Hi investors.
For those of you who may have experience in the creative side of decision making or can assist with my situation here's where I'm at:
I currently have a property on just under 700sqm which has a tenanted house at the front and at the back has adequate room for a development, in fact when I purchased last year the agent spoke of plans for a 2 storey unit with a permit that had recently expired. Speaking with the agent he is unable to obtain them and that's where I'm at with that right now.
So not having the motivation to persue the building side of things right now, I have come up with 3 possible investment scenarios that could have their goods and bads. Any advice welcomed:
1. I subdivide the land, manage this process and sell an option to a builder or developer for future settlement.
2. I sell an option for a builder/developer to manage both the subdivision and DA.
3. Subdivide then vendor finance the land to a builder/developer for the duration of the build.
If any of this need clarification please let me know.
Cheers,
A
contact council see if you can renew the DA application
duckster wrote:contact council see if you can renew the DA applicationCheers Duckster. What do you think my options are to get copies of the plans?
A
You can get a copy of the DA from the council – this includes everything from submission to determinations (approval and rejections).
To answer for first question, generally speaking, if you can do most of the work upfront such as ascertaining the DA and even CC then the more profit you will make. The interesting thing will be to make the most out of the site. By this I mean ascertaining consent to build as many dwellings as possible. The 2 storey unit permit sounds more attract than the subdivide into 2. Of course getting DA on the 2 storey unit will be far more difficult than a ‘simple’ subdivide.
Regards
Shahin Afarin – Property Finance Consultant
http://elitepropertyfinance.wordpress.comTheFinanceShop | Elite Property Finance
http://www.elitepropertyfinance.com
Email Me | Phone MeResidential and Commercial Brokerage
Gold.
Thank you.
A
Not sure what tax benefits or cost you could save but if you build units on the one title you can make more rent and perhaps sell to a almost retired person as a whole for the self funded retirement..you would save heaps on sub divison , that can be some one elses head ache later
I think you should run the numbers on all the possible scenarios, and go with the one that makes you the most profit.
Jacqui Middleton | Middleton Buyers Advocates
http://www.middletonbuyersadvocates.com.au
Email Me | Phone MeVIC Buyers' Agents for investors, home buyers & SMSFs.
The minimum block size for possible subdivision in my area is 1012sqm.
Where is the property located?
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