What is involved with Build To Suit Projects?
The following video is an interview with a local Austin developer that has been building commercial projects since the 1960’s. The person I am interviewing is Larry Nelson owner of Larry Nelson Development Company. When a buyer is looking at purchasing land and developing the land or doing a build to suit to meet their needs , the transaction tends to be much more complex than purchasing an existing commercial real estate property. Many items can be underestimated and not thought of when doing build to suits. This module in the first of a series of modules is an introduction to Build to Suit Projects.
Code Restrictions Affect Your Build
There are specific code restrictions imposed by the municipality in which you are looking to do a build to suit. Some of these to start with are impervious coverage percentages. You will need specifically “buildable land”, the challenge with land depending on where it is located in Austin is that is is price per acre however if most of the acreage cannot be used, then you may be paying for land that is useless and that does not have a lot of value. As a rule of thumb you can build approximately 10,000 square feet to 15,000 square feet of building on one acre of property. There are other considerations that are covered in more video modules that will posted in this blog.