Profit in Construction: Difference between revisions
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=General= | =General Figures= | ||
*How much profit does a developer make? 20% from project cost. [https://www.google.com/search?sxsrf=ALeKk026QG9BbsZl0rNsBS9KmerMgczY_w%3A1602863734253&source=hp&ei=dsKJX6q8DJDYsAXHkpG4Cw&q=standard+profit+for+a+developer&btnK=Google+Search&oq=how+to+configure+nvidia+geforce+gtx+1650+super+on+linux+mint&gs_lcp=CgZwc3ktYWIQAzIFCCEQoAEyBQghEKsCMgUIIRCrAjoOCAAQ6gIQtAIQmgEQ5QI6DgguELEDEMcBEKMCEJMCOggILhDHARCvAToLCC4QsQMQxwEQowI6CAgAELEDEIMBOggILhCxAxCDAToFCAAQsQM6AggAOgQIABAKOgYIABAWEB46CAghEBYQHRAeOgcIIRAKEKABUMsQWOmzAWD8tAFoBnAAeACAAeQGiAGhS5IBDTExLjQ3LjMuMi42LTGYAQCgAQGqAQdnd3Mtd2l6sAEG&sclient=psy-ab&ved=0ahUKEwiqz4DcvLnsAhUQLKwKHUdJBLcQ4dUDCAk&uact=5] | *How much profit does a developer make? 20% from project cost. [https://www.google.com/search?sxsrf=ALeKk026QG9BbsZl0rNsBS9KmerMgczY_w%3A1602863734253&source=hp&ei=dsKJX6q8DJDYsAXHkpG4Cw&q=standard+profit+for+a+developer&btnK=Google+Search&oq=how+to+configure+nvidia+geforce+gtx+1650+super+on+linux+mint&gs_lcp=CgZwc3ktYWIQAzIFCCEQoAEyBQghEKsCMgUIIRCrAjoOCAAQ6gIQtAIQmgEQ5QI6DgguELEDEMcBEKMCEJMCOggILhDHARCvAToLCC4QsQMQxwEQowI6CAgAELEDEIMBOggILhCxAxCDAToFCAAQsQM6AggAOgQIABAKOgYIABAWEB46CAghEBYQHRAeOgcIIRAKEKABUMsQWOmzAWD8tAFoBnAAeACAAeQGiAGhS5IBDTExLjQ3LjMuMi42LTGYAQCgAQGqAQdnd3Mtd2l6sAEG&sclient=psy-ab&ved=0ahUKEwiqz4DcvLnsAhUQLKwKHUdJBLcQ4dUDCAk&uact=5] | ||
*How much profit does a general contractor make? | |||
**typical 7-10% markup on materials [https://www.angi.com/articles/general-contractor-markup.htm] | |||
**Typical 10-20% of overall cost on average [https://www.homeadvisor.com/cost/additions-and-remodels/general-contractor-rates/] | |||
*Gross profit is before overhead [https://www.google.com/search?sxsrf=ALeKk026QG9BbsZl0rNsBS9KmerMgczY_w%3A1602863734253&source=hp&ei=dsKJX6q8DJDYsAXHkpG4Cw&q=what+goes+into+overhead&btnK=Google+Search&oq=how+to+configure+nvidia+geforce+gtx+1650+super+on+linux+mint&gs_lcp=CgZwc3ktYWIQAzIFCCEQoAEyBQghEKsCMgUIIRCrAjoOCAAQ6gIQtAIQmgEQ5QI6DgguELEDEMcBEKMCEJMCOggILhDHARCvAToLCC4QsQMQxwEQowI6CAgAELEDEIMBOggILhCxAxCDAToFCAAQsQM6AggAOgQIABAKOgYIABAWEB46CAghEBYQHRAeOgcIIRAKEKABUMsQWOmzAWD8tAFoBnAAeACAAeQGiAGhS5IBDTExLjQ3LjMuMi42LTGYAQCgAQGqAQdnd3Mtd2l6sAEG&sclient=psy-ab&ved=0ahUKEwiqz4DcvLnsAhUQLKwKHUdJBLcQ4dUDCAk&uact=5] | |||
=Lot Costs= | =Lot Costs= | ||
*$47k in Tallahassee [https://www.manausa.com/blog/how-a-residential-lot-is-priced/] | *$47k in Tallahassee [https://www.manausa.com/blog/how-a-residential-lot-is-priced/] | ||
*Average home lot is $85k [https://www.lawnstarter.com/blog/home-garden/average-size-home-lots-shrinking/#:~:text=The%20National%20Association%20of%20Home,a%20hefty%20investment%20in%20land.] | *Average home lot is $85k [https://www.lawnstarter.com/blog/home-garden/average-size-home-lots-shrinking/#:~:text=The%20National%20Association%20of%20Home,a%20hefty%20investment%20in%20land.] | ||
=OSE Case= | |||
*If OSE is serving as the developer, OSE to charge the industry standard rate, OSE would have to charge about 20% developer profit. | |||
*Based on OSE's integrated-enterprise architecture, OSE could function either as the developer, general contractor, or builder - or any combination of the above. A [[Distributive Enterprise]] is in a position to capture any or all of these 3 value streams. | |||
=Links= | |||
*[[Seed Home 2 Cost Structure]] |
Latest revision as of 17:03, 27 June 2022
General Figures
- How much profit does a developer make? 20% from project cost. [1]
- How much profit does a general contractor make?
- Gross profit is before overhead [4]
Lot Costs
OSE Case
- If OSE is serving as the developer, OSE to charge the industry standard rate, OSE would have to charge about 20% developer profit.
- Based on OSE's integrated-enterprise architecture, OSE could function either as the developer, general contractor, or builder - or any combination of the above. A Distributive Enterprise is in a position to capture any or all of these 3 value streams.