Advise sought for a possible JV with the builder of my duplex

[Colin Forrest]

Hi all,
I was very lucky to find a wonderful vacant and sub-divided plot of land in the highly desirable East End of Barrie, Ontario. I am preparing to build a high end duplex on each of these plots. Now that my architectural designs are complete, I have sent the drawing out to 3 interested builders for pricing based on a project management scenario. One of the builders is a bit reluctant to give me specific numbers until I have committed to build with them. I told him that I would need accurate numbers before I could possible decided. More importantly however, I had a very interesting discussion a few days ago with one of the other builders (my guts first choice) and the subject of entering a JV for the build came up. Both sides are interested in the idea; but frankly, I am not sure how this would work. Any ideas or advice on what I need to consider would be most appreciated.

 

[Tina Myrvang]

Hi Collin,
I will email you some ideas and thoughts that I have.
Chat soon.

 

[Thomas Beyer]

Can you qualify for mortgage and do you have the cash ?

A JV might work for resale but it is less profitable for you if you have the cash and can get a 3% mortgage. JVs are always more expensive than borrowing sub 5%. ALWAYS.

 

[Caleb West]

As a builder having a specification for all things will allow us to price quickly and accurately. We generally use a base price of $180/sq and find that works well for plans, permits, project management. If you'd like I could look over things and give you some insights from Alberta

[email protected]

 

[Colin Forrest]

Thank you all for your feedback. Problem solved as we now have the necessary funds, as well as a fantastic builder to manage the project.

 

[jay1214u]

@ colinaforrest
Which builder did you choose and why? Thanks for sharing