Bay Front Multi-Family For Sale

**Spencer** · 08-16-2006, 07:55 AM

I'm aware of a 4 acre piece of property on the bay zoned for 4 units per acre. This parcel is off of Chat Holley. It has over 300 ft on the water. There is one very small piece of wetlands on the property. It will not effect the density. I believe you could put 4 bayfront lots and 12 interior lots on this parcel. Asking price: $2.5M. What do you all think about that?

**Spencer** · 08-16-2006, 03:43 PM

No comments?

**destinsm** · 08-16-2006, 03:48 PM

Originally Posted by Spencer

No comments?

The RE bulls seem to have beat the bears to an early winter hibernation...

This message board just isnt as entertaning as it was when we still had some RE bulls on here... where did they all go??? I thought SoWal is different...

**Franny** · 08-16-2006, 05:57 PM

From your information it sounds feasible but will need to put it on paper...make sure you have ample access to the property per county requirements. This issue has lost many deals in my experience with bayfront parcels.

**Spencer** · 08-16-2006, 06:07 PM

From what I've seen, access shouldn't be a problem. I guess you could but 6 bayfront lots if you wanted to make them 50 ft each. That would leave 31 feet to make a dock for the interior lots to use. Lets use a low number like $400K for the 6 bayfront lots. That almost pays for the property upfront and you can either sell the interior lots right away or just sit on them until things get better around here. There is also a brand new seawall already in place.

**Smiling JOe** · 08-16-2006, 06:35 PM

There is the little matter of sub-dividing and infrastructure. Infrastructure costs shouldn't be of great concern, but the sub-dividing may prove to be, no matter of the zoning.

**Spencer** · 08-16-2006, 06:55 PM

From what I understand, the initial meeting with planning and zoning was positive. With this only being 16 lots, it wouldn't really raise any issues ie: road widening, turning lane, etc.

**Spencer** · 08-17-2006, 07:39 AM

Smiling Joe,

Let's assume that subdividing will not be an issue. What do you think about the price?

**Smiling JOe** · 08-17-2006, 07:51 AM

Originally Posted by Spencer

Smiling Joe,

Let's assume that subdividing will not be an issue. What do you think about the price?

I think the buyers whom would be attracted to the property are tight on cash and scared that they couldn't get the lots sold quickly enough. Lets say that infrastructure costs are $500K. Spread over all the lots, that is still not too high of a price, but add brokerage fees and that infrastructure costs, and time in the county splitting lots, I think the developer would have to sell those water front lots at $650K each, to make the profit for which they look. It will be a while still before they move any of the interior lots, so they need to be able to pay it off by selling the waterfront, and I don't know too many people willing to part with $650 right now for Bayfront lots. Let me know if any of you are willing to do so, and I can point you to three nice, deep (ranging from 215' to 320' in depth) Bay front lots located in a great area of SoWal, for less than $600 each. You just need to know how to look for them.