What to do with land?

8 Replies

Aloha Everyone,

I own land and I am new to the real estate game. Can any of my fellow BP mentors lend some advice on how to start generated a income stream from raw land? I am eager to from you. Thanks

Jason

Raw land isn't going to generate any income, by definition. It's raw. It has to be improved, somehow.

Questions to ask yourself and get answers to, before you'll get any meaningful answers from the forum or your local real estate community:

-How large is the tract/parcel?
-What is the current zoning? What is the zoning environment (that is, can it be easily rezoned, and if so, what are the other options)?
-How much can you personally spend to improve the land? This could be as little as clearing the land of brush, to having it professionally graded/leveled, to having municipal services (utilities/roads) brought to the site.
-Are you looking to keep the land indefinitely, or sell for the right price?

I'm sure there are a few I'm leaving out, but getting good answers to these questions will very quickly narrow the possibilities for your land, and what you can expect of it.

@Account Closed thanks for the info. I am looking into what would be the highest and best use of this land.

@Leon D. thank you as well. The characteristics of the parcel that I have is unique. I own 3 acres of a 6 acre parcel that a business partner and I split. The parcel is located on the edge of a residential area and also zoned residential. It has streams and riparian zones which are off limits for building. The last developer/owner had approved permits and plans to build four 10,000 sqft parcels, 2 of the parcels are on my half of the property. It is a beautiful piece of property in a quiet area on the Oregon Coast.

First clue is saying a developer went to the trouble of getting plans approved. I might question the developer's success, since he failed, but why did he fail? To go to the trouble of getting plans approved that means the highest and best use was probably identified and agreed to through the approval process. If his identified use was not appropriate, it probably would not have been approved.

Say to build 10,000 sqft parcels doesn't make sense, did you mean build on that area as the space available on that parcel or a 10,000 sgft building? Parcel is a term for land.

Your best bet is to look into following the plans that have already been approved, that will certainly save to money and a lot of time! :)

@Bill Gulley the developer ran out of funds during the 2009 downturn. The approved architectural drawings were for land improvements (streets, sewer, water, electrical etc.). Yes, i do mean 10,000 sqft lots for the use of residential houses.

@Jason Arnold Here's a blog post I did sometime ago that speaks to land development. Land Development

The fact that it had started the approval process in the past and looked promising is a good sign. However; you need to find out exactly what it will cost to get the approvals completed and finish the split.

Talk with a civil engineer, they will be able to help guide you in the process, and give you costs. Then, once you have the property split, you need to decide if you will sell the lots to a builder, or build out yourself.

@Karen Margrave, Thanks for the info Karen. I am still building my real estate acumen. I am writing a post tonight that will explain my market, properties, goals, and plan. Stay tuned. and thank you again

Jason

@Karen Margrave, Thanks for the info Karen. I am still building my real estate acumen. I am writing a post tonight that will explain my market, properties, goals, and plan. Stay tuned. and thank you again

Jason

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