Apartment owners in Texas and Oklahoma face a critical decision every year: which renovations will actually increase revenue, and which are just expensive vanity projects? At UTS BuildPros, we have completed multifamily renovations on over 200 units across Dallas, Fort Worth, Houston, Oklahoma City, and surrounding markets. We track every project's costs, rent increases, vacancy changes, and operating savings. Here is what the data actually shows about which upgrades pay off — and which ones do not.
Kitchen Renovations: The Highest-Impact Upgrade
Kitchens consistently deliver the highest return on investment in multifamily renovations. In our tracked projects across Texas and Oklahoma, units with updated kitchens command rent premiums of $75 to $150 per month over comparable units with original kitchens. For a 100-unit property, that is $90,000 to $180,000 in additional annual revenue.
The key is knowing where to spend. Full kitchen gut rehabs — new cabinets, countertops, appliances, flooring, and lighting — run $8,000 to $15,000 per unit but deliver the highest rent premiums. Strategic kitchen refreshes — cabinet refacing, new countertops, updated hardware, and modern lighting — run $3,500 to $6,000 per unit and still capture 60 to 70 percent of the full-gut rent premium. For properties with limited capital, the strategic refresh is often the smarter play.
Material choices matter for durability and tenant satisfaction. Quartz countertops outperform granite in rental properties because they resist staining and do not require sealing. Shaker-style cabinets in white or gray finishes have the broadest tenant appeal and photograph well for online listings. Stainless steel appliance packages — even entry-level brands — signal quality to prospective tenants and justify higher rents.
Bathroom Updates: Second-Highest ROI
Bathrooms are the second most impactful renovation for rent increases. Updated bathrooms command premiums of $50 to $100 per month depending on the market and the scope of work. In competitive submarkets like Uptown Dallas, Deep Ellum, or Oklahoma City's Midtown, modern bathrooms are essentially table stakes — tenants expect them, and properties without updates struggle to compete.
The most cost-effective bathroom upgrades include replacing dated vanities with modern floating or furniture-style units, upgrading to large-format tile or luxury vinyl plank flooring, installing frameless glass shower enclosures or updated tub surrounds, replacing old toilets with water-efficient models, and updating lighting to LED vanity fixtures with warm color temperatures.
A full bathroom renovation runs $4,000 to $8,000 per unit. A strategic refresh — vanity, toilet, lighting, and flooring only — runs $2,500 to $4,500 and captures 70 to 80 percent of the rent premium. We typically recommend full renovations for master bathrooms and strategic refreshes for secondary bathrooms in two-bedroom and three-bedroom units.
Flooring: The Workhorse Upgrade
Flooring is the most frequently needed upgrade in older multifamily properties, and it delivers solid, predictable returns. Luxury vinyl plank, or LVP, has become the standard for rental properties in Texas and Oklahoma because it is waterproof, scratch-resistant, easy to clean, and costs $3 to $6 per square foot installed. It looks like hardwood but performs better in rental environments.
Carpet replacement with LVP in living areas and bedrooms typically increases rents by $25 to $50 per month. In our data, LVP also reduces turnover maintenance costs by 30 to 40 percent compared to carpet because it does not stain, does not hold odors, and does not need replacement between every tenant. Over a 10-year ownership period, the total cost of ownership for LVP is lower than carpet even though the upfront cost is higher.
Tile remains the best choice for bathrooms and kitchens in high-end properties. Large-format porcelain tile — 12x24 or larger — looks modern, is extremely durable, and resists moisture. Installed cost runs $6 to $12 per square foot. For budget-conscious renovations, we sometimes recommend keeping existing tile if it is in good condition and updating grout color instead.
Exterior and Curb Appeal: The First Impression Factor
Exterior renovations do not directly increase unit rents, but they dramatically improve leasing velocity and reduce vacancy. Properties with updated exteriors lease 20 to 30 percent faster than comparable properties with dated facades. In markets with high vacancy rates — like some Houston submarkets during oil downturns — curb appeal can be the difference between 85 percent and 95 percent occupancy.
High-ROI exterior upgrades include fresh paint in modern color schemes, updated entry doors with smart locks and modern hardware, balcony or patio resurfacing and railing replacement, landscaping refresh with native Texas and Oklahoma plants that require minimal irrigation, parking lot resurfacing and striping, and updated signage and lighting for the property entrance.
A full exterior renovation for a 100-unit garden-style property runs $150,000 to $300,000 depending on size and scope. While this does not generate direct rent premiums, the vacancy reduction and faster lease-up typically pay for the investment within 18 to 30 months. We always recommend exterior work as part of a comprehensive renovation strategy, not as a standalone investment.
Amenity Upgrades: Community-Level Returns
Unit-level renovations increase per-unit revenue. Amenity upgrades increase revenue across the entire property. A renovated leasing office, upgraded fitness center, or new pool deck justifies higher rents for every unit — renovated or not. In our tracked projects, properties with significant amenity upgrades achieved 5 to 10 percent higher overall rents than comparable properties with only unit-level renovations.
The highest-ROI amenity upgrades in Texas and Oklahoma markets include fitness center equipment refresh and expansion — $25,000 to $60,000, pool and outdoor amenity renovations — $40,000 to $120,000, package locker systems — $15,000 to $30,000, dog parks and pet amenities — $10,000 to $25,000, and co-working spaces or business centers — $20,000 to $50,000. Smart home packages — programmable thermostats, smart locks, and Wi-Fi-enabled lighting — are increasingly popular and can justify $25 to $50 per month rent premiums.
Energy Efficiency: The Hidden Profit Driver
Energy-efficient upgrades reduce operating costs, which directly increases net operating income and property value. In Texas, where summer cooling costs can exceed $150 per unit per month, energy upgrades have outsized impact. LED lighting conversions reduce common area electric bills by 50 to 70 percent. Low-flow plumbing fixtures reduce water bills by 20 to 30 percent. Programmable and smart thermostats reduce HVAC runtime by 15 to 25 percent.
Window replacement is the most expensive energy upgrade but also one of the most impactful. Replacing single-pane or old aluminum windows with modern vinyl double-pane windows reduces heating and cooling loads by 20 to 35 percent. In a 100-unit property, that can mean $15,000 to $30,000 in annual utility savings. With window costs of $300 to $600 per window, the payback period is 8 to 12 years — longer than most owners hold a property, but the increased tenant comfort and reduced HVAC maintenance costs add additional value.
What Does Not Pay Off: Upgrades to Avoid
Not every renovation is a good investment. In our experience, the following upgrades rarely generate positive ROI in Texas and Oklahoma rental markets: high-end custom finishes like marble countertops or hardwood floors that get damaged by tenants, wine refrigerators and other niche appliances with high repair costs, elaborate built-in shelving and custom millwork that limits furniture placement, oversized or overly complex landscaping that requires expensive maintenance, and swimming pool additions — which cost $80,000 to $200,000 and add significant liability and maintenance expense.
We also caution against over-improving for the submarket. A $20,000 per unit renovation in a Class B submarket will not command Class A rents. The market sets the rent ceiling, and exceeding it with luxury finishes just means longer payback periods and lower returns. We always start renovation planning with a competitive market analysis to identify the rent ceiling and work backward to determine the appropriate renovation budget.
The UTS BuildPros Approach to Renovation Planning
Every property is different, and every market is different. Our renovation planning process starts with a property assessment, competitive market analysis, and financial modeling. We identify which upgrades will generate the highest rent increases and fastest lease-up in your specific submarket. Then we create a phased construction plan that minimizes vacancy disruption and preserves cash flow.
For a typical 100-unit property in Dallas or Oklahoma City, we recommend a renovation budget of $800,000 to $1.5 million depending on property age, condition, and competitive positioning. This typically includes unit-level kitchen and bath updates, flooring replacement, exterior refresh, and strategic amenity upgrades. Properties that execute this level of renovation see rent increases of 15 to 25 percent and occupancy improvements of 5 to 10 percentage points within 12 months of completion.
If you own or manage a multifamily property in Texas, Oklahoma, or Arkansas, contact UTS BuildPros for a free renovation ROI analysis. We will assess your property, analyze your competition, and build a renovation plan that maximizes your return on investment — with real data, not guesswork.