Multi-family construction opportunity with no construction experience
Hello everyone, I have 13 years of experience as a landlord with two single family rental properties. I have been analyzing fix and flip opportunities in NYC and CT as my next venture. But in the meanwhile, I have come across a land in an up and coming CT market which is already approved for under 10 units. Even though the budget of the project will be about 4 times of where I was looking to start with a fix and flip, MF financing looks very encouraging and a silver lining. I was eventually going to pivot to multi family after getting my feet wet with fix and flip, but I am wondering if I should just jump in right away. Would appreciate advice and even offers for partnership in this project maybe from someone experienced. I am trying to assess whether I should take it solo , leave it or scout an experienced partner. Thank you for your time!
Most Popular Reply
I would strongly recommend that you look to partner with someone who has experience in this. A development project can have a very nice upside if done right. It also is heavily full of risk. There are pot holes at every step form entitlement to permitting to the vertical and getting CO. I have done this before and now find the risk just to high.
If you find someone at a REA or other investor meetup group that is currently in this space it can make your first time go much smoother. Moving from SFR to MF has its own learning curve without the development part.
I wish you the best of luck. There should be a good number of people out there who would be willing to mentor or partner with you.