[Matt007Member@matt007Join Date: 2008Post Count: 259]

August 20, 2010 - 3:55 am

There's another one at Redbank Plains called Amarco. Last I spoke to the developer there are 3 left, within your price range ($320K from memory). If you want more info email me: [email protected] and I can put you in touch with him.

To confirm I have no financial interest in the project, its a good mate of mine.

Cheers
Matt.

[Matt007Member@matt007Join Date: 2008Post Count: 259]

August 15, 2010 - 3:54 am

tommy.. good luck getting Roltons personal number. He doesn't like speaking to people one on one, or being accessed by 'students'. something to ask his mentors if thats what they are, is have they done any deals themselves, and can they prove that, have they been paid out etc..

Sorry you paid $6K.

[Matt007Member@matt007Join Date: 2008Post Count: 259]

August 12, 2010 - 5:55 am

Easy. Because you're old enough to say you've probably seen too much….and young enough to say you'd do it all again

[Matt007Member@matt007Join Date: 2008Post Count: 259]

August 10, 2010 - 3:07 am

Only way to tell is to ring the local council and ask. Depends on so many different things, there's no clear defnitive answer. Depends on the type of development, zoning, current council approval times, how long it takes your consultants to do their work, any delays, questions that might arise, could be 3 months, could be 18 months.

Give the council in question a call, describe what you want to do, and ask for an indicative time frame for your planning. Then factor in some contingencies and you should be ok.

[Matt007Member@matt007Join Date: 2008Post Count: 259]

August 9, 2010 - 10:45 pm

Ninh
how long till it takes effect? There should be an implentation date for the new plan on the Draft somewhere, if not ring Council. They should be able to give you an indicative time frame.

You'll benefit if you decide to sell to someone who's interested in your lots under the new plan zoning. The intrinsic value of the land will increase once the zoning is changed, but only by a certain amount. Ultimately the real value would come once a DA is completed along with a BA etc.

Council won't be buying it from you unless they've specifically said they're resuming your land. Doesn't sound like they are though. Essentially, nothing happens at all unless you decide to sell, if someone in fact makes you an offer.

Hope that helps..

[Matt007Member@matt007Join Date: 2008Post Count: 259]

August 9, 2010 - 10:38 pm

If its a cost, you include it. Land cost is a fundamental part of the acquisition of a development site. It'll cost you $700K plus costs to acquire and build. You then work out the end value/gross realisation once completed, ie: 2 x 3bed houses at today's prices = ? if sold etc.  If you come out with 20% profit, go for it. Thats the figure banks would look for to fund it. If its only 2 houses you should be able to get the funding under residential terms, sell it as an owner builder, dont mention the word developer to a bank, they'll run away scared. Resi terms for a small job like this are better than commercial notes anyway in my humble opinion..

Get some good advice from an experienced accountant who's dealt with developments before.

[Matt007Member@matt007Join Date: 2008Post Count: 259]

August 1, 2010 - 3:23 am

Couple of key people to have on your team:
1-Lawyer experienced in property development, including structures under which to do them
2-Accountant, same experience as lawyer with the specific skill set of being able to financially model the project including cashflows etc.
3-Town Planner/Architect/Designer – to ensure you get highest and best use of the property and the best yield.
4-Builder who's done developments before and knows the process.
5-Marketer/Agent whos had some experience with selling off the plan/project marketing
6-Good finance broker/banker etc who's experienced in development funding. BIG plus having that experience on board.

Key things to do (opinion only):
a) have a contingency plan in place financially (to cater for the inevitable cost blowouts/time blowouts etc)
b) be an 'active' developer, keep involved and learn as much as you can
c) Keep an open mind, as the process develops, things may change, and you need to be flexible enough to respond.
d) (Big personal opinion) do business ethically with everyone you come into contact with. Get a good reputation and people will want to do more business with you more often.
e) Do Your Research! Very important in all aspects. Don't believe it just because someone tells you. Go find out for yourself.

QS is quantity surveyor. They're invaluable and you'll need them involved at all steps to ensure your costings are accurate.

Builders – experience in development is (in my mind) essential when going out for quotes or tenders. Depending on the size of the job, you want to see demonstrated experience in doing similar size jobs and costs/values, coming in on time and at or less than budget. References are also important.

I'm sure there's lots more but they're my 2 cents worth

[Matt007Member@matt007Join Date: 2008Post Count: 259]

July 30, 2010 - 8:29 am

Banker,
which were the banks pulling out of student accommodation? If you don't want to post, can you PM which ones?
thanks,
Matt.

[Matt007Member@matt007Join Date: 2008Post Count: 259]

July 28, 2010 - 4:17 am

Hi Jacky,
If you like, email me at [email protected] and we can chat about it there. No doubt your investors appreciate some confidentiality and discretion   I also deal a little bit with offshore folks now and then..

Look forward to talking with you.

Matt

[Matt007Member@matt007Join Date: 2008Post Count: 259]

July 27, 2010 - 9:19 am

Hi jackyngew
Your question is the same one asked by developers such as AV Jennings, Mirvac, Australand, Austland, and so on and so forth. Tracts of land of that magnitude, in large part, has often been already land banked by development groups such as those I've mentioned, for future development. Other tracts of land that are of that size if not already landbanked, are not zoned appropriately or are rural/farm land and can't be developed in the manner I think you're seeking.

There are, however, a number of large tracts of land that have undergone subdivision or had development started in the hands of receivers/agents, that may suit your purposes, if you have someone on board who can do the feasibilities and demonstrate highest and best use of the land you're considering. That might be a less frustrating and more available source of projects for your group. I know of a few people who may be able to assist on that front if your group has more specific parameters etc.

IT all depends on their level of investment, their apetite for risk and expected returns etc.

Matt.

[Matt007Member@matt007Join Date: 2008Post Count: 259]

July 21, 2010 - 10:27 pm

Get familiar with the town plan, first and foremost. That will dictate what you can and cannot build there. A call to Council Planning will also shed light on what they would approve and not approve. Once you have that idea, you can then start to approach builders and QS and get costings etc.

DA = Development Approval, so (and this is my bugbear with ads and everything so its not aimed at you Jksully) so saying DA Approval is like saying "development approval approval"….grrrrr…. damn semantics

[Matt007Member@matt007Join Date: 2008Post Count: 259]

July 21, 2010 - 6:10 am

Options are a very technical area, a lot of these questions are really something that should be asked of an experienced solicitor as they have some underlying legal aspects that if incorrect, could be costly as they still appear to vary from state to state. I know one of our people who deals with the larger residential groups has had to seek Barristers advice on a number of structures now where CGT etc are involved, which if nothing else might indicate how complex it can be at the larger end of town.

Sellers may accept an option because of a number of factors, including an option fee, which again depending on the size of the deal, may be significant and possibly, although these days unlikely, non refundable. It may also be because it fits in with their own goals, or that they simply don't, or won't, understand the process. Options can be great if its an ethical negotiation, but there are also so many other contract types (development agreements and such) that can also work well.

Find a good property solicitor, thats my advice.

[Matt007Member@matt007Join Date: 2008Post Count: 259]

July 21, 2010 - 12:26 am

Hans
Yes you can settle if you choose to, depending on the type of Option agreement and any 'out' clauses you may have inserted. If it's a Call Option, you can settle if you choose but they can't force you. If its a "put only' option they can if they choose force you to settle. If its a Call and Put, it will depend on the type of clauses such as "subject to suitable and acceptable DA being obtained" and so on and so forth.
If you choose to assign the option to someone else (on sell it) then it's their problem, not yours.
Hope that helps,

Matt.

[Matt007Member@matt007Join Date: 2008Post Count: 259]

July 14, 2010 - 3:20 am

Hi Crusty… well, its only my opinion, but I'd have to say a hearty NO to that one. Sadly, it wouldn't surprise me in the least if he was..

[Matt007Member@matt007Join Date: 2008Post Count: 259]

July 13, 2010 - 10:51 am

Hi Rob
PM me. I have one or two people up there who specialise in the Mackay/Bowen region.
Cheers,
Matt.

[Matt007Member@matt007Join Date: 2008Post Count: 259]

July 12, 2010 - 6:39 am

Hi Gambler
Send me a PM and I can give you the name of someone great who specialises in these things, as well as being a brilliant design consultant for townhouses.
Happy to assist.

Matt.

[Matt007Member@matt007Join Date: 2008Post Count: 259]

July 8, 2010 - 3:56 am

Then work out your costs and profit margins for each. Unfortunately there's no one size fits all approach for that, just have to crunch the numbers, but once you know what your costs will be, it'll simply come down to applying those numbers across the 3 variations.

Also consider the timeframes for completing each and your holding costs for doing so and what impact that may have on re-selling etc. Most profitable might also be most problematic.

[Matt007Member@matt007Join Date: 2008Post Count: 259]

July 8, 2010 - 3:15 am

There is no rule of thumb, it depends entirely on the site, the DA itself and what sector (resi, comm, retail etc) and where the market is at at the time. Yes a DA adds more value as it removes the first element of risk for a builder/developer looking at the site. It doesn't however add what some agents would have you believe.

Things developers/builders will consider:
* cost per sqm to construct
* end value or gross realisation of the site
* holding costs
* indicative council fees and charges
* agents fees and commissions
* timeframes for construction and onsale of product
* minimum profit margins banks will accept to finance a project
* size of the site and yield

Just becuase you have a DA, doesn't mean it'll be what they want either. Often someone will view it and then have settlement conditional upon certain alterations to a DA or BA.

Someone mentioned highest and best use for a site. That's a good thing to keep in mind, and means understanding the zoning and town plan very well, or having a planner who does.

Not sure if that helps or not but good luck with your venture!

Matt.

[Matt007Member@matt007Join Date: 2008Post Count: 259]

July 7, 2010 - 6:41 am

Mate they are pocketing a considerable amount believe me. RPData prices haven't risen by triple you can rest assured. Call them direct and ask.

By accountants and solicitors, I mean conduct due dilligence. I mean if they say they're worth $500Mill, show some accountants statements. If they claim to control this that and the other, have a solicitor draft a letter verifying it and then have that verified also. it essentially means if they claim it, get something that a solicitor or accountant can verify independently.

An example or food for thought: Mirvac Group who are a large property group involved in most aspects (development, acquisitions etc) publish every last scrap of information for their investors, including that they profit about $47Mill in 2009. Every last detail of what goes in what goes out and what on is published. Now, for a group who apparently has $500Mill worth of projects 'on the go', and such considerable assets etc, why is it that there isn't a scrap of supporting evidence anywhere detailing that?

I've always said, if you're a seminar presenter, great, say so. If you're a developer, great, say so, but if you're not don't say you are

[Matt007Member@matt007Join Date: 2008Post Count: 259]

July 7, 2010 - 4:44 am

Sash
I think the point that many have made in this and other threads is this: the generic information provided in the Massland seminars is accurate. Options exist, and they work. You can find out about options for free though and they are by no means as easy, or as cheap, as Massland would have you believe..
 
What most are up in arms about is the ongoing promise of large cash successes, funds provided for DAs, the 'well earned reputations and presence" in the market that is consistently spruiked, along with other largess like buying a Porsche racing team or $500Mill worth of projects, the 'successful students' etc., none of which appear to be able to be proven, despite continual requests. One would have to ask why this continual denial exists. Draw your own conclusions.

Ask yourself this, if you handed over $20K plus for someone to 'mentor' you to success based on the fact you believed they were already successful in the field they were purporting to be able to mentor you in, and that tsuccess urned out to be false or at best highly inaccurate or misleading, how would you feel about that?

That success potential you're seeking relies very heavily on the information you're being sold/told being 100% true. Now, as W4L said in an earlier post, Masslands own PA said believe about 10% of what's being said. Based on that, your success potential in that scenario has just dropped 90%. Still feel like handing over $20K?

Get written proof of all claims made, use your own accountants and solicitors to verify any information sent to you by them. Thats the best piece of advice I can offer you.