Nollamara Site - 6x UNITS DA APPROVED.

[Aaron Sice]

Hey all,

Nollamara site available for purchase - Tuckfield Way.

DA approved for 6x units - all 3x2, 5 units have a double garage, 1 street front unit has a single, all units are between 93sqm and 100sqm each.

Attached is the site plan for reference - ignore my contact details on this - they are superceded.

Asking from $750k for the entire site, owner may look at selling them off the plan if there is enough interest.

Pm me for further details.

Caveat Emptor.

Cheers,
Aaron.

 

[Dazz]

Bags not having to live in Unit 06.

 

[Aaron Sice]

i think it's a good little plan....

unit 3 is in the worst position.

 

[Bill.L]

Hi all,

http://www.realestate.com.au/cgi-bi...er=&cc=&c=54575124&s=wa&snf=ras&tm=1219973620

I take it the above link is the property.

Blue Card, What makes this a good deal for the investor, especially compared with other opportunities in the same area???

bye

 

[TheAnalyst]

Thanks Bill. I initially thought it was a ready site. after your link, nothing has been done.

I reckon it is overpriced significantly. You would be lucky to get $550k. Only my opinion.

 

[HiEquity]

Thanks Bill. I initially thought it was a ready site. after your link, nothing has been done.

I reckon it is overpriced significantly. You would be lucky to get $550k. Only my opinion.

Cost of demolition and preparation isn't that much!

We managed to sell a 3 unit site in Nollamara in the early 500s two years ago with an existing similar house on it. It was a better outlook opposite a park but it still makes this look reasonable. Mind you values seem to have softened since then...

How about a business case BC? What's your take on demo / construction costs these days and likely sale / rental prices? Caveat emptor and all that but without some numbers to throw around so everyone can learn there's not much point posting this type of thing is there? This forum isn't meant for straight advertising after all...

 

[TheAnalyst]

Cost of demolition and preparation isn't that much!

We managed to sell a 3 unit site in Nollamara in the early 500s two years ago with an existing similar house on it. It was a better outlook opposite a park but it still makes this look reasonable. Mind you values seem to have softened since then...

How about a business case BC? What's your take on demo / construction costs these days and likely sale / rental prices? Caveat emptor and all that but without some numbers to throw around so everyone can learn there's not much point posting this type of thing is there? This forum isn't meant for straight advertising after all...

Thats 2 years ago!!! F0r argument, $750k site + demplision and site works $60k ($10k each) + $160k each (building - I recently got) + interests + selling cost - looking at current big 3x2 selling price. It does not stacks up. If it does, not not BC develop himself?

 

[Aaron Sice]

You're both on the money there.

i think the $750k asking is a little pricey, but you all know the market and i would be offering a little lower than that. I guess the price is set at the standard nollamara - westminster - balga price of $125k a block, but i dare say there's room to move on that offer. i guess you can only try. that said, the $125k a block asking price is a finished price at present, not a base price. there are a lot of house and land packages at present asking $125k for the finished block + build cost.

i think it's a good deal because it's a 6 unit site WITH 6 UNITS ON IT. most 6 units sites end up with 5, especially these trickier, internal corner sites.

rental in the area is about $350 a week for something of this size with a double garage - very hard to compare apples with apples in this suburb because there are a ton of 3x1s with singles for rent around the $310-320 mark.

A finished build would be $160k incl finishes and site works would be about $10 a piece, so that's $170k all up + holdings. add that to your $125k purchase + $15k for associated govt crapola you're looking at about $310k-ish complete, ready to rent at $350pw - or about a 5.8% yield at present. add your depreciation to that and it's only slightly negative geared - i havent done the sums but i reckon looking at that it may be about $100pw per unit in the hole after ITWV.

if you're a contrarian, i think this is a great site for holding, maybe sell a couple to increase your yield on the remaining.

that's why i think it's a good deal. of course, it may not be to you, but if i had the cash i would probably offer a $650k figure and see what happens.

 

[TheAnalyst]

You're both on the money there.

i think the $750k asking is a little pricey, but you all know the market and i would be offering a little lower than that. I guess the price is set at the standard nollamara - westminster - balga price of $125k a block, but i dare say there's room to move on that offer. i guess you can only try. that said, the $125k a block asking price is a finished price at present, not a base price. there are a lot of house and land packages at present asking $125k for the finished block + build cost.

i think it's a good deal because it's a 6 unit site WITH 6 UNITS ON IT. most 6 units sites end up with 5, especially these trickier, internal corner sites.

rental in the area is about $350 a week for something of this size with a double garage - very hard to compare apples with apples in this suburb because there are a ton of 3x1s with singles for rent around the $310-320 mark.

A finished build would be $160k incl finishes and site works would be about $10 a piece, so that's $170k all up + holdings. add that to your $125k purchase + $15k for associated govt crapola you're looking at about $310k-ish complete, ready to rent at $350pw - or about a 5.8% yield at present. add your depreciation to that and it's only slightly negative geared - i havent done the sums but i reckon looking at that it may be about $100pw per unit in the hole after ITWV.

if you're a contrarian, i think this is a great site for holding, maybe sell a couple to increase your yield on the remaining.

that's why i think it's a good deal. of course, it may not be to you, but if i had the cash i would probably offer a $650k figure and see what happens.

As I said, if you can get $550k, you would be lucky. Look at how many units are selling there, also for renting. A lot of new properties are selling below replacement cost.

If you think that is so good, why do not you build or buy yourself? Balga 728m2 selling at $280k. Do you know that?

 

[Aaron Sice]

they are below replacement value NOW - not when they were bought 5 or so years ago...

in regards to me not buying it, read last paragraph - i have no cashflow.

my serviceability is shot thanks to me paying rent + mortgage with no rent coming in.

add to that my mortgage being a construction loan and i can't refinance either to draw on some equity.

hence why i posted it up...?

 

[TheAnalyst]

they are below replacement value NOW - not when they were bought 5 or so years ago...

in regards to me not buying it, read last paragraph - i have no cashflow.

my serviceability is shot thanks to me paying rent + mortgage with no rent coming in.

add to that my mortgage being a construction loan and i can't refinance either to draw on some equity.

hence why i posted it up...?

That way, I suggest to get an auction and you will offload pretty soon. Good luck!