All Forum Posts by: Corey Mika

I just want to start this with I will consider any and every advice that anyone gives me, I'm a sponge so please anything will help! This is in Texas, I acquired a 20 unit motel the business failed and I got it for very cheap well under 100k, but I've never remodeled something so big. I paid cash so there's no debt on it right now, and I have about 200k left in cash which I hope will be enough to remodel and stabilize it. There's a lot of ideas I have which I'll say before I start asking for help so everyone can tell me what would actually be better. 

My experience is that I own a few single family homes all paid for and all in long term rentals. 

my idea is to remodel it and combine the 20 units into 10 unit 2 bed 1 bath apartment style units for some affordable housing. There's a few meeting rooms since it was motel before and i was thinking doing some laundry and storage for some extra income. 

now for the questions part:

1. Is this even a good idea to remodel and combine units? Or try to basic remodel into studios? 

2. In what order should I talk to people? (City zoning, remodeler, property manager, agent if neccessary)

3. When you give the order I should talk to these people, is there good questions I can ask them so I can understand if the person I'm talking to is a good team member I should use?

4. Is there loans i should get pre-approved for just in case the 200k for remodel isn't enough? (Construction loan or something?) I use the one brokerage so what you tell me I'll just go to those guys to do it

thank you thank you thank you I need all the help I can get!!!

I acquired a pretty run down 20 unit motel that used to be a nursing home before it was a motel. It once appraised for a little over 3 million when it was a nursing home. I have it free and clear with no debt on it, but was thinking about remodeling it by combining every 2 rooms to make about 10.5 units but make them 2 bed 1 or 2 bath apartment style rooms. It's in texas and it's a smaller subdivision very close to a large city and was wondering if anyone had some recommendations on:

1. Does my idea of converting and combining the rooms to long term rentals makes sense?

2. What's the order I need to talk to people? (City zoning board, remodeler, property manager, agent if neccessary)

3. Is a construction loan worth looking at for getting some assistance with remodeling? I have a good amount of cash to remodel it, but want to have all my ducks in a row so I dont run out. About 200k

thank you thank you thank you whoever answers I will try and sponge everything up!

as far as my experience i have had one free and clear rental for the last 7 years and have not expanded. I would have never looked into this stuff if it wasn't for my dad passing away and leaving me the house. I think im finally ready to make a big leap and change how things go for me.