First development, no idea where to start!

R

Ryan80

I have a development site that I would like to develop on. I've been told I can fit 4 units on there but at the moment that's not a certainty.

For those who have done developments before where's the best place to start?

What did you all do for your first development and do you think 4 units is a bit too much for my first development or achievable? I live in the local area so will be doing all the project managing myself.
 
Hi Ryan,
What is the zoning, size of block, location etc...
need more info

4 units is quite easy, so long as the development complies will all regulations and you can get finance. You will need to provide the lender with a feasible exit strategy...ie pre sales, or be able to demonstrate servicability of the end loan.

Boods
 
Ryan - i'm more than happy to give you a free basic feasibility across your site about what your site will yield and your options.

call me on zero four two three nine seven two three five nine to discuss further and no - there's no obligation to use me to design or draw anything.

cheers.
 
Ryan I am looking at doing a 3 unit site in melbourne and have been told by cba ,anz and a broker that any development over 2 units must be done as a comercial loan.So I will need to set up a company and the loan will have a 2 to 3 thousand application fee ,Interest rate will be about 1% higher than normal,company tax of 20% i think.
Worth checking this out early on
cheers
 
Only 2 really?? I think you can still get 2 through as residential. I note you are in Melbourne. Perhaps you should talk with PT Bear who is experienced with dev funding by all accounts. He posts regularly in the finance section of this forum. That said sometimes commercial is actually easier (interest capp, no bs) etc
 
Marty McDonald said:
Only 2 really?? I think you can still get 2 through as residential. I note you are in Melbourne. Perhaps you should talk with PT Bear who is experienced with dev funding by all accounts. He posts regularly in the finance section of this forum. That said sometimes commercial is actually easier (interest capp, no bs) etc
Click to expand...

Well, commercial is easier if you can get the pre-sales....but sometimes in a flat/bad market pre-sales are quite difficult to get.
 
I wouldn't mind having pre sales in this uncertain market. If I was lending the money I would require at least 1 unless the borrower could service the end debt. That's where resi could come in.
 
boods99 said:
Hi Ryan,
What is the zoning, size of block, location etc...
need more info

4 units is quite easy, so long as the development complies will all regulations and you can get finance. You will need to provide the lender with a feasible exit strategy...ie pre sales, or be able to demonstrate servicability of the end loan.

Boods
Click to expand...

Hi,

It's zoned 'high residential' in CBD of Gladstone and the block is 997sq!
 
Hi Ryan

I have two development's on the go in Gladstone at the moment one is a four townhouse site where the funding is a normal residential loan, Depending on where your block is the high density in Gladstone is either 1:250 or 1:100 so your block being 997m2 you should be right to build four if your in the 250:1 zone.

All I can suggest is get your DA in to council asap as it is a slow proccess. I used Ben Dye from www.bkd.net.au he is really helpful and will take your project from design all the way through to building for a price if you wish.

Cheers
 
Thanks all!

We are in the 250:1 zone. How much roughly would it cost to build 4 townhouses in the Gladstone area? Obviously there's many variances but just a rough estimate will do.

Cheers
 
HI Everyone,

I have an IP on Rossella st, zoned Residential which is lust a block away from the High Residential Zoning. I would like to develop the rear yard (plenty of space). I am concerned of the rejection when applying for the DA, meaning I will loose a bit of money for the DA process.

Has anyone developed on a Residential zoned site recently and had no problems with the neighbours or the council?

Need advise urgently.

Thanks
 
ansaurieng said:
HI Everyone,

I have an IP on Rossella st, zoned Residential which is lust a block away from the High Residential Zoning. I would like to develop the rear yard (plenty of space). I am concerned of the rejection when applying for the DA, meaning I will loose a bit of money for the DA process.

Has anyone developed on a Residential zoned site recently and had no problems with the neighbours or the council?

Need advise urgently.

Thanks
Click to expand...

Start a new thread rather than posting the same message in other peoples topics. That's two threads now you've done it.

Rooster
 
Book a time with a council planner with some paperwork and plans and say "Waddya think mate?"

He'll give you an idea of what you can do with it before you spend any money on architects etc.

Helps to familiarise yourself with council regs & planning as well.

Aaron_C said:
You should consult an architect to gauge whether you can actually build there or not, and how many you can fit.
Click to expand...
 
evand said:
Book a time with a council planner with some paperwork and plans and say "Waddya think mate?"

He'll give you an idea of what you can do with it before you spend any money on architects etc.

Helps to familiarise yourself with council regs & planning as well.
Click to expand...

I'd do this and what Aaron C said. A good architect will know how to push the boundaries...the council officer not so much.

When having a chat to the council officer ask for he/she to recommend an architect or two they deal with on a regular bases. Just stay away from draftspeople for now.
 
hi evand

Thanks mate. What kind of things should I need? Land size, position of existing dwelling, back yard space for development? sewage system, drive way? As for the plan, is it the actual drawing of the proposed development?

I am kind of new to this, so my questions may sound stupid to some.

Thanks heaps
 
Evand makes a good point as well. If you are going to see a Council townplanner you need a layout of the land, dimensions etc. You should have a preliminary (i.e. free) chat with an architect because they can visualise what you can/can't get away with it on your land. With developments it's always best to start off with something outrageous, then scale it back to something 'reasonable', which is what you always wanted anyway :)
 
I meant for first base, see the planner. If he says "no way, regs have changed, you can only fit 2 on there mate" forget the architect and his fees.

If all is good for 4 or more, then go see the architect. Just make sure he is familiar with the particular council you are with.

ansaurieng said:
hi evand

Thanks mate. What kind of things should I need? Land size, position of existing dwelling, back yard space for development? sewage system, drive way? As for the plan, is it the actual drawing of the proposed development?

I am kind of new to this, so my questions may sound stupid to some.

Thanks heaps
Click to expand...
 
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