[keith] orlando, florida.
It's an international vacation destination,
And one of the hottest real estate markets
In the united states.
-I'm keith ori... -[loud smashing]
...And I've been flipping zombies in this city for years.
This is a $10,000 bet that you can repurpose into cabinets,
Basically today.
I recently reunited with my friend,
Investor, peter duke.
Oh yeah, I can see a duck right there in the roof.
That's money, dude!
This guy's all gas, no brakes!
There's a jack and jill bathroom in this house!
[keith] and along with design specialist, alynne cordray...
This room is great. I see an opportunity here.
Is somebody living here?
-Holy [bleep]. -...We're hunting down
Dilapidated homes in the orlando area,
And restoring them to their old glory.
-[smashing] -it's a dirty business...
-Whoa! -...But we make it look good.
That's gonna add, like, $25,000
-To the value of this house. -Surprise!
[keith] this is zombie house flipping, orlando.
[upbeat pop music]
-I love the chips at this place. -Oh, yeah.
So, what's up? What's the meeting about?
You were a little cagey on the phone.
Well, you know, octavian, our friend,
He does all of our real estate pictures
For our listings and that, right?
He's starting to flip houses on the side.
Oh, I didn't know that. Okay, cool.
I did some plans for him for a triplex.
-[keith] okay. Yeah. -He started the renovation,
And he's a little bit over his head.
And he reached out to me, and he's asking for some help.
He actually wants to know
If we'll partner with him on the house.
We pay for, and complete the reno,
And we split 50% of the profit after it sells.
He's already started this project.
Yeah. He wants us to put up the money
For the renovation, and the time.
So, basically, he's gotten himself in trouble,
And he's looking for some assistance, or something?
And he's done some demo.
[keith] what's the layout of it?
[alynne] so, it's a duplex out front,
And then it's got another unit in the back.
[keith] okay. What do you think the exit is?
If we sell it, what do you think it's gonna get me?
Well, he bought it for 320,000.
Since it's a triplex, and one of the only ones
That was grandfathered into the city,
It's actually a great investment for him,
If he can get it flipped.
A triplex is a great investment,
Because potential buyers like properties
That generate rental income.
So, he bought it for 320,000,
And he thinks he can get 900,000 for it.
-It's a high rent area, too. -Okay.
-Now you have my attention. -Right?
And what's a reasonable renovation budget
For the whole project?
[alynne] probably around 300k.
-300,000? This is a rental! -Yeah, it's three units.
The renovation budget is so high,
Because it is three units.
Could make a lot of money on this project.
More importantly, if this thing's already secured,
And in a great part of town,
You know it's gonna sell quickly.
[alynne] well, one caveat of this co-investment,
Is that octavian wants to be very involved.
He has a vision for this triplex.
[upbeat rock music]
Duke, octavian makes you look like me,
When it comes to perfectionism.
Oh, hell, no.
He over-engineers everything.
Like, the studio he built,
It's, like, fireproof, bulletproof, soundproof,
Every kind of proof there is, so I'm actually
Apprehensive about what that means on a house.
And we're gonna step into his shoes for three months,
And finish a job he started?
Well, I think he's probably gonna be in and out,
I don't think he's gonna be disappeared for three moths.
So, he's gonna look over our shoulder for three months,
-While we do... -[laughter]
...Perfectionist work in this house.
You don't find that appealing?
What a beautiful neighborhood.
[alynne] remember, delaney park is all single-family homes.
We're on our way to see one of the only triplexes in the area.
[duke] delaney park is so nice and so cozy.
It's all embraced with these beautiful, like,
Old growth oak trees.
These places, here, are a goldmine,
[keith] this triplex is located in delaney park,
One of orlando's historic downtown neighborhoods.
A triplex in this neighborhood is unheard of.
This is an area of single-family homes,
That would typically sell for around $400,000
If they're fixed up.
A triplex in this neighborhood
Is gonna cost more to fix up, but once it's fixed up,
The arv is gonna be a lot more, too.
Living in this area offers a dense, suburban feel,
But there are also lots of bars,
Restaurants and coffee shops.
Many young professionals live in the area,
And the public schools are highly rated,
So it's great for families.
Wait, this is the address.
[duke] that can't be the house.
Oh, [bleep]!
Are you kidding me? That's a...
That thing's a skeleton!
That thing is completely gutted.
-This is the project? -[alynne chuckles]
It's got a tarp for a roof!
This thing isn't even done with framing.
[keith] he took all the studs away.
There's no front of the house.
-This is... -This is a half-plex.
[keith] this triplex was built in 1947.
It has two apartments in the front,
And a larger apartment in the back.
Each unit is a one-bedroom, one-bathroom.
The two front units are 680sqft,
And the back unit is 1050sqft.
Octavian...
-Keith, man. -Hey, buddy.
-Thanks for coming. -What did... What did you do?
There were front doors before.
-[keith chuckles] -but if you look, there were...
There were termite-filled front doors, front walls,
Side walls, everything was termite infested.
Literally, if you take a hammer...
-You got a hammer here? -You happen to have one?
You touch pretty much any piece of wood,
You hear, "shoosh".
Literally, the whole house,
With the exception of the rafters
And the ceiling joists, were garbage.
Everybody asks, "why didn't you tear it down?"
this is a triplex,
With three separate electrical meters,
Three separate water meters, and the city
Will only allow me... If I tore it down,
-I can only have two. -That's the reason, right there.
-That's a massive reason. -Yeah, I got it.
The reason octavian didn't tear these units down
In the first place, is because, if he did,
The city, because of zoning rules,
Would only allow him to build two units,
Where there are presently three.
But, because there are presently three,
With three electric meters, he's grandfathered in,
And that means you get to kinda keep what you already have,
As long as you're rebuilding it.
That's smarter, and it's better for our bottom line.
-If it goes back to a duplex... -Whoa, whoa, whoa.
Don't lean on this too much,
'cause literally, this is holding up the whole house.
-Oh, that's safe. -This, and literally,
All the makeshift, uh...
-[keith] the entire... Wait. -The whole house is on stilts,
'cause we literally replaced all of the rim beam.
These 2x6s are hol... 'cause the whole house...
If you look from the other side it doesn't look as bad,
But yeah, literally, the whole house is...
[duke] there's a little cripple the whole way down,
All the studs are nailed to.
-The house was floating? -Uh-huh.
This zombie is actually worse than it looks.
Termites took this place totally down from the inside-out,
And now, it has to be completely reframed.
I can see why octavian needs our help, though.
This is a huge financial undertaking.
We gotta get down to brass tax,
And see if everything he wants us to do
Is gonna be worth it financially.
This is nice for your handrails.
[octavian] yeah.
This is brand new.
-I mean, all brand new wood. -[knocking]
It's all... You... That's old?
[octavian] [chuckles] this is old, yeah.
And you put an entirely brand new structure
-Underneath it, holding it up? -Yeah.
[keith] this triplex needs everything.
I mean, we're talking roof, plumbing, electric,
Air conditioning, walls, floors, kitchen,
Bathrooms, you name it.
Octavian, so this is all really amazing,
But what's the situation.
I need somebody to partner with,
In order to see it through to the finish,
And then also continue the standard of excellence.
-[chuckles] -right! [chuckles]
Alynne's told us, that if we do this deal,
Octavian is still gonna want to be very involved.
And I don't mind that,
Because he has a vision for this project,
And I think his input is actually
Gonna be pretty helpful.
Also, he has a relationship with the city on this project,
And that should help out.
We have to figure out, like, a value, there.
Like, what we would get out of it.
[duke] I think, with renovations,
We're looking at a total cost of around 300k.
We need to walk away with at least a 70k profit.
-Alright. -You got it, man
Thanks so much, man.
-[laughs] -hey!
[keith] after seeing this place,
And understanding what octavian has in mind for it,
I think we're looking at $300,000 for renovations.
Now, that's a lot more than I'm comfortable with,
But in this case, I think it might be necessary.
Octavian bought this triplex for $320,000,
Which is pretty much the same price
As a single-family home in the area.
He's now telling us the total renovation cost
Will be about $310,500.
After adding up closing fees and the loan interest,
We're looking at a total of $688,060
That we're expecting to spend.
So, it's important to stick to our budget.
We did the comps, and we're expecting to sell this triplex
For about $899,000,
Yielding a total profit of $210,940,
Which we're planning on splitting 50/50 with octavian.
First, we'll be putting up all new framing,
With room for the oversize windows
At the front of each unit.
Each unit will also have a roll of mass-loaded vinyl
That'll soundproof each one from the other.
And since this is an open floorplan,
We'll create an l-shaped kitchen
That'll open up into a living room.
Finally, we'll be building entirely new bedrooms,
With oversize windows that let in lots of natural light.
The first thing we have to do is reframe everything.
We're scrapping all the old rotten wood and boards,
And replacing them with new lumber,
That's getting placed into the new layout
We have for these apartments.
Once that's done,
We're installing hurricane straps,
And a lot of them.
Now, these are special fasteners
That tie the roof to the wall,
And give the house added stability
In the event of a hurricane.
Next, we're replacing all the old
And damaged roof rafters. At the end of the day,
This is gonna be an entirely new building
From the ground up.
[upbeat music]
The crew's installing the side sheathing,
In order to strengthen the walls,
And close the property in for security.
We've also been able to build a new roof, with new shingles,
And even started the porch framing.
The porch frame's made out of pressure-treated wood,
To make sure that it doesn't buckle in the florida humidity,
And it can withstand all the wood-destroying organisms
That we have.
So far, we've spent 30,000 on framing,
12 grand on walls and sheathing,
And god knows how much on hurricane strapping.
[lively music]
[alynne] so, you're just gonna connect this thing,
And then pull it with your truck.
-[keith] yeah! -This is all you.
-This is all me, okay. -Yeah.
[keith] in front of the third unit
Is this really ugly column.
It's gotta go. We've gotta take it out,
And make room for the new porch supports.
Alright, stand clear, now.
My truck has taken down way heavier cement blocks
That that flimsy little column.
Alright, let's see what happens.
[engine starts]
[engine rumbles]
Oh, [bleep].
-Come on! -Oh!
-Yeah! [chuckles] -yeah!
-[alynne] there you go. -That's awesome!
[keith] and now, we don't have to deal with it anymore.
To kick things off in the backyard,
We're getting a lot of baseline work done,
Such as digging a new trench for electrical,
Tearing down that unsightly carport,
And ripping out the old driveway paving.
Our tree guys are giving these big branches
A little trim, to make things ship-shape.
[chainsaw buzzes]
This'll give us a nice jumping-off point
To really do some cool stuff with the yard
And the landscaping.
[funky music]
[dial tone]
-[keith] hey. -Hey,
Have you heard about the storm?
Like, it totally changed directions.
It shifted course, yeah, no, I heard about that.
No, it's heading directly for us.
I'm looking outside,
And this just doesn't look good at all.
But, I have no time to make it to palmer.
I have got to get to my house,
Because I am so unprepared for this.
I've got palmer covered, I'm gonna head over there,
Make sure... Get the walls up,
Make sure all the hurricane straps are in place.
Obviously, there's a huge risk there
If we don't get the walls up.
Yeah, that is the property that I'm worried about.
It's our most exposed property,
And it's the one that we have the most to lose
If we have any damage, because if the city comes by
After the storm, and some of those walls are down,
They might not even let us build back the unit
They grandfathered in.
Well, I mean, there's a possibility
There wouldn't be anything left to grandfather in,
So no, I'm 100% with you.
Listen, I'm gonna head over there now,
And check on the state of things,
And I'll get back with you, uh...
Okay, well, I got kion coming there,
And we're gonna do the best we can,
But this is so unexpected.
So, thank you for going to look at that,
And let's just cross our fingers here,
-And maybe pray. -Talk to you later.
Okay, bye.
[rock music]
[keith] we had the triplex all buttoned up for the storm,
But I'm still kind of anxious to see how palmer fared.
Flooding and roof damage can be costly to fix.
We just spent thousands of dollars
On roofing and hurricane strapping.
So, we're meeting with octavian to assess the units.
-Octavian, hey! -[octavian] hey!
[laughter]
-It's still here? -Yeah, dude, thank god, right?
Of all the houses that we have underway,
This is the one I was worried about.
Luckily, all the sheathing was up.
I mean, we just cut the window opening,
So, you know, it was a big box.
[keith] I guess all the extra metal you insisted on
For the strapping...
-Yeah, I think it's literally... -...Worked.
...A thousand hurricane ties on this thing.
-[keith] a thousand? -This house is going,
-"what hurricane?" -[laughter]
So, yeah, made it through,
And all the extra stuff we did paid off.
Yeah, and even the roof, you know,
Instead of using the regular felt paper,
We used a peel and stick, and there was just, like,
A couple spots where it flapped open,
But other than that, it held super tight.
Can't wait to get on to the rest of it,
But it's coming quick.
We are so lucky this place
Didn't suffer any hurricane damage.
Looks like octavian's extra precautions
Are paying off.
[rock music]
-Hey, good morning, alynne. -[alynne] good morning.
I'm just getting a bit of a later start
Than I'd hoped, but I wanted to check in,
-See how things are going there. -It's moving along.
I know our initial budget on that project was 300k,
But I wanna make sure we don't get bogged down
With these details, 'cause I know octavian
Really has a high standard for what he wants there,
But as, sort of, a neophyte investor,
I don't want him to get too carried away
With ideas he's in love with,
That are just gonna eat into the bottom line.
In a best-case scenario,
The path is clear for a win in this deal.
I just wanna make sure that we kinda steer him away
From any of those worse choices, that might burn up time
And money, and not get us done in time.
I'll definitely do my best to steer him away,
Against traditional upgrades.
Okay, well, anything you need, I'm just a phone away,
So let me know, okay?
-Okay, sounds good. -Alrighty, thanks, alynne.
[upbeat music]
[alynne] the crew are continuing their focus
On finishing the walls.
They installed a mass-loaded vinyl,
Which will help soundproof all of the units.
[drill whirs]
Then a mineral wall on the exterior sides,
That will prevent pests from getting inside.
Finally, they'll get the insulation in place,
To bolster the walls in each room.
-[keith] hey, there! -[alynne] hey!
How you doing this fine morning?
Good.
Got a flooring sample,
So we can see it in our space.
-Okay, I can't wait. -Yeah!
[alynne] I've got some floor samples today,
So me and keith are going to measure,
And see how many boxes we need.
More importantly, we need to figure out
If we can stay on budget.
It's 25ft exactly.
-That's what the plans say. -[chuckles] alright.
And let's check out the width.
-163? Yeah? Okay. -Yeah.
So, we're... I mean, we're fully on point.
I just wanted to make sure we weren't off by a little bit.
-So, 680sqft per unit. -Right.
So, that's 1,360sqft...
-Right. -...Between both sides.
But, we still have the other unit out back,
That's 1,050sqft.
So, we're talking 2,410.
The material is gonna be around $4 for...
-$4 a foot? -Yeah.
And then, probably, another $3 to install.
That's $7.
So, we're talking around 15 grand.
What does that work out to be?
-16,870. [chuckles] -yeah.
For the flooring and installation.
17 grand is a lot for flooring a place like this.
The truth is, I could use tile, but tile would clash
With the upgraded windows we installed,
And alynne's amazing kitchen design.
So basically, it's a cost we can't afford not to spend.
What is that?
Is that fire-resistant foam around the fire blocking?
It's just an additional fire-proofing step
That we're taking.
We're fire-proofing the fire-proofing?
-Yeah. -What is that?
[alynne] that's some putty pads.
-For real? -Yeah!
This is a fireproofing material.
I've been doing this for almost 20 years,
I've never even heard of that.
-I'm following octavian's specs. -And wha--
That included this mineral wool.
This stuff is a really cool product,
And most people use it on the interior,
But it can also be used on the exterior.
And more expensive. Substantially more expensive.
-Is that mass-loaded vinyl? -Yes.
You're gonna be able to play music super loud
In both of these units, and nobody's gonna hear them.
Anywhere.
Keith is getting a little freaked out
Because of all the extras,
But he really needs to see the big picture,
And see that all these little extras
Are gonna up the sale price.
A lot of the nuances are things that are gonna
Get covered up, buried,
And we're not gonna be able to really
Communicate that to a buyer.
I think we're gonna get our money back
On all the little things we've done.
I don't think we'll come anywhere close to getting...
How do you get your money back for putty... Putt...
Plastic putty? Whatever.
How do you get your money back for that?
[keith] oh, god. I can't even believe this.
I do have a concern it's gonna erode our profit on this,
Because a lot of this stuff,
You can't explain a lot of this to a buyer.
Like, how do you explain that this cost, whatever,
-1000 extra dollars... -Well...
...To put putty on all the outlets?
But the bottom line is, is that this house
Is gonna be energy efficient, I think it's gonna have
A lot of features that you can actually recognize
In your pocket for a buyer.
The quality of the house overall should speak for itself,
'cause you can't go to these lengths,
And have it look like a run-of-the-mill spec home.
Our intended buyer for this triplex
Isn't the kind of buyer that we typically deal with.
We normally only flip single-family homes.
But with this being a triplex, it's gonna attract buyers
Who are looking for an investment property
That generates rental income,
Meaning that we can get a lot more for it
Than we would typically get.
Alright, well, let's go check out that third unit.
Octavian has some great ideas
For turning this property into a luxury rental property,
But it's also ambitious.
Even though we've had a few surprises
Come up so far in this flip,
Like soundproofing the walls with mass-loaded vinyl,
We're still on track to come in right on budget.
[lively music]
With the insulation and mass-loaded vinyl installed,
It's time to get the new drywall up
Throughout the house.
After that's been mudded and prepped,
A coat of white drywall sealer will tie things up
Until we can decide on some paint colors.
In the kitchen, we're adding clean white cabinets
To match the modern, smart-home vibe
Of this triplex.
[drill whirs]
And on the floors, we're laying down
This blonde lvp to create a polished look,
Without sacrificing durability.
[rock music]
-Hey. -Hey!
-Alright, how you doing? -Good!
-Cool. -Looks good.
Yeah, no, the floor came out great.
-It is a really nice, light... -Yeah!
...Almost like a scandinavian color.
So, I think it's gonna really pop with these cabinets.
Well, I think the finishes will appeal to everyone.
This is gonna go with anybody's style, I think.
Now, we can get this templated,
And we can get all the trim done.
For sure. Actually, speaking of trim,
I got some questions about the outside.
Take a look on here, on this side.
Alright, so...
You had mentioned about wanting to do
Two different kinds of siding, right?
Talking about, like, the panels?
Like, the four-bay panels, and doing the boards
Along the side, like, the cement boards.
-It's all gonna be cement board. -Yeah.
And at the top, we're just gonna do the 4x8 sheets,
And then separate it with a horizontal line.
And then, put all of the siding,
Just how you do it, just horizontally.
Do we have the colors picked out, yet?
We don't, because over here, we're gonna have the trim,
And then we're gonna put some stone up front.
So, that's what we're waiting for,
Is the... Once you have the stone picked out,
That's gonna, kind of, inform the paint choice?
Yeah, I'm gonna be looking for something,
'cause I kinda have some ideas about how I wanna do this,
But that stone choice is really gonna
Be what makes me make my final decision.
-Is that how designers work? -Well, yeah...
You need one and then the... That's a designer thing?
Uh, I call it "layering". You get one piece,
And then you design around it. [chuckles]
I've just been improvising all these years. Okay.
-Design 101. -You may know this,
But I didn't take design 101.
Alright, I can buy into that.
So then, the stone's gonna dye into the trim,
And we need to know how much of a reveal to provide.
I imagine we'll be able to get started on that pretty soon,
-We're pretty well prepped. -Yeah, yeah.
We just gotta measure and get our material here.
Alright, alright, cool. Alright, I'm gonna go
Finish up work inside, and I'll catch you later.
I'm gonna go check on the back unit.
-I'll see you. -Okay.
[keith] on the sides of the building,
Our crew's putting up that new wood-grain cement board siding
That alynne's gonna pick the color for.
[upbeat hip-hop music]
Alynne called, she said the siding's mostly done
-Over at palmer... -Oh, yeah.
...Which is awesome, because that means
We're really, really close to getting that house wrapped up.
Yeah, that was fast, too!
They just started that a few days back.
Well, it's not a massive amount of siding.
I mean, it's the sides on the front house,
And then the second floor on the back house,
But, you know, getting that done,
That allows us to go ahead and finish the rest of it.
Put the pavers down on the porches,
Put the brick on the front of the front house,
And the stucco on the bottom half of the second house,
And get that porch done.
But I mean, we're really, really close.
Yeah, at least the house won't look so naked
Once this is done, we can move on to getting it painted,
Finish out the landscaping and stuff.
Like, really, once the siding's on,
It unlocks the completion of the whole rest of the exterior.
Yeah, no, for sure, for sure. That's a big, big deal.
-What are we gonna list it for? -[duke] I think this house
Is gonna have a "one" in front of it when it's done.
-You mean a million dollars? -Yes.
-Wow, really? -You've got a triplex.
You've got the beautiful front thing,
Brand spanking new, a duplex, essentially.
Plus, the rear garage apartment, and in a great part of town,
That's just a short bike ride from downtown.
I mean, it's got all the right ingredients.
I would never have thought we could take a property
That we only paid $320,000 for,
And list it for $1m.
But duke's right,
This is a three family home,
And a buyer could rent out all three units
And make a boatload of cash.
[duke] the key to its value is the rent multiple.
And I think things now are better than ever, really.
-Okay. -Once we get it on the market,
We'll do some comps prior to listing,
Establish what that price is,
And if it sells for close to what we expect,
We'll be splitting a pretty handsome pot with octavian.
It's gonna be worth all the trouble.
This deal's gonna work out really nice.
Yeah, I'm seeing dollar signs like scrooge mcduck, here.
-That's, uh... -[laughs]
That sounds really appealing.
Well, don't count your ducks before they hatch, alright?
We'll be knowing soon enough.
[keith] and here we are.
And look at that siding!
[car doors open]
It's half done. [chuckles]
-Hey, good morning, alynne. -Good morning!
-[keith] hey! -The siding looks good,
If you have, like, you know, blinders on.
This looks great, but that and that,
Not so much.
I thought it was all done?
Well, that's gonna be stone up front.
-[duke] oh, got it. -[keith] right.
And the guys are in the back,
And they're doing the flooring,
And then they're gonna jump onto siding.
It'd be nice if they went straight through
With all the siding, and completed that first, right?
Well, we've gotta put stucco on.
-On the bottom. Here, too. -The bottom, over there,
-Gets stucco. -First, and then they wanna
-Put the siding above? -Yeah.
[duke] it's kinda jumping around a bit.
It'd be nice to wrap it up so we can move onto paint, yeah?
I know duke's eager to get done, and he can taste those profits,
But it's gotta get done in the right order,
So it doesn't wind up looking like a slapdash mess.
So, this stone cladding in the front, though,
-These are the samples, here? -[alynne] yeah.
-We narrowed it down to two. -[duke] okay.
Without a paint sample, how do you really know?
Do you guys have some samples up?
[alynne] well, the paint is gonna be blue.
It's actually a denim blue, it's really close to my jean.
Wait, what? Wait, you don't have...
-I got a picture. -It actually looks good.
I got a picture of it, too.
What? What is this? Like...
-But, I mean... Very blue. -Oh, that really...
-Yeah, it is really close. -[laughs] that's really close.
-So, yeah, there you go. -[laughing]
I like this. It looks contemporary,
But it still could be...
-Yeah. -...Timeless, you know?
It doesn't look like it's too on trend.
What's interesting is, with these windows
Taking up so much space, there's not that much siding
On the front of the house to begin with, right?
So, that's such... That's a nice, nice touch,
But it's not gonna cost us very much.
We're getting close to the finish line.
This is gonna be one of the last dumpsters we need.
Finish line... Finish line...
-[laughter] -moving the finish line!
[rock music]
[keith] with everyone in agreement,
We're finishing up our exterior facades.
To the back unit, we're adding stucco.
[drill whirs]
After that's done, we're installing
A brand new garage door with left side windows,
Giving it a sleek, contemporary look
And on the front units, we installed stacked stone
To the facades, to give them a high-end feel.
The front porch ceiling has been installed,
And painted haint blue, and the masons came through
With some pavers for the driveway.
Orlando seamless gutters are putting in brand new gutters
Around the perimeter of the house.
And, finally, the framework for the rear deck
Is almost complete.
Need to get going here. This is...
Oh, you're gonna get going, you're gonna prep for bill?
Yeah, no, bill doesn't really care for scaffolds too much.
So, I think bill's probably gonna supervise.
I can almost see the finish line in this house,
But there's still plenty of work to be done.
So, today, octavian's coming by to talk about landscaping,
And bill's coming by to help me finish the deck
On the rear unit.
These are gonna get cross-bolted...
Mm-hm.
-...Like that. -Okay.
We have composite decking for the top.
-Okay. -And... [sighs]
We got... You know, you can see we got
The garage door that octavian wanted.
-[alynne] mm-hm. -Wow, was that expensive.
But it does have little windows that match the...
Hey! Speak of the devil.
-Hey, progress! -We're almost there.
This is the last real thing that we have to do,
Is get the deck up, and then the landscaping, right?
[octavian] yes. The deck looks good.
The last piece of the puzzle, last major piece of the puzzle
Is landscaping.
-[keith] okay. -I have some ideas.
-[keith] uh... -[alynne] okay.
[octavian] I don't know much about landscaping,
All I know is, like, lots of trees
Is better than few trees.
So, what I was thinking is a row of trees,
From, obviously, the street,
All the way to where the pavers curve.
-That's, I mean, a lot. -All the way?
-All the way through here? -Yeah, whatever that is.
-What, ten? -How many are you... Ten?
Ten magnolia trees in here is gonna be super expensive.
That's, like, $3,000.
You used to be a city inspector.
They don't require ten magnolia trees, right?
They require, normally, two trees.
The house looks amazing, I want the landscaping to match.
Instead of regular grass, we can do sunshine mimosa,
-Which looks cool. -This is starting to add up.
I know we're trying to up the property value
Of this triplex, but this is insane.
What if we just get, like, regular hardy landscaping,
Like, drought-tolerant landscaping that isn't...
Like, special?
I want it to look [bleep] amazing.
The pavers look amazing, the house looks amazing,
The construction is amazing, [bleep].
I want the landscaping to be amazing, too.
[dramatic music]
[keith] what if we went with, sort of, uh,
Reasonably priced, and it was still pretty,
But maybe wasn't, like, top of the top of the top?
Well, okay, so we did such a great job
On the construction of this house
And it looks so amazing, like,
We can't skimp out too, too much on the landscaping.
[alynne] part of our initial deal with octavian,
Was that he was gonna be very involved
Every step of the way, but this is getting ridiculous.
Fruit trees? I have an idea for a plan.
Why don't I reach out to the landscaping place,
And find out if they have
This particular plant that I have in mind for this place
That's not gonna break the bank.
I'll do my best to be reasonable,
But there's nothing about this that...
-It's reasonable? -...I settled with the minimum.
As long as we don't have to wrap the trees in mass-loaded vinyl.
No. We'll have pale with red guard.
[laughter]
[keith] that'll be sufficient.
[rock music]
[metallic scraping]
[machine whirs]
[keith] it's crunch time, and we're hard at work
Putting the finishing touches on the inside of this triplex.
We're installing the quartzite countertops
In all the kitchens and bathrooms.
These countertops will not only give the place
A cohesive look through all the apartments,
They'll give a high-end feel to anyone wanting to rent.
Once that's done, we can install our appliances,
High-end dishwashers, stoves,
And a slim, sleek microwave,
So anyone renting this house can make popcorn in style.
[machine whirs]
In the bathrooms, we're installing
The same large format tile
As on the front of the kitchen island.
This not only gives the space one cohesive look,
It saves us money on material, too.
Finally, we're laying down a natural stone
Mosaic hexagon tile as our backsplash.
This honeycomb look blends nicely
With our countertops and cabinets.
[alynne] now, we're ready to move on to landscaping.
We're laying down some cypress mulch,
And setting up some new planters with natural ferns
And flowering blue daze plants.
And around the perimeter, we're laying down
Some gorgeous white stone,
Which complements the tabebuia trees
And white cradle plants.
[upbeat hip hop music]
It's staging day, and that means the house
Is getting ready for potential buyers.
[truck beeps]
Megan's moving is helping us by bringing some amazing decor.
Since both apartments mirror one another,
We're only staging one, which saves on cost.
And now, all we need to do is list it.
[rock music]
[duke] phew. Nice.
Whoa, we did alright!
Do you guys remember when we started?
This thing was like... It was levitating.
[duke] when I first saw it, it was a frame skeleton
-All around, with no walls. -[keith] yeah, yeah.
A roof that the shingles had been taken off of,
-And it was raining. -[keith] yeah.
[keith] now, it looks like someplace you wanna hang out.
Just such a dramatic transformation, I mean...
Holy cow. Even the rear unit.
[duke] that patio looks really classy, I love that.
[alynne] it really does.
-Hey, what's up, octavian? -Hey, octavian, man!
Wow, this place looks good.
-[duke] yes, it does. -Woo!
-Great to see you. -Ha ha!
Alright, great to see you, man.
What can you say? I mean....
I can say it looks fantastic,
And it should sell for a lot of money.
You know, you had the idea for stacked stone,
And alynne picked out some, I mean,
Amazing looking stacked stone.
Because there really wasn't a lot of real estate,
So it didn't break the budget in adding this upscale feature.
[keith] it feels like it had a very cohesive vision,
You know, it's finished in a very symmetrical way,
Very balanced, and a very high quality.
I think whoever rents this place's really gonna enjoy it,
And I think the investor that winds up buying it's
Gonna be really satisfied with their investment.
I'm dying to check out all the cool stuff on the inside.
-You guys wanna go look at it? -Yeah, for sure.
I'm pretty sure there's a lot to talk about inside.
Woo! Look at this place.
-It looks so good. -Ooh, yeah!
[keith] guys, it's just such a dramatic transformation.
-I mean... -[alynne] it was just all studs.
[keith] there wasn't even studs to speak of.
[upbeat pop music]
[alynne] so, this floorplan is really efficient.
That we have two mirror units, 640sqft each.
Each unit has one bedroom, one bath,
And they both have washers and dryers in them.
-That's really appealing. -[duke] that's a nice touch.
No, I think the kitchen's gorgeous.
It's so big for this size place, you know?
[alynne] this is more cabinetry than you'd see
In a standard unit with twice the square footage.
And this pantry is amazing.
It's a lot of extra space, that's good.
But, my favorite part is this island,
'cause this actually doubles as your eating space
For the unit, and this is quartzite.
So, quartzite is one of the newer products
For the solid countertops.
I love how the solid surfaces
Have so much movement in them now, you know?
I love these 4 inch cans, they're infibrite.
These are those cans that change color,
So if you have wifi, you can actually
Have each one have its own color.
Look, I don't wanna make light of that subject or anything,
But do you guys wanna go check out the rest of the house?
Dude, that's a dim pun.
Oh, man. You just turned me off.
Alright, let's go round the corner, here.
[keith] do you remember this wasn't even a room
When we first started?
There was nowhere for a bed,
An end table, a lamp.
It was just studs and a bare floor.
-[alynne] nice. -[duke] ooh.
-[duke] this looks good. -[keith] hey, guys, yeah!
What's your favorite part of the bathroom?
I love the led mirror.
I mean, that's always a great look,
And the way it just shines on your face,
It makes everybody's eyes pop.
It's a wonderful feature.
My favorite part is the glass block.
-That's a unique design. -[duke] yeah, it is!
-The diamond glass. -Yeah, it is, that's gorgeous.
Really great shower hardware, I mean, everything.
It's just super functional and works.
Well, I think there's still one more room here, right?
Actually, yeah, and don't overlook this laundry set up,
There's a nice full size stackable
Tucked into the hallway, right here.
-Nice bedroom here, yeah. -[keith] yeah.
It's pretty airy and bright.
For a single person, especially, this is just the right size.
We have the air conditioning unit here that you can,
Again, custom tailor to whatever temperature
You want in this room, which can be very different
From what you have in the rest of the house.
And you know what's out that back porch?
-Another unit? -More housing?
-Another unit. -[alynne chuckles]
Yeah!
[keith] remember this third unit?
Almost everything under the roof had to be replaced and rebuilt.
-[duke] there you go! -[alynne] here's our third unit.
-[duke] right. -[octavian] woo!
There's the mirror image of the other side of this place,
-Over there. -[keith] yeah.
[duke] sharing a back patio.
And man, this looks great, all the brand new pavers
Are down and everything.
The deck, when we first got here,
Remember the columns on it were concrete?
But they were just sitting on the slabs.
[duke] that's right. It was like an image of rome out there.
They were, like, tilting over and stuff.
[keith] yeah, the balcony's amazing, really.
That's extra rent just by itself, I think.
Come on, let's go tour this thing,
-I wanna check it out. -Okay, alright.
[keith] this upstairs was a nightmare.
I don't even remember it having walls.
[octavian] look at these stairs!
-[laughter] -wow, would you see that!
-That is so cool. -They sequentially light...
-I love that. -...As you go up.
That's almost like somebody saying,
"hi, honey. I'm glad you're home."
This is really, really a deluxe unit.
We're on the first floor of the unit three,
And we have the washer and dryer in here,
Tucked away, but perfectly accessible
Within this unit, right?
Office space.
Full bathroom.
This is fantastic.
We got the barn door for the closet.
That's as nice as the main house bathrooms there, too.
No, this is a great idea, having a bathroom down here,
'cause this could be a home office,
And then people don't have to go up into your living quarters.
Then we have the full garage next door,
And that's for this unit as well.
So, this is really, really a deluxe unit.
Sweet, let's go look at the upstairs.
Yeah, let's go up our space stairs.
You first. Ah, can you beat it to the top?
-Let's go! -[laughter]
Nice.
-Woo! -Woo, yeah!
[keith] you remember there wasn't a kitchen here, at all?
You couldn't cook dinner, let alone entertain a guest.
We put the kitchen on the top floor,
So that it's connected to the living space.
Ooh, I love that marble backsplash.
[octavian] oh, that's gorgeous.
Alynne picked out that, and...
-Is this... Quartzite. -Quartzite.
[keith] the blues,
With a little hint of green in them.
Yeah. This doubles... As in the front unit,
This doubles as the dining room, really.
How many square feet is this?
This one's 1,060.
Yeah, so it's nearly double the size of the front unit.
So, there's quite a bit more going on here
This is sharp.
Yeah, it's a tidy eat-in kitchen here for three,
And if you had more people join you,
You could go out here to the living room
-Or onto the balcony, you know? -[keith] yeah, for sure.
-More space. -Oh, I love this.
I think the living room came out so well,
And with the space we have here,
I mean, you have everything you need.
No, it's a great space for the tenants.
You have your... You're gonna have a couch there.
The wall, we have the cat7 cables,
You know, right on the wall, for a wall mounted tv.
It's a wonderful space.
[alynne] and I love this right here,
It provides a little bit of privacy,
A little bit of an entrance.
And then, over here, we've got the bathroom.
And this is finished really, really nicely.
Beautiful, 'cause it's a spitting image
Of the bathrooms in the front units.
It has all the choices that we love,
And it has the glass block with the natural light.
-It's perfect. -[keith] and the led mirror,
Which I love.
So, we're in good shape, here.
The primary bedroom, though, is that part...
[duke] wow. Oh, wow, look how big it is!
-[keith] yeah, this is... -This is everything.
[keith] this is deluxe, guys.
Especially, compared to the rest of the units,
There's so much space, right?
You have the upstairs here, and the downstairs,
So this unit commands a lot more rent.
Plenty of windows on all the walls.
No, the wall-mounted tv.
Again, the electric for the power window shades.
The dedicated air unit for this unit,
So you can have the temperature in here
As cool as you want at night.
Looks like this house has all the pieces put together,
You know, I really don't think we left anything unturned
-On this project. -I think we hit a home run.
-We did, I'm very happy. -[duke] that's right.
Uncommon materials for an uncompromising build.
And I think we got it there, so...
Let's let the market be the judge of that, you know?
Let's talk over the numbers,
See what we should list this place for,
And finally see if it's worth everything we put into it.
-[laughing] -yeah?
Yeah, I think it's about that time.
-Let's talk turkey, come on. -Alright.
[keith] alright...
Watch out, I'm gonna have a seat.
[duke] time to talk numbers.
We're thinking we're gonna list it now, maybe,
-Like, one... -One-two.
-One-two? -Yeah, we start there,
You can always come down, and see what bites.
If we need to adjust the price down, we'll do so.
Yeah? What do we have in this project, anyways?
We bought this place for 320,
And the receipts are still trickling in,
But we're talking about a little over 400 grand so far
-For the renovation budget. -Mm-hm.
So, if we sell this place for 1.2,
I mean, you're talking about $450,000
Net profit, split between us.
I don't wanna count the chicks before they hatch.
That's a huge number, gonna be some costs on that,
The expenses are gonna come in a little higher,
There'll be concessions, but it's a healthy
Six-figure profit at the end of this project.
It's a lot of money, but there's also
A lot of blood, sweat and tears.
We can't sell blood, sweat and tears, though.
We gotta focus on the money.
Let us know next time you're ready to partner, okay?
-First, let's get this one sold. -Alright, thank you.
-Hey, it's been fun, man, -great job, guys.
Go out and celebrate. Tomorrow, we're listing.
Alright.
This triplex took a lot out of us,
But I'm happy that octavian had us go above and beyond
On the details, because it was appraised
Way higher than we expected.
We originally planned on selling this house
For $899,000.
But because the market has improved,
Coupled with octavian's perfectionism,
We can actually justify a listing price of 1.2m.
After purchasing it for $320,000,
With a renovation budget of $402,339,
Realtor and closing fees at 60,000,
And loan interest coming in at $14,447,
Our total cost came to around $796,786.
If we sell this for our asking price,
We're looking at a potential profit of over $403,214.
[rock music]
For our first triplex, it wasn't that bad!
Even one of something, or three of something,
In one location, I mean, it's a little bit more work,
But it is a little less work than doing three houses
-In three different locations. -[laughs]
It is that. It is that.
Now, I'm really surprised, um, at how smooth it went.
Octavian definitely threw a bunch of curveballs in there,
But, at the same time,
If I never see another house that needs mass-loaded vinyl,
Or mineral wool throughout,
Or the silly putty on the outlets,
I'll be just fine with it.
Well, maybe this next one won't need all of that.
Next one, what?
Well, I did get a phone call from octavian,
And he has another project in mind.
-[laughs] what? No! No! -[laughs]
It is a single family, I do know that much.
-There you go. -So, I'll just let him know
That he can do this one on his own,
And maybe call us for the next one.
Alright, sounds good.
-Sounds good? -Yeah.