Ep 542: The 24 Level High Rise Land Assemblage

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hello welcome to the high podcast I'm
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your host Danel Martinez today we have
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returning guest Darcy
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maror if you have not seen the other
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episode please go check it out we talk
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about land entitlement and development
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from a Canadian perspective and uh he
Chapter 2: The Creative Deal Breakdown.)
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does a lot of stuff in Texas and Florida
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we went into deep details about creative
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finance and I hope you go check the
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episode but today we have deal breakdown
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we have Darcy coming back for episode
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two and we're we're talking about
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creative stories and do a breakdown
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recover cool interesting stories so Dar
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city has a good one for us let's hear it
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what you got thanks for having me back
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this is awesome uh yeah so you know so
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I've got this course lots of students
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taking action and then there's some
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pretty cool stories so again we just got
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the entitlement section of of
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development where you're just changing
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Zoni and density uh you know allowing
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more things to be to be done on that
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property and then and then sold to the
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next person you maybe do land prep or
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you can actually do the building so you
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know company students
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$135,000 profit in in two and a half
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months by doing just the paperwork only
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another student's about two weeks away
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from getting a development permit
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approved which will then increase the
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value of the land and give her a profit
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of about extra 300,000 that's pretty
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cool in about 14 months which is which
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is really cool but the one St I want
Chapter 3: Strategic Vision and Precedent.)
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have to talk to you about is is group of
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students one of them noticed an MLS
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listing that you know this old duplex
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and an old fourplex for sale and they
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said you know this is kind of be
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interesting to get uh involved with so a
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bunch of other students kind of got
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involved they had a zoom call that group
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originally was larger but it widowed
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itself down to about widowed itself down
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to about six six people they kicked in
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75 grand each to buy the uh to down
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payment to buy the old fourplex in the
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old duplex next to that was another
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fourplex next to that was another
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fourplex across the street is two towers
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of about 17 stories they're a block away
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from the largest mall in the city and
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they're three blocks from from the Metro
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kind of the the light rail trans perfect
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location the city wants that whole area
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to be much
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bigger yeah so you know we're talking
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and saying well if you can buy the next
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one and the next one then you won't hold
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half the block that eliminates almost
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all of anybody that's that's gonna you
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know the neighboring crowd that's going
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to about it so they actually did
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they went and talk to the neighbors so
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the the original duplex and fourplex was
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a
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million5 the other fourplex was a
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million and one next store was a million
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and just you know wasn't easy but they
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they managed to to buy both the other
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ones well now you've eliminated like I
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said all the pushback part of the other
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thing that the cities care about is is
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like Shadow plans are you you know
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you're building this great but now
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you're going to cast a shadow on the
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neighbors eliminated a lot of that
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behind them was a park so basically they
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had they had a free Runway now took a
Chapter 4: The Profit Potential and Process.)
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while because you know with the permits
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and the length of time you know but
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basically they were able to get approval
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to actually build build a 24 Story Tower
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they're not going to do their their goal
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is to sell it but they're looking at you
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know like a seven figure profit from 18
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months 16 18 months so that's an another
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example of paperwork only so that's that
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was pretty cool no it's a it's a cool
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assemblage man I think a lot of people
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one of the things I love about this the
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space that I think me and you we kind of
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delve in is you have to you have to see
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beyond what's there yeah you really have
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to see what's beyond there and we have
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to have like not necessarily foresight
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just imagination imagination of what
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could be there and I think even you said
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there was something across the street 20
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stories up so it gives you the the
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ability like okay there's something 20
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stories up across the street I could
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maybe build something 20 stories up at
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least or more depending on what new laws
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or initiatives are in place for the mity
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and you kind of have that blink canvas
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so I think and this is where I commend
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them for even thinking about airspace
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most people don't about airspace that
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you're buying that block plus airspace
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above it you might not be able to use it
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but if you're in the right area there
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might be airspace availability
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yeah yeah so what you're looking for a
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lot of times is precedent right so what
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else is being done so I can go into a
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neighborhood that on paper looks perfect
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you know my world basically anything we
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did 1950s I'm going to tear down instead
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of fix it up so you know a city or this
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neighborhood might be that age might be
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you know 1940s
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development things of that age nice wide
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Lots 50 foot Lots on paper wow this
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place looks looks awesome but if you
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physically drive it you know there's not
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one new duplex or fourplex so you know
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that would tell me that the nimi crowd
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the not in my backyard crowd is really
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strong yet no we want everything exactly
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the way it is versus going to another
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Community where no there's old houses
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fine but next to it is you know there's
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new brand new duplexes brand new AP
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plexes whatever they're doing so now you
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know okay this is a this is a much
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better area to work with because I'm not
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going to get the push back from the city
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or theing Community because yeah they're
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they get it kind of thing right so
Chapter 5: Conclusion and Final Thoughts.End)
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precedent is is kind of and that and
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that again plays to what you said about
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V you know Vision too is if you can see
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it you can okay well if somebody else
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has built an eight Plex on a 50 foot lot
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you know I can do that too right
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so I think precedent is something we
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don't nobody talks about very often this
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is goes with all types of development if
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there's precedent for
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housing there's precedent for building
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on like actual buildings like multi
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multi family how many doors is you know
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how many doors that is for 24
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stories no I don't but it's uh I know
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you assume let's say eight or 10 per
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story you know so you're you're you're
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in the in the multiple hundreds so
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that's for sure yeah plus 200 that's
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crazy that's that's a cool story I I I
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think there's a lot of opportunities out
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there that people just Overlook every
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day imagine how many people drive by
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that part that that area daily and no
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one no one thinks to put this together
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happen or even you know that original
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duplex and fourplex I think it was on
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the market for like I think it was like
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90 days it was on MLS for 90 days
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because everybody just saw it as a
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duplex and fourplex I'm gonna fix it up
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and well and it was beat the crop like
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one was it was the duplex I think was
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close to being condemned it was that
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nasty so okay I don't know how to do
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that it's too
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nobody really thinks about this and
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again I think it's because most
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investors they if they say development
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they're just picturing big companies on
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the outskirts of town developing 400
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Acres I can't do that and they don't
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know that yeah one old one old house on
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a city lot you can you can tear that
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down and do something with it right so
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lots of uh I think it's just opening
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people's minds to that it's possible
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that it's even a thing so absolutely
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absolutely this is this I think is great
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I love the these little pocket deal
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breakdown stories because you never know
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what you're going to hear and I think
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it's great opportuni to open your mind
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to the opportunities out there where can
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people find you online just my name
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Darcy mar.com or there's the one coming
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up there is another good one or just on
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YouTube I just key and my name Darcy
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marer Channel and you'll come up with
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all kinds of you know I got like 130
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videos out there talking just
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specifically about this stuff there's no
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rentals no flips no wholesaling just all
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about development and the great things
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you can do in there absolutely for here
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go like share subscribe we Che about on
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YouTube appreciate you coming on Darcy
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thanks for your time everybody here go
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like share subscribe we'll see you next
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time thanks guys hey if you like to meet
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us in person we do an annual event every
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year the hive.com summit we'll see you
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there have a great day