Property investment presents so many lucrative rewards — but the actual profits in the real estate market come at the wholesale end: property development. The latter are always in demand because the market, technologies, and preferences for living arrangements change constantly.
Although the business is such a lucrative endeavour, it comes with challenges. The most crucial of these is finding the right site, as this determines the success or failure of your entire project. Experts from VisionOneProjects.com.au strongly encourage looking into these factors when evaluating a potential development site:
Never forget the mantra in property investment — location, location, location. It may seem like a tired phrase, but it is one that will always hold water. Make sure that your development site is close to community amenities, including schools, retail shops, public transportation systems, and hospitals.
It’s also important to take the over-all ‘feel’ of the streets into account. Ask yourself if the area is inviting for your target market. For instance, if you are targeting families, then schools, parks, and overall child-friendliness should be top priority.
More land is necessary if you want to achieve a medium density development. As you go through the development process, you will have to designate an area for the driveway to access the rear properties; this scenario presents the need for a wider frontage.
Regulatory boards have a formula to determine how wide the driveway should be. The guidelines take the number of properties into account, and should be an integral part of your development plan.
Most people are quick to think that dead, flat land makes for an excellent site for developing. Although that is safer than a sharply sloping land, you may have to build up the site with fill and maintain it to prevent drainage problems. Experienced property developers often encourage a land that falls slightly to the street, so that draining storm water is easier.
Top of the Block and Underneath the Land
Are there things you need to remove from the site? Trees? Asbestos on concrete slabs? The actual house itself? You need to take these into consideration, so you can project a realistic budget that includes site clearing expenses.
You also have to take into account what’s underneath a potential site. Inspect if there are old mining areas, especially if you are eyeing a development in a more rural area. Make sure to know about sewer lines and junctions as well, as this can influence the over-all design of the development.
Ensure success in your property development project by finding the right site and looking at all possible considerations.