What would be a good price for 5 story building at the shell level? The building has exterior walls and windows, fire suppression, HVAC, elevator, roof, plumbing and electrical connections on each floor. If the building was 50,000 sq. ft. and I was to purchase say one floor of 10,000 sq. ft. What would be a realistic price in a small market like Santa Fe with 65,000 residents. Commercial vs. Residential? No parking available for residential, walking distance for commercial.
That is too general of a question. This is very deal specific. And there are too many variables. For one thing what you described does not sound like what I call a "shell"
You need to figure what is the property worth when it is fully up and running then estimate what is will cost to get it there. Lastly taking into account time and the cost of money, how much can you pay to get the kind of return you are looking for.
This is not an easy calculation but maybe some one here can give you some very crude ideals of ARV per sq ft and construction costs per sq ft.
That's what I'm trying to figure out. So I have quotes of finish out of $40.00 - $125.00 a foot depending upon finish out. What I can't figure out is taking out location, if I plopped this thing in the middle of a desert, what would a blank building be worth?
I trying to arrive at a proposed number to the bank for foreclosed property that would be less expensive than a new build, otherwise, what's the point? Any ideas?
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