While the debt would whip out most of the profit for 'x' amt of time, it would seem to be logical to take on the risk at a net zero income for x amt of years if after that point, the cashflow is all positive.

If this was the case, you risk putting yourself and the property at risk.

Or the developer can close on the land at risk but they have a lot of capital when that's the case.  

You mentioned the risk of an unsuccessful flip.

@Wiley HoodYes, there're risks:1.

Making the wrong hire, overlooking the risks, taking on too much debt.

It sounds like you have an un-permitted unit, which is essentially always a risk since there has been no notice to the AHJ that it exists and they can therefore initiate a code case to have it removed in most cases.

I also don't want refinancing risk, so any deals with only 3 to 5 year debt are out for me.

I used the concept to do arbitrage on 3 more of his properties and then transitioned to more of a management model in 2020 to offset my risk.

Personal Circumstances: Consider your comfort level with debt and risk.