A new day and a new deal (after throwing the previous catch back into the pond). This is a little different for us -lower return and a longer gestation period. "So why do it," one may ask?
We were approached on a loan basis from someone we know. We are not a bank and know that the individual has some farmland on the edge of a nearby town.
So we proposed buying the farmland with a seller buy-back option within eight months. If he buys it back, we receive a roughly 10-13% return. If he does not buy it back we have the opportunity to make a far greater return.
In the process we help someone out, and get an okay return (with the possibility of a stellar return) in the process. The deal is not done, and anything can happen, but we are optimistic that we are in the path of growth with an asset at 50 to 60 percent of current value.
The hidden value not reflected in current value, is the adjacent lift station (next to the property) and the need for multi-family housing in the area.
We see this as a longer term play with a solid asset, or a short term good deed with a fair return.
Please check out our main site: WWW.BOXBEND.COM
This site is for informational purposes only. We do not guarantee anyone's performance in the house flipping, or transformation, or investment arena of real estate. Invest in your own ideas and projects at your own risk.
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