Land purchase/financing/eval san diego

[Alex Shaughnessy]

Good morning BP,

trying to help a friend. Not familiar w/ land prices in san diego and how to finance them. Any referrals or knowledge that can be dropped about how to evaluate the numbers would be appreciated. Encanto is the specific neighborhood

[Matt Devincenzo]

Generally land sales that I see for in-fill parcels like you're likely seeing in Encanto, are going to be all cash. Especially since many of the available lots in Encanto are going to require quite some effort to permit and possibly entitle them depending on the specific site conditions. Lot values can easily fluctuate 100-200% based on feasibility of construction, and lenders know this and are therefor leery of lending. I'd try to find a partnership or an investor that can fund the acquisition if possible.