All Forum Posts by: Christian Jones

Hey Lisa. I can lay something out for you in CAD, but I dare say what you're trying to accomplish is nearly impossible. Your parcel is a triangle shape, which doesn't do you any favors for a parking lot layout. Sharpe corners are inefficient. I do not think your "shared parking" idea will fly because that MF development to your west likely built to the minimum parking standard already. I like @Account Closed's suggestion of having parking underneath the perimeter of the building.

Stormwater detention can go under the surface parking lot at a cost of about 2-3x traditional BMPs, but that could possibly offset the additional cost of deck parking. Your tract naturally slopes southwest toward the point of that triangle, which would be difficult to build inside anyway.

I think there's a required 20' perimeter buffer when commercial is adjacent to residential of any kind (SF, MF, etc.) but I need to refer to the UDO. Good news is, that buffer can count toward your tree save in most municipalities. Tree saves are typically negotiable thru mitigation money anyway. If you're already zoned O-1, then develop by-right and don't offer the adjacent houses any land.

May I ask; why 2 levels and why 18k SF? Have to discussed this with a Buyer?

@Ethan Perry   Hey Ethan!  Good luck with your property.  I just wanted to chime in and let you know how to do some research (if you want) over this 3-day weekend. Your original post didn't say whether the property in located in unincorporated Stafford County, or Fredericksburg, or wherever, but the Municipality that governs the property will have this information online. Typically there will be a Unified Development Ordinance (UDO) that spells out exactly what can and cannot be done inside each Zoning. Just search (ctrl+f) for "R-4" and start reading.  For example, HERE is the link for the Fredericksburg UDO.

As Jay mentioned, the R-4 could mean that you can create u to 4 units if other criteria are met, however, I've seen some Municipalities where that is different. Either way, reading that UDO will help you to be prepared when you do meet with the folks at the Planning Dept.  Again, best of luck.

@Ashley Moraru  Hey Ashley! Congrats on passing the Exam. You should check out all of the large homebuilders... Pulte, Lennar, CalAtlantic, Meritage, D.R. Horton, KB Homes, etc.  Most have division offices in Ballantyne and have plenty of projects going in Union County.  You should search online to see if they have Sales Associate openings and, if they do, apply. Also, get your resume/CV looking sharp and stop by their division offices to introduce yourself.  Do not be shy!  Sales Executives love assertive people, because that is how you sell houses.  LinkedIn is also very good for networking.

Best of luck and let me know if I can help in any way.

- Christian

@Charlotte Edwards   Charlotte... it doesn't sound like you're able to contribute much to the deal except cash, which makes you basically the lender.  If you trust her to select the property, manage the repairs, and sell for a profit, then you should remain a passive investor. Lend her the money on your terms. Charge her hard money points during the hold time, you keep preferred equity (your money comes out first), and you take a pre-determined portion of the overall profit (say 10-20%).

@Jason Lawson   Jason... I took a look at some of the bids on recent, smaller scale projects that we have. We are currently doing a development on Providence Road beside Candlewyck Baptist Church that required about 5 acres of clearing and grubbing. Our low bid was $6,800/ac. This was in close proximity of adjacent buildings and had existing overhead power along Providence, so it had a few challenges. Again, this clearing was attached to a much larger contract, so your numbers for just clearing and grubbing may be slightly higher. Also, if your property slopes hard onto someone else’s property, it would benefit you to install some perimeter erosion controls. Silt fencing is about $2-3/LF installed.

Best of luck!

@John Vietmeyer   John... the best comprehensive resource I've read is the "Professional Real Estate Development Guide" published by the Urban Land Institute (ULI). I have the 3rd edition (ISBN: 9780874201635). There could be a newer one out now. It covers all the major asset classes (multifamily, retail, etc.). 

Taking a project from raw land to vertical structures usually requires a team of professionals, since not really anyone is a master of all the different skills needed. Most "Developers" have intimate knowledge of the whole process but hire Consultants (design, marketing, sales, etc.) as experts. I would suggest concentrating on one stage within the whole process and learning how to add value there. For example, a civil engineer with extensive experience in land development could add value by taking a raw tract thru the entire entitlement process, and then selling it to a Builder. Large builders like to move fast and will pay a premium for a project with a green light, even if it's still just raw land. Anything to shorten the cycle.

I hope that helps in some way.

@Pearce G.   Pearce... it depends on which spot in Summerville, but given the recent and planned growth, you could have a valuable tract if already zoned appropriately. The way it typically works is that you would get a Commercial Broker (Caldwell, CBRE, Colliers, JLL, etc.) who has extensive relationships with multifamily developers (Greystar is top 10 and HQ'd in Charleston). The Broker helps you to determine a value based on market comps and then shops it around for you. Depending on your expected terms, you would then enter into a contract with a Developer. Within this contract, the Developer will have a Feasibility Period (60 -120 days if it doesn't require a Rezoning) during which they will have access to your land to conduct any due diligence they deem necessary (wetlands, title, cultural, geotech, traffic, etc.) to help them understand if the project works for them and any associated risks. If the Developer finds something that will negatively impact their cost to build, then they will attempt to negotiate the price downward to compensate. If, at the end of the Feasibility Period, the Developer would like to move forward with the project, they will close on the property and that's that. Obviously, this is a very basic version of this process, but I hope it helps.

@jaosn lawson  Jason... I can pull up some of our most recent contractor bids for clearing and grubbing by acre when I get back to the office on Tuesday. There are a few variables to consider:

1. Are there any old growth trees on the lot? For some good hardwoods, some guys will come clear cut the lot for little to no costs.

2. Your price will be a little higher because of scale. Mobilization will be a bigger proportion for a small lot.

3. Any obstructions (power lines, adjacent structures, etc.) will increase the time and risk, and therefore costs.