Thinking About a Student Housing Project

I have been thinking about this project a guy I used to work with wants me to help him with. He has come into possession of a big old house near the college campus. It is a huge house with old plantation shutters that are nearly falling off in places. It does not look very good right now and that is because it has basically been operating as an unofficial frat house for some time. A bunch of college boys have been renting the place out and not really doing much aside from non stop partying from the looks of the place. In fact the thing he is interested in is the actual land around this old house. You could probably do better in the project as he conceives it by tearing down the house and starting over, but that would mean you would need to go down to the bank and ask them for a great deal of money. This whole idea is about trying to squeeze as many studio apartments as you possibly can into about an acre and a quarter of land. The obvious thing to do would be to tear down the house, because it sits right in the middle of the land. Then you would build something like a five story apartment building. The zoning in this area would make that a real problem, but what he wants to do is to fix up the house and make it into as many rooms that you can rent as would make sense, then to build and L shaped two story building along the Northern and Western edges of the plot. Of course what he needs is money to hire a contractor, but he wants me to handle both of those things. In fact I can do it, but not if I have to put the money in on the terms he wishes.