Should I turn my 4plex into a 3plex

[Michaelina Stathakos]

Ok O'wise ones! Advice please?

We own a 3 story 4plex built in 1885, the top 2 floors are 1000ish sqft and are tenant occpied. The bottom floor is a very small 1/1 and an efficiency. We were hoping to rent out the 1/1 and keep the efficiency for ourselves. We are having a hard time finding someone (decent) to rent the 1/1, the ceiling height is low and it really is very small. Last month we had a water damage in the efficiency and now we have to spend some money on repairs and to raise the floor. Since we have to spend the money to fix the efficiency we thought about combining the 2 units to make an even bigger one, in hopes of it beeing more marketable and of course so we could charge more.

Thoughts? Worth it? Not worth it? Will it hurt resell if we ever have to?

Thank you in advance for the advice!