Chicago Multi-Unit Rehab
The most common mistake investors make when upgrading a multifamily investment property is failing to upgrade based on the tenants’ lifestyles.
If you own a Class B or C building, it’s unlikely your tenants will want luxurious amenities since those will cost an extra several hundred dollars a year more.
Even if your tenants can afford better amenities, adding the wrong amenities can not only fail to add value but can also anger tenants, who feel the money should have been spent on more important projects.
MULTI-UNIT REHAB CUSTOMER REVIEW
I enthusiastically recommend Sebastian Micle of New Explode Construction INC for the construction/rehab work. It is a very challenging job to find a good general contractor with good price and quality. In 2008 we purchased an old building at the Hyde Park area, and that building needs a substantial amount of rehab work. At that time we had no knowledge/experience on rehab, only know that the water of rehab business can be quite deep: you could spend huge amount of fund, and the work could be done poorly. To rehab our building, we have interviewed about 10 general contractors (including Sebastian), and we asked them the following questions: what projects they have finished; the planned timeline and the actual finish date; how to prepare city inspections; the budget control issue; choice of contraction materials; choice of sub-contractors; among others. Based on the inputs from the 10 general contractors, we decided to hire Sebastian. He has an educational background in engineering and a good past rehab/new construction experience. He very carefully checked the building condition and recommended things to be done, according to the priority. Given our budget, he carefully wrote an excellent proposal on what goals can be achieved, and the timeline of the project. We are glad that we made the right decision. Sebastian successfully completed the project and passed City inspections. Representative of our lender (a local community bank) came and was also impressed by Sebastian’s project. Due to its good quality, we easily rented it out: the tenants like the building. During the one-year warranty after the project, Sebastian paid close attention on the building. Due to the excellent rehab work, the maintenance is quite easy. Sebastian carefully performed the rehabbed project as if it were his own property. With the successful experience from our first building, we purchased other properties, and the rehab projects were also carried out satisfactorily.