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  #1  
Old 09-29-2011, 10:51 PM
residentialguy's Avatar
residentialguy residentialguy is offline
 
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Default 1/2 of the lot is been chopped off!

I have an odd one on my hands. It's an old 1900 Victorian in a very nice artsy type neighborhood in Mpls. The home is amazingly well preserved and updated/upgraded. Then as I looked out the back deck, I look straight down into a parking lot of some small shops. There is a wall at the back of their property and it drops about 15' or so down to the parking lot below.

Come to find out, the lot is 125' deep and the last 55' is part of the parking lot below! Apparently this was done back in the 1950's -the store owner made a deal with the homeowners back then and dug out the back 1/2 of the lot, put up a wall and pays them $250/mo rent!

Now this is an issue. The lot is shorter...can't build a garage in back (since it has no back) but they are getting $250 month in rent, offsetting (to some extent) the lack of back yard.

They can break the rent off at anytime....but they would have to fill that area up again. Cost to cure - God only knows.

Here are some photos








Any suggestions????


.
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  #2  
Old 09-29-2011, 11:12 PM
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Proactive Proactive is online now
 
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Default

Sucks to be you.

But seriously...

Is not the lack of utility offset by the rental income, as demonstrated by the long-term rental agreement by the subject and (at least one) neighboring property?

Nah--couldn't be that easy.

Still sucks to be you.

Edit: Wait for CANative's post; he usually has a solution to these oddball situations. Greg?
  #3  
Old 09-29-2011, 11:37 PM
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Webbed Feet Webbed Feet is offline
 
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Default

Quote:
Originally Posted by residentialguy View Post


Any suggestions????


.
Reinspect after it snows ?
  #4  
Old 09-29-2011, 11:47 PM
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Default



**whacks proactive and webbed**


I was thinking along the offsetting line. Adjust for the "adverse" parking lot view. It has inferior lot utility, but is offset by the $250/mo rent.
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  #5  
Old 09-29-2011, 11:50 PM
Mejappz Mejappz is offline
 
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Default

Quote:
Originally Posted by residentialguy View Post
I have an odd one on my hands. It's an old 1900 Victorian in a very nice artsy type neighborhood in Mpls. The home is amazingly well preserved and updated/upgraded. Then as I looked out the back deck, I look straight down into a parking lot of some small shops. There is a wall at the back of their property and it drops about 15' or so down to the parking lot below.

Come to find out, the lot is 125' deep and the last 55' is part of the parking lot below! Apparently this was done back in the 1950's -the store owner made a deal with the homeowners back then and dug out the back 1/2 of the lot, put up a wall and pays them $250/mo rent!

Now this is an issue. The lot is shorter...can't build a garage in back (since it has no back) but they are getting $250 month in rent, offsetting (to some extent) the lack of back yard.

They can break the rent off at anytime....but they would have to fill that area up again. Cost to cure - God only knows.

Here are some photos








Any suggestions????


.

Yes...Runaway!! Or like Proactive said wait for CANative to come along and cook something up for you. LoL
  #6  
Old 09-30-2011, 12:09 AM
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Paul Isolda Paul Isolda is offline
 
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Default

Had a situation like that years ago. The parking use was not allowed in the residential zone. Not long after I notified the lender of the situation the deal was dead. Paid for what I had done up until then and bye, bye. No report.
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  #7  
Old 09-30-2011, 12:33 AM
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Default

30 Years
5%
$250 monthly payment
$46,764.
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  #8  
Old 09-30-2011, 07:45 AM
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Default

Is there a written rental agreement?
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  #9  
Old 09-30-2011, 08:22 AM
Dan Umstead Dan Umstead is offline
 
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It looks like the two neighboring properties may have the same situation.
Try to go back in time and analyze the subject and the 2 adjacent properties sales prices compared to unaffected properties, and determine the percentage of the effect.
  #10  
Old 09-30-2011, 08:30 AM
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Quote:
Originally Posted by Dan Umstead View Post
It looks like the two neighboring properties may have the same situation.
Try to go back in time and analyze the subject and the 2 adjacent properties sales prices compared to unaffected properties, and determine the percentage of the effect.
Yeah, already did that. No sales available.
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