Need Help With This Deal! Thanks ...

Here is the deal I am trying to put together ... Having troubles to get down construction cost ...

I have an opportunity to buy a 3 story Brick building with full basement for $200k ... Zoning is R5 ....

Dimensions: 19x136

It is in need of the FULL REHAB ... meaning needs to be gutted out inside (even floors and support for it) ...

Idea is to make 4 (2-3 bedroom 2 bath)
apartments including the garden apt from basement.

Apartments in the area and next buildings are selling and sold on average for $200-230,000 and garden apartment for less around $130s

Since I am not a GC and never done work on this level, I can't get my numbers straight. I talked with a friend who has done some rehabs and he figured $60,000-65,000 to rehab each floor including everything (baths, kitchens, HWAC , plumbing, electrical) and I am not even sure what else ... And all that with upscale touch due to the downtown location and developing area ...

Is it possible and doable ? Also it will need to be converted to condominiums in order to sell ...

Would appreciate any feedback on the whole process.

Thanks.

Comments(5)

  • Jimbezy27th November, 2003

    Just have some contractors take a look at it and get you some numbers. They dont charge and are normaly happy to get you an estimate.

  • Birddog12nd December, 2003

    What are you looking to get it for? Thats the important part. If you get it for a good enough price, the amount you hvae to put into it won't matter depending on what you will make for profit
    [addsig]

  • Stockpro992nd December, 2003

    here is a good rule of thumb. on remodel figure about $100 sf. and this can go up with the quality of the appointments etc.
    This is a big job and you are not qualified to oversee thetechnical end of this as a GC. In jobs like these it is easy to lose 100K.
    You need an in house contractor (like us, no I am not offering capable of taking a project like this from start to finish and covering all aspects if he is like us he will have his own drywall, finish, frame,crew etc. we have plumbing and electrical as well.
    I would not try and go "cheap" on this one especially if it is your first one.
    Ask around for who is the best remodel contractor. Ask friends, contractors, and lumber yards (and I don't mean Home Depot). then take the top 5 and get bids, check references, maybe look at projects they have done or are doing.
    THis way you will get a finished product with a minimum of hassle and won't have to pay twice when the cheap contractor doesn't finish what you paid him for.

  • Stockpro992nd December, 2003

    One other thing,
    When you tie the deal up get a draftsmand to draw up the plans prior to putting it out for bid.

  • InActive_Account2nd December, 2003

    Thanks for the info ... Helps a lot to put things to do in order ...

    What it turned out to be is the irregular lot size and also a 3 story single family home ... Now trying to figure out if that can be turned into 3-4 condos and/or demolish and build new from scratch ...


    Thanks.

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