How to Create a Subdivision

Turkey Day is finally past us...and now, Big Red is just around the corner. Before you know it, New Year's will be here!

Over the next couple of weeks and months, I'll share with you how I am creating a subdivision in a rapidly growing area in Southern Oregon, so you'll be a better informed real estate investor. I won't show all the details as those are reserved for the subscribers to my LOS (Look-Over-The-Shoulder) Commercial Real Estate and Raw Land Program, but I will and plan on giving you enough information so that you get a strong sense of what I am doing and how you, too, can do it.

My Broker, Kevin, brought the property to me a few months ago and well, with the 101 other things going on, it's been on the back-burner, but now, it's time to move it to front and center.

Here's the breakdown on what it looks like:

There are two different lots. One lot is just over an acre. The other is just under 1/4 acre. All total, about 1.4 or so acres. Kevin, aka "Pig" has a good inside scoop on both pieces - turns out he knows the owners of both and both are motivated - one purely for the money and the other owners, they are in a bit of pain from having money problems. So, I am hoping that by the end of this project everyone comes out in a better position than where they are at now.

Each property, as it sits has a home on it. We're going to do some lot line adjustments and, essentially, apply to the city for a subdivision, of course, after some course of due diligence (DD). We've got to find prelim info like: sewer availability, electrical capacity, phone and of course, h20 capacity and hopefully, none of those will need expansion before I hook this little subdivision into them.

We'll be shooting for 5000 or so sq ft lots. There will be a cul de sac, so these will be fairly desirable. We should end up with 10 to 12 lots, depending on the configuration our civil engineer comes up with. We will know all this prior to closing on the property, so the risk and the cash I will have at risk will be minimal.

My hope is that rather than take this thing all the way to the point where we are digging ditches and putting in services, that we sell it to a local builder for a nice profit, leaving some on the table for them, as well. (They gotta win, too, otherwise, no one wins - we always leave profits on the table for our buyers, always.)

OK...more to follow. Next post I will go over the offers, costs, and potential profit. Be sure to check back often. Adios!

Finally...It's on the WEB!

Welcome to the inaugural post for my new BLOG, Real Estate Investing for Busy Dentists.

My pledge to you is this: NO NON-SENSE here. Just meat and potatoes.

There's a lot of information (millions of pages) on the Internet about Investing in Real Estate, but no one like me understands the unique challenges Dentists face in their profession and how to integrate these into successful investing strategies.

I have deals I am personally moving into and out of all the time, so I will do my best to share with you what I can, here so we can learn together.

Visit often, bookmark this page, and let's make some money together!

Best, Jerry