Analyzing Vacant Lots within Opportunity zones

[Linda Govan]

Hello BP community,

I have been in negotiations with an owner of some 2 adjacent lots within an opportunity zone area.  I wanted to know since I have never done development of land; what do you as a developer look for when analyzing vacant lots?  How much particularly are you paying to for soft cost just to get such a project going?  Who should be your go to person to get the ball rolling on such a project?  How much per buildable sq ft should I be considering to pay?  I know I am missing a lot of other vital information that needs to be considered so I am reaching out in hopes of hearing from seasoned investors and learning more about vacant lot development.  Thanks in advance for any responses I get.

[Kevin Sobilo]

@Linda Govan, have you started an "Qualified Opportunity Fund" to develop this land through? To get the tax advantages I believe that is what needs to be done and I don't think its something that will be feasible for smaller projects. I could be wrong about that part, so I welcome other people's additional feedback.

https://www.irs.gov/newsroom/opportunity-zones-fre...

What is a Qualified Opportunity Fund?

A. A Qualified Opportunity Fund is an investment vehicle that is set up as either a partnership or corporation for investing in eligible property that is located in a Qualified Opportunity Zone.