1. Real Deal Adam Jones

2. A Bit About Me Born and grew up in Brisbane Did biotech and law at uni Practised law for 3 years Always loved property Full time investor/ developer since 2008

3. Keeping Busy Subdivision Sliders Renos Removal houses Strata titling Selling DA Buying well Unit blocks

4. Newmarket Development Site The Site Purchase Strategy Development Options The Renovation Numbers Exit Options

5. About The Site Run down house on development site LMR DCP Pre-war house 50% GFA and 2 storeys Great location Stale listing House well located on block Some issues

6. Purchase Strategy Buyers agent Off market purchase Stale listing Deceased estate Multiple offers Unconditional offer Due diligence Road widening Termites

7. Development Options House must be retained (DCP) Numbers done for 14 different options! Sell vs hold and rent Site considerations Exit strategy

8. The Plan

9. The Concept

11. The Renovation

12. Floorplan Before/After

13. Bathroom Before/After

14. Deck Before and After

15. Rear Before and After

16. Kitchen Before and After

17. Living Before and After

18. Termite Damage

19. Numbers After Construction END VALUES Renovated SUD$580,000 2 bed downstairs units$440,000 each 2 bed upstairs units$430,000 each Total End Values$3,190,000 Equity Gain$813,000 or 34% COSTS Purchase price$550,000 Buy costs$32,000 Reno existing house$145,000 Consultants$110,000 Civil and site work$65,000 Council fees$132,000 Construction$1,250,000 Holding costs (after rent)$93,000 Total Costs$2,377,000

20. Exit Options Sell After Reno Sell With DA Construct and Sell Construct, Hold and Refinance – Equity Gain = $813,000 – Total costs = $2,400,000 – Anticipated rent = $475 p.w. per unit and $600 for house – 7.5% yield on costs

21. Issues Lead paint Termites Design changes mid reno Road widening Storm Water

22. WHERE TO FROM HERE? Keep doing what I am doing, but upscale Always learning Explore different types of development adam@blackbeargroup.com.au www.blackbeargroup.com.au