Thomaston GA 8-Unit Retail Purchase

George Says: "There is a lot to like on this deal. It is a purchase money deal, so the value of the property has been established in the open market, as opposed to merely by an appraisal.”

“There are eight sources of income, although the storage units have small payments. This is also a small loan, and the net worth to loan size ratio is good.”

“The bad news is that our borrower has poor credit, and he and his wife face the danger of deportation. I suspect, however, that he and his wife, like many new immigrants, are hard workers."

Blackburne & Sons is pleased to present this purchase money First Security Deed secured by a 16,050 SF (8) unit retail strip center on a 0.77-acre site, located in Thomaston, Upson County, Georgia.

The purpose of this loan is to purchase the subject property in the amount of $650,000. The buyer will be putting down $97,500 cash plus closing costs. The seller will be providing a $20,000 credit for closing costs and will be holding back a 2nd Security Deed in the amount of $130,000. It will be a 5 year loan at 8% interest.

Upson County is a county in the West Central region of the U.S. state of Georgia. As of the 2020 census, the population was 27,700. The county seat is Thomaston. The county was created on December 15, 1824. Upson County was formed in 1824 and named after Stephen Upson, a state legislator. Upson County comprises the Thomaston, GA Micropolitan Statistical Area, which is also included in the Atlanta-Athens-Clarke County-Sandy Springs CSA.

As of the 2020 census, the county had a population of 27,700, 11,173 households, and 6,100 families residing in the county. The median age was 42.7 years. 21.6% of residents were under the age of 18 and 19.7% of residents were 65 years of age or older.

According to the U.S. Census Bureau, the county has a total area of 328 square miles, of which 323 square miles is land and 4.1 square miles (1.3%) is water. Upson County boasts the lowest average summer humidity in the state.

The vast majority of Upson County is located in the Upper Flint River sub-basin of the ACF River Basin (Apalachicola-Chattahoochee-Flint River Basin), with just a tiny northeastern corner of the county, north of Yatesville, located in the Upper Ocmulgee River sub-basin of the Altamaha River basin.

CITY INFORMATION

Steeped in history tracing back to the early 1800’s, the City of Thomaston is a town of about 10,000 residents. Located along the banks of the Potato Creek in the foothills of the Appalachian Mountains, Thomaston is within 60 miles of three of Georgia's major cities: Atlanta, Macon and Columbus, an area also known as the golden triangle. This excellent location provides the citizens with the luxuries of a peaceful rural life along with the benefits that these larger cities have to offer. The population was 9,816 at the 2020 census.

Named one of the best 100 small towns in America (The Best Small Towns in America, by Norman Crampton), the friendly community has a lot to offer both the residents and visitors. Thomaston serves as a multi-county regional hub for state-of-the-art health and medical services, retail centers, educational facilities, employment and business opportunities.

It is the principal city of and is included in the Thomaston, Georgia Micropolitan Statistical Area, which is included in the Atlanta - Sandy Springs (GA) - Gainesville (GA) - Alabama (partial) CSA.

Built in 1961, the subject property is improved with a single-story, multi-tenant commercial building comprising four ground-level retail units, each with independent street access and storefront visibility. In addition to the retail spaces, the property includes four separately leased storage or basement units, which are located below grade and accessed independently. The storage units are leased to individual tenants under separate agreements from the retail units. There are a total of 8 units and the property is currently 100% occupied. The current gross monthly rents are $6,219. The seller provided a 2025 P&L for the subject property reporting $34,815 in net income.

The property's configuration supports mixed-use functionality, with income derived from both retail and ancillary storage tenancy.

The subject property features sufficient frontage, appropriate size, regular shape, and favorable topography to support development. It offers convenient ingress and egress from a public roadway, ensuring accessibility. All essential utilities, including gas, water, and electricity, are readily available on-site. Based on this analysis, the subject property is well-suited for its current use. The subject property is like other retail properties and generally conforms to the area. The subject property has been maintained in overall good condition.

The property is located one hour south of the Atlanta Airport right off Highway 19. The parking lot has space for about 40 cars- entering from behind the building 4 large warehouse spaces. This shopping mall is on a busy city street visible from US Hwy 19 and has income producing long term rentals. There is access to extra land in the rear for expansion and is located near Walgreens and Hardees.

Our guarantors are husband and wife and will be holding title to the property through an LLC of which the husband is the sole member. This LLC owns and operates a Mexican restaurant since 2019. Their other LLC which owns and operates a convenience store will provide a corporate guarantee, and our guarantor has 90% ownership. Both husband and wife will both provide a personal guarantee on our loan.

It is important to note that both borrowers are not currently US citizens. The husband is on a U.S. Employment Authorization (temporary work permit) with an expiration date of 3/6/2030. He has a GA Driver’s license and a Social Security number. They both file U.S. tax returns and pay taxes. The wife has no social security number so we were not able to pull a credit report on her, however she does have an ITIN number and is able to file tax returns in the U.S.

The husband has a 556 mid-credit score and they report a net worth of $822,057. Their personal tax returns report 2024 adjusted gross income of $46,095 and in 2023 report $55,565 in adjusted gross income.

The tax returns for the Mexican Restaurant report $44,691 in net income for 2024, and $60,044 in 2023. The tax returns for the convenience store $2,809 in net income for 2024 and ($8,959) in 2023.

The borrower plans to relocate his Mexican restaurant into one of the units located within the subject property, which has been operating since 2019. This is a better location, with increased traffic, it offers a larger space, and will bring more clientele.

We also hired a broker to perform a Broker’s Price Opinion (BPO) who valued the property at $695,000.

At an 11.0% yield to investors and a 65.0% LTV (AS-IS VALUE/PURCHASE PRICE) and this appears to be a reasonable investment. Investing in any first trust deed involves substantial risk, so be sure to read the Risk Factors section of the Offering Circular carefully before investing. A large and prolonged decline in real estate values is possible. Foreclosed commercial properties almost always need to be renovated before they can be leased or sold, so be sure to maintain some liquidity.

ACCREDITATION STANDARDS

Please note this offering is a SEC Regulation D filing and will be done through a Private Placement Memorandum. In order to invest, you must be an accredited investor. Generally speaking, an accredited investor is an individual:

(a) whose individual income exceeds $200,000 in each of the past two years, with reasonable expectation of reaching the same going forward OR
(b) whose joint income with spouse exceeds $300,000 in each of the past two years OR
(c) your NET WORTH exceeds $1,000,000 (exclusive of your primary residence) OR

If you plan on investing through an entity, the entity can qualify if ANY of the following are met:

(a) all equity owners must be accredited OR
(b) any trust with more than $5,000,000 in assets OR
(c) ERISA with either $5,000,000 in assets OR a bank, insurance company, or registered investment advisor as it's trustee OR
(d) any self directed ERISA with an accredited investor(s) making the business decisions OR
(e) an IRA owned by an accredited investor

You should spread your mortgage investment portfolio out among lots of different deals. If you have $300,000 to invest, you should invest $10,000 to $20,000 in 15 to 20 different fractionalized first trust deeds. For example, if the deal is a $300,000 first trust deed on an office building in Boise, with a $15,000 investment you would own 5% of the loan. By spreading your money out into a bunch of different deals, you are achieving the diversity of a fund without the failed fund sponsor problem. If you are extremely wealthy, you could double (or even triple) my suggested investment amounts, but be careful about pouring too much money into a single deal. We once had a whole building fall into an old coal mine. Ouch.
Be wise and resist investing in any first trust deed yielding more than 9%. I would personally never invest in a first trust deed with a double-digit yield. The payments slowly grind the borrowers into the dust.
Blackburne’s Law theorizes that a portfolio of 8% and 9% first trust deeds will outperform a portfolio of 11% and 12% first trust deeds over a seven-year term. Only our wisest (and eventually the happiest) investors listen to me.
You can also buy some of our smaller deals in their entirety, but I only recommend this if you are richer than Crassus.
It is very easy to lose money in hard money first mortgages, so fight-fight-fight against the temptation to invest in high-yield deals. As Nancy Reagan used to say, “Just say no.” But if you choose 7% to 9% first mortgages, I predict that you will be very, very pleased.
During the S&L Crisis, commercial real estate fell by 45%. Within three years of hitting bottom, values reached new highs. During the Dot-Com Meltdown, commercial real estate fell by 45%. Within three years of hitting bottom, values reached new highs. During the Great Recession, commercial real estate fell by 45%. Within three years of hitting bottom, values reached new highs. Some time in the next decade, we will have another opportunity to snatch up prime commercial real estate at a huge discount. You will be terrified, but when Blackburne and Sons invites you to join a syndicate to buy a nice commercial property at a 35% discount off its prior high, just remember that the best time to invest is when blood is running in the streets. Why not when real estate has fallen by 45%? You’ll never catch the very bottom because historically the bounces off the bottom happen much too fast. Bounce-soar. You will be terrified, but just remember that the best time to invest is when blood is running in the streets.

Blackburne & Sons Realty Capital Corporation--For more information, contact Tom Blackburne
555 University Ave., Suite 150, Sacramento, CA 95825
Telephone: (916) 338-3232 * Fax: (916) 338-2328
Real Estate Broker -- California Department of Real Estate -- License Number 829677 -- NMLS Number 103430
Publicly advertised to California residents only under California Department of Business Oversight business plan permit.
Return to C-Loans Home Page | Return to Blackburne & Sons Home Page
Copyright © 2025 Blackburne & Sons Realty Capital Corporation. All rights reserved. (800) 606-3232