Initial Development Vision
If we were JUST doing a “normal” real estate partnership investment for a multifamily project, NO one would ask the end user what they envision.
But, we want to “design from consensus”.
Another area development is an “Upper Middle Class Suburban Project”, with residential wood construction, attached 2 car garages-
1500 Sq. Ft. minimum @ $165/SF = minimum $248,000.
|As I understand it, one person wrote a check for the land, hired an architect, builder, & website builder. When it is ~60% presold, the bank
will finance it the development in one phase.
The problem is - to AA & me, it is barely Cohousing- they are presenting a near finished product to end users.
We’re aiming for commercial construction, with urban food garden & grouped periphery parking-
700 Sq. Ft. minimum @ $ 88/ SF = minimum $61,600 (worst case, $80,000?)
(~66-75% LESS= a young, blue collar couple can often afford that).
We LOVE the feel of “the economic spectrum” involved from the start.
Where the opinions of a Landscaper or Daycare worker are listened to as closely as the opinions of the $1 Million Investor...
We REALLY want the members (maybe their relatives) to invest, instead of developers who only want a ROI & may have NO interest in living in the community.
Many people who THINK they have NO money for a real estate partnership investment actually DO:
I understand that funds from IRA/SEP/401K can be invested in commercial real estate partnerships.
We also realize that we may be dreaming.
We can always fall back to the “normal real estate partnership investment for a multifamily project” approach if we have to;
But, if we do, “selling it” should be easier with:
1. a developed, committed group of members with a clear vision,
2. Condo down payments in an escrow account,
3. A lender lined up,
4. A property in the Title Company,
5. The real estate partnership formed, & partly funded, with a General Partner in place.
At this stage, we really want members who can professionally assist in:
· Organization & Group Dynamics, (a Coach or Mediator)
· Contracts & Condo Docs (Lawyer)
· Development in general, (Experienced Developer)
· Escrow & Mortgages, (Banker & Title Company)
· Investment structures, (CPA/ Investment Adviser)
YES, we noodle on this WAY too much.
Please tell us if we’re on the wrong track!!