Cincinnati triplex major remodel, strong cash-flow and value-add

[Chris Niemeyer]

Investment Info:

Small multi-family (2-4 units) buy & hold investment in Cincinnati.

Purchase price: $70,000
Cash invested: $10,000

Finishing up a full gut-job remodel of a triplex in popular area of Cincinnati near University and OTR in West End.
$70k purchase, $130k renovation. $300-325k ARV. Once completed should gross $3285/mo.

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

I wanted to grow into the Cincinnati market. I chose this area as it's in a great path of progress near University, West End and OTR, all popular neighborhoods in the region. Numbers seem solid for multiple exit strategies.

How did you find this deal and how did you negotiate it?

Found through a wholesaler I work with, negotiated down a bit from asking.

How did you finance this deal?

Hard money due to large remodel budget.

How did you add value to the deal?

Full gut job due to fire damage. Most wouldn't touch such distressed properties. Adding nice features to get top market rent.

What was the outcome?

It's in the final phase and turning out nicely. Should yield $3285/mo on a $200k investment that I'll BRRRR out of.