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106º Today and We Went Looking at Land! Why?

Labor Day weekend and we are at my in-laws house. I needed a break so we hopped in the car and went looking at raw land about 15-20 miles east of their house.

I have an idea for a PUD (planned unit development) for "seniors" that have family that wants to visit and a desire to have "all the amenities" without it costing an arm and a leg.

What amenities are we talking about? How about the regular things like a club house, swimming pool and tennis courts? But I'm thinking that a stable and riding trails might make a nice little "extra."

And then the piece de resistance would be a couple of acres per home for growing wine grapes. This will make the property seem like it is "in the country" and provide a little income for the property owner. Well, it will be in the country because that is where the available land is. But....

Being in the country means no infrastructure. No water. No sewers, Remote.

The plan is for the HOA to "own" the water company and the sewer plant, and to "manage" the viticulture operation.

Even with "cheap" land available ($10,000 to $20,000) per acre the cost of a "finished" lot (2-1/2 acres) would be about $150,000.00. Add the cost of a 1400 square foot manufactured home with site work we are talking about a house that will have to sell for $350,000 to $400,000.00. But think about the amenities! And the income from the grapes!

So what are the grapes worth? Varietals can yield 10 tons per acre once the vines are mature, and they sell for $1500 per ton or more.

That figures out to $30,000 gross for the two acre vineyard attached to each home site. That is enough even after expenses to pay for all the home owner's taxes, insurance, water, HOA fees, and all the other miscellaneous costs of living here.

Posted by Bill Roberts - "Baby Boomer" Retirement Planning on 09/02/2007 09:47 PM

Comments (22)

land, investment, senior, viticulture, grapes, hoa, amenities, pud, planned unit development

Post is included in group: The Economics of Real Estate
Post is included in group: Seniors Issues
Post is included in group: Real Estate Investments
Post is included in group: Southern California Real Estate Forum
Post is included in group: All Land

22 Comments on 106º Today and We Went Looking at Land! Why?

Hey Bill, glad this was featured. Seniors could use more affordable housing. I like your plan man!

09/02/2007 10:34 PM

by Jason Sardi, Pennsylvania Mortgage Broker (First Choice Equity Group Inc.)

Great idea. You know, even in South Dakota, we have a lot of small independent grape growers that produce nice wine.

Duane Hosek in the Black Hills of South Dakota

09/02/2007 10:39 PM

by Duane Hosek (Coldwell Banker - Lewis-Kirkeby-Hall)

Very Creative Bill. Hopefully your plan has a life come true.

09/02/2007 11:58 PM

by The Real Estate Text Book authored by William Johnson GRI CRS e-PRO (RE/MAX Associates)

Very interesting idea Bill, I have been fantasizing about having room to grow some veggies after retirement so I love this idea.

09/03/2007 12:00 AM

by Darrel Quebedeaux (Evergreen Realty & Associates Inc.)

Sounds like a lovely plan. Hope you can get it going. You will have to share will us all what happens.

09/03/2007 02:07 AM

by Bob & Carolin Benjamin - E Phoenix Arizona Real Estate (The Benjamin Team - Keller Williams Integrity First Realty )

Nothing like creative thinking going on here. My grandfather who is now 98 years old grows his own grapes in Sonoma California. I don't drink but everyone tells me he makes some good wine. Oh, I still need to get you some info on our prospective commercial/ residential land opportunity we have. Katerina

09/03/2007 02:08 AM

by Nestor & Katerina Gasset, Realtors® Wellington Florida Luxury Homes (International Properties and Investments, Inc.)

I love it. I am ready to retire now...show me the way! LOL...oh wait 106 degrees? Dream Big!! Thoughts become Things!!

09/03/2007 02:52 AM

by Gilbert Arizona Real Estate - Candace Robinson (HomeSmart )

Wow, I feel for you having to show property in that heat--I've been watching the news reports of the heat in your state.

09/03/2007 08:29 AM

by Diane Bell, Hilton Head Real Estate, Bluffton (Charter 1 Real Estate, Hilton Head, Bluffton, SC)

Jason, thank you. We will do this.

Bill Roberts

09/03/2007 09:53 AM

by Bill Roberts - "Baby Boomer" Retirement Planning (Brooks and Dunphy Real Estate)

Duane, I would be interested in hearing about their experience. Thanks.

Bill Roberts

09/03/2007 09:57 AM

by Bill Roberts - "Baby Boomer" Retirement Planning (Brooks and Dunphy Real Estate)

William, To make it come true all I have to do is DO IT!

Bill Roberts

09/03/2007 09:58 AM

by Bill Roberts - "Baby Boomer" Retirement Planning (Brooks and Dunphy Real Estate)

Darrel, Come on over and get one of our houses. You will be all set.

Bill Roberts

09/03/2007 10:00 AM

by Bill Roberts - "Baby Boomer" Retirement Planning (Brooks and Dunphy Real Estate)

Bob and Carolin, I notice you didn't comment on the heat. Is there something I should know?

Thanks for commenting. This will be reported as it develops.

Bill Roberts

09/03/2007 10:03 AM

by Bill Roberts - "Baby Boomer" Retirement Planning (Brooks and Dunphy Real Estate)

Katerina, Wine isn't drinking, it is FOOD. I'm looking forward to seeing what you have.

BTW you should write about your Grandfather. It would be a good story even if he is in Northern California.

Bill Roberts

09/03/2007 10:06 AM

by Bill Roberts - "Baby Boomer" Retirement Planning (Brooks and Dunphy Real Estate)

Candace, Yeah it gets hot here, but only a couple weeks per year. It makes us appreciate the great weather we have the rest of the year. I'll let you know when your house is ready.

Bill Roberts

09/03/2007 10:09 AM

by Bill Roberts - "Baby Boomer" Retirement Planning (Brooks and Dunphy Real Estate)

Diane, This is "earthquake weather" and yesterday we had an earthquake centered about 20 miles from where we were but I didn't even feel it. Being a "native" I guess I'm just too used to them.

Bill Roberts

09/03/2007 10:12 AM

by Bill Roberts - "Baby Boomer" Retirement Planning (Brooks and Dunphy Real Estate)

I went showing acreage yesterday....triple digits and in rattlesnake country (The Mother-Lode). THANKFULLY, I "think" we've narrowed it down. Before I melted down... Is this what Labor Day stands for, laboring?

09/03/2007 06:05 PM

by Kathy "Kat" DeLong, REALTOR (WINDERMERE FINE PROPERTIES/LAKE ARROWHEAD)

Well Kat, The rattlers don't like the heat any more than you do. Good luck on your search.

Bill Roberts

09/03/2007 08:41 PM

by Bill Roberts - "Baby Boomer" Retirement Planning (Brooks and Dunphy Real Estate)

Bill: You're funny. And I don't like the rattlers anymore than they like the heat--or me.

09/04/2007 07:43 AM

by Kathy "Kat" DeLong, REALTOR (WINDERMERE FINE PROPERTIES/LAKE ARROWHEAD)

Kat, Thanks, but looks aren't everything.

Bill Roberts

09/04/2007 09:16 AM

by Bill Roberts - "Baby Boomer" Retirement Planning (Brooks and Dunphy Real Estate)

Hey Bill! I happened upon this post as your other one caught my eye! Just drove back from San Diego yesterday and we got NO relief from the heat!

In regards to your post: WHAT A COOL CONCEPT! I would definitely be in if I were closer to my retirement years! WOW!

09/04/2007 07:23 PM

by Renee Burrows - Las Vegas NV Real Estate (Nevada Realty Solutions)

Renee, thank you very much. You must have felt right at home here.

And that's OK. By the time you want to retire I'll have something else because I'm not going to retire. My wife is about your age.

Bill Roberts

09/04/2007 07:38 PM

by Bill Roberts - "Baby Boomer" Retirement Planning (Brooks and Dunphy Real Estate)

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