Odd Multi-Unit Property Valuation Discussion

[Brian Ellison]

Hi BiggerPockets!

I'm hoping to hear some of your takes on an interesting property I've stumbled upon. What would you do with this situation? 

List price: $950,000

3 buildings on property: (1) Old, Victorian style home - needs full gut job; (2) Duplex, fully-rented, (3) Quadplex, completely vacant

Lot size: 0.50 acres - the buildings are right next to each other and share a parking lot

(1) Victorian style home has windows purchased and plans drawn to be a single-family house. ARV ~$850k according to agent

(2) Fully renovated duplex has about $280k put into it, currently renting at $1,300 and $1,500.

(3) Vacant quadplex could be rented although likely needs full reno for each unit.

The property is half a mile from a rapidly growing downtown area in the suburbs of Atlanta, and the seller is looking to offload the property to work on building tiny homes in Asheville, NC. He purchased property for $400k 2 years ago. 

How would you value this property, and what would you do with the space? I have some thoughts as well and will jump in the comments once the discussion gets going. 

Thanks for playing! :D  

[Doniel Winter]

Also, there's a trend here in Asheville where larger, multi-building properties - like BnB's - are being purchased by individuals and turned into family compounds, with the additional/optional rental income potential. This had happened to 6 very well established BnB's in the last 12 months. One BnB in particular sold for a hefty premium for this reason alone. I really believe this kind of multi-generational living is going to grow in popularity, and your place sounds ideal.