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Updated over 2 years ago on . Most recent reply

Account Closed
4
Votes |
7
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Shipping Container Apartments VS Stick Built (Oregon)

Account Closed
Posted

I have been obsessed with shipping containers homes and apartments for the last 15 years. I am now in the position to build my first small apartment complex and I want to use prefab shipping container studios to do so. Each unit is made from a 20' shipping container and consists of a full bathroom, kitchenette, mini split, and vinyl flooring. These units are "plug and play" essentially and hook right up to your plumbing and electrical onsite. The total cost for 10 of these units is around $250K, but I am working on getting a bulk discount from the company that builds them. Each unit is just shy of 160 sqft. 

What are the chances that a builder would be able to build a 1,600sqft building consisting of 10 studio apartments for that same price? I own a couple of homes, but this will be my first big kid project. I have a ton to learn and I am open to suggestions. I would think that land development, rough grading, wet utilities, dry utilities etc should all be comparable either way I build so in my mind it comes down to permits possibly being a lot higher with the prefab units???? 

Looking to network and build a team, I have already met a great lender from my first post who is extremely knowledgeable. If you're a Project Manager, General Contractor, Architect, Land Developer etc I would love to chat.

I will attach a rough drawing I did using SketchUp. This shows the units broken up into two seperate 5-plex units just as an example. 

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Henry Clark
#2 Commercial Real Estate Investing Contributor
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Henry Clark
#2 Commercial Real Estate Investing Contributor
  • Developer
Replied

We do self storage units and also 20 foot cargo containers.  

Process for permitting will be very similar. 
1.  Get your cargo container company builder to provide engineering stamp drawings.   If they won’t give you engineering stamped drawings don’t do the project.  To include footings.  Find out if they will insulate the floor from underneath or inside.  This will dictate your footings.  Frost free or not.  Our zoning requires all human occupied buildings to be frost free footings.  Costs a lot more.  



2.  Get your local engineering firm to provide engineering stamped layout drawings with utilities.

3.  Run these thru the permitting board. 

4.  Design.  As mentioned above firewalls, addl fire exit say 2x2 window.      

5.  Insulation outside or inside.  Preferably outside. More space inside and less heat or cold transfer through the metal.    

6.  Even if you’re using 1 trip units recommend you put a slanted roof.  

7.  Your $250,000 probably does not include utilities and hookups.  Or footings, sidewalks and parking, excavation, permits.

8.  Parking.  Most parking is 9 foot versus 8 foot cargo container.  Check with permitting.  Also check to what degree you have to hit ADA door widths and parking spots.   

  9.  Fascia.  Can’t tell from drawings.  Zoning and permitting will require fascia.  Your cargo unit engineers should include in their stamped plans.  
  
10.  You might also check with any section 8 housing requirements.   

For one of our storage office sites we were able to build a 30x40 structure for $60,000 out of metal.  This included spray foam, concrete floor and metal sheet walls inside.  No other costs.  Just as another option.  

Keep us updated.  Sounds like all projects. Cost versus revenue.  

  • Henry Clark
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