Value Increase on Vacant Multifamily

[La'Terrius Campbell]

How do you all determine value increase on a vacant multifamily. I know normally you divide the NOI by the purchase price to get your Cap Rate and from there you can implement the value increase formula but what if the property is completely vacant?

Number of Units- 7

Unit Rent Potential- $800 per unit

Potential Annual Gross Income- $67,200 (After Renovation)

Purchase price: $150k

Estimated Renovation Cost: $190k

How can I calculate the value add once every unit is occupied? I want to see how much value add the property will be worth after renovations. Any response helps, thanks in advance bigger pockets family!