In partnership with
Get the deals in real time. 📲
X: @Dealsletter – live deal threads and underwriting breakdowns.
IG: @Dealsletter – screenshots, charts, and quick deal updates.
TikTok: @Dealsletter – short property tours and before/after vids.
Follow Dealsletter’s founder on X: @KdogBuilds for deal breakdowns and behind‑the‑scenes numbers.
Hello Investors,
🔥 THIS WEEK
Tampa STR Portfolio: 38.79% CoC ($3,087/mo) on $95K down, fully managed, 100% occupied
KC Independence 20-Unit: Strong 10.9% CoC ($4,849/mo) crushing Brighton's 4.4% but 60-year capex risk
Vegas Downtown 4-Unit: Solid 10.4% CoC self-managed, Unit 3 $650/mo below market = instant upside
Oakland 4-Unit: 3 vacant units create value-add but weak 6.6% CoC needs aggressive lease-up
🔥 Tampa STR Portfolio - TURNKEY 38.79% COC MONSTER
📍 3 Properties, 4 Units Total (Seminole Heights + St. Petersburg, FL)
💰 Price: $1,300,000 | Down: $95,500 (7.3%)
🏠 Mix: 2 Seminole Heights Homes + 1 St. Pete Duplex, All STR
🏦 Annual CF: $30,601 after-tax | Monthly: $3,087 | CoC: 38.79%
Key Metrics:
Critical Numbers | |
|---|---|
Total Cash Required | $95,500 |
Annual Gross Income | $192,000 ($16K/mo) |
Professional Management | 15% ($27,936/year) |
Net Operating Income | $127,304 |
Annual Cash Flow (After-Tax) | $30,601 |
Monthly Cash Flow | $3,087 ($772/unit) |
Cash-on-Cash Return | 38.79% 🔥 |
True Cap Rate | 9.79% |
NOI Margin | 68.35% |
Exceptional STR Performance: $192K annual gross ($16K monthly) from 4-unit portfolio represents $48K per unit annually versus typical $15-20K multifamily, STR premium enables extraordinary returns
100% Turnkey Operational: Fully occupied with established booking history, professional management by Investing N Florida already in place eliminating operational learning curve, no lease-up or stabilization period required
Diversified Tampa Bay Locations: 2 properties in hot Seminole Heights (walkable urban lifestyle) plus 1 in St. Petersburg (beach proximity) creating natural hedge against seasonal fluctuations and market segment shifts
Professional Management Infrastructure: 15% fee ($27,936 annually) includes guest communication, cleaning coordination, listing optimization, maintenance oversight - institutional-quality operations transferring with sale
Ultra-Low Down Payment: $95,500 cash required (7.3% down) versus typical 25% multifamily enabling $1.3M portfolio acquisition with minimal capital, remaining $1.254M financed at 6.75%
68.35% NOI Margin Excellence: After 15% management and utilities (owner-paid STR model), property still delivers near-70% margins demonstrating pricing power and operational efficiency
Immediate Value-Add Opportunities: Seminole Heights property has oversized lot with garage convertible to mother-in-law suite adding potential 5th unit, direct management option recaptures $28K annually
5-Year Wealth Trajectory: $30,601 Year 1 grows to $37,430 Year 5, cumulative 5-year cash flow $169,961 plus $87,132 principal paydown = $257,093 total return on $95,500 investment (269% ROI)
Florida Tax Advantage: No state income tax enhances after-tax returns, combined with strong tourism fundamentals and northern migration supporting both STR demand and long-term appreciation
Risk Level: MEDIUM - STR regulatory compliance required, higher turnover/wear versus LTR, seasonal demand fluctuations, but professional management and diversified locations mitigate operational risks
Recommended Strategy: STRONG BUY for investors seeking maximum cash flow with turnkey operations, 38.79% CoC unprecedented for stabilized asset, perfect for deploying capital at extraordinary returns
Wake up to better business news
Some business news reads like a lullaby.
Morning Brew is the opposite.
A free daily newsletter that breaks down what’s happening in business and culture — clearly, quickly, and with enough personality to keep things interesting.
Each morning brings a sharp, easy-to-read rundown of what matters, why it matters, and what it means to you. Plus, there’s daily brain games everyone’s playing.
Business news, minus the snooze. Read by over 4 million people every morning.
KC Independence 20-Unit - 10.9% COC BUT 60-YEAR CAPEX BOMB
📍 9930 E 36th St S, Independence, MO 64052
💰 Price: $1,900,000 ($95,000/unit)
🏠 Property: 20 Units (1BR + 2BR Mix), Built 1965, Garden-Style
🏦 Year 1 CF: $58,184/yr (10.9% CoC) | Monthly: $4,849
Key Metrics:
Critical Numbers | |
|---|---|
Down Payment (25%) | $475,000 |
Total Cash Required | $532,000 |
Estimated NOI (8.9% cap) | $169,100 |
Year 1 Cash Flow | $58,184 ($4,849/mo) |
Year 1 CoC | 10.9% ✅ |
Estimated Cap Rate | 8.9% |
Estimated Expense Ratio | 42.7% |
Debt Coverage | 1.52x |
Comparison: This vs Brighton Crossing 18-Unit:
Metric | Independence 20 | Brighton 18 | Winner |
|---|---|---|---|
Price/Unit | $95,000 | $155,556 | Independence |
Year Built | 1965 | 2020 | Brighton |
Cap Rate | 8.9% | 5.8% | Independence |
Year 1 CoC | 10.9% | 4.4% | Independence |
Cash Flow/Year | $58,184 | $34,707 | Independence |
Monthly CF/Unit | $243 | $161 | Independence |
Expense Ratio | 42.7% | 33.5% | Brighton |
Condition | Needs work | Turnkey | Brighton |
2.5X Better CoC Than Brighton: Independence delivers 10.9% versus Brighton's 4.4% on same $532-784K capital deployment demonstrating value investor strategy crushing turnkey premium pricing
Individual Meters Game-Changer: Separate gas/electric meters means tenants pay utilities saving ~$40K annually versus master-metered, creates expense ratio advantage enabling strong cash flow
39% Cheaper Per Unit: $95K/unit versus $155K Brighton represents massive value spread, same capital buys 2.1X more units creating superior economies of scale and diversification
Independence Market Reality: Working-class suburb east of Kansas City near I-70/I-435 corridors, stable blue-collar workforce, affordable $1,250 2BR rents achievable supporting pro forma income
CRITICAL Capex Risk: 60-year-old 1965 building = flat roofs ($100K+ replacement), ancient plumbing/electrical, 15-20 year old HVAC systems, windows/siding aging - budget $50-100K over 3-5 years
No Actual Financials Provided: Seller claiming 8.9% cap but no rent roll or T-12 provided, MUST verify actual current rents and expenses versus pro forma before proceeding, potential inflated stabilized numbers
42.7% Expense Ratio Concerning: Higher than Brighton's 33.5% but justified by 1965 age, could spike to 45-50% with deferred maintenance surprises, property tax reassessment risk post-sale
Value-Add Potential: If current rents $900-1,000 versus $1,250 pro forma, massive upside exists through unit renovations $8K each pushing rents $100-150/month = 22-36% ROI annually
1.52X Debt Coverage Strong: Can absorb 34% income drop before breaking even creating safety margin for economic downturns or renovation periods, significantly better than Brighton's 1.27X
Risk Level: HIGH - 60-year age creates capex time bomb, no verified financials creates uncertainty, Independence working-class location requires active management, but returns justify risk at right price
Recommended Strategy: CONDITIONAL - Offer $1,750K ($87,500/unit) pending inspection and T-12 verification, walk if actual cap below 8%, budget $50-100K capex reserves mandatory