All Forum Posts by: Tab Teehee

Wow! I’d be thrilled to get all of that work done for 10k per unit. I’m looking at 2200 each for HVAC, 1500 each for appliances and 1200 for kitchen cabinets. That only leaves 5100 for bath, floors, paint, faucets, lighting, and of course labor. I guess I’m doing something wrong? I do have a couple of Multifamily contractors working on a turnkey quote for me so we shall see.

Ugh....I’m really struggling with this! Probably because I’m going about it all wrong, but...I need to get numbers to the bank to determine my project financing. I’ve been interviewing contractors, shopping for materials, trying to do my best to prevent the unexpected from happening.

I have 20 units, circa 1972, red shag carpet and avacado appliances anyone? Structurally sound with good roofs, newer windows and vinyl siding. Inside, they need everything. 

What’s everyone’s typical approach to this? I know I could get a remodeling contractor to just deliver me a turnkey apartment, but I feel that I’ll get more for my money looking for specific contractors such as flooring, paint, doors & trim, etc. I also love to shop for bargains and getting the best deal on 12,000 feet of LVP and a full appliance package is something I’m not sure I could trust with anyone else. 

I started out with a good round number for this project, $10k per unit. I was going to attempt to replace HVAC, all new appliances, new flooring, new kitchen cabinets, new vanity, faucets, lighting, etc.. I’m starting to see that I’m going to be closer to $16k per door. 

What should I be more focused on here, the increase in my loan payment or the higher rent these improvements will generate?

Please share your opinions.

Thanks!

Echoing what most have said here....my prospective property manager toured the property this week and is encouraging me to do new floors, appliances, light and plumbing fixtures and paint. She’s been using the sheet faux wood vinyl floors and loves them. Refinishing countertops instead of replacing, when possible. New cabinet hardware instead of new cabinets. Lol, kinda bursts my bubble a bit....I had a vision. I guess my vision will have to wait for another place and time, for now I must do what makes the most economic sense. I’m going to try to stay below 10k a unit with the new HVAC and washer and dryers added. Gotta find contractors now....

I’ve been reading and “hearing” that the new vinyl floors are the way to go. Durable, inexpensive, easy to repair and much better looking than the vinyl floors I grew up with. However you’re probably still looking at $3 a foot installed.

I must say I’m honored by all the feedback! You guys are awesome! I’m inclined to provide a bit more information....the property is in a somewhat rural location about 40 minutes outside of Tulsa, Oklahoma. I definitely plan on having a management company take care of the property, in fact I have one touring the property today to give their opinion on everything. I really should explain that I’m also planning new HVAC (all original from 75), many new water heaters, and installing washer and dryer connections and possibly new electric service panels (the existing ones are federal pacific). So it’s simply not all of the fun decorating that they need. I’ve never taken on a project this large before, only dealt with single family’s one at a time. I guess I really need a good “need and want” list! The new HVAC won’t really add value that can be recovered in higher rent, but I feel it’s a must, for peace of mind. 

that’s the million dollar question...since there aren’t any apartments there that are furnished as such, it would be a guess. Obviously my hope would be that there would be enough interest to command higher rents.

Hello seasoned property gurus! This is m first BP post, so far I’ve been reading all I can! I’m just starting out in Multifamily with a 1975 era 20 unit property in Oklahoma. This property is a virtual time capsule, complete with red shag carpet and green appliances! The bank is just about to order an appraisal and wants to know what my remodel budget is. Since these are smaller units at about 750 sq feet each or 14,000 total and I’m only dealing with 20...I wondered if it might be acceptable to go for a more upscale look? I’m thinking hard surface floors, granite counters, tile backsplash,  stainless appliances, etc. Is there a simple way to determine how much is too much? I’m competing with a few mid grade properties that don’t really offer the upgrades I had in mind, kinda wondering if I could find a niche here? Thoughts? 

Greetings! I’m in the beginning stages of acquiring a 20 unit property in Oklahoma. I’m an out of state owner so I really need someone I can count on. To add to this I’m planning a rehab of 10 to 15k per unit and a management company that has experience with this phase would be huge!