Investment Opportunity in Santa Monica

DavidMaxwell

Realtor/Real Estate Investor
REIN Member
Apr 11, 2015
29
4
3
#1
Please contact Todd Allen at toddcallen@gmail.com if you are interested or would like more information.

Below are the details:

I am in escrow on a property in Santa Monica. I need an investor because the property won't qualify for a traditional loan due to its shape. The lot is in a very desirable part of Santa Monica, 7 blocks to beach.

I am offering up the scenario below.

Purchase price - $1,055,000
Construction Costs - $480,000 - ( $200 per sqft x 2400 sqft)
Soft Costs needed during construction - $108,000 (45 per sqft x 2400 sqft)
Soft Costs (after sale) - $108,0000 (45 per sqft x 2400 sqft)

Cost to acquire and build - $1,643,000
Total costs to complete project - $1,751,000

Proposal for new construction - SFR - 2 Storey - 2400 sqft, 3 bed 2.5 bath. 11 to 18 months to complete.

Investor provides 80% of capital to acquire and build - $1,314,400
Todd - provides 20% of capital to acquire and build - all upfront - $328,600

Resell price 2.4 to 2.7 million - ($1000 to $1125 per sqft)
Total profit - $649,000 to $949,000

Investor takes 50% of profits - $324,500 to $474,500 or 24.6% ROE to 36.1 ROE
Todd takes 50% of profits - $324,500 to $474,500.


Here are a few of our past projects:

https://www.redfin.com/CA/Los-Angeles/734-N-Kilkea-Dr-90046/home/7104529
https://www.redfin.com/CA/West-Hollywood/342-Westbourne-Dr-90048/home/6817046
http://www.zillow.com/homedetails/8825-Ashcroft-Ave-West-Hollywood-CA-90048/20516381_zpid/
https://www.redfin.com/CA/Los-Angeles/3831-Fernwood-Ave-90027/home/7061380