Revere Street Essay

876 Words 4 Pages
(1) Complete a review of Edward Alexander's goals and assets;
(2) How did Alexander search for his property?
(3) How would you evaluate the Revere Street property? What are the risks and rewards, financials, and renovation issues;
(4) How would you evaluate Alexander's search for a mortgage?
(5) What do the numbers look like?
(6) Determination of the appropriateness of this particular property for Alexander’s personal needs. Should Alexander make this investment?
Facts and notes to consider
1. Architect still owns the building
2. Architect paid $250K and has completed an unknown, but small amount of renovation work so far. He has not invested anywhere near $150K into renovations
3. How big is the building (SF). What
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Additional financing, i.e. a “junior mortgage”, would be hard to obtain
8. If Edward did not move into the building and occupy one of the units, he would have to pay rent elsewhere
9. There is a First Mortgage already in place (Geraldine Smith – Lending Officer)
10. Those that recommended the Edward sell the units a condo’s should have done a sell-out projection

(1) Complete a review of Edward Alexander's goals and assets;
(2) How did Alexander search for his property?
(3) How would you evaluate the Revere Street property? What are the risks and rewards, financials, and renovation issues;
(4) How would you evaluate Alexander's search for a mortgage?
(5) What do the numbers look like?
(6) Determination of the appropriateness of this particular property for Alexander’s personal needs. Should Alexander make this investment?
Facts and notes to consider
1. Architect still owns the building
2. Architect paid $250K and has completed an unknown, but small amount of renovation work so far. He has not invested anywhere near $150K into renovations
3. How big is the building (SF). What are the unit sizes (SF)?
4. Edward has not signed a contract to purchase the building, so he does not own the building yet
5. What is a “General Contractor”
6. Should have obtained at least three estimates for the renovations
7. Additional financing, i.e. a “junior mortgage”, would be hard to obtain
8. If Edward did not move into the building and occupy

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