What are the rules on subdividing lots? Looks like this one was bought in 2013 and subdivided in 2014.
Does it have to be zoned a certain way? It does look like the street area has a few others with 2 houses on a lot.
https://www.redfin.com/CA/Sunnyvale/363-Beemer-Ave-94086/home/108510498
Great question. Always wondered about this.
I bet folks who develop a lot (@Elt1 or @ptiemann) can chime in on subdividing… Gentlemen, you out there???
Whoever did this is going to do pretty well on this if they can get close to 2MM each on the houses for each part. I’m guessing the flag lot would fetch a little less. I wonder what the build cost was for something like this @Elt1 and @ptiemann. Depending on if they’re pros, I think they could stand to make 1.5-2M profit.
It’s related to the Sq footage.
I witnessed that fight in Los Altos Hills many years ago. People wanted to build a castle on a small lot, and the only way was going up, blocking the view of other property owners with one story homes. Nah! Said the others. and a fight ensued. Since then, it became a nightmare to try to build your own home with whatever you wanted.
I am surprised that a flag lot and not even 4k sq ft is priced this high.
Chit. Mine is 5K
Cost of construction is all over the place. I’m trying to get a foundation done right now. For this project, I have a construction management company that acts as general contractor. So, in theory, I just need to rest in my RV at the beach and send checks.
The general contractor hires subs for everything and adds a % as his profit. (They also charge several hundred k for management, oversight, and supervision – yes, there are these 3 line items!)
Anyway, grinding my teeth I accepted a budget of $100k for the foundation. I know I could get that foundation done for $60k all day long (material and labor, with a licensed concrete contractor who carries workman’s comp and liability insurance). Now they say that nobody is available except 1 sub and they want $200k. So, there you have it, you can get the same work done for $60k or for $200k.
You see, you can build for $140/sqft and you can also pay $500/sqft. The $500/sqft guy is the one who sends out postcards and invites you to a business dinner to discuss your project. (Yes, I have accepted his invitation, once.) The $140/sqft, you need to be on site and don’t forget to put some money aside for the lawsuit, should you ever sell the shack.
Typical QC problem that I’m worry about. Btw, you would still need to set aside money for lawsuit for the $500/ sqft guy because he employed the $140/sqft 
Subdivisions are for pros only…I wouldn’t touch one in the BA…to many hoops and tricks…The cities are like mafia, they can demand anything they want and bankrupt you…The last one I was involved in was in Danville…The protect went into default…The city ruined us…I personally lost $350k…It was a nightmare…Only a 4 lot subdivision. But city kept changing the rukes and requirements until we were destroyed by the 2008 recession…The hatred I have for these little cities makes me puke. Their arrogance and deceit should be punished.
Woodside will never allow another subdivision…A major subdivision in San Mateo county can take 10 years…
Ouch 
Thanks @Elt1, I appreciate the insight. TIL that I should never consider subdividing in the south bay.
I would stay away from PV
I helped my neighbor get a 10 lot subdivision in Emerald Hills…Dan Macleod did the map…Still not completed…The property just sold for $10m…I didn’t get a dime for my help and advice…The final map is still not done…I am sure their will be future pain thanks to the assholes at San Mateo County planning and engineering departments
I imagine most contractors are crazy busy right now. That makes it a lot tougher. They can almost name a price.
Dang it Elt1…commission for the deferral of capital gains for 30 years you missed. 
So, what’s the verdict? Can subdivision be done?
not necessary. After the project, the $500/sqft guy has made $3m profit and I have made $500k.
So, he is a much better target for the lawsuit. Of course, both of us would be named, but as soon as plaintiff has reviewed our accounting, they will see that the GC is the better target. They would find reasons to claim damages equal to his profit.
Yeah, but you need to be politically connected and rich…And if you are why bother…there are easier ways to make money…
10M for a 10 lot subdivision without any of the road, sewer, or electric. I assume a tentative map? Each lot 10k sf? Sits on Hillcrest?
There was a (3) subdivision in county MP being offered for 6M at final map. 5.4 at tentative map. I believe someone scooped it up.
All the publicly traded builders deal with subdivisions and you can see what their profit levels are. In the few subdivisions where the information is publicly available, the builders aren’t getting a screaming deal. Once it is known that a piece of land can be subdivided, it is built into the price. That means you only get a screaming deal if you took all the risk.