I’m not gonna buy the stores from the original guy. I don’t wanna mislead you into thinking that its 100% my idea. The fucker never responded to the formal offer. Fuck em. Even if he replies, I’m not going to pursue that deal. Here’s why.
First, I can trust him. He’s fucked around with this for almost a year. If he wanted to sell, he would have figured out a path and stuck to it. I can’t afford to throw money away like that.
Second, the banks don’t like this deal for multiple reasons. There is too much construction required and there are no historical financials. They didn’t say no but when I sent the two banks emails today saying I was going to identify new assets, they almost immediately relied and said “great, keep us posted.” These were two different banks, unrelated to each other and neither knows that I am chasing multiple banks for the same dream
Third, I was offering too much for these shitty stores. In the $6 million range, it’s a dog deal but I have room for some error. At $7.5 million, there is no room for error.
Fourth and finally, I can find some different assets to buy. I gotta step back and come up with a better strategy for identifying stores or a company to buy. The drive by approach can work and has worked for me before but I might have to do something else.
Blue Diamond is not dead, I just gotta rethink my strategy