MLS Sleeper Turned Company Headquarters

[Mark Updegraff]

Investment Info:

Office Space buy & hold investment.

Purchase price: $170,000
Cash invested: $200,000

We transformed this overlooked MLS sleeper into the headquarters for Updegraff Group Realty and Updegraff Management. The building was taken back to the studs, fully spray foam insulated, and rebuilt with a modern office layout, glass conference room, private offices, collaboration space, custom white-washed oak built-ins, detailed tile work, and a showcase kitchen.

What made you interested in investing in this type of deal?

I was interested in this deal because it let us turn an underutilized building into both a functional investment and a brand asset. As a broker, investor, and operator, I like projects where we can create value through vision, design, construction, and long-term use. This building gave us the chance to improve the asset, occupy it with our own companies, and control the space long term.

How did you find this deal and how did you negotiate it?

This deal came from the MLS, but it was a sleeper most buyers overlooked. It was listed commercially, the photos were weak, and the listing did not show the building's potential. It only attracted one other offer. We saw the value in the location, structure, and future use, moved quickly, and wrote a clean offer with strong terms that gave the seller confidence.

How did you finance this deal?

We bought the building with cash and paid cash for the renovation, which gave us speed, certainty, and control. By avoiding construction loan delays, we could execute the vision without lender constraints during the rehab. Once the project was complete and stabilized through leaseback to our operating companies, we refinanced with a local lender and cashed out a portion of our capital.

How did you add value to the deal?

We added value by taking a poorly presented, underutilized building and fully repositioning it into a modern office asset. We brought it back to the studs, spray foam insulated the envelope, and rebuilt the interior with private offices, collaboration space, a glass conference room, custom white-washed oak built-ins, detailed tile work, and a showcase kitchen designed around how our companies actually operate.

What was the outcome?

The outcome was a fully repositioned office building that now serves as headquarters for Updegraff Group Realty and Updegraff Management. We turned an overlooked MLS sleeper into a modern, efficient workspace with private offices, collaboration space, a glass conference room, custom built-ins, detailed tile work, and a showcase kitchen. We also stabilized the asset through leaseback and refinanced after completion.

Lessons learned? Challenges?

The outcome was a fully repositioned office building that now serves as headquarters for Updegraff Group Realty and Updegraff Management. We turned an overlooked MLS sleeper into a modern, efficient workspace with private offices, collaboration space, a glass conference room, custom built-ins, detailed tile work, and a showcase kitchen. We stabilized the asset through leaseback and refinanced after completion.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Yes. We worked with a strong local team of construction, lending, and trade professionals who helped bring the project to life. We also leaned heavily on our own real estate, construction, and property management experience through the Updegraff companies. Acting as owner, operator, and end user helped us move quickly, make practical design decisions, and manage the renovation with the finished use in mind.