Who to partner with in the Triangle area to complete a development on 93 acres

[Rich Todd]

I own 93 acres with a fully stocked, private large pond/small lake in a coveted area of the Triangle in NC where you can't find this much acreage available, and I would like to know the best way to partner with a development company or other organization to create a high end, beautiful community on this site.  How do I ensure the best profits with least amount of risk and avoid all of the scamsters out there?

Thanks,

Rich

[Henry Clark]

Looks like your first post so I will treat this as a one time deal for you. Not a REI learning moment. To much to learn.

Options:    
1. List and sale.  
2.  Auction.   
3.   Auction- with engineered development plan.   
4. Partner.   
5.  Syndication- add as equity.   

You mentioned risk and reward.  They are at two ends of the spectrum.  
1 above is the least risk, but the lowest reward.    
5 above is the highest risk and the highest reward.     

If you do any of the partnerships you have the risk of the Developer relationship, the risk of the development going bankrupt, risk of the market not being conducive to your product.  At the current interest rates and material costs if your sales take 6 years versus 2 years the interest will eat into the profits.

With 93 acres you could subdivide into two or three lots and take different approaches.  

1.  All potential lots with direct road access sell as individual lots without any development.  You will get your most profit with little cost input.  For example you sell one of these lots for $150,000.  Say the same size lot in the inside and you sell it for $250,000.   You need sewer, water, electric, fiber optics, sidewalks, fire hydrants, storm ponds?, storm sewers?,   You might make a little more profit in the $250,000 lot, but your risk, timeline, experience, developer, economy risk is far greater.  Plus you don’t get all of that profit.

2.  Then make two other areas.  High density and low density lots.  Along the pond or lake make the lots bigger if that is the look or community you are after.  Make the back lots smaller.  

3.  If you have land near intersections you might sell as commercial lots.  

Tip  People love trees, boulders, water, views, walk out basements. You can add trees, boulders and water features.