All Forum Posts by: Jason Hsiao

I've been hearing questions like this a lot and our next Meetup topic is covering ADUs specifically. We have someone that's on a planning commission, an architect, and a friend that's actually gone through the process. It's Wed 5/16 by Santana Row. It will answer many questions folks have.

I don't think BP allow us to plug events now or have external links in the posts so check my profile for the Meetup link.

Surprised no one has chimed in yet... my money is on Almaden bc the school district is better here and in general less new development compared to around Fremont/Newark @Rohan Desai, limiting the supply side of the equation. If Netflix keeps growing and build a mega campus that's really going to lift the tide as well. Only time will tell ;-)

Hi @Sara Als.,

Congrats on your project! It's really hard to answer the cost aspect because every region of the country is different and it varies by finishes and required material by the city. I invest in Atlanta w/ a partner so I have some very rough basic knowledge of it. I would guess somewhere btwn $120-150/sf but take that with a lot of salt. Soft cost like architect, permits etc I would maybe budget another $20/sf.

I would start w/ the architects, talk to three or more, get an idea on the soft costs, and ask them for referrals for developers or construction companies. Again 3-4 is ideal so you have a good set of data point.

As to subdivide or not, that's up to you or what the market dictates. There are some townhomes essentially they're condos w/ HOAs so the owners own air rights and exclusive use etc. Some are fee simple townhomes. I would take a look on what's selling around your area and model after that.

Feel free to DM me if there's any questions you think I can help answer.

Go to IRR.com and find the area you're interested there for the cap rates @Neems Y. Much quicker to get the answer you want that way. 

medium to high end $275/sf give or take, prob closer to $300.

Where is the property? You can msg privately if you don't feel like blasting out on the internet where it is.

I've seen R3S by Stanford before but not R3H or at least how you have it written. Most likely it means Hill Side or Historical, tread carefully with both.

What do you mean by excavation @Erik Chan? that's the part that scares me. If it's hill side development it could be costly.

$300k for 7,0000 sf lot is a good deal, $500k for build out is a pretty small house, bay area it's prob $275/sf to build if you manage your own subs and that cost is always going up. Plus you have your soft costs--architectural, engineering, permit fees, developer fees, school fees. If there's trees or old house on the lot you'd have to demo that, that's if the trees are not protected. If it's hill side and you need cut and fill... not seeing the property in person that's prob easily a $200k job.

That should be enough to do a back of the napkin math. If you need more help give me a holler.

Hi @Bablu Gupta I think I might help. Need a little more info though as in regards to where the property is. Feel free to msg me if you don't want to share public here in the forum.

Yes, it takes a while, depending on the agency and parcel, to get thru the entitlement process. I've dealt w/ new builts quite a bit and have some architects we can consult with.

@Chris C., you could work with an architect to determine the highest best use for the parcel, get it entitled, and sell it to a developer to have them actually build it. It reduces the risk for the developer and they can build right away to turn their capital over so they'll pay a higher value for it.

I have quite a few from previous projects, both commercial and residential, from budget to high end. Where's the project at, I think that'll help me narrow down who to recommend @Minh Nguyen. Feel free to PM me as well.