All Forum Posts by: Josh Cuthbertson

Just to be clear, you're not talking about a different kind of construction for pre-fab, like SIPS panels, you're just speaking about building the same 2x WD walls in a factory, right?

Looking good @Rogers Smith! What was the square footage of that one?

@Ethan Perry To your question about evaluating a deal, work backwards. Find the comps in your area that are similar to what you want to build then start with their average price. Once you have that, find out (from a GC) the normal hard cost per sf to build. Out here it can be $125 - $150 per sf for new residential construction. 

You'll have three - four major cost implications on a new build.

1. The land

2. The permitting / engineering fees

3. The hard costs to build

4. Acquisition and legal fees.

After doing this a variety of times, I know out here that if I find land for under $50k, I can make a $400k home work. But we also have $40k in permit fees to deal with and this is for one spec home at a time. The major players can reduce cost per sf through volume.

Start with the city planning department and verify the lot can be split again. Just to make sure the rules haven't changed and they'll will still allow the split.

Once you know that, have the discussion with them about how the subdivision works. They should line out the cost, estimates, and drawings required to complete the lot split. Typically this is done with a civil engineer.

Once the lot is approved and split, then you would work up the plans to bid the buildings.

Zero percentage. If you're paying him for a job as a contractor and he does that job, why would he get any profits? If it is in your name, and you're financing it, it is yours. Paying him the same as any other contractor in town willing to do the work is just that, hiring him.

Would you!? Oh that would be so awesome. I'm trying to work up spec home spreadsheets myself and could use a good example. I'll PM you my email address.

Thank you so so much, Rogers!

I totally agree. My parents are north of that area about an hour and 30 mins, but in Wyoming, and we're looking to do the same. Curious how you would handle that situation, but based on your response that would be my impression as well. I'm interested to see what others think of this model.

Hi Quoc -

What happens if / when a big fix or repair needs to be done in the new multi-family. Can they cover such an expense?

Welcome to BP. Quick question, are you planning the fixes to be one month of work each time? I think the process is a bit more involved than one per month. Or are you just planning on trying to complete 12 per year and run them simultaneously?

I guess it is all a matter of perspective, and in my opinion, I couldn't disagree more.

Planners do have a wide range of discretion on zoning issues. But every planner we've ever worked with is a wanna-be architect who thinks they know more about design and urban planning than the actual architects and urban planners. (But that is a two-sided sword I'm sure.) Not saying all planners are bad, but thinking you have no recourse and whatever they say goes isn't an efficient process.

We've worked with planners in 6 states and a myriad of cities. Not once have they even won an argument about their own zoning code. Especially when we hire a lawyer versed in these legalities. They overstep their discretionary power, and putting a stop to it, is more important than just letting them walk all over you.

I've had planners tell me I couldn't build a certain use in a specific zone, and that it was impossible. Project built.

I've had planners tell me they don't like a certain elevation of our building and wanted the owner to add a ton of ridiculous ornamental work on one side of the building that would have cost the owner thousands of dollars. Nope. Made them drop that issue.

We've even had planners go so far as to tell us they don't like our design style and to change all of the exterior details and materials of a proposed building. Got a new planner to review our project instead.

My original post wasn't eluding to taking a certain tone with the department. You may always respectfully ask under what authority they are using to make a determination. Once you know that, you can look into it further if you wanted to push the issue.