Columbus OH Triplex Ground Up Build 100k below market value
Dear Investor, Landowner, or Potential Joint Venture Partner,
Are you considering investing in real estate in Columbus, Ohio? We want to provide you with essential information about the costs associated with the Council Variance Application process for rezoning residential lots to construct a triplex.
Application Fee:
The application fee for a Council Variance Application varies depending on the nature of the request:
For rezoning to allow for the construction of 1-4 dwelling units, the fee is $1,050.00.
In addition to the application fee, there are additional costs involved in the process, such as architect fees, consultant fees, and administrative expenses.
Additional Costs:
Here's a breakdown of the additional costs:
Architectural Plans and Modifications: $1,250.00
Preliminary Zoning Permit Application: $225.00
Zoning meetings, architectural meetings, city staff meetings to Pink Development as a Consultant (Rob's Fee): $2,750.00
Fedex Printing for Zoning Meeting: $400.00
Notary Fee for Affidavit & Project Disclosure: $50.00
Hidden costs: if we are traveling we will need to send a representative for $100 per meeting or the owner may attend on our behalf. Sometimes there are additional printing costs if we need more than one revision.
Your fee for coordinating, managing, and representing throughout the process is $5,500.00. Total Approx Cost: $5,500 with approx half going for project costs
Value Addition:
We've attached a recent application that demonstrates the potential asset value through this process. Typically, multifamily properties in the urban core are selling for $200k per door. With our target asset value set at $500k, and considering the land cost at $60k or less and hard construction costs estimated at $300k, there exists a substantial equity position of $100k or greater. This equity position enables a potential refinancing of all capital outlay, while also significantly increasing the value of the land.
Benefits of Entitlement:
Entitling a single-family lot to a triplex not only enhances the value of the land but also makes it more marketable. Fewer investors are interested in unentitled land, so by completing this process, the land becomes more attractive to potential buyers. Additionally, having a construction partner like us streamlines the development process, making it more efficient and cost-effective.
Addressing Columbus's Affordable Housing Crisis through Sustainable Development
Columbus is grappling with an urgent affordable housing crisis, exacerbated by a surging population growth that strains the availability of affordable housing. As the city's population rapidly rises, it is imperative to respond proactively to this challenge. Our decision to develop three housing units per infill lot directly aligns with the critical need for accessible housing options in Columbus. With over 600 homes bought by out-of-city and state investors in the last three months alone, local residents face fierce competition and soaring rent rates. By maximizing urban spaces and transforming single-family lots into multifamily dwellings, we not only expand the housing supply but also foster inclusive communities where everyone can thrive. This approach is vital for ensuring housing security, economic resilience, and social equity in Columbus's future.
This letter is intended for both buyers and sellers of land in the city of Columbus, explaining the process we follow and the benefits it brings.
If you have any questions or need further assistance, please don't hesitate to reach out.
Rob Ellis
Builder, Developer, Realtor, Fund Manager and GP Syndicator
email: [email protected] phone: +1 614 400 8762
company Pink Construction (Columbus, Ohio General Contractor G09302)
website: www.pink-construction.com address 875 N High St #300 Columbus, OH 43215
