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Updated about 3 years ago on . Most recent reply

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Cary Hollis
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Subdivision development-Atlanta metro area

Cary Hollis
Posted

I’m looking to buy land around 3-5 acres and develop a subdivision. What are the first steps? Should I hire a general contractor, civil engineer and structural engineer to put together a plan? I’m new to this looking for feed back. Any information would be helpful  

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Jay Hinrichs
#1 All Forums Contributor
  • Lender
  • Lake Oswego OR Summerlin, NV
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Jay Hinrichs
#1 All Forums Contributor
  • Lender
  • Lake Oswego OR Summerlin, NV
Replied
Originally posted by @Ed O.:

I'd guess there's a lot of differences from market to market. Here, I'd say do your diligence, talk to a surveyor and get a topo and preliminary plat drawn up. More lots is usually a great thing, but be careful to not develop junk lots, to the extent you can avoid it. Where it gets increasingly expensive is when you bring in the engineers and have the engineered plans done. This, in my market runs 800-1500 per lot on average. It's impossible to get infrastructure bids without them. Infrastructure contractors won't spend much time looking at your project without them. It's unfortunate, but there's few builders and developers on BP as a whole, or at least there's few that participate much in the forums. 

this is highly regional.

but you have a few things going on at once some you can do yourself some you need to hire consultants.

1. first and foremost zoning and density allowed on the site.. most places you just dont pick what you want your lot sizes to be there is zoning codes that will determine lot size .  YOu can usually get most of this answered over the counter for free at the planning department.

2. Once you think you meet zoning code and density makes sense under the code. what I usually will do is hire a Civil engineer who has recorded plats in that county.. they will know the process and how it gets done. I hire them to do simple due diligence up front. usually 3k to 10k.. to determine if the plan is feasable from a building perspective as for market perspective I rely on my own expertise to understand what works monetarily.

3. Once past that you can hire a land planner to do the pretty picture/ a surveyor to capture the boundary survey and topo and do the plat work.

4. Engineer will do the utls designs and get those approved..  as stated above once U have approved plans then you can get firm bids on underground and dirt work.

thats about how I do it.. I have looked at a few in GA I funded one 80 lot development as a money partner but I followed along the process with my client who was the developer.. Once he got it all approved he flipped the plat.. I funded another one in Orlando 60 lots and that developer flipped to Horton and paid me off.. thats how I see things happening for others I fund and for my own projects.. I am not big time I have done about 300 lots in the last 5 or so years that are my own and funded a bunch more.. so limited scope of work. 

 Bottom line though its regional and you want to take direction from the county planning department anything else is going to get you in trouble.

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JLH Capital Partners

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