10 Steps to Starting Out Investing in Retail Properties

After you find your deal (i.e. land, existing building to remodel, value-add property) check out these steps.

1. Pay the legal costs of negotiating the purchase agreement
2. Put the property under contract
3. Put up the deposit
4. Complete the due diligence
5. Devise a plan for the property to create value
6. Prepare financial projections
7. Prepare the debt-financing package and obtain the debt financing
8. Personally guarantee the debt financing, if necessary
9. Determine the sharing arrangements between you and your partners/investors pertaining to the cash flow and appreciation.
10. Create the investment package for your presentations to your investors to entice them to invest with you.

The most important among these fundamentals is the concept that increasing Net Operating Income most often results in increased cash flow distributions as well as an increase in the value of the investment.
Single-property investments is high-risk/high-reward that can be gained through expert knowledge and skill.

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Mitchell Blosky • (312) 802-5454 • [email protected]