I'm purchasing a fourplex that includes the adjacent vacant lot (2 separate addresses). It cash-flows OK and is in great shape.Market rents are about currently $600/month without a garage. What should I use this lot for, or build on it in order to maximize my cash flow on this property? I thought about building a 4-car garage; even putting one or two apartments above it. What do you all think?
@Jeanne Hink if the numbers make sense to build do that, I'd go with another 4-plex if possible with parking underneath if the rents justify the additional costs and just leave the current units without parking.
I think the cost of building another 4-plex outweighs the income potential in this location. I'm not in an area where things appreciate much. That's why I thought garages...they would be inexpensive to build. But thank you for your input
@Jeanne Hink if that is the case I probably would just hold off on building for now or maybe put a gravel or paved parking area in the second lot if there is no off street parking currently.