Thursday, October 21, 2021

Considerations for Infill Construction

Babak (Bobby) Bagheri is the founder and owner of North Development, located in Bethesda, Maryland. At the company, Babak (Bobby) Bagheri oversees the purchase and construction of single-family residences. The majority of the new construction is infill construction.

Nevertheless, many neighborhoods still contain buildable low - cost lots. For many community development organizations, infill new construction is an important component of a comprehensive strategy. The restoration of the architectural fabric of the community helps to affirm the economic vigor and overall appeal of the neighborhood.

However, cost may be one impediment to new infill construction. Unwillingness of city and state governments to transfer vacant government-owned
properties for redevelopment may present another obstacle. If the cost of rehabilitation exceeds the replacement cost of an equivalent three bedroom house, it’s time to consider new construction. In general, renovation is not cost-effective unless it is performed in a disciplined, selective way or unless gut renovation is feasible. If the housing stock begins to deteriorate beyond a certain percentage, say 25 percent, it is very likely that new construction can be accomplished at a lower per unit cost with a more modern layout.

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