Posted by BB on September 24, 2011 at 08:27:27:
I have several mobile homes/land rentals but no experience in promoting my property as a commercial venture.
I have a property that has made a transition from a stable suburban bedroom community to a community of abandoned homes, tons of homes for sale, and several for rent homes. I believe that the era of everyone owning a single family home has gone and will not be back for a long time. I also believe the era after this recession will be one of apartments and home rentals. I need some advice as to whether I can sell my property as a commercial venture and, if so, how can I do it.
My property is located northeast of Birmingham, Alabama in a subdivision called Grayson Valley. Grayson Valley is located between Trussville (somewhat high-end community) and Centerpoint (decaying blue-collar community). Grayson Valley was a mixed of both (county club/golf course at one end of the subdivision) but has lapsed into a community like Centerpoint. I think that the area will be a desirable rental location due to being located near Trussville.
My property is a 2.00 +/- acre lot with an older (1968), run-down 5000 +/- two story SFH. The zoning for the property is A-1 (agricultural) ? one of the first homes in now a densely populated area. The property is adjacent to R-2 zoning. The county zoning board has indicated that the property can be zoned R-2 because it is already adjacent to R-2. The property is in the unincorporated area of Jefferson County but part of my property is adjacent to the city limits of Birmingham and could be annexed in easily if so desired (better fire service). The tax valuation for this property is $128,900.
In the early 2000?s, the county installed a huge sewer trunk line along the backside of my property. This trunk line should easily allow for the development of apartments or townhomes. The property has 500 + feet of road frontage on Brewster Road which is a heavily traveled two lane main road through the community. Brewster Road is a main through fare between Trussville and Centerpoint. The two acres are covered with large sweet gum trees which is a negative in my mind.
The house was built by my wife?s family by themselves and on a tight budget. My father-in-law was offered $350,000 for the property in the 1980?s but would not sell ?because he built it with his own two hands.? Unfortunately due to the tight budget, corners were cut. The foundation is cracked and the basement floods. The turn-around for vehicles was filled with construction debris and is cracking severely. There are too many problems to list. My wife and I have another home and will be moving soon.
Here are my questions. Could this be a desirable location for a developer to construct an apartment complex if not now but in the distant future? If so, how do I sell it? How do I determine how much to ask for the property? Do I leave the house (abandoned and run-down) or do I tear it down? What other questions am I overlooking? I need your advice.
I believe this property has these positives:
? One of the few large areas left in a suburban community
? 500+ feet of frontage on a heavily traveled road leading to upscale community and shopping
? Large sewer trunk line already installed
? Adjacent to R-2 zoning as well as the city limits of Birmingham (fire protection)
Any advice.