From sucessfully crowdfunding development to building and selling it

[Kenneth Bell]

Thanks to all that followed me through my first crowdfunding raise for my infill development project. I figured why stop the party! I am going to chronicle the rest of the journey. 

Some background information on the project to start. I was able to assemble and divide 4 residential infill lots in an up and coming area in Charlotte NC. with the current zoning I was able to divide the 4 lots and make 6 lots. After looking at comps in the area and the market I picked six unique plans. I managed to fund the first of these 6 houses through Ifunding. 

We started moving dirt yesterday the lots are being cleared and graded. They will stake the foundation by Monday and maybe we will have permits in hand by Friday. My building permit is in plan review (7-10) day . 

first day pictures

https://www.dropbox.com/sh/an1uh5r53buqnl2/AADB_u_...

[Kenneth Bell]

Actually on a 10 foot basement. That would be a very expensive slab.

[Karen Margrave]

Looking good! Congrats! 

[Karen Margrave]

I've been trying to get BP to do a forum specifically for threads on new builds and remodels so that we can easily find to follow the progress!! But until then, I'll monitor the ones I see. :) I have a hard time remembering the subject line for the ones I posted to update!! 

[Ramon Jenkins]

project is looking good

Congrats on the second ifunding 

[Kenneth Bell]

@karen margrave,

I honestly have been so busy I have not been the best about posting updates. I will have 3 going on the same site within a week and a half if all goes right in plan review. We have had a lot of traffic and interest already. I also learned we will have a historic street car line literally a stones throw away!! I will try to do a better job keeping this updated. We will probably start another raise once I have the first house in drywall. 

[Kenneth Bell]

@jenkins Ramon,

Thanks iFunding has been great and I had a private investor fund one as well. Just 3 more to go! I have a bigger project in the works but I will post more when and if is locked up

[Dustin Morgan]

Congrats @Kenneth Bell 

Would you be open to sharing more of your experience with iFunding?  What kind of information did they request when you presented the project and while they were vetting you?  What kind information did you have to provide to them during construction?  What did you have pay to iFunding in fees? Does iFunding hold the title? Thanks

[Kenneth Bell]

@ Dustin,

This is a common question that I have answered in this thread I believe..... You can also go on ifunding and see the terms. You can chose to raise equity or debt and I have done both. 

[Kenneth Bell]

@dustin

I also did a thread on the whole process. I am on my mobile so it is not so easy to share the link but I will post it. It will answer a lot of those questions

[Kenneth Bell]

@Dustin Morgan 

Here is a link for the post I began when I started my first raise ever.

http://www.biggerpockets.com/forums/520/topics/131...

At the time I had never used crowdfunding and knew nothing about it. With the help and direction of some crowdfuning and development pros @Bryan Hancock  I dove in and worked on my first offering.  With some solid advice from Bryan and working with Ifunding I completed my first raise. When I started on this journey I asked for a playbook.....no one answered that question but I was given some sound advice and I will pass it on. Call your own play!, no one can give you the road map because each deal is different.

[Kenneth Bell]

Sorry I have not posted in a while just been super busy!!! We are dried in, Plumbing rough is done, sheathing inspection passed on to siding and exterior paint, HVAC done by Friday. House 2 comes out of the ground next Tuesday!!! House 3 in 2 weeks!!!!

[Kenneth Bell]

[Account Closed]

Originally posted by @Kenneth Bell:

@Jon Klaus Jon we raise about 195k on this one.  I will have 3 of the 6 on this infill site underway in 30 days. I crowdfuned another one about a week ago on Ifunding and I have a private investor on another. The weather here has been killing me!! But we are still on schedule.

Kenneth,

Thanks for posting this. Very impressive with your work and quick pace of building!

What's your estimated return on the project and total timeline from buying the lots to selling the finished product?

I'm now raising a fund and am an investor in TX, NC, SC, and various other locations.  If I run across any infill opps, I'll be sure to get in touch with you.  Please shoot me your coordinates.

[Keith Bloemendaal]

@Kenneth Bell Thanks so much for posting this thread and the one about your crowdfunding experience as well. 

House is looking good, please keep us updated on activity and sales. 

I love the infill development idea, I have thought about that for the Wilmington area which is really starting to get some traction again. 

[Kenneth Bell]

@Account Closed 

Jon, sorry I have been so busy I have not been on here much. We will make an average of about 29% per house. The first one list in a week and we have had lots of traffic in anticipation of it listing. These lots I had owned for a while but I like to build and list in 120days or so. The first house ran longer because I completed all the site work for all the lots at one time. Here are some more recent pictures. 

[Kenneth Bell]

@Keith Bloemendaal I like the Wilmington area, I have not done anything there but I am sure there are good spots to develop.

[Kenneth Bell]

We hope to raise for the 4th house In a week or so. I will post when that offering goes live.

[Account Closed]

@Kenneth Bell 

Impressive! Nice work.

[Kenneth Bell]

@Account Closed 

Thanks!

[Kenneth Bell]

Progress!!

[Kenneth Bell]

We have officially 4 houses in progress on site at one time. I will post some recent pictures but in the next few months I will have little time to get on! We will break ground on the last two in the coming months!

[Nalo Coban]

@Kenneth Bell Nice work. Whereabout in Charlotte are these new homes?

[Bryan Hancock]

Looking good!

[Kenneth Bell]

@Nalo Coban The houses are in Seversville

@Bryan Hancock  Thanks Bryan!

[David Begley]

@Kenneth Bell@Scott L.

  How are the 4 iFunding State Street deals in Charlotte progressing?  The first couple of those should be near term end, shouldn't they?  Any repaid yet?