Warrior Win

Karl Schlobohm

I am a teacher turning CRE investor and have been a warrior for 2 years. I just closed my first deal on a storage development project in north Florida last week, and just closed today on a 27-unit apartment complex in GA.




Property Details

Address: Pine Haven Apartments – Kingsland GA
Number of Units: 27
Value Add Deal? Yes
Purchase Price: $2,100,000
Estimated monthly increase projected? $50-100/unit
Anticipated value after value add: $2,900,000-3,000,000
Estimated Cash on Cash Return: Infinite – no capital raise or personal capital investment
Estimated Internal Rate of Return: Infinite – see above

Warrior team
shout outs:

Any comments about your experience so far in the Warrior Program?

I would not have made it this far this quickly without my learning and networking within the warrior group.

How did you find this property?

I called the listing agent and discovered that fellow Warrior Charlie Peters was selling.

How did you structure the financing of this property?

Charlie Peters seller-financed the property to our JV partnership.

Was this a joint venture or syndication?

Joint Venture.

How did you raise the equity?

I am gaining an equity stake in the value-add.

What was the equity raise?


What are some hurdles you had to overcome to get this deal done?

This one didn’t have too many hurdles. Previous management did a great job maintaining the property and elevating occupancy – but they were charging 12%. We just didn’t need a whole management company to cover the 27 units. The other hurdle I faced in closing deals up to this point was that I wanted to build my own equity in commercial RE before investing capital. This gave me a way to earn equity without having to put down my retirement savings.

What are some of the lessons you learned with this deal?

Network = net worth. If you’re approach is solutions-based, you will always find sellers and/or partners that are looking for solutions.

* These examples depicting income or earnings are NOT to be interpreted as common, typical, expected, or normal for an average student. Although we have numerous documented successful deals from our coaching students, we cannot track all of our students’ results, and therefore cannot provide a typical result. You should assume that the average person makes little to no money or could lose money as there is work and risk associated with investing in real estate. The students depicted have participated in Rod’s training and coaching. The participants shown are not paid for their stories.