111 Hartwell St southbridge

Disposition Photos

This property was listed and sold through the MLS. The property showed great rental potential with the ability to convert both units to 3 bedrooms, 1 bath each. The house needed the works, but has proven to attract great tenants who don’t mind paying the higher price tag in exchange for a highly-efficient and spacious apartment.

Post-Rehab Photos

This property had was improved from the basement floor to the roof. New driveway, landscaping, MEPs, and full interior were overhauled. We will enjoy little-to-no capex and maintenance for years to come.

Project KPIs

Acquisition and Project Basics

Project Type: BRRR

Property Characteristics: Duplex, 6 total beds, 2 total baths

Location: Southbridge, MA

Acquisition Source: MLS

Construction/Improvement Timeline: 3 months

High Level Financials

Acquisition Price: $198,000

Rehab & Carrying Costs: $275,000

Appraised Value Post Rehab: $545,000

Value Created: ~$75,000 in free equity

Investment Metrics

Initial Purchase: 70% Loan to Purchase, private lender

Investor Returns: $10,000 in interest payments made to investor

Annualized Rate of Return to Investor: 12%

Refinance: Bank Cash Out Refi, 70% LTV – $381,500

Cash left in the project: $88,500

Gross Rents: $5,300 monthly

Return on Investment: 26% COC

Value Add Summary

High Level Scope of Work:

All new electric, plumbing, and gas HW baseboard
New roof, gutters, insulation, doors, windows, kitchens and finishes
Improved the grounds to allow ample parking, outdoor areas for dining and seating

Value Add Highlights:

Each unit had a bonus room that was completed into a 3rd bedroom.
In the basement we poured a new floor, added a 2nd entrance, and provided means for storage for both units.
No common areas – there is no “house” meter for electric or gas
Water is metered for each unit so ALL utilities are billed back.

Hartwell Street, Southbridge - Stabilized

Below are the photos of Hartwell Street after undergoing a complete remodel. Located in one of the nicer neighborhoods of Southbridge, this duplex will attract quality tenants for years to come.

Hartwell St Southbridge

Below are photos from this duplex project at the time of acquisition. This property had seen very little improvements in the last 40 years, however, it’s overall layout and structural condition were solid.

STATUS: Rent