Research led me to a couple of videos of former ND players coming back to build development into the area.

If you conclude the leverage is so good that everyone comes out ahead that's fine but if you are only able to originate hard money debt that may be viewed as a red flag by investors who will question your experience and borrowing strength.

A lot of the time, most of the other students don't know what they are doing and they or Pace have never truly shared how much they have made on a property, so that alone is a red flag.

Some people seem to get locked in to one place they find, or a place a friend or family member is selling without really evaluating the available market.In a small town in East Texas I would think your biggest risk is a big player coming to town that can absolutely crush a smaller player. 

And won’t parties involved see red flags waived by all this “out of space” subterfuge?  

Let me guess, RH, REDS , ALL S Monument ? 

Those are the players for residential...commercial the same way.

Yes, the more units you go up, generally the less players in the game so there is some advantage in purchase competition as you go up, but also more management scale and cap ex for someone who is new.3.

Many insurance policies also require re-development within two years, a near impossible timeline in a region with the coastal commission, perhaps only second to Manhattan in terms of permitting and red tape.

Keep a leverage player on hand, if you find a great deal.