This asset had many things that we could improve to increase the value. Some features that needed improving were the Leasing office building, as well as two buildings had underground plumbing issues and were offline. In addition, the parking lot needed to be repaved, two buildings had foundation problems and many units needed a major upgrade. We knew we can correct these and more things and make it a great community to live in. Vinney had an eye on this asset for the last two years. We are able to increase rents for the property and charge more for the upgraded units.
This asset had been renovated extensively by the seller by with an impressive $3.6 million. The interiors of the units are upgraded to A class with granite counter tops, all steel appliances and much more. The property has beautiful lush green rolling gardens with a creek. The layout is wonderful. The rents were almost $100 under market.
This asset had many things that we could improve. To start with it had16 units out of 156 that had burnt down. The sellers got insurance money and dropped the price for us to buy. First, we are rebuilding the 16 units to bring them back to lease by doing an A class rebuild with granite tops, tiles tubs, all steel appliances, moldings, fire sprinklers and more.
This asset looked great from the beginning. When we purchased the asset it had complete renovations already done that were estimated by us worth $2,000,000. Upon inspection we learned that the renovations were valued to be at more than $2,600,000.