How We Added $650k of Value to a 6-Plex in Scottsdale, AZ

[Elijah Brown]

I'm extremely proud to present this case study of a 6-plex I recently renovated in Scottsdale, AZ. It is rare that renovations go smoothly and turn out better than imagined, but we emerged with a big win. This project was completed two months ahead of schedule and looks incredible!

The Acquisition

We acquired this property in June 2022 (along with a duplex next door) for our GoldHawk Renovation Fund III, a 17-unit portfolio. We sourced the property off-market from a distressed seller by utilizing our established broker relationships in Phoenix, AZ. This was one of the worst properties in a Class "A" location.

Purchase Price: $1.75M ($292k/door)

Unit Mix: (4) two bedrooms; (2) one bedrooms

Average Rent: $550/month | all tenants on month-to-month

Before Photos:

The Renovation

Our general contractor provided us with a detailed scope of work before we purchased the property. They were able to begin demolition immediately after the close of escrow and removal of the month-to-month tenants.

Renovation Budget: $385k ($64k/door)

Progress Photos:

Our target completion date was January 2023, but our contractors surprised us with an early finish in November 2022!

Final Product

Target Rents: $1,650/month (200% increase or 3x the previous rent)

Property Value: $2.4M (37% increase)

I want to thank our investors, lender, contractor, broker, and everyone else who made this project possible. We're good at sourcing and executing deals, but it truly takes a team effort to fully capitalize on opportunities like this.

[Elijah Brown]

Thanks @Erik D.! We did not hire a designer. We do the same exact aesthetic on all of our renovations so there are specific materials and color choices we do every time. At this point we just trust our contractors to do the work without our input.