Another Question on Renovation Costs

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Guest User | 5 years and 3 months ago

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sqhaexgkh | 9 years and 2 months ago

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Yes, a shell rebuild 100% (only kept the 4 exterior walls, but no fancy opening up of the back wall for instance). Had to put in new joists (which was a significant part of the price going up from 300 a sq foot). We knew we were doing a full gut, so there were certainly less unanticipated costs, but the joists were a killer. 3 story brick home (though half the unfinished cellar was calculated for the price per square foot because they technically had to work in there as well, so keep that in mind). We have one kitchen, 3.5 baths. We used a company that hires their own architect/expeditor, so those costs were all wrapped up in the quote we got. Definitely not the cheapest contractor out there and they worked with us on price (would have liked to charge more), but did a great job. We did not solicit other bids. The home we lived in before, purchased from a developer who used cheap labor, was a total mess and this company helped us fix the problems. That experience taught me to go with someone you trust and get it done right the first time.

cate | 9 years and 2 months ago

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@xprometheusx correct those $250 to $300K renovations in Central Brooklyn are most certainly not as extensive as what CarmenF is describing — not even close. They will involve wholesale replacement of mechanicals and upgraded baths and kitchens, but typically not full guts and only additional bits of structural and other things here and there. Definitely no manager, maybe not even an architect, maybe just a licensed GC. . For example — an example of a structural bit we did — in the cellar, we sistered a bunch of joists and replaced 1/4 of the main beam and put in two new footed columns, but that was actually pretty minor work and not particularly expensive (a few thousand). The reason was termite damage. . Our floors slope a bit but it’s not something we want to change.

soundhoner | 9 years and 2 months ago

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This is probably a tangent worthy of a totally separate thread, but .. if one is wearing an investor’s hat, spending 500,000 for a sweeping luxury renovation makes no sense. If I’m wearing a family-having, owner-occupier’s hat, then maybe it makes sense. If one does a whitebox renovation, one can get the desired rental income based on ‘core’ aspects of the unit. Number of bedrooms. It better have a dishwasher? Does it have a washer and dryer? Oh, the recessed lighting looks nice. Hm, floor is a little slope but this is an old house, so we can live with that. What do you think, honey? Oh, it’s how far from the train? Nice. When people bust out designers, project managers overseeing architects overseeing GC’s, and 300 a square foot budgets for rentals, I question their economic sense. What’s that caesar stone, custom drop lighting, intricate tiling in the bathroom and central A/C netting you more a month. 2-300 bucks? It’ll take you a decade or more to recover what you’ve paid your pyramid of experts for the luxuries. And not to mention you better hope your renters don’t damage your expensive investment. I’m facing this issue right now on one of my floors. I’d *LOVE* to turn it into a condo-finished, classy little pad. Compete against the other rentals in the area, there are brand new buildings with these finishes. But the math doesn’t pan out when I think about the rental income I’d get. I can tell because I know what my neighbors pay for rent, and I know what these new luxury buildings are asking, and folks, I can tell you it’s barely a few hundred dollars a month. Given $500,000, if I had that much, I’d throw 150 into the project and use the rest to finance the purchase of another building. That’s the long-term view. All that to say, I really hope straightening my floors doesn’t cost anywhere near the budget numbers being paraded around these forums! Or my future tenants are going to be using folded cardboard to keep their furniture level. 🙂

mhquinones | 9 years and 2 months ago

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Thank you again everyone for sharing your experiences and advice. Sorry for my delayed responses, work has been crazy. I think I have a much better picture of the costs that will be associated with doing this project. I will probably only do the full gut/restoration work on the duplex I will be living in and a much more cosmetic renovation for the two rental units. Time to start getting the finances in line. If anyone has any contractor suggestions (both for the gut, and for a more cosmetic job), I would really appreciate it.

carmenf | 9 years and 2 months ago

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xprometheusx I really love our contractor so far (as I said, we’re a bit more than 50% done.) You have my email if you’d like a recommendation.

jonbklyn | 9 years and 2 months ago

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we’re about 4 months into a large-scale renovation with @curated. you will be doing yourself a real disservice if you don’t contact them to bid on your project. while i can’t give feedback on the final product yet, the process so far has been exceptional — and they’ve been involved from the beginning of our house search through design, demo + construction. they have yet to miss a deadline and any email i send will always get a response the same day. best of luck to you!