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The concept plan currently shows 21 town homes on the existing lot. I am proposing a purchase price of$349,000 and will be asking the City to improve the road and provide water and sewer connections off Sorel Street. This would give me a per unit cost of approximately $16,600. 1 would then be responsible for all the utilities and improvements within the lot. Proposed of Layout - Option Total units 30 — 33 (30-unit plan shown) Extra parking 12-15 spaces Per unit rent $1800 - $2000 Per unit approximate value: $250,000 Total completed value: $7,500,000 to $8,250,000 As an added option, I would consider purchasing the adjoining houses on Goiffon Road if the owners are willing to sell. Estimated acquisition cost of each home would be around $200,000 for a total cost of$400,000. If the owners are willing to sell, acquiring both homes would allow another nine units along Goiffon. The three four-plex units, in the middle of the development may possibly be converted into five-plex buildings, adding an additional three units (not shown on the concept) for a total of 12 units. If the City would be willing to reduce the purchase price of the City owned lot by approximately $200,000, 1 could likely make the numbers work to add the additional units, assuming I could acquire the additional homes for $400,000. (Lot purchase price $150,000 + 2 home acquisition $400,000 + demo of homes $40,000 = $590,000/ 33 units = approximately $17,900 per unit lot cost.) If the council/planning commission finds this option favorable, I would also ask the city to improve Goiffon Road and provide sewer and water stubs for the proposed town homes on Goiffon. My per lot cost is a little higher, but my overall all utility cost would be a little lower with the city improving Goiffon. In addition, there would be added value to the entire community if the entire block was redeveloped. 61