Converting multiple town homes into one multi-family property

[Jacob Chaney]

I recently ran across 10 town homes are all zoned/being sold as single family homes. These are all new construction and are attached to each other. The numbers involve meet my investment criteria but for refinancing purposes down the road I want to take all of these attached townhouses and "convert" to one multifamily property so that I have 10 "units" instead of 10 single family homes. I will need appraisal value based on NOI vs sales comps so that I can cash out my investors.

Has anyone ever done this before? Is it possible? Does it involve the way deeds are set up?

Thank you, in advance for any insight.

[Wayne Brooks]

Maybe you can't force appreciation on a SFH where you're using the comparable approach, but the appraisal is still generally higher for the same structure, as SF fee simple unit, as opposed to an apartment. Just my biased .02.