The Property Academy Podcast
The Economics of Being a Developer ... Do They Make a Lot of Money? | Ep. 463
17 Dec 2020
In this episode, we are once again joined by James Parker from Stonewood Canterbury to discuss the economics of being a developer, and the costs that are associated with building brand new residential properties in Canterbury. James shares that in a place like Selwyn District, 32% of the cost associated with a $550k property would go to land and then there would be an additional $2000 per square meter of build costs. On top of that developers also need to pay for their own staff costs and well as finance and interest costs. The returns can be attractive, but it comes with significant risk as well. Got the next great topic idea? Or what about a guest we should have on the show? We want to hear from you. Our number is 5522. Give us a text. We'd love to hear from you.
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