Ventures Update April 2015

695 Riverview Drive

Summary: 9-unit apartment building near Columbus, Ohio and Ohio State’s  campus that I bought with my brother, Thad in July 2013. As of 1 April 2015, it is managed by North Point Asset Management.


  • Management: switched property manager from Renting Ohio to North Point Asset Management (NPAM). So far, NPAM is doing well. However, Renting Ohio seemed great in the first several months, so I will reserve my evaluation for now.
  • I left this review on Renting Ohio’s business Facebook page. Look for my name under 2 star reviews. Or download here. I made the review extra negative to get his attention so that he would send documents I needed for my taxes. It is truthful and accurate. He ended up helping with the turnover as much as he was able.
  • Switched from a dumpster in the front yard to much more sightly–and less expensive–bins for trash removal.
2015 04 15 Riverview from Front no Dumpster
April 2015 photo of the building. The dumpster is gone, and there are bins under the archway, but we haven’t yet planted grass where the dumpster was.

2014 Summary, and 2015 Projection

  • 2014 Profit and Loss pdf.
  • Rounded off to the nearest $500, we show a loss of $13,500.
  • Almost $9,000 of expense is depreciation of the building. The accountant currently handles the depreciation schedule. For a rough calculation of cash flow: ($13,500) + $9,000 in depreciation = ($4,500). Bottom line, negative cash flow!
  • There are 3 key items that we expect to be different in 2015, in our favor, that will improve the bottom line:
    • 1. from January 2014 to April 2014, we did not have a professional property manager and basically were not marketing at all. We had 3 empty units. At $500 per month per unit, for 4 months, that is $6,000 worth of vacancy. They were filled within 6 weeks of hiring a manager in April. If just 2 of the three were occupied, that’s a $4,000 improvement for 2015.
    • 2. In January of 2014, we had a pipe freeze and burst in a vacant unit. It wasn’t discovered until the manager (Thad) entered the unit to install a space heater. He was too late; the pipe had burst 30 minutes prior. The water to the building had to be shut off, and the unit had to be gutted carpet to drywall. This cost about $2,000 and was totally preventable.
    • 3. We spent $3,500 in October to an electrician to make the building compliant with its aluminum wiring. This was a one-time cost to improve a problem that existed when we purchased the property. It can be easily prevented in the future by hiring a competent electrician and ensuring that he knows about aluminum wiring and installs appropriate equipment. Aluminum compatible fixtures are only slightly more expensive.
  • A reasonable expectation for 2015 cash flow is: ($4,500) + $4,000 (improved occupancy) + $2,000 (no frozen burst pipe) + $3,500 (no expensive electrician bill) = $5,000 positive cash flow for the year.
  • There are some items I didn’t list that are negative, but they are roughly equal to the unlisted that are positive. The 3 items I listed are by far the largest.

Gluten-Free Bread

2014 09 Shilohs Five Loaves

Shiloh’s Five Loaves is a gluten-free bread company based in Raleigh, North Carolina. Devaunt LeClaire of Kineomen is the business brains behind the operation while his brother is the baker.

  • As of early April, Tristaun was busy in the newly-leased building with the newly-installed equipment doing test runs baking bread while Devaunt was out coordinating sales. Busy, and progressing close to on schedule! New picture next time…


I became a Kineomen investor in November 2014. Shiloh’s Five Loaves is Kineomen’s primary investment project currently. Kineomen recently proposed a real estate business in Ohio and I am considering a small project this fall to test the viability and get the ball rolling.

Coconut Wine (Vino de Coco)

Coconut wine based in the Philippines. Click the picture for Vino de Coco's website.
Coconut wine based in the Philippines. Click the picture for Vino de Coco’s website.
  • Click on the picture for Vino de Coco’s website.
  • No real update. Seeking repayment of loan. Plan to make a full attempt at repayment this summer.

4 thoughts on “Ventures Update April 2015”

  1. Nate – thanks for the updates!

    I’m excited to see things coming together. A little disappointed there are no solar panels on that roof though. You should give Solar City a call! Keep up the good work, buddy.

    Vino de Coco… LOL. School of hard knocks.

  2. Love it Nate. Keep hustling.


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