All Forum Posts by: Jeremiah Shuyler

Quote from @Duane Richards:

@Jeremiah Shuyler just checked out your website, those look amazing. I walked through the Figma presentation, and I think I understand part of it, but I suppose a call would be best to detail options for an investor. I'm assuming at this stage, capital is needed to begin development and that could lock in a certain number of lots/units for an investor based on how much they choose to invest?

Appreciate the kind words, Duane! In a nutshell, yes - Proper Development Company (PDC) will be responsible for raising the necessary funds from investors to construct the Site Improvements. PDC will seek to raise the funds without encumbering the Property. PDC will assess each Lessee a Site Improvement Fee that will be used to repay the Site Improvement costs funded by investors. To undertake the development of the property including offsite and onsite improvements, PDC intends to form a limited liability company comprised of PDC as the managing member and investors as the members. Each campsite Lessee will be assessed a Site Development Fee which will used to repay investors.

Investment Info:

Other other investment.

Purchase price: $1,100,000

Proper plans to develop Proactive Properties’ 244-acre and 80-acre parcels (Property) into a camping area for campers looking to experience the desert night sky, Joshua Tree (JTNP), rock climbing and escape from urban areas. Designated campsites will be leased by Proactive Properties or its nominee (Owner/Lessor) to campers (Lessees) who will purchase and install PDC-approved geodesic domes, tiny homes, tents or other non-permanent dwelling types.

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

We're climber's here at Proper Management. We've been visiting Joshua Tree and Wonder Valley for the last 7 years. Over that time, we started a campground that consisted of 5 canvas tents, 10 car camping spots, and two repurposed RV's. Our location was 14 miles from the Utah Trail entrance to Joshua Tree and we had an outdoor shower and two porta-potties. Bare bones outside that. We operated successfully for 15 months with an occupancy rate of 73% and average per night rental of $104.

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

If you spend enough time in the desert you'll meet everyone you need to know.

We illustrated the return for selling the land versus developing it as follows -

https://www.figma.com/proto/wOK9q9vwWufpqYfGc6EgE5/Proper-Development?node-id=8547%3A283

How did you finance this deal?

We're currently raising capital from investors for site improvements without encumbering the property.

We're accomplishing this in two ways -

1. Dome Sales to Lessee's
2. Site Improvement Fees to Lessee's

How did you add value to the deal?

• Legal Documentation
• Site Planning and Engineering
o Flood Control
o Access roads
o Easement investigations/negotiations
• Utility Assessment
o Water
o Electricity (requires underground access via Utah Trail Road)
o Waste treatment options
• City Approval process

What was the outcome?

In development....

https://www.managedproper.com/listing/7-dome-dr

Lessons learned? Challenges?

How many characters are available for use in this field? YES - A TON!

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

Proper Management. Laconic. R+D Department. Proactive LLC. Chase Bros.