Questions on a 60 units multi family apt in Texas

[Brandon Yuan]

Hi There

I'm currently evaluating a 60 units multi family apt deal in Texas. This is a scaling up project for me.I have a 25 units property so I have some experience purchasing/managing small multi families. Looking at the deal, I have two main initial concern/opportunities I don't have much experience and I'd appreciate any input/advice:

1. seller broker marketed implementing Water RUBS as one of the upside (actually factored into NOI proforma in which asking price is based on). How difficult is it really to implement RUBS? And is it realistic to do so without having significant impact on occupancy (currently very low vacancy). Current rent seems to be a fair market price given the condition of the property
2. the county appraisal value is significantly low compared to asking price (asking price is about 4 times). Would I expect appraisal district to capture the sale price as the new appraisal value (market price) in the following year and hence I ended up with significantly higher property tax? Texas is a non-disclosure state for the sale price, but it appears appraisal district always ended up finding out about the sales price (definitely for residential. not quite sure about commercial ones)

Thanks in advance!