Cost Savings

[Aaron Sims]

Let me give you a bit more information as I would really welcome your opinions (or others) on what order we should tackle the improvements. I will also add that the property is in the San Francisco Bay Area, where rental market is very strong. 1. Roof is in poor condition. We've had a few roofers out and all have said that if we choose to repair, we will likely have to repair again in a year. $20K is the cost for a new roof, which we had not planned for such a big investment upfront, but will tackle if needed. In one of the units, you can see water leaks, so likely this has to be tackled. 2. Windows -- the building has poor quality aluminum windows. The property is close to train tracks, so some higher quality, sound minimizing windows will really help the rentablity of the property. 3. All 4 units haven't been updated since the building was first built. Kitchens, bathrooms, flooring are all in need of updating. We've looked at comparable rental units and most are not updated, so updates are not required by the market, but will allow us to charge higher rents if we choose to do this. 4. Garage doors -- there are two 2 car garages (instead of carport), so each unit has 1 space. It is currently used for storage, not parking. The doors are all in pretty bad shape. 5. Everything else -- as we make various updates over the next few years, we would like to update the electrical and plumbing (unless other landlords think that's $$ poorly spent). We would also like to do some landscaping to make the property look better maintained than it's current state. I would love your take on how to prioritize this list balancing the need to not invest too much $$ now, but balancing what will give us an ROI on our improvement. Are we considering upgrades that are not expected by renters (i.e. upgraded electrical, etc.).