ONE BIG FLIP: A Dilapidated House turns into a Dream Home

By Vanessa Velasco

(published in Manila Bulletin, 26 October 2008)


It was once a house you would not normally buy. Old and abandoned, its white walls were stained with a dull gray color, and the interiors were a muddle of rusty metal posts, cracked lumber walls and torn wallpaper. The garden was even reminiscent of a mini-jungle scene of crawling vines and tall wild grass. But 26-year-old Justin Austria saw beyond the old dilapidated house and found a business opportunity.

"The structure was already there," he explains, "we just needed to repair and renovate." With his mom as the financier and interior designer, he purchased the seemingly long-forgotten house and started to transform it into something habitable.


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Renovations started last July. Justin described it as an ideal time to work on the house: "The rainy season has ended and the house was set to be finished just before the holidays," he says. By mid-October, the shabby old bungalow acquired an entirely different image: a refreshing sanctuary with tall glass windows, well-ventilated rooms and cosy verandas.

Except for the main structure, the old house was almost unrecognizable. The ceiling of the living room was raised a few meters above the original edifice, and a floor-to-ceiling glass window was set against a backdrop of a carefully landscaped garden. The tall windows welcome sunlight into the room, painting the interiors with a bright and cheery ambience.

They did away with wallpapers in the kitchen. "Wallpapers present a disadvantage when it gets old," Justin explains. One example is this particular kitchen, once wrapped with wallpapers which eventually got torn and stained. They opted for a simple and classy look by painting the walls with an ecru color and adding a dark marble counter that would inspire the chef in anyone who works on it.

A veranda was added to the den on the second floor, just above the carport. Overlooking the garden, it gave the room a more refreshing atmosphere and relaxing scenery. There was also a small bathroom placed on the second floor, next to the den, making it an ideal venue for entertaining guests and hosting small parties.


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"And to think that when we bought the house, I saw a snake in it!" Justin laughed. He reveals that this house is his "first flip" – LSJ Corporation's venture into the buy-flip-and-sell business.

LSJ stands for Loy, Sari and Justin – the three members of the Austria family. The company was founded by Loy Austria, who built houses on vacant lots he purchased. When Loy passed away four years ago, his wife Sari and their son Justin continued the legacy by taking on reigns of the business.

Since both mother and son were not experienced in building houses from ground zero, they shifted to remodelling and renovating houses for other people. They also ventured into buying condominium units in Alabang, modifying the interiors of these units, and renting them out.

The mother-and-son team operated as contractors until Justin started his "flip business". This is a major move for their company since it presents greater risks than simply being contractors. They have, in a way, become real estate developers, just like the original intention of the founder.


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"We used funds from the units that we rent out to finance the purchase of the old house in BF," Justin reveals. Once this house is sold, Justin will continue his search for more houses to flip. He will start in BF Homes Paranaque, which he says is "the biggest subdivision in the country, with more than 4,000 houses."

He describes it as a good location for real estate development since it is situated in between three municipalities: Paranaque, Alabang and Las Pinas. BF Homes is an old middle-class subdivision with an established community. There is an abundance of commercial establishments and amenities along its main avenues, giving its residents access to grocery stores, banks, spas, and restaurants.

The houses in BF are also more affordable than its neighboring plush villages in Alabang, which makes it a natural choice for families who want a new home. Besides, it is the subdivision where Justin has found a lot of old, aging and dilapidated houses. "Just the kind that I would want to flip," he says.



JUSTIN AND SARI AUSTRIA