- Joined
- Mar 10, 2014
- Messages
- 120
I was reading on here and thought to share the story of our new construction project.
I was down in Tampa 2 years ago and decided to look at one of the houses Blackstone had purchased. Wall St firms had driven the prices up aggressively and were making it difficult to find good product for the rental investors. We did note however that there were infill lots available nearby "for dirt".
Sure we would have to raise a huge amount of capital, decide what to build, come up with architects,, plans, builders, marketing etc....But if we were buying them to rent anyway and could build them cheaper it seemed with further investigation.
So we bought some land and approached our rental investors to fund the builds on the basis of "Plan B"-If they could not be profitably sold right away at least they could be profitably rented.
Somewhere along the line I joined REIN, the concept developed into my Avatar and the Avatar developed into our first Tampa New Construction JVs and these houses
/raduploads/images/NewFolder/front22.jpg
The first one (above) took the longest 58 days of my life to sell but got 30K more than original projections. The second one closed within a month thereafter and the 3rd (next to the 1[sup]st[/sup] one) sold pre-construction on the day we broke ground, set for December delivery. 4 more are just finishing permitting and approvals and we are developing a foothold in the market and a local following for our designs.
I have learned a great deal since I joined from reading these forums. One of the things that just struck me was Don Campbell`s observation that the successes along the way often quickly fade into obscurity as you focus on your next goal.
So I thought to take a break from the next houses to write about what happened to the first ones.
Thanks and happy investing !
I was down in Tampa 2 years ago and decided to look at one of the houses Blackstone had purchased. Wall St firms had driven the prices up aggressively and were making it difficult to find good product for the rental investors. We did note however that there were infill lots available nearby "for dirt".
- Perhaps it would be cheaper to just build them from the ground up ?
- What if we could buy enough of them to build our own infill development ?
By the time they were built maybe the Wall St. guys would have driven the prices even higher ?
Sure we would have to raise a huge amount of capital, decide what to build, come up with architects,, plans, builders, marketing etc....But if we were buying them to rent anyway and could build them cheaper it seemed with further investigation.
So we bought some land and approached our rental investors to fund the builds on the basis of "Plan B"-If they could not be profitably sold right away at least they could be profitably rented.
Somewhere along the line I joined REIN, the concept developed into my Avatar and the Avatar developed into our first Tampa New Construction JVs and these houses
/raduploads/images/NewFolder/front22.jpg
The first one (above) took the longest 58 days of my life to sell but got 30K more than original projections. The second one closed within a month thereafter and the 3rd (next to the 1[sup]st[/sup] one) sold pre-construction on the day we broke ground, set for December delivery. 4 more are just finishing permitting and approvals and we are developing a foothold in the market and a local following for our designs.
I have learned a great deal since I joined from reading these forums. One of the things that just struck me was Don Campbell`s observation that the successes along the way often quickly fade into obscurity as you focus on your next goal.
So I thought to take a break from the next houses to write about what happened to the first ones.
Thanks and happy investing !