11:14 AM, 3rd June 2016, About 6 years ago 6
Advice appreciated for my biggest venture yet! – 8 flats and a terrace of 4 2bed houses!
I’ve redeveloped properties and done commercial to resi’ as well as conversions for buy 2 let but this is my BIG deep breath moment with mega funds needed to take this gamble(scratch Gamble – Substitute challenge!).
I have 2 motivated neighbours, just a few miles away, keen to sell their plots, thinking they can be redeveloped to 5 bungalows. I will be chatting with them about a purchase Option. But before that I need to know the end game and work backwards through the costs to decide what I can allow for the purchase price.
• Planning acceptability with some very expert friends.
• Underground Waste and Water – Electric and Gas to be done next. –
• Individual deeds for land ownership and restrictions – few bits still to be cleared up.
• Community Infrastructure Levi – comes in at 12 units! So will split it into 2 development companies as soon as appropriate (Directors will be the same!)
Over the next few days I will work out the market value of the finished development. – Lots involved with this but it’s well inside my comfort level. I will be casting about for a project manager (allocating 40k) but not until I have the got a signed Option agreement. I know likely costs of new Gas and electrics but no experience of waste and water (yet!)
That leaves a big hole in my knowledge about the build cost/time/issues and hence my question to the skilled and helpful people of property118.
1) Cost from foundations to sale for 2 sets of small 3 bed houses.
2) Cost from foundations to sale for 2 floors of 4 x 2 bed flats each 55-60 sq meters.
I know this are massively wide questions but at the moment I am working on best guesses of £100 per sq foot for the houses and pure guesswork of £45,000 for each 2 bed flat!
To finish I also have to borrow funds, but that’s another issue entirely and doesn’t phase me too much, yet!
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