Beds: 2 Baths: 1.5 Sq. Ft.: 730 $/Sq. Ft.: $821 Lot Size: 8,000 Sq. Ft. Property Type: Detached Single Family Style: Cottage/ Bungalow Stories: 1 View: Neighborhood Year Built: 1912 Community: Eastern Addition/Downtown Area County: San Mateo MLS#: 80941782 Source: MLSListings Status: Active This listing is for sale and the sellers are accepting offers. On Redfin: 153 days Developers Dream; Prime San Mateo lot; Great location; small house located in back of lot. Possible 18-units development per city of San Mateo Development Guidelines with assemblage of neighboring parcel (not currently on market).
Alright all you real estate developers out there, would this deal pencil out?
By my calculations, it would cost (18*1000*150) $2.7 million to build the 18 units, and that’s after the $599,500 cost to buy this lot. Any MBAs out there want to bust out their HP-12C to calculate what the NPV of this would be? Should you rent this out? Should you sell the units out?
Where are all the entrepreneurs at? Let’s hear your pitch!