Just bought a Bank

Hope you don't mind me friends. I was reluctant to post this initially on the PC forum, but took up enough courage to do it anyways, as it is a Key milestone in my life anyway and my true friends here, who know me from the very beginning, from the Somersoft forum and before, may well and truly appreciate the journey of a simple everyday life of an investor, entrepreneur dash battler. I am neither boastful nor have the energy for negative keyboard warriors. Am a humble man from Chennai /Madras, South of India who made Sydney Australia home in 2004 and have been investing in property since 2007.
Been in US residential investments (Detroit/Atlanta) and technically "retired from the day job" or corporate Banking IT life (which I loved anyway) after 23 years & 7 months.
(Thankfully no more reporting to meetings for meeting's sake atleast ).

And That's all there really is....

I just bought a Bank.

This is our first commercial property purchase.
24.5% ROI, with triple NNN terms on White box lease.
So I am pretty excited, and hence decided to post.
It was a bank branch until 2012.
In the main commercial street on the East side of Detroit.
It has an active Drive through ATM which is operational by Comerica bank which has a presence nationwide. And rents being paid for the ATM currently.
During the GFC crisis between 2008 - 12, this branch came under the radar to close down & was sold to a Non-profit organisation, whilst still keeping the ATM active.
Comerica Bank are now interested in opening this up again. As things are picking up with investments flowing in this area, and their presence is needed in this location, and with no Comerica branches on the 5-mile radius, other banks/credit unions are keen as well on this spot.
VPD is at 20,000 as this is the main flow through the corridor - 12 minutes to downtown. 4,256 SF Retail Building space will multi-purpose usage. It is a full city block with streets on all 4 sides on the boundary to this 0.5-acre property with 45 car park spaces.
Currently has 10 Teller stations and a 350 Safe Deposit Lockers in a 10 inch Steel room.
So fully kitted out...
Positive and happy days ahead and Yes we are all in the frame, (in one of the pics atleast)

with

Tonia Williams
Greg A. Majewski
Derek Lievens
Ryan L
Maria
Joanne Edwards
Barry Corrigan
Shawn L Wakefield Sr.
Bandana Das
Verghso
Paramita Verghese
Vyshnav
Padmini
Verzell Page
Fadie
Pamela Sarro
Zee Harriday
Shonda Simms
Jason Pruitt

 

It looks very nice Gentle!
Our friends bought one in Gippsland and it was so solid!
They sold it at a profit too!
Congrats

 

Awesome

 

It's not every day you can say "I own a bank". Well done.

 

An old bank in Gippsland that re-opened?

 

Nice! Can I get a loan?

 

Of course, even the Druitt would look blue chip compared to that neighbourhood.

 

Thanks for the likes, comments,

@SeafordSunshine
@Arnel
@Westminster
@datto
@TMNT
@Pumpkin
@Rugrat
@Redwing

Much appreciated. Thank you,

Attaching the bank's 4 corner neighborhood videos here.
One can gain an understanding and perhaps an appreciation of the neighborhood/location.
It ain't pretty as Western Sydney I must admit
(where I have owned properties too in DoH suburbs - like Shalvey and Bidwill for instance).

Btw am planning on doing a Live video on Property Talk Australia.
@Eric Wu is the moderator of the FB page.
It will be a walk through video of the bank and discuss the Price/Rents/Location etc.

We still manage to secure Single family Brick homes properties from bank foreclosures/Tax auctions and Sheriff Deed sales.
Home Prices between 35,000 - 55,000 (end to end prices - all included)
Rents - $200 pwk (or 800 per month)









Let me know if more videos are required as I can shoot Live from the US...

More stuff (i.e details/photos/videos) on the website in the signature below.

 

wow, amazing Bala.

 

thank you @Eric Wu
much appreciated.

 

Nice one Bala

 

that's awesome and one for the kids I'm sure!

 

After having a look at the Detroit are my main concern is high rate of crime and vandalism.
How do you mitigate such issues?

 

Crime the cops have to take care Lol!!!!
And they are doing a decent job, much more to be done.
Crime in NYC in the 80s was high. Highest in the world perhaps as it was recorded.
Then the Property prices were 30K-40 a Unit.
Today it's a different story I guess. Same properties in the 1.5 million per unit.
So it is up to an investor's viewpoint completely.
Idyllic scenery or high crime city area. Which will provide what you want.
No straight answers for that. Lifestyle, cash flow, capital growth are the variables.
Choose any one or two, not all three! LOLLL

Vandalism, by the tenant, is not common, they know they can be charged with Felony with serious Jail time, US courts dont muck around.
Intruder Vandalism, can be checked with Board up and Alarms.
Which we do always on all our properties.

 

What are the demographics like in Detroit? Hasn't the population been declining for the last 50 years?

 

John, Google "Jerry Paffendorf" for the low down on Detroit and its demographics.

 

hmm..I'll try again.

Some of the properties listed on your site have crime info on their original listing and also sex offenders living in the area.

And crime in Detroit is spiking up against the trend



Number of Crimes 2017
Violent 13,833
Property 30,609

Crime Index


2

(100 is safest)
Safer than 2% of U.S. Cities

So what is the chance of you home being trashed by those living there, others, criminal activity, tenent being victim and how does a landlord protect their selves.

How does US insurance treat this?

What happens when a property get locked up as a crime scene?

 

Sorry but,

Can we get some Crime stats on New York City and price surge from 1982 till date as well?

The current 35 - 45K per property price in Detroit reflects and discounts the statistics above.

Let's get real here as these are not 1-2M properties.
In Lifestyle locations.
With 1-2% Yields.

They are rentals with 14-15% ROI --- Nett.
And with double-digit CG to go along. (please check the news here)

Just saying that one can see the glass half full or half empty.
Each to their own.

Because opportunity may always be hiding to some.

Not everything that counts, has been counted,
And not everything that has been counted, truly counts. - Albert Einstein


--

 

How’d the Detroit places go? I live over here