4 unit property Major Rehab. Do the numbers make sense

[Swetha Solipuram]

I would like advise on a buy, rehab and hold for cashflow multi family property

I have a 4 legal unit, and 1 additional non conforming unit on contract at the moment. As I get deeper and deeper into the steps of closing, the numbers do not seem to make sense. The purchase price + rehab cost is exceeding the ARV. When I first got this into contract, I knew the purchase price + rehab cost would be closer to what I can refinance it for, but I wanted to do it anyway because of the great cash flow. But after inspection, I realize this building needs a lot more budget to maximize the rents. My dilemma now is, is this project worth taking up and do the numbers really make sense or not.

I have rehabbed and held two multi families, but this is the biggest one thus far and any advise would be helpful. I can PM you the actual numbers if you can help me figure