Deal structure ideas

[Jeremy Imai]

BP community,

Looking for ideas on how to structure a development JV with a land owner. Where I live the city government passed a bill loaded with incentives to encourage owners of urban lots to build affordable rental housing. Such things as upping hight restrictions, waving parking requirements, permit fees, etc. I have a land owner willing to allow me to take the lead to come up with and develop a profitable project under this program. I am not a developer or contractor or real estate agent. Just someone willing to put in the work to figure it all out and navigate the process for him. I know I will need architects, contractors, etc. and I have the network and contacts to get it done. Project would be anywhere from about 30 to 40 units. Owner currently has 4 units on property and owns free and clear. Uses cheapest property manager and just collects his checks. Knows property is under utilized especially with the new incentives and wants to leave more than 4 aging units to to kids. Love to hear any ideas you all may have about how I could structure my compensation. Straight equity may be hard to get, so looking for creative ideas. Is there a way to get equity in the revenue without the owner having to give up some ownership since his goal is to leave it to his kids? I looking for longer term strategy vs just collecting a fee and moving on. Thank you all in advance!