Sixth Avenue — The Friend Compound Field Guide
Sixth Avenue
Type
Six New Single-Family Homes
Regulatory Approach
SB 684
City
Menlo Park (Peninsula)
Financial Overview
- Total Cost: $8.7m
- # of Homes: 6
- Cost per home: $1.4m
- Timeline: 23 months
Before
After
Development Approach
This compound used the regulatory approach outlined below:
Qualified for SB684 Multifamily Development
This property qualifies for up to 2 primary units on subdivided parcels with potential ADUs.
Not Applicable: ADU
This property requires an existing primary home for ADU development.
Not Applicable: SB9
SB9 does not apply: not single-family zoned.
Not Applicable: SB1123 Small-Lot
SB1123 does not apply: not single-family zoned.
Timeline
| Activity | Duration |
|---|---|
| Design | 3 months |
| Permitting | 8 months |
| Site Work | 2 months |
| Construction | 10 months |
| Total Duration | 23 months |
Financials
Total Project Cost: $8,676,809
- New units: 6
- New square footage: 10,857 sq ft
- Acquisition: 18%
- Soft Costs: 10%
- Hard Costs: 72%
Cost Breakdown
| Cost Type | Amount |
|---|---|
| Acquisition | $1,575,900 |
| Soft Costs | $866,937 |
| Hard Costs | $6,233,973 |
Unit Economics
| Category | Original Property | Build New Homes |
|---|---|---|
| # of original homes | 0 | # of new homes : 6 |
| Total Homes | 6 | |
| Per Home | N/A | $1.18M |
| Per Home (All-In) | N/A | $1.45M |
| # of original sq ft | 0 | # of new sq ft : 10,857 |
| Total sq ft | 10,857 | |
| Per Sq Ft | N/A | $654 |
| Total | $1.58M | $7.10M |
| Grand Total | $8.68M |
Financing Estimate
- Acquisition Loan (80%): $1.22M
- Construction Loan (65%): $4.62M
- Cash at Close: $352K
- Cash During Build: $2.49M
- Total Cash Needed: $2.84M
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