Choosing the Right Property Development Site and Design….
When choosing a cheaper development site is not always better.
The location of the site, the topography of the land, the shape of the block, the zoning, and if the site has limestone or clay are massive variables that need to be factored into the success of your development.
By Investing in a contour site survey and Engineers report, Ventura iD can give you a decent snapshot on how much your development will cost. You can sign an offer and acceptance subject to feasibility on the project. It is wiser to invest a little money upfront than to not have a successful development.
As pointed out not all blocks are the same. You may not be capable of reading the slope by looking at the block but you can certainly see if it slopes a lot. The steeper the gradient, the more retaining and drop footings are required which increase the costs of the general works.
The position of the site in relation to shopping districts, bus and train routes, and open space such as parks, has greater appeal for the purchaser when you want to sell one of your units. This similarly applies to tenants if rental is your goal. If you have developed a site that has a lot of appeal and it has one or more of the above attributes, you will sell the unit quicker reducing your holding costs and thus, add more profit to the development.
The trick to success is to identify which designs and what specification will best suit your site. We don’t expect you to have this skill set, because most Builders and Sales Consultants are not capable of doing it. A builder that specialises in Unit Developments will have a design department where this work is done all day, every day. They will also have sales consultants that do this work full-time that should have the skills and resources to accurately assess your site before you settle.
Sometimes spending a few extra thousand dollars on each unit will get you tens of thousands of dollars more when you sell, and sometimes you need to down scale your project. It is all about matching the location of your site, what will appeal to a tenant or a purchaser, and packaging it in the most desirable and economically viable way.
Basically you improve your odds at a successful development by partnering with professional organisations that are prepared to work with you and give you sound advice. One hard lesson can be not making the development personal. Usually, you will not live in the end product, so don’t spend extra money on items that you like, however will not yield you higher rental or increase the end sale price.
Ventura iD and Multi Living Developments offer a free consultation service so you can see if developing is an option for you. Call (08) 9241 1600.