tommy.. good luck getting Roltons personal number. He doesn't like speaking to people one on one, or being accessed by 'students'. something to ask his mentors if thats what they are, is have they done any deals themselves, and can they prove that, have they been paid out etc..

Sorry you paid $6K.

Only way to tell is to ring the local council and ask. Depends on so many different things, there's no clear defnitive answer. Depends on the type of development, zoning, current council approval times, how long it takes your consultants to do their work, any delays, questions that might arise, could be 3 months, could be 18 months.

Give the council in question a call, describe what you want to do, and ask for an indicative time frame for your planning. Then factor in some contingencies and you should be ok.

If its a cost, you include it. Land cost is a fundamental part of the acquisition of a development site. It'll cost you $700K plus costs to acquire and build. You then work out the end value/gross realisation once completed, ie: 2 x 3bed houses at today's prices = ? if sold etc.  If you come out with 20% profit, go for it. Thats the figure banks would look for to fund it. If its only 2 houses you should be able to get the funding under residential terms, sell it as an owner builder, dont mention the word developer to a bank, they'll run away scared. Resi terms for a small job like this are better than commercial notes anyway in my humble opinion..

Get some good advice from an experienced accountant who's dealt with developments before.

Banker,
which were the banks pulling out of student accommodation? If you don't want to post, can you PM which ones?
thanks,
Matt.

Hi jackyngew
Your question is the same one asked by developers such as AV Jennings, Mirvac, Australand, Austland, and so on and so forth. Tracts of land of that magnitude, in large part, has often been already land banked by development groups such as those I've mentioned, for future development. Other tracts of land that are of that size if not already landbanked, are not zoned appropriately or are rural/farm land and can't be developed in the manner I think you're seeking.

There are, however, a number of large tracts of land that have undergone subdivision or had development started in the hands of receivers/agents, that may suit your purposes, if you have someone on board who can do the feasibilities and demonstrate highest and best use of the land you're considering. That might be a less frustrating and more available source of projects for your group. I know of a few people who may be able to assist on that front if your group has more specific parameters etc.

IT all depends on their level of investment, their apetite for risk and expected returns etc.

Matt.

Options are a very technical area, a lot of these questions are really something that should be asked of an experienced solicitor as they have some underlying legal aspects that if incorrect, could be costly as they still appear to vary from state to state. I know one of our people who deals with the larger residential groups has had to seek Barristers advice on a number of structures now where CGT etc are involved, which if nothing else might indicate how complex it can be at the larger end of town.

Sellers may accept an option because of a number of factors, including an option fee, which again depending on the size of the deal, may be significant and possibly, although these days unlikely, non refundable. It may also be because it fits in with their own goals, or that they simply don't, or won't, understand the process. Options can be great if its an ethical negotiation, but there are also so many other contract types (development agreements and such) that can also work well.

Find a good property solicitor, thats my advice.

Hi Crusty… well, its only my opinion, but I'd have to say a hearty NO to that one. Sadly, it wouldn't surprise me in the least if he was..

Hi Gambler
Send me a PM and I can give you the name of someone great who specialises in these things, as well as being a brilliant design consultant for townhouses.
Happy to assist.

Matt.

There is no rule of thumb, it depends entirely on the site, the DA itself and what sector (resi, comm, retail etc) and where the market is at at the time. Yes a DA adds more value as it removes the first element of risk for a builder/developer looking at the site. It doesn't however add what some agents would have you believe.

Things developers/builders will consider:
* cost per sqm to construct
* end value or gross realisation of the site
* holding costs
* indicative council fees and charges
* agents fees and commissions
* timeframes for construction and onsale of product
* minimum profit margins banks will accept to finance a project
* size of the site and yield

Just becuase you have a DA, doesn't mean it'll be what they want either. Often someone will view it and then have settlement conditional upon certain alterations to a DA or BA.

Someone mentioned highest and best use for a site. That's a good thing to keep in mind, and means understanding the zoning and town plan very well, or having a planner who does.

Not sure if that helps or not but good luck with your venture!

Matt.

Sash
I think the point that many have made in this and other threads is this: the generic information provided in the Massland seminars is accurate. Options exist, and they work. You can find out about options for free though and they are by no means as easy, or as cheap, as Massland would have you believe..
 
What most are up in arms about is the ongoing promise of large cash successes, funds provided for DAs, the 'well earned reputations and presence" in the market that is consistently spruiked, along with other largess like buying a Porsche racing team or $500Mill worth of projects, the 'successful students' etc., none of which appear to be able to be proven, despite continual requests. One would have to ask why this continual denial exists. Draw your own conclusions.

Ask yourself this, if you handed over $20K plus for someone to 'mentor' you to success based on the fact you believed they were already successful in the field they were purporting to be able to mentor you in, and that tsuccess urned out to be false or at best highly inaccurate or misleading, how would you feel about that?

That success potential you're seeking relies very heavily on the information you're being sold/told being 100% true. Now, as W4L said in an earlier post, Masslands own PA said believe about 10% of what's being said. Based on that, your success potential in that scenario has just dropped 90%. Still feel like handing over $20K?

Get written proof of all claims made, use your own accountants and solicitors to verify any information sent to you by them. Thats the best piece of advice I can offer you.