All Forum Posts by: Chris Blackburn

I would move to a phase 2 environmental before with a tank locate or a clause that if there are tanks- that the contract can be terminated or the seller would cover the costs.    @Greg Dickerson....Greg's suggestion "You can find that out without disclosure of the location. Once you have an idea of the potential income you then get the property under contract with a feasibility period, non disclosure non circumvent clause, contingent on you finding a suitable tenant at your rates."  pure gold and at least makes everyone play fair.   

Hello Lisa, I like what your are cooking! I have been looking for ways to give back to the community and have really looked at housing as a great measure and impact. I think there is a large spectrum of help that can be generated. We are currently building smaller apartment complexes and I have some connections with affordable housing. Providing fordable housing to heroes (teachers, social workers, volunteers, veterans) is a great way to support those giving back to the community. I also see temp housing villages with common kitchens and bathrooms with a stepping stone to get to units with their own bathrooms and kitchens if they stay clean or get jobs. (These facilities would be in/near industrial the industrial area that would then go to build more of these modular huts- hiring and training from the pool of people). https://komonews.com/news/local/huts-for-the-homeless-catching-on-in-the-northwest We currently have a 250 unit homeless shelter being built in N. Downtown Salem- Male only- no pets, no stuff, no children, no women. This seems like economic suicide for this part of town as now they have to deal with 250 homeless hanging around the area. The cost of the project is $15,000,000 at $2500 a "hut" this would provide 6000 shelters with closing doors. (not the land, mental counseling, drug counseling bathrooms, kitchens, staff) We would have no homeless- The City of Salem Has the land. If I was not working 60+ hours a week- I could solve some of this problem. I am looking at factory built modular housing and have several books with this being the best summary/overview that I have seen. Prefab Housing and the Future of Building: Product to Process Mathew AitchisonModular would be a great way to build small affordable apartments to scale.Modular always looks like a unicorn- but the financial reality always seems to be different. Currently housing/apartments is like hand building a Ferrari at each building site. Simple, small, same buildings built in a factory would have to scale to be cheaper, faster, and better quaility. Build the same plan over and over and over- Always on flat ground, always the same config. Same with the Conestoga Huts. The solution is getting the business, the indivuals, the volunteers, the churches and the governement working together for a solution. If I can have a few more wins on my projects- I may look at building both a village and real apartments to support our community. The paperwork alone is a full time job that I currently do not have the staff to allocate. If I can work with smart people to come up with transitional plan and a hero apartment plan- Build it- share all the docs and processes and plans with anyone who can use them and start a blueprint for others to improve on and follow. I have a great mixed used location that is isolated by 2 train tracks on either side, has amazing water views and could support both affordable and transitional housing. Maybe I will make a call.

This subdivision was originally built in 2012 70 (we own 39) lots in Pacific City- we bought it at a discount in 2014 and now looking to sell it. Originally a number a lots sold for over $100,000 each. We build a few houses, (have 3 listed) but really focusing on apartments. We are looking at listing it on Loopnet, and contacting the larger coastal builders- Oskenholt companies, (these guys are a well put together company!) or going directly to the real estate agents. I know a lot of development companies work closely with a few chosen realtors. They help sell the project and paint a vision of future sales as they typically are the ones driving the sales. This subdivision is unique that we are still the delclarant and could change the HOA/CCR to reflect the zoning change: (cue angry current home owners) (but allowed w/votes)

2) USES PERMITTED OUTRIGHT: In the PCW-R3 zone, the following uses and their accessory uses are permitted outright, and are subject to all applicable supplementary regulations contained in this ordinance.

1. (a) One, two, three, or four-family dwelling, including townhouses, rowhouses, and condominiums.

We have also looked to the Portland business journal for the top developers- (I am not sure DR Horton is looking the hills of Pacific City to build its next project)   The Oregon Coast is beautiful but odd,  these lots would cost me over $70,000 each and 2 years to develop and trying to sell them at 2/3's of this price is hard.  I think I need that big player who is connected at the coast and do a "Bella Beach" or Ross Chapin look.  (Love Ross's Cluster subdivision).   Can I get some feedback?  -  A few suggestions were to carry the contract,  subordinate the loan if they have a qualified builder. Other suggestions?

Chris 

@Christian Podedworny. One way to get around the issues of the zoning is have a rental contract that breaks out the rental agreement into 2 parts. Renting the ground space and have a separate company rent the storage unit. The property is just renting the ground space. The other company is just renting the storage unit. The container is not a building- it is a piece of equipment. You could argue that there are NO building code issues since it would be just like storing a car, RV or boat plus the property technically does not own it. I think there would be some great short term tax benefits and less long term. I have looked hard at this model but the aesthetics of the units put this in a lower price per foot/tenant type. On the other hand- with the lowest price in town, you are typically full- especially with a reasonable web presence and the use of “Sparefoot”

Have you thought of rolling this into a qualified opportunity zone purchase/fund and do the same thing but go for the long term hold?

Paul  Sandu-  Looks like you know your market and works!  I like it.

Looking at STR. I have property both at the coast (Neskowin- Viking Estates, Pacific City-Pacific Sunset) and Central Oregon, (Black Butte Ranch). Trying to put together the perfect mix of what a woman or family matriarch's needs would be. I know my wonderful wife is in charge of all vacation locations with my family. Yes- beautiful location, great kitchen so on and so forth. But what is the special sauce that makes them book year after year? (all hard floors and allow dogs?) (ADAish for aging parents or a disabled family member without making it obvious. Is the coast better than central Oregon? Sun River vs Eagle Crest vs downtown bend vs Black Butte? (Sorry for being regional here). Does anyone have insight? (I am not here to pull a Mel Gibson here) (for young people it was a funny movie before he went BSC) (bat **** crazy) . I have 2 amazing daughters and a wonderful wife- "So respect women I do." (Yoda- after he got in trouble with his wife for not calling)

Sign me up!  Salem is a great place to to invest.  Portlandiaiers still do not know how affordable our houses are.  We have some amazing redevelopment opportunities, river front projects and lots in between.  Add the HUGE swath of QOZ properties and it becomes a realestate party.   I always love to talk about dirt (property) and celebrate others success.  How can I help?

How many square feet is the project?  I am assuming price per sq ft for hard costs is in the $200 a foot +/-.

So you are looking at a 20,000 sq ft facility with %15 dedicated to common/hall/lobby.   15,000 sq feet of rooms at 375 sq ft per room?

Find a architect team who works well with an engineer.  Get some estimates on the engineering costs- new rules with water detention/retention can really impact costs.  Meet with the City (Pre-App) and find out what off site requirements are needed (If any)  This can kill a project quick.   Put a spread sheet together with your unit mix.  1/1's will rent out very fast-  I would not build 2/1's.  In a room mate situation- no one wants to share a bathroom anymore.   Find a good/GREAT management company today!  Ask them what the demand is?  Ask them what they would do differently to make your property more appealing to renters.  Make sure you are marketing this project for reservations as soon as you break ground.  We have had local projects 100% full 1/2 through construction.  Keep learning!  Keep reading! Keep asking questions!  And Thank you! Your project will create jobs- add value to the community and teach you a lot about the business of development.  This is what makes America great.  People like you willing to take risks!  (and yes- the risks are significant!)