4 Townhouses development - Melbourne

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Yes they are tree hungers, hence I was blown away when council gave me a permit to remove the large oak tree on my block, so I got it removed quick smart already this year.
I guess like u say, it pays to have a really good arborist report which must have helped, signs of decay, dead bits, past mature age etc did the trick

 

Yes, I eventually got approval to remove 3 trees, oak trees, massive, lots of objections, but the trees were in poor condition. It still took 2 arborist reports.

 

Hi MTR,

Congrats on doing so well and thank you very much for sharing this info. Very interesting thread, thanks to all.

This point caught my attention, though:

I'm not an accountant but my understanding is that CGT etc are all based on contract (signing) date, not on contract settlement date?

 

I thought the same, but not with new developments. Its when the sale/contract settles.

 

Hi MRT,

What was the Thomastown street address if you don't mind me asking?

Cheers Ace

 

Hi MRT,

I have figured out the address. I mush say you purchased the property in a great location & to get 4 unit's on 650sqm block in Thomastown is nearly impossible. There are a hand full of developments with 4 units on a 650sqm in Thomastown. Well done.. Thanks for sharing the project details...

In recent months Thomastown has boomed, 4 unit site recently sold for $790k.

Cheers Asen

 

I know absolutely gone gangbusters

Thomastown was always going to be a winner the ugly duck but good access to rail and good infrastructure and cheap as chips considering proximity to CBD

I love ugly duck suburbs that tick the boxes

Now where do you find another suburb like this today in Melb?


MTR

 

You probably can't get 4 on 650sqm in a GRZ anymore due to the minimum garden requirements.

 

Ah yes, let's protect the backyard and hug trees.

 

At the time Whittlesea Council was a piece of cake to deal with................ tree huggers try Maroondah Council

 

Yes, one of my colleagues got approved to build 6 Townhouse, on a 1400 m2 site, not in northern suburb. Build 4 on a 650m2 site sounds incredible - how is that possible?

 

When I was working on this project the council seems to be pro developing 2 bedders were considered to be OK, this product was targeting FHB market. Times have changed. I doubt these will approve this today.

 

What is the cost of building the 4 townhouses ?

I would presume each are at least 120 sqm area each ?

Standard quality fittings and standard design

It can be profitable if the construction cost is about 1500 per SQM
200k for land and 180k for each house construction
So 380k for each townhouse
Can they be sold for 450 -500 each easily ?

Cheers

 

Much more tiday than when I started my project

 

I am looking to estimate costs for 3-4 townhouses.

So how do you go about estimating construction costs ?

Do you go by per sqm or something else ?

Cheers

 

Sqm and specifications
Most buyers want - stone benchtops, high ceilings, floorboards, full height tiling bathrooms, overhead cupboards in kitchens/laundry....all this is now pretty much what is expected

As market is booming buildng costs rise

 

So for these specifications, what would be the construction cost for a 120SQM townhouse ?

Cheers

 

Today around $1500 sqm, but perhaps more??

I had another project on the go at the time in Croydon.

When I was looking at costings for my Croydon, Melb property the building costs had jumped significantly due to the boom.

I only use smaller builders as the larger builders will charge like wounded bull. My costings varied at least an additional $200K on the overall build costs if I went with a larger builder.

Risks - smaller builder may have cash flow issues, there are certainly risks with this, just need to do lots of homework.

 

It depends on the builder and location of the project. Medium quality finishes are around $15k - $17k on the higher side per square. You could get a cheaper rate but it would then also be a cheaper finish. It also depends on if you are going single or two storey, if you are talking single storey then I'd assume it would be 20-25% cheaper.

 

Larger builder will charge more, certainly from my quotes, they have more overheads.

Smaller builders may be higher risk?? but also presents opportunity to save significant $ on the build.

Comes down to doing lots of homework IMO.

What is high specification? Most buyers want stone benchtops, higher ceilings, overhead cupboards. I would not build any product that did not include this stuff even for lower socio suburbs because this now is pretty much what buyers expect.