"One Good Real Estate Investment is Worth a  Lifetime of Labor" Ken Rosen

In 2009 Ken purchased these two award winning identical buildings Park Place I & II located at 1500 Monza Ave & 1501 Venera Ave Coral Gables for a price of $8.5 Million. He invested $2 Million cash and obtained a $6 Million bank first mortgage. Each building was zoned for a 9 story apartment building. Each contained 25,000 rentable square feet or a total of 50,000 RSF. They sat on two separate lots with a combined total of 1.64 acres. This would allow for the resale of either building. Both buildings exemplified the six core principles of the Big 6 Formula. 

 

Five years later, in 2015, after having generated a net rental cash flow of $4.5 Million, Ken sold the Park Place I building for $12.5 Million cash to Baptist Health of South Florida (BHSF) who was a major tenant in the building. Not only did this represent a 225% net rental cash flow return but a $4 Million dollar net profit on the resale. The $4 Million represented an infinite return. 

 

In 2025, Ken resold Park Place II, containing 25 professional tenants, to a developer for $17,750,000. After commission and closing costs, Ken netted an infinite return of $17 Million on the resale. In addition, he also generated $5 Million in net rental cash flow making total net proceeds of $22 Million. A short time before that, BHSF sold Park Place I, which was then a vacant building, to the same developer for $14 Million. The developer plans to building a 9 story condominium complex on the property. 

 

In summary, for the first five years the rental cash flow of $4.5 Million equaled a rate of return of 225% plus a infinite return on the resale of $4 Million. For the next 10 years the rental cash flow of $5 Million and the net profit of $17 Million equaled a $22 Million infinite return. The total net gain was $30.5 Million. For a person with a base salary of $100,000 a year, after income taxes and living expenses, with a 3% yearly increase, it would take 78.6 years to equal this gain.