Lima One works with borrowers across the country on multifamily bridge loans designed to help them achieve their overall real estate investment strategy. In this case, a real estate investor in Arlington, Texas reached out to Lima One in order to refinance his 4-building, 16-unit property in the Dallas/Fort Worth MSA.
The investor’s ultimate goal is to improve both the interior and exterior aesthetics with heavy building-by-building rehab to improve the quality of this Class B property in order to rent to qualified tenants who are looking for high quality affordable housing.
Adding Value to the Multifamily Property
Contractors told this investor it would renovations would take between four and six months to renovate all units – adding new flooring, countertops, ceiling fans, painting each unit, upgrading toilets and show fixtures, installing new windows, and repairing the roof on each building.
With these renovations complete, the investor will focus on raising unit rent. Currently, rent in this multifamily property is significantly below market levels. The upgrades funded by this multifamily bridge loan will allow the investor to increase the rents and bring them to current market levels, improving profit over the long term.