Apartment buildings can be a major investment property, so they need to be renovated on a regular basis. Every well-planned renovation scheme can boost the ROI of the establishment. In this post, we bring you the best information on how to improve the value of an apartment building.
Sub-meter utilities
We have seen countless apartment buildings where tenants recklessly use utilities such as gas, water, and electricity. After looking at a couple of reports, we noticed a recurring complaint from landlords that tenants don’t pay attention to constantly running toilets if they don’t pay for water. That is why every investment property, especially an apartment building, must introduce sub-metering, one of the highest value-added activities. In accordance with this value-added activity, tenants pay for a public service.
Dryers and washing machines
One of the most requested amenities that come with almost every rental apartment building these days is a washer and dryer system. So if a property owner plans to add this specific service, the person should charge between $40 and $75 per month.
LED lighting
If you are a long-term buy-and-hold investor, then equipping a rental space with LED lighting is a complete no-brainer. That’s because the LED lighting system consumes little or no power. In addition, such a bulb even lasts almost 25 years, that is, it also saves a lot of maintenance costs.
Vending machines
The income generated by a vending machine that is located inside a rental apartment can improve the value of the property. If you are thinking of a couple of places within your apartment building where a vending machine could be placed, here is our advice.
- Use common areas, such as a parking lot, gym, or pool, to place a vending machine for snacks and drinks.
- You can even use a couple of other less frequented common areas, like the laundry rooms.
If the owners place a vending machine, they will receive a percentage of the revenue from the owners/businesses of the vending machine.
Parking Garage
Tenants can pay more easily if a landlord starts charging for additional storage space that serves as their ad hoc parking spot. By charging extra for a garage area, homeowners can easily and quickly earn more money.
parking voucher
Always reserve prime parking spaces in an apartment building garage for those who are willing to pay a premium price. The front and center spaces within a garage are in the main parking spaces, so you can charge for them accordingly. Renters generally prefer these special parking spots, so landlords can even put up a sign that says “Premium Parking Spaces for Rent” to attract more renters.
Renewals
This is quite conventional, and many homeowners swear by it as a great way to add value to their apartment buildings. Renovations can cover exteriors, common areas and interiors for increasing demands.
Garbage collection solutions
If an investment property has a full-time handyman, then the person can also be used to pick up trash. All residents hate carrying heavy garbage bags to nearby dumpsters. That’s why tenants usually look for someone who can haul such heavy, smelly garbage bags – here comes a maintenance guy to rescue them. Property owners just need to find a person who is willing to carry each other’s dirty bags. Typically, that person charges about $20 per resident for a month, and many residents (tenants) love this option.
pet rentals
If your tenants have pets and you’re not getting paid, then you’re exactly missing out on a lot of extra income. In some areas, pet rents are as high as $100 per month.
Other service bribes
Some owners of large apartment buildings contract with a cable or Internet service provider to provide their services throughout the complex. For this task, the owners receive a small part as a bribe each time the residents hire any of these particular services.
Due to these factors, it is necessary for owners to implement each of the tips to increase the value of their apartment building. Many of these excellent and practical tips can be accessed from the repository of every leading commercial mortgage lender.
