Purchased Mar 2023 – Currently in Progress
23 Pupuke Rd, Birkenhead, Auckland
Purchase Price
Purchase Price
$ 2.105m
Est. Sales Price per unit
Est. Sales Price
$ 7.8m – 10.3m
ROI on Sale
ROI on Sale
78.02%
About this opportunity
This Auckland Northshore affluent area, we plan to develop 6 x 2 Triplex units, in a sought after area. We will target professional, family people.
With 3 storys, the units average 215m2 per unit.
• All units have ocean views.
• Slight different development strategy approach to other developments.
The goal is to save interest during the more uncertainty period from lenders. Cash build on services, foundation and truss. Ultimate goal is to reduce the odd of accumulating holding cost from unforeseen delays.
• Ie Reduce the lending from 18 months to less than 12 months
• Build cost cheaper compare to our St Johns, from $2900/m2 to $2680/m
Timeline:
- July 2023 – House demolishment, excavation, public drainage
- September 2023 – Consents and foundation
- February 2024 – Second tier, framing, construction
- August 2023 – Practical completion
- January 2025 – Money back
We estimate the project to be completed within 18 months. (With a planned contingency of up to 24 months)
Investment Opportunity:
INVESTMENT REQUIRED | $500,000 |
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RETURNS | 12,5% (Neg – Contact Us) |
TERM | 15 – 18 Months |
Image gallery
Financials
Purchase Price | $2,105,000 |
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Construction Cost | $3,450,000 (@$4,489 p/sm) |
Consultation, Counsil, Holding, GST, Interest Cost | $950,000 |
Contingency | $400,000 |
Flip
Initial costs total | $7,050,000 |
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Sales & Marketing (@6000 $/sqm) Worst | $1,300,000 (per/Unit) = $7.8M |
Sales & Marketing (@7000 $/sqm) Likely | $1,500,000 (per/Unit) = $9.1M |
Sales & Marketing (@8000 $/sqm) Best | $1,700,000 (per/Unit) = $10.3M |
ROI on Sale (18 months deal): 78.01% (Likely)
Sale
Target Sale Price (6 Units @ $1,500,000) | $9,100,000 (Likely) |
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Estimated Profit | $2,000,000 |
Annualised ROI = 51.96%