Waterfront new construction, just bring your boat

[Scott Wilson]

Investment Info:

Single-family residence fix & flip investment in Matlacha Isle.

Purchase price: $280,000
Cash invested: $750,000
Sale price: $1,500,000

Bought a double lot to build two $750,000 homes

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

SW Florida is running out of affordable waterfront properties and Matlacha has an incredible culture with branding opportunities. That Island is about to turn and will soon be filled with nice updated vacation homes.

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

My JV partner was approached by the seller who wanted to get rid of their house. The house was a ¨tear-down¨ and numbers didn´t work until we realized it was sitting on a double lot.

How did you finance this deal?

We paid cash for the full asking price which was the same price as single lot comparables.

How did you add value to the deal?

We divided the lot and are building two new ground up vacation homes right on the water.

What was the outcome?

We are just beginning construction and have a pre-construction sales offering. More to come.

Lessons learned? Challenges?

Like all my projects, everything takes longer than what I am told up front.

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

We are working with the Millworth Group. www.floridarealestatelife.com