Discovery Land Company: Story + Principles
Mike Meldman never belonged to a country club.
Broke all the "rules" for high end residential development.
...And created the preeminent brand in luxury lifestyle communities: Discovery Land Company
I had to learn just a little about how. :)
Here is a brief story of Discovery Land and a few principles that led to its success.
As of today, Discovery Land Company ("DLC") has 35 members-only residential communities. See them all here .
Located in some of the most valuable real estate in North America, the Caribbean, and Europe.
In order to be a member, you have to be a property owner.
DLC is known for these members.
A name droppers paradise of entrepreneurs, athletes, and celebrities!
As cool as they are, these names are not what I find most interesting about the firm.
It's the dichotomies that have shaped the member experience that is so fascinating.
Discovery successfully combines:
They do so through principles discovered along DLC's journey.
I share a few of these principles paired with the developments they were learned below.
But first, we gotta learn more about Mike's story.
Mike grew up in Wisconsin.
Went to Stanford to become a lawyer.
Then flunked the LSAT.
Mike would later call this “one of the best things that’s ever happened” him. It led to Mike dealing blackjack for a season and then stumbling into a job he seemed to have a knack for: Selling Dirt.
Mike became a broker at a startup firm.
He was assigned to then rural Freemont, CA.
Deal Making came natural to him. As did tenacity.
By his second year, he had sold most of land in his market.
Soon after he decided to go out on his own.
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What Mike did not have: capital + track record
What Mike did have: some experience + guts
He planned to tie up land and work entitlement in due diligence.
With money from friends he bought 300 acres in a suburb of Stanford.
It proved to be the most difficult (and educational) development of his career.
The land had every environmental regulatory constraint in the book.
He called Portola Valley his “PhD in Development”.
It was in the PhD was here he learned the first principle that became a bedrock of Discovery's success.
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This essentially means:
With his PhD in hand, Mike was ready to apply this principle to a most audacious next development.
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Who needs previous success, capital, or even golf experience to develop the highest end club community in AZ? :)
Mike tied up Pinnacle Peak, a landmark mountain in Scottsdale.
The "experts" wanted him to do a hotel.
Mike saw a different vision.
A residential community that was exclusive, secure, and sustainable.
He used a density credit to convert zoning to single family homes.
Hired Tom Fazio for Golf Course.
Developed through the environment.
Estancia became one of most successful residential developments in Arizona. Lots sold for 5 times what adjacent properties were selling for.
Not bound by traditional country club orthodoxy, Mike created the experience that he wanted for his family.
Leading to DLC's next principle.
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And oh were norms broken!
Members could golf barefoot with rock music blaring.
Tee times? Optional.
Infamous Comfort Stations became a staple.
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Comfort Stations originated from Mike's own experience.
He wanted golf to be fun for his kids. He would stash snacks in coolers at each tee box.
This evolved into epic stations filled with sundaes and margs.
Fun and unorthodox became part of DLC brand.
One of Estancia's members was legendary founder of Sequoia Capital, Don Valentine.
He and other execs from Silicon Valley loved the experience at Estancia.
Don wanted a similar experience closer to his home.
Planting the seed for Mike's next development.
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Mike identified a site in the foothills of Santa Cruz mountains.
Positioned well for Bay Area executives access.
It was another success.
This time with seeded memberships.
This confirmed the next principle.
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Excellent member experience builds latent demand for next development.
Today, many DLC members have homes in at least two DLC developments.
It was on "an ugly piece of lava" where DLC had to level up on this principle.
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Mike needed to presell members on his most visionary development to date.
Each prospect was a captain of industry. Most were on the Forbes list.
Mike went door to door to meet each prospect.
It would be a leap of faith to believe DLC could execute on this next vision.
Many signed on.
Mike would say, “They had faith and believed in me, when they really should’t have” .
Kūki?o became one of the most successful developments in Hawaii.
What made Kūki?o particularly successful was a next iteration on member experience.
For inspiration, Mike turned again to a problem he personally wanted to solve.
He wanted to teach his kids skills specific to each location and wanted to do this without stress.
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From sking, to surfing, to fly fishing, Mike hired teammates that would serve as personalized guides of memorable experiences and learned skills. These experiences were:
Often guides become like family members.
Creating an even deeper loyalty to DLC Brand.
This opened a range of experiences tied to each location that where outside of (and additive to) golf.
The next set of developments were legendary.
The next chapter for DLC is scale.
Brett White (former CEO of CBRE and Cushman) was brought on as CEO in 2022.
Dozens of new developments are planned or underway.
Globally in places like Taymouth Castle (Scotland) and Discovery Dunes (Dubaui).
Domestically in non coastal states of Texas and Tennessee.
Scale will be a challenge.
It will require adding a primary home community model while staying doggedly true to the principles that led to success to date:
Can both the uniqueness of the place and the member experience be executed at scale at the same standard?
Mike Meldman intends to find out.
I wouldn't bet against him.
A great place to end is sharing this video . Its excellent and illustrates that the strongest case for future success of DLC remains Mike's original mission.
To create places:
If you are a developer or placemaker, Discovery Land Company should not be your aim. You have your own story to write.
But the Discovery story should provide you inspiration.
Inspiration to define your own mission and principles which create your highest vision for places where people flourish.
My hope is this helped you toward that end.
Curator of extraordinary wellness programs + stress-free environments that heal & transform.18+yrs Luxury hospitality consultant, corporate innovation, author, speaker, meditation instructor, Master Herbalist ??
1 天前Spectacular!
Awesome story!
Senior Vice President - Texas, at Alexandria Real Estate Equities
6 个月Love this
Love their developments and eye for details and service. Love your summary.
General Partner at Trust Ventures
6 个月Trevor Hightower you should build a Discovery-style ranch for all of our friends!