Quote:
Originally Posted by ghfromaltonbay
Vacanza has scheduled a meeting with the present leasees at Sandy Point as part of their due diligence. They want to know if the present tenants are interested in continuing to lease. Will be interesting to see how the present lease amounts will increase. If they buy for $12M, how much would they need to raise rents to make it profitable?
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Well, their debt service would be about a million dollars per year. Not sure how many units there are there but that's a starting point.
I'm guessing the rents would have to be substantially increased.
I think the more important question may be how to upgrade the septic system to modern day codes. I think that would be a real issue (especially if the restaurant were to start running again).