Brownstone Conversion from Rent Stabilized to Luxury Building

[Noel Hankin]

Investment Info:

Small multi-family (2-4 units) fix & flip investment.

Purchase price: $1,500,000
Cash invested: $3,400,000
Sale price: $5,400,000

This was a ten unit rent stabilized building that we converted into a luxury two-family brownstone with professional space on the lower level.

What made you interested in investing in this type of deal?

We were living in a brownstone on the same block with a similar configuration: 2 family with professional space on the ground level and knew that it has commercial value and profit potential.

How did you finance this deal?

Conventional mortgage

How did you add value to the deal?

Rebuilt the building: extended the building all the way back to the end of the lot. Plus we added a penthouse and elevator.