At Venus Venture, we specialize in unlocking hidden value — and nothing showcases that better than our favorite turnaround project to date. What started as a vacant, neglected building in a forgotten part of town quickly became one of our most successful value-add investments.

This is the story of how we transformed a troubled asset into a thriving, income-generating property — and how strategic vision, careful planning, and hands-on execution turned challenge into opportunity.

The Property: A Forgotten Gem

The property was a 12-unit multifamily building located in a transitional neighborhood on the edge of a growing metro area. On paper, it looked like a risk:

  • 100% vacant
  • Years of deferred maintenance
  • Dated interiors and exteriors
  • No recent upgrades
  • Uninvolved absentee owner

But we saw what others didn’t — location potential, structural soundness, and a path to repositioning that could deliver strong cash flow and long-term appreciation.


The Acquisition

Thanks to our broker relationships, we were able to secure the property off-market at 30% below comparable sales. The seller was motivated, tired of managing the property from out of state, and willing to close fast.

We conducted intensive due diligence — inspecting plumbing, electrical, foundation, and zoning — and confirmed that while the building needed work, the bones were solid. It was a classic “diamond in the rough.”


The Turnaround Plan

Our business plan had three main phases:

1. Renovation & Repositioning

We invested roughly $450,000 into:

  • Full interior remodels: new flooring, appliances, cabinets, lighting, and bathrooms
  • Exterior upgrades: new paint, roof repair, landscaping, signage, and security lighting
  • Utility modernization: plumbing updates and individual metering for tenants

This not only raised the aesthetic and functional value of the property, but also reduced long-term maintenance costs.

2. Leasing Strategy

We partnered with a local property management firm to:

  • Market the units to working professionals and small families
  • Offer move-in incentives for early leases
  • Set competitive rents with gradual increases planned

All 12 units were leased within 90 days of renovation completion — at 22% higher rents than originally projected.

3. Stabilization & Refinancing

Once stabilized, we refinanced the property based on the new NOI and appraised value, which had increased by over 60% from purchase. The cash-out refinance returned over 80% of our initial capital, which we redeployed into our next project.


The Results

Here’s a snapshot of the financial outcome:

  • Purchase Price: $960,000
  • Renovation Cost: $450,000
  • All-in Basis: $1,410,000
  • Appraised Value (Post-Renovation): $2,250,000
  • Annual NOI (Stabilized): $165,000
  • Cap Rate on Cost: ~11.7%
  • IRR (5-Year Projection): 21%+

This project didn’t just beat expectations — it became a blueprint for future Venus Venture projects.


What Made It Work

The key to success wasn’t luck — it was our process:

Disciplined underwriting to identify hidden value
Hands-on renovation oversight to control costs and timelines
Proactive leasing strategy to stabilize quickly
Creative financing to maximize returns and reduce capital lock-up

We took a forgotten, underperforming asset and made it a cornerstone of the neighborhood’s revitalization — delivering strong returns for our investors while improving local housing stock.


Final Thoughts

Turnaround projects like this are what Venus Venture was built for. We don’t chase the obvious deals — we create value where others see risk. From neglected to needed, from vacant to valuable — this is how we turn potential into performance.

Whether you’re a seasoned investor or looking to diversify into real estate, projects like these show what’s possible when you combine vision, experience, and execution.

Ready to explore your next high-potential opportunity? Join us.

Leave a Reply

Your email address will not be published. Required fields are marked *