Obviously your CapEx will be much lower in years to come, but have you ran the numbers of fixing up an existing duplex rather than building a new one?  

The fourplex only exists because the zoning has been grandfathered in, on paper it is R2.This is my understanding of how SB 330 would affect my project:If I raze the building, I can't build anything less than four units ("An affected city or an affected county shall not approve a housing development project that will require the demolition of occupied or vacant protected units, unless all of the following apply: (A) (i) The project will replace all existing or demolished protected units.)Additionally, because the units exist under rent control (market rate), the rents of the new buildings in the future must also be rent controlled.

Drilled into the existing floor that was ok, rebar with epoxy.

Can the area and existing tenant base really afford $1200/mo?  

I always write my own contract or make sure I can modify their existing contract to include things like: when the job should start, how long it will take, what penalty there is for the contract if they go past the deadline, what approvals need to happen if the job is going over budget, how much I need to put down to begin (i don't like doing more than 30%) and what the payment schedule is after that (some larger jobs will have milestones where another 30% is payed when completed), and what will be delivered to me before final payment (final approval, lien wavier etc..)

@Dominick Galinis there is no rationalizing building when you can buy existing inventory...if you're not an architect or have a tight connection with a custom home builder this will take twice as long as you think with cost overruns you never predicted...how are you predicting you'll be in an instant equity position?

Will pulling any permits on the existing building call for substantial (expensive) modernization upgrades to Handicapped Access, electrical, plumbing, new laws regarding signage, (FIRE SYSTEMS), etc...(???)

Highly recommend you find yourself a duplex in a smaller midwest market where cheaper, cash-flowing small multifamilies still exist.

I've just set up to do a cashout refi with a VERY well known hard money lending company, and suddenly they're pulling a bait and switch on the terms, etc.   I'm doing 7 properties which means I've fronted the bill for...

Our affordable (livable) housing is almost non-existent now.