11 townhome zero-emission development

[Klaus Holzapfel]

Investment Info:

Townhouse other investment.

Nexus-Village is an 11 townhome development. Strictly speaking these homes are condos since they are built on a condo plat. But by all other standards these are 2400 sqft 3-story townhomes.

These homes are electrified, powered by the sun and incorporate the latest heating and cooling technology.
5 Mitsubishi Mini Splits and a CERV system by Equinox work to provide a very comfortable living space.

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

The area is bound for a major makeover. We are close to the Westminster B-Line station. Once the train runs to Boulder and beyond this will be truly prime real estate. The county and the nearby city of Westminster both have a clear vision for higher population density in this area.

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

I live 3 houses over then this property became available for sale in 2016.

How did you finance this deal?

I self financed it until I had to take on some loans due to delays and cost overruns (ever heard of such a thing???).

How did you add value to the deal?

I lead every stage of the development from the rezoning of the property, handling all the communication with architects and engineers. I handled the planning departments. I took care of our contractors, material acquisition, etc.
I have been here every day since development started.

What was the outcome?

Mixed. The market currently not supporting our initially projected sales prices. I had to greatly lower my expectations. The homes are turning out quite nicely though.

Lessons learned? Challenges?

I fell for a builder that stopped educating himself 20 years ago.
I did not have anyone that guided me through the "false summit" process with the building department.
I was not getting enough 2nd or 3rd opinions at a time when I was still too new to all of this.

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

No