Building

[WebBoard]

From: Mike .


Developing
From: Dave b
Date: 05 Feb 2001
Time: 14:47:25

Can anyone suggest a good beginner's book, on developing property?. Thanks

 

[WebBoard]

Manny

Reply: 1
From: Mike .


Re: Developing
From: Manny
Date: 06 Feb 2001
Time: 08:05:52

I have not come across any books to assist with developing... I would suggest you go visit some display villages to get rough ideas on what you are looking for, ring around various councils in the area you would like to develop... then once you find the right block of land, employ your own architect to come up with the drawings you will need to submit to council to get "town planning" approval...

I did go through all of the above as a first timer with the help of my architect & built myself two units... it is a lot of work & provides a lot of learning, but what I learnt through this building process (ie. hidden costs for subdividing, dealing with builders, etc.) I don't think I would have learnt even if I did read 100 books...

Good luck with your endeavours...

 

[WebBoard]

John (Brisbane)

Reply: 1.1
From: Mike .


Re: Developing
From: John (Brisbane)
Date: 05 Feb 2001
Time: 15:47:40

If you are in Brisbane I can put you on to some people who will teach you the ropes for free. Be warned, you will have to do a hell of a lot of research to bring yourself up to speed, otherwise these people wont be able to give you their time.

(Not advertising anything here guys!)

[email protected]

 

[WebBoard]

Paul Murphy

Reply: 1.1.1
From: Mike .


Re: Developing
From: Paul Murphy
Date: 05 Feb 2001
Time: 15:41:52

Dave,

I don't know of any books that have been written about property development. As you would appreciate, property development is a very involved pursuit, and can be profitable if you really know what you are doing. You are certainly doing the right thing by doing your research first. Many people I know have been burnt by going into it without sufficient knowledge.

In the abscence of books, I can suggest a few alternatives. In property development, you will almost certainly need the services of an architect and a town planner. They are both good starting points for you. Both have industry bodies who may be able to provide you with specialists they can recommend to help you.

Architects - Royal Australian Institute of Architects

Town Planners - Royal Australian Planning Institute

Both should have offices in your state and websites. You may also wish to try the Australian Property Council who also may be able to suggest some contacts for you. They too have offices in each state.

If you have read past postings, you may have read about The Investment Institute, of which I am the founder. We are currently developing a course for this specific purpose, which will be ready for release about the end of February. If you would like to send me your email address, I will make sure you receive full details when the course is completed.

Good luck, and keep researching.

Paul Murphy The Investment Institute [email protected]

 

[WebBoard]

Jeanette

Reply: 1.1.1.1
From: Mike .


Re: Developing
From: Jeanette
Date: 07 Feb 2001
Time: 07:38:58

One observation I have made over the years is that sometimes people you would think would have the expertise to carry out a development are not any better at predicting the feasibility than the rest of us. One case was where some accountants joined up with a builder to carry out a townhouse project. Now you would think that you had the combination of financial control and building knowhow. But I was astounded to see the project end up with everyone sustaining serious losses over the project.

 

[WebBoard]

Manny

Reply: 1.1.1.1.1
From: Mike .


Re: Developing
From: Manny
Date: 07 Feb 2001
Time: 08:48:02

I must agree with you Jeanette, I noticed this with my builder (who was useless by the way), who couldn't manage his own resources (poor project management), which I had to pick up the pieces & keep the project running.

The best thing to do as I may have already mentioned is do your research & feel free to ring around for answers (ie. local councils, other developers, property managers, etc.) to ensure you know what you are doing & not get conned by builders (note: ensure you go through your contract precisely, if it is not in the contract you can assume you will not get it, even if the builder did promise it when signing the contract - IF IT ISN'T IN WRITING, IT WASN'T AGREED UPON)...

Note: when you build dual occupancy, you get hit with extra utility charges (ie. Melbourne Water, etc.) who all want money (big sums in some cases, ie. Melbourne Water wanted $3,300 before I can start building) & you have to pay even more when you subdivide (split your units into individual titles (from surveyor costs, to bank costs, titles office costs, conveyancer costs, extra Melbourne Water costs, PowerCore "electricity" costs, etc.)... so by doing your research early you will get to know exactly what you will be up for (which is not only the building costs, as I got to realise)...

If you have any questions I would be more than happy to share my experiences...

Manny

 

[WebBoard]

Dave B

Reply: 1.1.1.1.1.1
From: Mike .


Re: Developing
From: Dave B
Date: 07 Feb 2001
Time: 09:53:18

thanks for your help Guys. Now I have a starting point. To all those that have been doing developments, what difficuties/problems have occured?

Again thanks for your assistance.

 

[WebBoard]

JohnE

Reply: 1.1.1.1.1.1.1
From: Mike .


Re: Developing
From: JohnE
Date: 07 Feb 2001
Time: 11:58:59

Been there, done that. Independent, rigorous and detailled feasibility study UP FRONT is crucial even for small projects. Money well spent. Provide realistic $ for independent, robust specifications (and contract) UP FRONT and for formal progress inspections. Fraud and shoddy work are rife in the building industry and there are no effective, economical remedies for you once the contract is in place.