2023 | How to Purchase 40 Acres for 160K | Sell for 2.5-5M in 3 years!

It all starts with a vision, a proposed site, a deal structure which provides to everyone involved what they need, some research, a plan, a document, and the first sale of one $50,000 participation unit in the L.L.C. It can be done over and over again, all over the world, at a profit. This vision can change the world, and our lives,? for the better. ~ yours truly

This is just one example of many available now in Oregon alone, (this can be done anywhere):

https://www.youtube.com/shorts/4AwwTRdsjmU

50k Imagine | 1 quarter acre piece of paradise 20 miles from (for example) Gold Beach in Southern Oregon

Available

$159,900

Signal Buttes Rd Gold Beach, OR 97444 , Gold Beach, OR 97444(Curry County)

Size:40 Acres

You have a studio bungalow on the property, fully wooded with 30 years old Douglas Fir.? There are central facilities:

• A Pool and fitness center.
• Large Community kitchen and group dining and event center.
• Business center with separate lockers and work areas and a fast connection.
• Playgrounds for the children
• Daycare center onsite
• Tennis, Basketball, Baseball, and soccer
• 20 acres of common area private park on it’s own small river than runs through the property.
• Neighbors like you, all owners of at least one quarter acre parcel, and all are joint owners in the Development Company LLC, which owns the project, the facilities, and has plans to expand worldwide with the model
• You own the property, and a part of something bigger.
• Your neighbors are working retirees, remote workers, single parents, singles, children, professionals and anybody who fits.

This is a for-profit live/work community – a ‘Member Managed’ LLC

As a branded live/work community, the LLC (hereinafter referred to as THE COMPANY) will target a market? that previously does not exist: the need for low cost live work environment living, and a quality place to raise children for the growing number of permanently (or at least long term) single parents.? 50 lots and X__ ownership shares in the LLC will be sold as units of participation in accordance with a PPM (Private Placement Memorandum) under Regulation D Rule 504 in a “Non-Public” offering.

The proposed business center, with offices, conference rooms, and presentation-necessary audio-visual facilities is a profit center, owned by the community.? The cost of full use of the facilities, complete support from the other members (owners) and access to the built in clientele resulting thus, is 10% of gross profit from sales.

This is an entrepreneurial incubator community, where everyone who works there, lives there.

Profit centers:

1. ?Business Incubator revenues: $0 per month will eventually grow over time during the ‘construction period’ (see appendix I) to $5000-$10000 per month from successful resident businesses and professionals (Lawyers, Medical Professionals, remote businesses, online businesses, programmers, etc…)? utilizing the incubator facility. This is used as an assumption to project needed capitalization, and use of THE PROCEEDS OF THE OFFERING.? (see appendix II)
2. DAYCARE in the resident daycare center proposed.
3. Participation Unit Sales:? 50 1/4 acre Units at $50000.00 each is $2, 500,000.00 from the “Proceeds of the Offering” (see appendix II).? Septic and utilities will be ordered up, and installed; and all site work and development work will be paid for from these revenues.? Construction of all the facilities and the entrepreneurial business center will be financed from these revenues.? As an incentive for early investment, the “pick” of location for the lots on the proposed 40 acres, and the price of the units, which include 100 participation shares in the development (parent ) company, may very well increase as the project moves forward and infrastructure is built out; so that the purchase of a “unit” is both a real estate investment, and a business investment, with profit potential in the future from the development company.
4. Potential Appreciation: the value of the undeveloped land and the buildings and facilities, thus the value of the ownership shares of the L.L.C. (The Company) will increase as the sell-off and build-out progresses.? The revenue in the incubated businesses will increase, and the 10% “rent” income to what would have otherwise been called the “Homeowners Association”, what could be called the BDC Profit Center for this model, will increase as the sell-off and build-out progresses.

See:

https://leanurbanism.org/leaning-toward-live-work-units/

https://moss-design.com/live-work_buildings-the-case-for-live-work-buildings/

THE ‘BIG PROBLEM’

THE PROBLEMS OF WORK:

Society, technology, and timing create arbitrages.? The biggest problem to solve in our society, in my opinion, is lifestyle adjustments to these changes.? We have a society that has evolved around the needs of employers, rather than the abilities and talents of the available work force.? The success of the venture described here is based on a premise: that everyone can make a contribution; and that it is “greener”, more cost effective, more profitable, handier, and a better lifestyle if they make that contribution locally.? ?From washing the dishes to managing the finances; from mucking animal stalls to building bungalows, fences, and facilities; from gardening and planting to marketing, merchandising, packaging, preserving, canning, and local barter; everyone can make a contribution, regardless of age, race, or gender.? There is an economy of scale in living as part of an extended family, a tribe.? 50-100 residents, for instance, as proposed here, represent a large market for everything from professional services to healthcare, shelter, and food.? It only takes one pool, one spa, one basketball court; it takes very few vehicles, one large group kitchen, one fitness room, one playground…to service a community this size.? All these needs represent jobs, and potential profits.

WE DON’T HAVE A SUPPLY PROBLEM

OUR NEEDS ARE SIMPLE

1. We need other people close by to interact with, eat with, worship with, and collaborate with.? We are gregarious by nature
2. We need food.? ?The farther the food must travel before it is consumed, the lower the quality of the food.
3. We need shelter. A single parent of one, needs the neighbors, the facilities, and the daycare with it.
4. We need love, and purpose, and bonding.? These things need not require travel, much money, nor education.

WE HAVE A CONSUMPTION PROBLEM

The things that we really need need not be expensive, so where does ‘it all’ go?

Average household earnings in 2022 were $94,003, while?average total expenditures for the year were $72,967, according to the Bureau of Labor Statistics’ Consumer Expenditure Survey. This included an average of $24,298 on housing, $12,295 on transportation and $9,343 on food. (Sep 26, 2023 Google search)

According to this article, quoting the census, this is how we spend our money:

Average household expenses in the U.S.

The typical American household spends $5,111 per month, on average.

The largest expense for most Americans is housing. At $1,050 per month, the cost of having a roof over our heads accounts for 21% of a household’s monthly budget.

?

Expense

Monthly cost

% of income

Housing$1,05015%Transportation$81912%Taxes$78411%Utilities and other household costs$73410%Food$6109%

Show All Rows

Percentage of income is based on after-tax income. Percentages are rounded, and not all categories are included. Therefore, the total does not equal 100%.

Average monthly housing cost: $1,050

Key monthly home costs

• Mortgage interest: $247
• Property taxes: $196
• Maintenance, repairs, and insurance: $180

The average U.S. household spends $21,409 per year, or $1,784 per month, on all things related to housing.

Shelter accounts for $1,050 of our monthly budget. That includes rent or mortgage payments, mortgage interest, property taxes, maintenance, repairs and insurance. The remaining $734 each month covers utilities, household expenses, furniture and equipment.

About 66% of Americans own their home. They pay an average of $623 per month on mortgage interest, property taxes and other expenses like maintenance, repairs and?homeowners insurance.

The 34% of Americans who rent pay just a little less than homeowners — an average of $607 per month. Expenses include rent, maintenance costs and?renters insurance.

Average monthly cost of household supplies and utilities: $734

Monthly cost of utilities

• Electricity: $126
• Phone services: $120
• Water, other public services: $57
• Natural gas: $35
• Other fuels: $9

U.S. households spend an additional 10% of their annual income on things related to their homes. This is on top of the 15% of take-home pay that goes to mortgage or rent costs.

We spend most of this on recurring bills for electricity, heating and cooking fuels, water/sewer/septic, trash collection and phone service (including cellphones). The typical cost of?utilities?per month is about $347.

In addition, we spend an average of $122 per month on things like babysitting or elder care, house cleaning or landscaping, dry cleaning, pest control, and security systems. These services are categorized as?household operations.

American households spend $196 per month, or $2,346 annually, to furnish homes. This includes everything from bath towels to a new dining table or refrigerator.

The remaining $70 per month goes toward laundry and cleaning supplies and other household products.

Average transportation cost per month: $819

Monthly cost of transportation

• Vehicle purchases: $377
• Gas, motor oil, other fuel: $131
• Car insurance: $131
• Maintenance and repairs: $73
• Finance charges: $22
• Public, other transportation: $22

The second-largest spending category for the typical U.S. family is transportation.

The average cost of transportation for a household is $9,826 per year, or $819 per month — 12% of the average household income.

The majority of our transit budgets go toward car payments, which cost around $4,523 per year. In addition, we spend an?average of $1,575 per year on car insurance.

Gasoline accounts for 16% of transportation costs — the average amount spent on gas per month is $131. This category also includes?vacation transportation?like plane, bus and train tickets and even ship fares.

Average monthly taxes paid by U.S. households: $784

Monthly tax expenses

• Federal income taxes: $734
• State, local income taxes: $203
• Other taxes: $6

Average monthly tax amount includes federal stimulus payments that equal $159 per month, on average.

The typical household pays $9,402 per year in personal taxes — 11% of our total income.

This doesn’t include property taxes, sales taxes, Social Security or Medicare payments.

In 2020, we paid less in federal taxes than normal because of the stimulus checks many Americans received during the COVID-19 pandemic. The average household received $1,911 in stimulus payments from the government.

Average spending on food per month: $610

Monthly cost of groceries: $412

• Meats, poultry, fish, eggs: $90
• Fruits, vegetables: $81
• Cereal, baked goods: $53
• Dairy products: $40

The typical U.S. household spends 9% of its income on food — $7,316 per year.

The average cost of groceries per month is $412, which makes up about 68% of our?food budgets. The remaining $198 per month is spent dining out.

While food is a necessity, the amount spent on food varies based on household income. People earning less than $15,000 per year spend $352 per month on food — $272 of which goes toward groceries.

In comparison, those earning between $70,000 and $90,000 per year spend nearly twice as much on food ($623 per month).

Average monthly Social Security contributions, personal insurance and pensions: $604

Monthly retirement and insurance costs

• Pensions, Social Security: $563
• Life, personal insurance: $41

The typical U.S. household spends $7,246 per year on Social Security or pension contributions and?personal insurance.

The majority of this expense comes from?contributions to Social Security and pensions,?which total $6,760 per year (this may cover more than one worker). In addition, some households make payments into government, railroad or private retirement plans.

In 2020, Americans saved about?18% of their income after taxes?to meet financial goals including retirement, new home purchases and vacation savings.

Overall, we contribute about $1,135 per month into savings accounts, emergency funds and personal investments.

Average cost of health care monthly: $431

Monthly health care expenses

• Health insurance: $306
• Medical services: $72
• Drugs: $40
• Medical supplies: $14

About 6% of U.S. household income goes to health care expenses — $5,177 per year.

That includes?health insurance premiums?and?out-of-pocket costs?for doctors, prescriptions and medical supplies.

The?average spending on health insurance?premiums was $306 per month — 5% of our annual income after tax.

?

Average entertainment cost per month: $243

Monthly entertainment cost

• Fees and admissions: $87
• Pets: $58
• Toys, hobbies: $35
• Audio, visual equipment and services: $14

The average American household spends $2,912 per year on entertainment.

That represents only 3% of our total income. However, the lack of spending on entertainment in 2020 can be partially attributed to COVID-19. The pandemic shut down movie theaters, caused concert cancellations and generally kept people in their homes.

Average clothing cost per month: $120

Monthly cost of clothing

• Women, girls: $45
• Men, boys: $27
• Footwear: $26

The average household’s cost for clothing per month is about $120 (that’s $1,434 per year).

That number includes clothing products, and services like tailoring.

We spend an additional $54 per month for personal products like cosmetics and shaving cream, and services like haircuts and manicures.

WE CAN cut the cost of housing, transportation, utilities, and food in half, which I believe can be done with this model, at the same time providing a higher quality lifestyle.? In this scenario, any part time job, internal or elsewhere, could support ALL of the employee’s needs. Let that sink in.

A GRASS ROOTS FINANCING MODEL CAN BE DONE ANYWHERE

‘RENT TO OWN’

What if you could help people whom nobody else can help?

• People living paycheck to paycheck
• Single working parents
• Singles who work from home
• Functional elders on a fixed income
• Under privileged kids, such as myself at that age, exiting the system
• People who need jobs

What if could offer them a job, doing almost anything that fits them, and a home, and a family, and a community, and facilities, and high quality food, for only their labor?

And what if you could do this all at a huge profit, with almost nothing to start?!? Would you do it??

What if somebody gave you the nuts and bolts, coached you all the way through, prepared the offering documents, and sold the offering out for 10% commissions, legally, ethically?? Would you?

If so, this is what you will need to make it happen:

Rothman Checklist for a Member-Managed Debt and Equity L.L.C. Finance Proposal

1. Brief bios on three founding members (Managing Members) and their proposed duties.
2. Clerical budget: $1,500.00 to pay for filing fees, templates and documentation to be legally able to sell shares.
3. A local lawyer with vision, to review everything in respect to local laws, and do minor editing.
4. A proposed site, either owned, financed, or prospective where the owner will consider an option which ties the property up long enough to execute the non-public offering. (this may require the founding members above to purchase the option in exchange for larger ownership shares in the L.L.C.)
5. Research for the writing of assumptions to be used to project operation results: selling price of developed lots at today’s prices, septic and utility installation costs, bids, and contingent commitments.
6. Contingent commitments from lenders to finance the debt based on their criteria, for financing construction.
7. Complete documentation on the proposed property purchase.
8. Assets, human, tangible and intangible for the opening balance sheet.? This can include strategic alliances, supply agreements, trade agreements, and people and organizations who are interested in participation in the offering and/or finance or operations.
9. A list of potentially large vendors who will benefit from the venture.
10. ?A finished business plan, with all the usual documentations and definitions of the company, the plan, the players, the marketplace, the industry and venture, projected budgets, use of proceeds, and projected potential results.

You can do this, with or without my help. I have done it since the 80’sIf you want to send me an inquiry with whatever portion of the above that you already have, I will review it, and offer feedback and guidance for one hour for free.? After that, if you want my help through the whole process, and if I like you, and the project, I will be a founder with 10% of the managing members ownership shares; I will prepare all the documents with your input and my advice, and I will help sell the offering, including traveling in-person to close any potential subscriber.? I will handle all the online presence and marketing. +1-928-228-9228

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Original article here:

2023 | How to Purchase 40 Acres for 160K | Sell for 2.5M in 3 years | Feel free to use this draft!