I am partnering up on an 11 unit building in DC and we are having challenges figuring out how to rehab 4 of the units over the next 12-16 months. The building is fully occupied and between rent control and section 8 tenants (7 of the 11) we are looking for suggestions on how to best handle vacating the 4 units we would like to add a bedroom to. From our research it is either not cost effective or nearly impossible to move tenants out even if they are technically on a month to month. All of the tenants are long time residents of 3+ years. Does anyone have any suggestions on how to best go about this? We are currently under contract and looking to close in July and need some help figuring out how to get these apartments vacated so we can execute our business plan. Without being able to rehab these units and up the section 8 rents we will not be able to get the returns we need on this deal.
DC is very tenant friendly, so beware of TOPA. TOPA is some law that allows the building tenants to buy the building, there are non-profit groups around to help them.
Getting DC Section 8 renters out is a skill I don't have so, I wish you luck. Maybe someone can point you to some one who can help for a fee.
Cash for keys is the quickest and easiest. There are other options but that is usually the most effective.
Hello sir. You face a big challenge here. I dont have experience in real estate. In fact i start my very first steps now. I ahd alwys the same question spinning in my head. What i would have to do if i would buy a multifamily property or a house and its occupied and i need to rehab it? The only answer i received from the depths of my head was ... i will offer them to stay in a hotel and when they will come back their apartment will be like new. Air bnb is another option. Sometimes you need to do what it needs to get done. If it takes a week for every apartment to get rehabed its a good option. Air bnb is fairly cheap. Hotels might be a 100$ a night but you sleep mindless in terms of how they will left the apartment when they have to return to the complex. I hope that helps.
@Kyle Mitchell any update?
@Shadonna N. Thanks for checking in. The deal fell through on the last day of DD with the seller backing out actually. The plan was to do cash for keys on half the units and go from there but never got the chance.