Entering into a joint-venture property partnership can be an effective way to create a supplementary income stream in a short space of time, says James Radics from Auckland based Calibre Property.
The property development company has a focus on forging partnerships with people interested in securing their future through property.
“We have a well-earned reputation for delivering quality developments and achieving strong proﬁt margins for our investment partners,” says James. James started Calibre Property about ﬁve years ago.
Although his father was a developer he initially pursued a career in IT before discovering his true passion was property and it was also a career that could help him reach his financial goals faster.
He says his experiencing managing large scale IT projects has translated well to construction and James is hand’s on with every project taking a collaborative approach working with his team.
Calibre Property enters into joint-venture partnerships for development and renovation projects, working with clients who want to proﬁ t from investing in property but lack the time or know how.
An initial consultation determines the suitability of each partnership. Calibre Property then supplies a sourcing and negotiation service, project planning and feasibility, project management, sales and marketing management and accounting statement preparation.
“This is a way for our clients to invest in property and make signiﬁcant proﬁts without having to put a whole lot of time and energy into the deal, leaving them to focus on their careers or family.”
says James. “In essence the client funds the project then we take care of the entire process and a proﬁt share is agreed at the outset and allocated on successful completion.
“We are ﬂexible as to how we work depending on the client. It’s about developing a mutually beneﬁcial structure for a great end result for all parties. It really is a way people can change their lives in a short space of time.”
Some recent projects include a four month renovation where Calibre Property negotiated the purchase and gained access to complete the works prior to settlement.
The house was renovated in this time and sold with only one week of interest holding costs and a proﬁ t of $350,000.
Another more simplistic project saw the team complete a full renovation in five weeks and the property was sold in three days for a $110,000 proﬁt.
Currently the team is working on a four house JV development with an expected return for the investment partner of over $1m with almost no involvement.
James sees prefabrication as being the way of the future to meet Auckland’s appetite for new houses.
He says it improves efﬁciencies and enables the faster delivery of quality projects as well as additional beneﬁts such as reducing waste.
Calibre Property is in a partnership with Matrix Homes acting as the Auckland agent and is researching other building methodologies to enable faster project completion times and improved returns. Point Chevalier and the surrounding suburbs is a focus, as this is where James grew up so he is very familiar with the market.
At present Calibre Property has three architecturally designed townhouses under construction in Point Chevalier due for completion around October.
Other projects include a four lot subdivision, which will be the ﬁrst project using prefabrication for the company, and will offer 120 square metre free standing houses.
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