Part 2 of why I love real estate, especially apartment buildings, the big lift!!

Renovations in apartment buildings pay big bucks. We have just completed a top to bottom renovation of our 2 story townhome style apartment in Beaumont Place. The renovation cost was $8700 and we were able to bring the rent up $275 from $975 to $1250 per month. What’s the big deal? Well this increase alone increases the value of the building by over $50,000! A very respectable 475% return on the renovation cost invested.

How? well this is the magic part of commercial real estate. The value of the property is based almost entirely on the income that it generates.  I anticipate that we will be able to raise rents by $200 per suite x 14 suites, which will increase the value by over $500,000! $200 x 14 suites x 12 months = $33,600. Capitalize that by 6% which is what apartments are selling for these days, and the big lift works out to $560,000.  This is a proven strategy for a win/win situation between tenants, landlords, and the community. The opposite method to make money in real estate of course, slum lording aka. cut expenses.  Stay tuned for part 3!

 

Beaumont Place Suite 107 before and after

Beaumont Place Suite 107 before and after

    Success Stories

  • Raleigh Square – Red Deer Alberta

    7180 Park Avenue, Red Deer, Alberta

    Purchased December 2017 for  $3,024,000 with a $2,740,000 VTB (90% for  3 years)

    Altyn Equities invested $200,000  and co-managed the venture

    Property was refinanced in September 2018 for $5,380,000, 8 months later!

    Approximately $1,000,000 invested for a value lift of over $2,350,000.

    Substantial Value increase in a short time frame by upgrading and raising rents accordingly.

    ROI: Substantial ROI - Please contact

    Sold for: Substantial - Please contact

    View Project ➝
  • Church Road – Spruce Grove

    200 Church Road, Spruce Grove, Alberta

    Will Purchase August 2018 $1,750,000 with a 75% loan @4.5% for 5 years

    Cash required $750,000

    ROI: Please contact for more information

    Sold for: Subscription filled - Currently Active

    View Project ➝
  • Mansard Terrace

    710 8th Street East, Saskatoon Saskatchewan

    Purchased October 2017 $1,470,000 with a 65% loan @3.25% for 5 years

    Cash invested $630,000

    ROI: Please contact for more information

    Sold for: Subscription filled - Currently Active

    View Project ➝
  • Marsin Apartments

    2440 Louise Avenue, Saskatoon Saskatchewan

    Purchased October 2016 $1,200,000 with a 75% loan @3% for 5 years

    Cash invested $420,000

    ROI: Please contact for more info

    Sold for: Currently Active

    View Project ➝
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