The properties on Bluff Road (The Retreat, University Oaks, etc) are probably going to be in trouble once more properties are built closer to Five Points and campus.Agree/disagree @Andrew R.

They are usually marketed as a "scenic getaway" or "tiny house retreat."

If you want to keep it, maybe it could be worth retooling on your STR market and marketing (inexpeienve) it for a Corporate Retreat or Small Destination Wedding Venue.

#2 - Larger 5-bedroom renovation into a sweet rental home Before Pictures (Zillow Link)After Pictures (Airbnb Link)These investors took something that was very boring and extremely residential-looking and transformed it into a cozy retreat for travelers with highlights being adding wood paneling, kitchen renovation, new furniture throughout, beautiful outdoor space with added hot tub and fire pit spaces for guests to hangout and an exciting game room space to occupy guests for hours. 

If it was me I'd sell Encinitas take the 1/2 mil tax free, keep the land in Carlsbad and build that dream home, and have a fun project with your mentor's home as a retreat.  

I think we pretty much agree on anything but we're commenting from different points of view.If I'm not mistaken, your retreats are focused on US investing while I'm focusing on international investing.

I am seeing a ton of investors spending money on education to get into bigger deals at an accelerated rate only to retreat back to buying the properties  that were of appropriate size and undertaking.

You're right that prices peaked in 2022 then have retreated--that's because of rates.

  ( The Retreat)..I moved in on August 30, 2024.

Brian,  using your thought process that value from when these folks bought the buildings have retreated 20 to 40% and since we know they were bought with Max debt 80% as you mentioned they need to do this to show highest returns so they can compete with others showing those returns as well.