Personally I'd say visit both and see which one fits or do both, of course I know all we are doing behind the scenes for tbreia and think we are the best in the area, we are the largest.

Construction of 4 new apartments in a functionally obsolete historic building.

If you are paying $800/mo between HELOC and 1st lien but only getting $900/mo rent - that doesn't leave much to split 3 ways, save for CapEx, OpEx, pay PMs, Insurance, etc.Have you talked to a realtor (or 2) to determine if there is any functional obsolescence with your property that may prevent you from getting $225k with a rehab or how long it may take to close? 

.• Cracked tile noted in the shower/tub.Half bathroom:• Slow drainage noted on the sink; recommend repair for proper drainage.DoorsThe locking mechanism on the sliding door does not work properly; repair to restore functionality and promote security.

@Michael Hahn - Many times the term I have heard thrown around for these properties is being functionality obsolete.....meaning the layout is not set up to function like a typical house and thus becomes either very expensive to fix or obsolete.Where are you looking for properties?

(figure out if that's the case in your market... what's the rules and laws and give them a solution): for example : what if an attorney said: in a worst case scenario, it would cost $5k to evict someone... so you say to the owner: it costs 5k to evict someone , so i would put $5k into an escrow account or a mutual account just as emergency money incase we have to go that route... 3. maintenance and repairs: You need the place to look and function in a great way: so you could make the necessary cosmetic fixes and make sure that everything is working properly: so the pressure and financial burden is on you not on them as the owners. 

Most PM's I've spoken with report appropriately priced, clean and functional units attracting high renter interest and leasing quickly (~2 weeks).

Then all you’re doing at that point is making sure you had the largest spread possible between the purchase in the rehab compared to your final sales price.

Thank you.Michael, there's quite a bit that you need to understand regarding how an LLC functions.

Are your gutters cleaned out and functioning properly?