4-Unit Apartment Opportunity, Where do I Start?

[Alec B Calzada]

So I know a guy who is interested in working a deal out with me on this property, as long as we can both profit from it. Here are the details:

-He owns the lot free and clear (existing single-family house on it with renters)

-He hired me to design a 4-unit Apartment Building for him on this lot (new construction)

-We got 90% of the way through the Planning approval process, only a few hoops to jump through there to finalize the approval

-The Design and Concept for it is Approved and the owners wants to build it, but his financing feel though when his investment partner had to step away

-I have no money myself to invest in this, but I do have the skills/ability to finalize the plans needed to pull the building permit.

-Estimated cost of construction is $1.3M with rent estimate of roughly $2,200/unit per month based on comps in the area. (4 units)

He’s willing to hear what I could offer him on this project (either to partner up or strategize a way to finish it). I just have no idea where to even begin!

Is this an opportunity at all? Is there a creative way we could secure financing? What could be in it for him AND me? Thanks in advance for the thoughts and advice on this situation.

[Geordy Rostad]

Four units that bring in $8800/mo and it costs $1.3M to build and that doesn't even include the value of the land? I would think you could go find a better deal on the open market and not have all the blood, sweat, and time to build out the project. 

Might make more money finishing and finalizing the design. Get the permits ready to pick up, and then put it on the market as a package. Sometimes it's best to just sell the dream...