Financing Options for multi family tear down

[Matthew Fermino]

Hi

I’m trying to decide what the best way  to fund a tear down and rebuild of a multi family I own in wells maine. 

I own a side by side duplex that that we purchased 3 years ago for 750k and has appreciated to around 950k. We owe 485k on it currently. it rents very well and we are looking to double to occupancy.  The tear down and rebuild will be roughly 450-500k

I have a 3 yr old HELOC from my primary residence and have 160k available with a variable interest rate. I'm trying to determine the best way to fund this project. Was thinking some potential options are use the 160k then get a new HELOC on the second property or get a home improvement loan.

Any advice would be great.