And here we have a new beginning. Our latest project, for-your-eyes-only, Landshark friends. Our plan is to share this project with you, the good, bad and hopefully crazy-incredible, estate we currently call “Above the Beverly Hills Hotel”. As we get further down the development road, we will give her a more fitting name for marketing purposes. But for now, she is simply a dirt lot (with a staggering view and all the potential in the world).
Here’s what we bought for $3 million.
This is market value in Beverly Hills right now – it was fully entitled with R.T.I.
“Fully Entitled” means it has gone through the City Approval Process, plans have been checked, re-checked, gone through any necessary public hearings, approved and permitted. “Fully Entitled” makes it worth it to pay more for the property. Saves time and money. The possible drawback is – to stay on track – we need to stick pretty closely to the design that comes with the property or we risk having to endure “plan re-submittal” to the City of L.A. The City is efficient and vital for the integrity of our builds but these things take time and time is money. (More on that reality later).
R.T.I. means “Ready To Issue” Permits. This means you can go to the City, pay the fee and start the project asap. This is the best scenario you can have as a developer. R.T.I. is almost as good as the Eagles winning the Superbowl (the boss, Jay, is from Philly).
The property had a 3,000+/- square foot, ranch-style house built in 1985 sitting on an approximately 16,000 square foot lot. House was neglected, facing the wrong way and was not utilizing the ridiculous city views.
This deal was brought to Jay, ready to develop, precisely because it fits our existing portfolio in terms of our California Modern Style. (See BLOG called “Know Thyself” for more on this).
It took our crew two days to demo the house and clear the lot. Here’s a shot from yesterday.
And so we begin…
LANDSHARK TIP: Enjoy the dirt lot. Enjoy the beginning when all things are possible and everything is rolling along, on schedule and on budget. This is one of the shining moments of our business and worth a celebration.