Land component of your apartments.

[Richard Feynman]

If you own any apartments, I'd love to know their land component (total lot size / number of units). Mine follow.

PPOR (Sydney, Inner West):

• 50sqm internal
• 65sqm land
• 1.3 x ratio

IP1 (Sydney, Inner West):

• 66sqm internal
• 57sqm land
• 0.86 x ratio

 

[Andrew_A]

One thing that I always look at is this ratio:

value of land / number of units, which is site value in Brisbane / number of units. Combining this with an internal space measure, especially things like the 2nd bedroom which can often be small, is a good way of bench marking I have found.

 

[Richard Feynman]

Thanks for that. Always useful to know.

For my own records and based on quick calcs, the value of land for each of these is:

PPOR:
$115k (28% of property value)

IP:
$100k (20% of property value)

 

[westminster]

Do I prorata the land based on how big the apartment is or just divide the land by the number of apartments?

Land is 249sqm, apartment 1 is 74.5, apartment 2 is 74.5 and apartment 3 is 66.5

 

[Peter Parker]

At least in Victoria the council rates notice gives the land value component of properties (ie UCV versus CIV). Not sure about other states.

If you find a liveable house for only slightly more than land value then it may be a good buy. Council valuations can lag changes in property prices so in the early stages of a boom they may be too low.

 

[Andrew_A]

Thanks for that. Always useful to know.

For my own records and based on quick calcs, the value of land for each of these is:

PPOR:
$115k (28% of property value)

IP:
$100k (20% of property value)

I'm looking for 30%+ in strata property and 50%+ in housing, have seen strata as high as 50%, ratios that are too high usually mean the dwelling is very basic at best, ie: a development site that might have a knock down house on it. Needs interpretation but one of the figures I'm looking at always.