, every single person has dreamt of making millions in a single roll of the dice; or the pull of a slot machine, and on a single try.

Okay, I used to think that would happen to me. (Never has.)

So, I decided years ago, to keep my hard earned money in my pocket (OK, bank account) and never, ever gamble more than $20 dollars if and when I do go gambling at all.

(It's usually on a Mega Bucks machine and I would always bet the max of course, because otherwise, you don't win the Mega Bucks jackpot.)

But, I learned recently there is a resort property quietly for sale which will probably be sold in the next yer or so.

The problem with the property is that it is NOT earning any money.  It desperately, needs to be re-positioned -- that's the polite way of saying that in it's current state of operation, the property is going to fail before the year is out.

Anyway, No.

I will not ID the property.

If you want information on any Las Vegas Resort, you need to click on the Las Vegas Casino Information Button, print the form, fill it out, have it signed by a company signatory, scan and email back to me.

Then, once I am satisfied with your qualifications, I will begin to send you property details of what you qualify for.

If it is a Mega Resort? Great!
If it's a small, restricted gaming property?  Great!

Let's get started.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Proof Of Funds! Or, Proof Property is For Sale!

The past few weeks to more than a month have been a very stressful time.

I've know about a property that is "Off Market," yet "For Sale" according to the Owner.

BUT, when I approach the Owner about selling, he continually reminds me that he needs "Proof of Funds" (POF) so he knows whether or not the Buyer is capable of closing on the purchase of his property.

Now, this isn't just an everyday house sale.  This isn't an everyday commercial building, or apartment property in the several hundreds of thousand dollar sale.
This is a property worth +/-$25 Million.

A couple of weeks ago, I present the property to a national credit buyer and they said they'd get back to me.

OK, they need time to mull it over.  I get it.

I gave the usual spiel, blah, blah blah, Proof of Funds, etc.

Well, I just fond out that this one particular buyer has decided to pass on the property.
Everything about it fit the Buyers Acquisition Criteria -- except the Proof of Funds!

Now, this company owns about 100 properties nationwide.
They buy, develop and hold long term all of their acquisitions.  No flipping for them.

Well, I just had to know the real reason why they decided to pass.  So, I gave my contact a call.

Boy, did I get an ear full.

Apparently, the experienced buyer for this company has heard this phrase: Proof of Funds more than he wants to count.

He has come to learn that when he hears this phrase, the owner truly doesn't want to sell.

In his 30 years as a Property Buyer for this and other National Multi-Family Companies, when he is told to provide Proof of Funds, it tells him one of two things:
1.) The Seller is inexperienced
2.) The Seller doesn't truly want to sell

When I spoke to the Buyer today, he was leaning more to number 2 on this property.

In his experience, once that phrase is uttered, he turns his focus on other potential acquisitions.

I don't blame him.

If an owner is being so tight about POF, the Buyer knows it will be extremely difficult to get a property into escrow; and even more difficult to close escrow.

So, I learned something new today.  I never knew that, that phrase was the Seller's way of stating, "I don't want to sell!"  Why don't Sellers just say, I'm NOT selling?

All I can say is: "Lesson learned."

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

To Opendoor or NOT to Opendoor?

First of all, I love easy real estate transactions.  They run smoothly and there are no hassles from the details.

Second, I absolutely don't trust easy real estate transactions at all.  Having worked as a Real Estate broker for 27 years, I've learned that the easy transactions usually turn into the hardest to close in a split second.

Now, yesterday, I received a solicitation from Opendoor to have them assess my home for free to see if I'd like to sell.

Inside was this nifty letter stating that I deserved a hassle free sale on my home.

(Now, I am NOT going to investigate this any further.  I want to be fully upfront about this.  But, I am going to analyze this without investigating this.)

The reason is, I think (I could be wrong.) that I know how this works. I think this is kind of like trading a car in to a dealership that is offering to "purchase" your old car in exchange for a new one.

You see, (most) car dealerships will make an initial offer that is very, very low. (65% of Low Blue Book Value.)

And, whatever is owed (if above that value) is added on to your next vehicle's purchase loan or lease.

House Flippers -- if you have watch enough Home Improvement TV -- demonstrates how Flipper's buy low and sell high.

I think this is what is happening here.

I don't have any proof of this.  And, I'm not saying it's bad.

It's something, as a Real Estate Broker for 27 years, that I will not get involved in.

Flippers are always looking to steal a property; then, flip the property (usually after just painting and carpeting the house) for as much as a sucker (I mean, Buyer) is willing to pay.

Years ago, the first Real Estate Broker I ever worked for said: "Never buy a house that's being flipped." 

At the time, I was a novice in real estate, so I didn't understand. Many, years later, his words of wisdom still ring true.

Since I don't work in the residential real estate arena, I wish Opendoor lots of luck.

Hopefully, this isn't a means to eliminate real estate brokers completely -- which I am seeing from other real estate web sites!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Rita Suites, anyone?

About six or seven years ago, the Owner of this property was thinking of selling.  He had plans to redevelop it into the high rise condo hotel -- then, the market collapsed and you know the rest of the story.

Since then, he has had it on the market and off.

It is currently OFF the Market.  But, he will entertain offers IF there's a Purchase Agreement and Proof of Funds to close.

Okay, so he's set a hard line that must be crossed in order to make him move forward.  It doesn't mean he will NOT be reasonable about selling.

At +/-$10 Million an acre for land within the Clark County Gaming Overlay, the Owner is asking a very reasonable price.

The Rita Suites, Las Vegas, NV

If interested and have hotel/motel experience - and the funds to close a multi-million dollar property -- email me your contact information and I will reply with the property details.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Happy & Safe 4th of July!

To Everyone: Have a Happy & Safe 4th of July Holiday!

July 4th Celebration from Las Vegas, NV!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!