Updated over 5 years ago on .
5 Units Buy and Hold 2/1/2018
Investment Info:
Large multi-family (5+ units) buy & hold investment.
Purchase price: $365,000
Cash invested: $525,000
This property was purchased as a 4 family dwelling with a commercial kitchen which was used by the Knights of Columbus. The goal was to turn this into a fully residential use (5 total units). We received the variance and will be installing a parking lot to allow for 2 parking spaces per tenant, Re-siding the building, and converting the first floor space into 2 roughly equally sized 2BR units. Shelton is a great city to work with in all aspects, which is one of the reason we invest there.
How did you add value to the deal?
This process of getting my zoning variance by the ZBA board started in 2018, and was just finally completed in 2020. The totally stabilized finished product will produce roughly $7400 in rental income. My total cost on the project will be $675,000, which is decent, but not great, IMO, and hits the 1% rule
Lessons learned? Challenges?
It was very difficult to get this done, and learned a tremendous amount from the experience. Lesson Learned : Choose your zoning attorney wisely.
