Pricing Of Sewers / Road?

Ruman profile photo

Can anyone tell me the average price of this? Normal 2ln wide with curbs & sewer. I was told $465k for 600 ft but that seems a bit steep... if you're talking 100 ft wide lots, thats $38,750 per house for sewers/road. Any input?

Thanks.

Comments(4)

  • NancyChadwick14th January, 2005

    That seems very high, but this is a market-specific thing. I use a rule of thumb of $200-250/linear ft to ball park all site improvement costs (streets, curbs, storm water management but excl. house building) and then I add in water & sewer EDU/tap-in fees.

    Who gave you the $465K figure?

  • Ruman15th January, 2005

    The current owner of these 70 acres that developed 5 acres worth. My partner told me that is what he said, perhaps he misunderstood. $200-$250 per linear ft is MUCH more reasonable. That brings cost to about $10k-$12.5k per lot. I think the owner said it would be around $150k to bring sewer to the back 65 of the 70 acres, which isn't a very large cost for that much land. Unfortunatly i'm not that far into my RE developing book. LOL. But we happened to run across very good priced land in an excellent area. We have until Monday night to decide if we are going to write a purchase agreement on it before it goes on the full market. About $7500/acre when normal pricing should be about $10k-$12k. It needs a bit of dirt moved but also has a 4 acre lake on it. It can be annexed into a very quickly growing suburb of Des Moines, IA.


    Quote:
    On 2005-01-14 20:06, NancyChadwick wrote:
    That seems very high, but this is a market-specific thing. I use a rule of thumb of $200-250/linear ft to ball park all site improvement costs (streets, curbs, storm water management but excl. house building) and then I add in water & sewer EDU/tap-in fees.

    Who gave you the $465K figure?

  • NancyChadwick15th January, 2005

    Ruman,

    Make sure you include the customary development/subdivision contingencies in your offer. Good luck and let us know what happens.

    Nancy

  • Ruman21st January, 2005

    Now I'm waiting to get the topographical map from the engineer so I can get a quote on the grading. Met with the VP of commercial lending of a local bank and he thought the land was a grreat deal($8.3k/acre) when land around here typically goes for $15k or so. It does need some grading, though, and I am anxious to see how much that will cost. Now we have someone telling us it'll be around $375,000 per 900 ft of streets. That still seems a bit steep to me, but we shall see.


    Chase


    Quote:
    On 2005-01-15 19:07, NancyChadwick wrote:
    Ruman,

    Make sure you include the customary development/subdivision contingencies in your offer. Good luck and let us know what happens.

    Nancy

Add Comment

Login To Comment