I picked up a house in North Perth. $595k on a 460sqm block with a 3 x 1 house which is basically a 4 x 2.
Good things about the deal:
- block is R60. So I can build 322 sqm of apartments on it. (4 x 3 bedrooms perhaps) Nb density bonus allows up to 460sqm of apartments on this
- has a rear laneway for easy parking for apartments
- is rented out by the room for 800-900 per week
Downsides:
- on a busy main road. I'm not worried about that - it means public transport, shops/amenities close by, less parking required etc.
At $1300/sqm I'm pretty happy to get a R60 block in North Perth.
Vision
Probably the most parking bays I can get on this is 4 across the rear laneway. I can stretch it from single to tandem but still only 4 apartments worth. Might be able to do some vespa bays though.
With parking for 4 I'm limited to 4 apartments unless I can wrangle some studio + vespa bay allowances.
At 4 apartments this is still a good deal.
Highly approximate numbers
- land $620k inc stamps
- construction inc headworks blah blah $6-700k (based on 350sqm construction)
- holding costs nil (this is a SMSF purchase with no borrowings)
- total $1.2-1.3 cost
- end value approx $500k each = $2m (pretty conservative)
Good things about the deal:
- block is R60. So I can build 322 sqm of apartments on it. (4 x 3 bedrooms perhaps) Nb density bonus allows up to 460sqm of apartments on this
- has a rear laneway for easy parking for apartments
- is rented out by the room for 800-900 per week
Downsides:
- on a busy main road. I'm not worried about that - it means public transport, shops/amenities close by, less parking required etc.
At $1300/sqm I'm pretty happy to get a R60 block in North Perth.
Vision
Probably the most parking bays I can get on this is 4 across the rear laneway. I can stretch it from single to tandem but still only 4 apartments worth. Might be able to do some vespa bays though.
With parking for 4 I'm limited to 4 apartments unless I can wrangle some studio + vespa bay allowances.
At 4 apartments this is still a good deal.
Highly approximate numbers
- land $620k inc stamps
- construction inc headworks blah blah $6-700k (based on 350sqm construction)
- holding costs nil (this is a SMSF purchase with no borrowings)
- total $1.2-1.3 cost
- end value approx $500k each = $2m (pretty conservative)
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