The short of it? Invested $400K, lost building, spent $100K in attorneys, AND there are many more lawsuits against Benitah for misrepresentation and fraud in Los Angeles County from other investors!
I was a first time commercial apartment investor. Prior to dealing with Mr. Benitah, I had bought and sold on my own a couple of single family properties. In early 2010 I heard a radio ad on KFB News 980 announcing how to double your money in a short time with safe commercial real estate in emerging markets like Texas and Oklahoma.
At the time Benitah was an agent with Keller Williams Beverly Hills. I met him at their offices. His wife/assistant took me to a conference room where a small TV was and said Mr. Benitah would be there shortly and, in the meantime, to wathc a short video about "their program." It was a 15 minute presentation of how Creative Real Estate, Inc.'s "system" for finding, fixing and flipping commercial apartment building for large profits had been designed and refined by Benitah. One testimonial from a contractor who had bought and flipped a propert was on video.
Benitah came in and introduced himself. He brought a folder and began a speech about his past experience and track record. Almost right away began he stated,"My system is the best out there and no one else is doing what we do. I have bird dogs everywhere who alert me to deals before they are on the MLS and I get first chance for my investors to buy them."
He went on to explain that they do everything from runnign the numbers to pre-qualifying and getting a loan to having a team to fix and manage the property. The only thing I would need to do is take a look at available properties and decide.
I should have known better when he said, "No one else does is doing what we do." The FBI later told me that is classic con artist jargon. Well, in April 2010 I sued money from a refinance of my home of $400K, and with his persistent urging I invested in and [overpaid $2.5M] for a 84-unit 1971 built complex in Tulsa, OK [Red Fox Apartments].
Prior to that Benitah had me fly to several places in Texas to look at "gems." They were all dumps and in terrible shape [except one but that property was way, way over my budget].
Benitah promised me that "his team" led by James Engel, another agent in his office, had staff in Texas and Oklahoma to manage the building. I was informed that I had to pay a commission of $37.5K to Benitah from my side. I did that because I trusted Benitah on his advice that once I invested about $25K to "fix-up" some units I could later flip the complex for "easy $2.7M in less than 6 months, and then we go out and repeat the same for you, but this time we look for a building with more units!"
Benitah failed to do his homework as it turns out that the seller was a notorious swindler known in Oklahoma circles for buying low-income housing, rarely maitaning them, hiking rents up, then doing very little cosmetic fix-up and placing them on the market for high prices. His name was Lew McGinnis who had in years prior been sued by the federal government in Utah for fraud. McGinnis had a long list of 1st time buyers he had conned into buying buildings from him and which he convinced buyers to allow him to manage the properties.
In my case and based on Benitah's recommendation, that is exactly what happened but with distastrous results. McGinnis companies never paid for prior year taxes and never made mortgage payments. When I found out I called Benitah and he immediately began to hide.
In the end, I lost the Tulsa building to foreclosure. McGinnis was/is under FBI investigation [FBI AGent Rebecca Edlin - Oklahoma City Office], been sued by more people than I can count, has filed for BK protection for all companies and I've had to pay close to $100K in legal fees.
Mr. Benitah is a true charlatan. STAY AWAY! You are much better dealing with a national commercial real estate brokerage firm [Google them and up come good ones] than to believe what he has to "pitch" you on his famous "show sheet."
Creative Real Estate Investing Reviews
The short of it? Invested $400K, lost building, spent $100K in attorneys, AND there are many more lawsuits against Benitah for misrepresentation and fraud in Los Angeles County from other investors!
I was a first time commercial apartment investor. Prior to dealing with Mr. Benitah, I had bought and sold on my own a couple of single family properties. In early 2010 I heard a radio ad on KFB News 980 announcing how to double your money in a short time with safe commercial real estate in emerging markets like Texas and Oklahoma.
At the time Benitah was an agent with Keller Williams Beverly Hills. I met him at their offices. His wife/assistant took me to a conference room where a small TV was and said Mr. Benitah would be there shortly and, in the meantime, to wathc a short video about "their program." It was a 15 minute presentation of how Creative Real Estate, Inc.'s "system" for finding, fixing and flipping commercial apartment building for large profits had been designed and refined by Benitah. One testimonial from a contractor who had bought and flipped a propert was on video.
Benitah came in and introduced himself. He brought a folder and began a speech about his past experience and track record. Almost right away began he stated,"My system is the best out there and no one else is doing what we do. I have bird dogs everywhere who alert me to deals before they are on the MLS and I get first chance for my investors to buy them."
He went on to explain that they do everything from runnign the numbers to pre-qualifying and getting a loan to having a team to fix and manage the property. The only thing I would need to do is take a look at available properties and decide.
I should have known better when he said, "No one else does is doing what we do." The FBI later told me that is classic con artist jargon. Well, in April 2010 I sued money from a refinance of my home of $400K, and with his persistent urging I invested in and [overpaid $2.5M] for a 84-unit 1971 built complex in Tulsa, OK [Red Fox Apartments].
Prior to that Benitah had me fly to several places in Texas to look at "gems." They were all dumps and in terrible shape [except one but that property was way, way over my budget].
Benitah promised me that "his team" led by James Engel, another agent in his office, had staff in Texas and Oklahoma to manage the building. I was informed that I had to pay a commission of $37.5K to Benitah from my side. I did that because I trusted Benitah on his advice that once I invested about $25K to "fix-up" some units I could later flip the complex for "easy $2.7M in less than 6 months, and then we go out and repeat the same for you, but this time we look for a building with more units!"
Benitah failed to do his homework as it turns out that the seller was a notorious swindler known in Oklahoma circles for buying low-income housing, rarely maitaning them, hiking rents up, then doing very little cosmetic fix-up and placing them on the market for high prices. His name was Lew McGinnis who had in years prior been sued by the federal government in Utah for fraud. McGinnis had a long list of 1st time buyers he had conned into buying buildings from him and which he convinced buyers to allow him to manage the properties.
In my case and based on Benitah's recommendation, that is exactly what happened but with distastrous results. McGinnis companies never paid for prior year taxes and never made mortgage payments. When I found out I called Benitah and he immediately began to hide.
In the end, I lost the Tulsa building to foreclosure. McGinnis was/is under FBI investigation [FBI AGent Rebecca Edlin - Oklahoma City Office], been sued by more people than I can count, has filed for BK protection for all companies and I've had to pay close to $100K in legal fees.
Mr. Benitah is a true charlatan. STAY AWAY! You are much better dealing with a national commercial real estate brokerage firm [Google them and up come good ones] than to believe what he has to "pitch" you on his famous "show sheet."