# Entrepreneur of the Week - Post Number 4 A deal that came out of nowhere and I made it, or did it actually make me?…
# Initiated week Post Number 4
A deal that came out of nowhere and did it, or did it actually make me?
I said at the end of the second post that I decided to move operations to the US because I had exhausted the opportunities in the country, but left an opening for me. My best deal came from the least expected place.
I knew Muhammad as an apartment in Kfar Saba in a building that was undergoing demolition and construction. An Israeli Arab who is married to a Palestinian Arab and lives in Qalqiliya. Mohammed was a carpenter and a carpenter in Jaljulia.
Although I was no longer engaged in urban renewal during this period, I continued to borrow projects that were in progress, and that was among them.
"How are you, sir," the phone rang, "Walla Muhammad all is well, we haven't talked for a long time. I asked. "I need to sell the apartment," he said (in the TAMA agreement, if a condo owner wants to sell, he needs a company approval that wrote a warning on the apartment). "The kids are going to study in Jordan and need money," he answered. His apartment was worth NIS 2 million, he doesn't have a mortgage and I'm sure the kids don't need that much money for school. After the project it will be worth around NIS 1.3-2.5 million. From there, I tried to prevent him from making the move because he really just wasn't worth it and I didn't even think about offering to buy myself even though it was a deal. I just didn't seem like an entrepreneur to me, or I just didn't think about it, but the important point was that during the conversation, I realized that he owned his carpentry shop in Jolja. "Maybe you sell the carpentry instead?" I suggested. "All of a sudden, it's the family's bread, if I sell, where I feed them" (and without the evil eye, children are not missing ...). "Give me the details of the property" I asked.
I did the test. The property is registered with the Administration (now RMI), has a common house policy but no taboo, and is part of a 30,000sqm industrial complex built on 18 acres. Malay Property Listing Problems! And that's exactly it - every entrepreneur knows that having problems has an opportunity! And one figure caught my eye ... "How much do you want, Muhammad?", I returned to him. "I'm not selling! It's my children's food!" Answered firmly. "Give me a price, if it suits me, you will stay there for a low rental as long as you want ..." I replied.
"No less than NIS 700,000." said. Well, not less than 200 square meters of carpentry in an area not particularly Israeli, but I continued (and even without visiting there), "If I buy the carpentry at the price you ask, you will pay me NIS 4,000 a month and make a rental agreement for -10 years. Suitable? "
"Mohammed, just one thing, you know half the roofs of the whole complex belong To your carpentry shop? "(That's how it was defined in the by-laws)." I know, I signed it. That's what the architect I brought when they made the order ... "Realize? He merely recommended a professional, and the professional apparently naively / as a gift attached the roofs of the entire eastern wing to his part, and in retrospect it turned out that all future construction rights.
I didn't have any money available for the deal. I went to the bank, took NIS 150,000 Solo for Solicitors (so it was at 0.5% interest rate) that was used as my equity. I took the mortgage after assessing the property. There are (apparently) about 20,000 square meters of building rights and the bank's appraiser valued the entire property at NIS 3 million. ) From there I got what I wanted and the deal was completed.I bought a NIS 3 property worth $ 700,000 million, without spending a dime out of my pocket!
My goal probably wasn't Muhammad's rents, though they reflected almost 7%. The goal was the roofs. The bottom line - today, all roofs are leased to a company that produces electricity (solar cells). I rented the area without self-investment (I am not the owner of the systems and I am not responsible for them in any way). The return on the property stood at 74% and actually returned the cost of the purchase long ago. It turns out that in the same year a plan to build another floor in the complex was approved. So while the roofs are leased to systems for years to come and I have no plans to build, the building rights have increasingly tripled their value. Then - I did a mortgage refinance ... How much do you think the property is valued?
Most of the money from recycling works in the US today, and we invest with our investors in each and every one of the transactions and always are first investors. ??
So, are there opportunities in the country?… Let's go back to the US.
מחר – איך כמעט נפלנו בפח, ו"מעז יצא מתוק"
מחר – איך כמעט נפלנו בפח, ו"מעז יצא מתוק"
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Tal Saadon Noam Nahum
Sounds you wanted in Muhammad's favor .. I couldn't understand from the story if you fully explained to him the pot in his property then ..
Thank you interesting
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Wow crazy
Champion
Wow, what a story 🙂. very strong
???????? Elenf
Well done
H L L U Y
Very nice!
Fascinating story. God is in the little details.
How did the whole roof become yours with just 200 square feet?
Cannon!
Elinor Taib Duanias
Noam Shlomo
Giant inhale!
Have you continued in other entrepreneurial deals in the country? Or just in the US?
Amazing ????????
Beautiful, thinking outside the box
Avihoo Yona
Shells !!
Sachtein Good deal ????
Sing-er Yosef
Inhale you champion
Ram Avraham
Ofir Shmuel
Very interesting and inspiring story My brother, inhale.
Say… Is it more profitable to rent the roof to a company that will produce electricity than to buy the system and produce it yourself?