Investor · Louisville, KY · Member since 2014 · 202 posts · 111 votes
I have noticed that apartment rehabs have been more common in some areas of Louisville Ky. Here is a link to an article about the largest apartment complex in Louisville that is being renovated as I type these questions.
1. Do renovated/new apartments help or hurt the single family rental rates and occupancy?
2. Do renovated/new apartments increase the value of single family rentals in the area?
3. Would you purchase more properties in an area like this "thinking" that the improvements to the apartments will have a ripple effect to the surrounding area?
I have a few properties in the area where this large complex is being renovated and I "think" this is a good thing for the area for sure as these apartments are in bad shape, but I am not sure about the questions I have above. This area is a lower income area and again not sure the impact renovated/new apartments would have on single family homes in the area.
Investor · Louisville, KY · Member since 2014 · 202 posts · 111 votes
11y
@George Hermann The article doesn't give that info but I would assume since most of the apartments are most likely section 8 that the renovated apartments would be offered to some of the section 8 tenants and would also bring in non section 8 tenants at market rent rates. I agree that just renovating them and may not do much for rent rate increase but it may help with the "feel" of this area. Right now its not that great and any improvement is a plus in this area.