Atlanta deal, tear down or fix up...?

[Brandon Hardy]

We are looking at a potential property to flip, but the rehab is so extensive I'm trying to determine if tearing down and building new would be a better option for this one.

We have run our numbers for both alternatives, but I was curious what Atlanta area investors are paying their contractors (price/sq.ft) to do a complete "gut down to the studs" rehab with mid-high grade finishes.

And on the other hand, what should you expect to pay in the Atlanta area for a new build with mid-high grade finishes (price/sq.ft.)?

Any insight is much appreciated!

[J Scott]

For mid- to high-end finishes?  What I would pay...give or take:

Gut rehab - $40/sf

New construction - $65/sf

Not saying you'll get those prices (could be higher or lower given you probably have different contractors, different design style, different definition of mid- to high-end finishes, different material suppliers, different negotiating skills, different level of experience, etc), but that's about what I expect...