Grand Forks, ND · Member since 2018 · 2 posts · 0 votes
I have a question I'm looking to build an apartment in ND. Does anyone have any great plans that they have built successfully and costs associated with them? Typical rent in our area is 850-1150 (2 and 3 beds) this has stayed pretty steady in the last few years. This is a college town of about 60k people anyone that has any advice on if this is a good idea or not? There are currently no apartments for sale in the entire community.
Lender · Chicago, IL · Member since 2016 · 653 posts · 313 votes
6y
If you are working with a local bank and they have reviewed a financing request package that details the entire deal and not just a verbal "oh yeah sure, looks like something we can do" sort of thing, then it depends if you want to be managing apartments in a college town.
Then again, is this undergrad, or grad town? What's the demographic, is a party college town? Or more of a stay in and study, go to class, come back and sleep college town? You should probably spend a couple days there and tour the area and talk to people. New construction is around $150 per SF, you can rough estimate costs based on that. Although, thats what some of my residential developer clients have used, not sure if apartment complex would be the same. Maybe $200 / SF Dakota is flat land, so at least there is no gradient.