Investing in Property and a City

What is Visualize Milwaukee all about - how to invest in property or improving a city? Can you tell? I admit this blog doesn't fit in very well as a Real Estate Investment site. The problem here is that I've mixed my zeal for investing with a zeal for actually improving our city. I didn't start that way. I really only wanted to make money. As I got started though, the only properties that I could find at a price low enough to make a profit were far from the nice areas of town. Areas where you don't just lock the car doors, but keep an eye on the car at all times. I established a relationship with a local commercial developer who I could use as a mentor, to bounce ideas off of, and to get local contacts through. Before I met with him I had looked at a particular building, walked around the neighborhood, talked to some people who were remodeling an abandoned building, written down numbers and addresses for others. What drew me to this neighborhood was not the crack dealers on the corners or the empty beer bottles strewn about, but the brand new library, police station, and huge park all within 2 blocks. Which one should I plan for? Crack dealers or the great potential, or was there really any potential at all? Turns out my mentor had lots of experience in revitalizing downtrodden neighborhoods. As he told me about what he has done, and how he does it, I started to realize that my money, talents, and desire could actually help! I was glad I had just canvassed that neighborhood. It made that first conversation with my mentor so much more exciting to me. And, he was considering a relatively major development almost right across the street!

That is how it began. I can't change the world by myself, but I can change a single block. My investment can attract others! I can get involved in a city-sponsored revitalization effort and invest there. I found a building that was being used as storage, and lots of vacant space around. It was a great deal, but could I really find a business to setup shop in there? I put a "will build to your needs" sign outside. I had local entrepreneurs calling constantly! There are people with great ideas everywhere. All they needed was a little help and a little motivation. I was able to work with them on their plans, provide the funding to it, and I got super lease rates because of it. Win, win, win -- for me, the lessee, and the neighborhood!

This also has me integrated much closer to the city than I have ever been. I knew where the "bad areas" were, I could walk through most of them without panicking, but I seldom did. Having multi-unit apartment buildings brings reality to you in a hurry. Again, I'm not going to save the world with a couple apartment buildings. But, I've found that I can always find good tenants. I haven't met too many people who said "I'm looking for a crack house where everything is broke, my landlord never comes around, and he won't mind if I deal drugs out of the back windows." I do background checks, I keep the places up well, I paint over graffiti right away, and I command a higher rent than the rest of the neighborhood. Want to know how I figured that out? I was talking to a local landlord and asked about his rents. He told me the market rent, except for one building: "I have no idea how she gets such high rents". From that, I realized it could be done. I have met great people everywhere I've been. I also get to see up close how hard it is to find a job, how many kids are running around without a dad to speak of, and why the inner city doesn't trust our police force. Like I said, I'm not changing the world, but I can make living a little more comfortable 8 families and 2 businesses at a time.

Our investment dollars can make a difference. I make money, local residents have a better place to live or conduct business, and together we can improve neighborhoods. Doing that creates jobs. Creating jobs and small business opportunities is what drives our community. Milwaukee was hit hard when manufacturing began to move out. We are still trying to find our way, and I want to be a positive part of that!