'Value-Added' Possibilities Frequently Overlooked

"Value added's" . . . not the best grammar, but something that every property investor should consider when they are evaluating real estate for purchase. It's not just the bricks and mortar; it's not just the cash flow; it's not just the appreciation. Prospective purchasers need to look for ways to add value to a property.

It could be as simple as adding washing machines and dryers -- either coin-op in a common area or machines for each individual unit; it could be knocking down a dilapidated structure at the rear of a property, and paving it for parking -- particularly in areas where little off-street parking is available. Value-added possibilities can be found on vacant ground that is part of the property being purchased. Is the vacant area large enough to build storage units for rent? Could the ground be rented to a Christmas tree vendor in the winter months for extra income? Adding value can also come in the form of newly installed insulated windows. This saves your residents money on their utility bills, giving you another selling point for prospective renters -- and a justification for bumping rents up.

There are many, MANY more ways to add value to an investment property. But you have to think outside the box!

Referral Group BNA To Jump Into Blogosphere

A referral group to which I belong, Business Network Associates, has decided to jump into blogging to share information and educate the public about various types of businesses and solutions to everyday challenges. It is now under development and should be up in about a week. It will be called the "Business Network Advisory."

More than a dozen entrepreneurs and business professionals, whom I trust implicitly, will be talking about and answering questions from readers on a wide range of topics: financial planning and financial literacy, health and wellness, home mortages, commercial lending, business/personal travel and special events planning, information technology, human resources, personal business coaching, title insurance, and much, much more. Plus, I will weigh in occasionally on commercial and investment real estate issues. When it is up and running, I'll pass along the address!

Property Investment Management Arm of Prudential plc investing in 'Australasia'

A sister organization of ours has paired with another property fund manager to invest in properties in "Australasia." The open-ended pan-Asia Pacific fund is sponsored by Prupim, the property investment management arm of Prudential plc (Prudential UK), and LaSalle Investment Management. Their new Asia Property Fund has been stocked with five assets in Australia, Singapore, Hong Kong and Korea that are valued at US $600 million. Prupim says the fund will invest in real estate throughout the region in multiple property types and structures.

Yes this isn't Ohio investment property, but yet another look at how entities large and small exploit the power of real estate.

Dash To Open New Hotels Near Columbus, Ohio Airport Adds Embassy Suites To The Mix

A central Ohio development company plans to build an Embassy Suites hotel near Port Columbus, adding to the steady inventory of rooms in the busy airport market. Local development company Core Properties has secured a 6-acre piece of ground amid a slew of hotels off Airport Drive for the 185-room property. Core Properties owner Jeff Coopersmith said Hilton Corp., which owns the Embassy Suites brand, has approved the site.
Pending a change in zoning, Core Properties hopes to break ground on the hotel in late summer and have it open near the end of 2008.

So what is special about hotels as an investment? Because it is an investment model in real estate that can make money when it is only 60 percent occupied!

New IRS Rules on "Kiddie Tax" Could Affect Many

As you are working on your taxes for 2006, make sure you are aware of some changes to the tax code regarding the so-called "kiddie tax." This applies to certain investors large and small-- not just those who are building wealth with real estate.

Congress took something away from family pocketbooks last year, raising the age at which teens are subject to the "kiddie" tax. This is the tax on the child’s investment income that must be figured at the parent’s top rate instead of the child’s generally lower rate. Before, only those younger than 14 were subject to the higher tax; now, those under 18 are included. That change may ensnare earnings on certain college funds or savings vehicles started before taxpayer-friendly 529 college plans became widely available. Recommendation? Check with your accountant!

Our Pru CRES Operation Profiled in Magazine Cover Story

Well, it's out! The latest issue of Buy Lease Build magazine (Ohio Edition) has as its cover story a really nice piece on Prudential CRES Commercial, the business we are building in the Midwest, and details of some exciting programs that set PruCRES apart from other commercial real estate brokerages.

The story starts on Page 7. For those of you who need startled in order to get rid of hiccups or some other malady, there is a truly dreadful picture of this blog's author on the same page.

Link: Even GOD Did Evictions!

Even God did evictions!!! This is a link to a GREAT post by another author. It first showed up on the ActiveRain network. I do not know the author, but I had to pass it on. It essentially is a reminder to people who or own or manage property that is is alright to evict a tenant. You might not want to go through an eviction because its either a hassle, or you don't like change, or you feel the need to give your renter "just one more chance." No matter your religious convictions (or lack thereof), this is an entertaining read that reminds owners and property managers that its okay to do what you need to do . . . its business -- not personal.

Here is the link:
http://www.inmanwiki.com/Real-Estate/Even_GOD_Does_Evictions%21