Tuesday, May 30, 2006

Land Hunters

From the Star Ledger:

In Jersey, a little land is big prize for builders
BY PHILIP READ

"They are land hunters, on the prowl. Poring over tax maps to eyeball a hot prospect. Getting behind the wheel to scout for the next acquisition. Knocking on doors, hoping to find an owner in the mood to sell."

""It's getting harder and harder to find any place to build in this town," said Orloff, who is building two five-bedroom, 4,000-square-foot houses on Montclair's Valley Road. That deal came after he got a tip. He found the seller, quickly, and started talking."

"From small-time builders to big-time New Jersey developers, from those eking out a living to those making hundreds of thousands of dollars, it's a cat-and-mouse game to see who can get the precious property first in a land-scarce, densely populated state."

"Anything that can be developed goes. Vacant lots. Sub-dividable double lots. Single homes suitable to be knocked down. Land next to highways, or train tracks, or some other not-quite-as-desirable locales."

"Developers partner with real-estate agents and try to one-up other bidders. Strategies include enticing a seller with a no-contingency deal that makes for a quick closing, or being able to line up financing faster than a competitor."

""It's a lot like being a farmer," he said, "because you invest an entire year of labor and a tremendous amount of capital, and you're pretty much at the mercy of the marketplace and other conditions you can't control.""

1 Comments:

Anonymous Anonymous said...

"Developers partner with real-estate agents and try to one-up other bidders."


Sounds ethical.

5/30/2006 08:42:00 AM  

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