Help with five-plex investment

[Aris K Kasaskeris]

Hello all

First time on this Forum and I’m in need of some serious advice.   I’ve inherited 50% ownership of a row house in DC containing 5 separate apartment units.  A family member owns the other 50%. Due to mismanagement over the years,  the rents are currently at around 1/5 of where ought to be in the area.  The building is in major need of renovations.  There are no current lease agreements with any of the tenants and there is a rent ceiling preventing any serious change in rent increase.  The approximate value of the property is roughly $1m. 

The family member that owns the other 50% just wants to sell, take her $500k and walk away.  I would like to get a loan on the property, for about $500k, and renovate it.  Then up the rent to where it should be.  

The current rents for the 5 units average out to $700 per unit.  The area in question is averaging a minimum of $2500 per for renovated units.  

Am I unrealistic in thinking that I can get a loan for the property for $1m and use the money to buy out the partner and make the renovations.  Knowing that the new value of the property would be around $1.8m and the rents around $12,500 per month?   

Any suggestions or other options??

Thanks

Aris