I bought the B Side to my original A Side vacation home, gutted it to the studs, and then renovated it from top to bottom. Here is the link to see it live: https://airbnb.com/h/bayhousebside-artcitypc

What made you interested in investing in this type of deal?

I am the longest-running Airbnb host in the City of Panama City, a community leader for Airbnb, and I've coached many people in setting up their own STRs. I work for Avery Carl and The Short Term Shop, so STRs is all I do (mine and working with investor clients).

How did you find this deal and how did you negotiate it?

I bought the A side of the duplex in 2014 and over the years asked the B side owner to sell to me if she ever wanted to move. Finally, I just wrote her an offer, we negotiated slightly, and then I closed on it in January 2022. We worked on it for 14 months as I paid cash as we went.

Because I knew the seller's pain points, I was able to address them in the offer. I gave her ex-husband $1,500 to move out, paid her total tax bill, and was flexible on the sale date.

How did you finance this deal?

Cash-out refi'ed another STR property. No money out of my pocket to purchase it, only to reno.

How did you add value to the deal?

15 local artists worked on this project, adding murals and sourcing furnishings. I made very few decisions, trusting the lead artist (whom I know well) to design and implement it. There is NOTHING LIKE THIS on the entire Emerald Coast as far as I'm aware.

What was the outcome?

See for yourself! We had over 250 people at the open house, have toured artists and community leaders through the property to spread awareness, and are partnering with our local TDC to bring guests and spread the news it's available. We also got earned media coverage on the local evening news!

https://www.mypanhandle.com/news/local-news/bay-county/panama-city/new-vacation-rental-showcases-the-work-of-many-local-artists/

Lessons learned? Challenges?

It was a challenge to work on the construction while also working on the art. The lead designer learned MANY lessons, but she is excited to do more properties in town. Also, sheetrock dust is a complicating factor. Because I paid cash as I went, we had to dip in and out of the contractor's schedule, which delayed some things, but we are all VERY proud of the finished product. A total of 37 artists, craftspeople, vendors, and assistants contributed their time and talent to get this complete.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Cadence Bank in Panama City is my relationship bank. It helps to have local people you trust and who get what you're trying to do. I am an agent, so I was able to save the seller commission fees and let all the money go into her pocket.