need help with deal analysis

[Luke Holcomb]

Hey gals and guys,

     I need a little help. I am trying to put together a deal where I buy a lot, bulldoze the house, subdivide the lot into three lots, and build houses that are around 2800 sq ft and worth around 150/sq ft. I know local developers can get an 'all in' cost of 80/sq ft for houses of that value. I am figure an all in cost of 95/sq ft. (*I am saying all in, to say including lot). This is in Chattanooga, TN.

    Does anyone have a good resource for construction cost as it correlates to sell price value? I believe this will help me. The homeowner is ready to sell if we can settle on a price. I am 85% sure I have an investor lined up, and I have 10 yrs construction experience, so that part isn't too bad... I am just accustomed to remodeling cost to consumer for per sq foot pricing...

Cheers,

  -Luke