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Simex
Registered: Mar 2006
Posts: 58 |
04-12-12 05:59 PM
We have some land in Asia, the city it's in is growing rapidly and will be in a prosperous region due to a lot of investment. We have about 1/3 of the money, or just under, what we'd really need to develop nice modern apartments, maybe 24 units, and we have a builder relative in the country.
How would we go about raising 1-2 mill US$? The money would be returned in 3 years once units built and sold, and there could be 20% interest paid on the money.
Thanks for useful advice.
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mgookin
Registered: Jan 2008
Posts: 1388 |
04-15-12 04:58 PM
You're paying 20% interest for 3 years? Not.
Sounds like you have no experience. And the "relative builder in the country" is not going to work out.
Find a local, experienced, proven developer in that area and partner up with them. You are going to have to put the land up and whatever cash you are willing to contribute. They are going to go to the banks or private equity (or their own capital) for the balance of the funding, get the government approvals, etc., build it out, get the CO's and sell the units.
I've seen way too many times where inexperienced people fail in land development ventures because they don't put qualified people on their team. Watching "Flip this house" does not qualify someone.
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newwurldmn
Registered: Apr 2011
Posts: 2619 |
04-15-12 05:54 PM
There's no shadyiness in an unnamed Asian country with a developer whose a relative with the promoter.
Plus if the land is actually useful then the developer will front all of the costs and work and the OPs fee will be x percent of the units.
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Clubber Lang
Registered: Jun 2008
Posts: 2118 |
04-15-12 06:53 PM
Quote from Simex:
We have some land in Asia, the city it's in is growing rapidly and will be in a prosperous region due to a lot of investment. We have about 1/3 of the money, or just under, what we'd really need to develop nice modern apartments, maybe 24 units, and we have a builder relative in the country.
How would we go about raising 1-2 mill US$? The money would be returned in 3 years once units built and sold, and there could be 20% interest paid on the money.
Thanks for useful advice.
I love your business model.
Sign me up for one large. Looking forward to doing business with you and your relative.
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peilthetraveler
Registered: Jun 2005
Posts: 7057 |
04-16-12 02:07 AM
Quote from Simex:
We have some land in Asia, the city it's in is growing rapidly and will be in a prosperous region due to a lot of investment. We have about 1/3 of the money, or just under, what we'd really need to develop nice modern apartments, maybe 24 units, and we have a builder relative in the country.
How would we go about raising 1-2 mill US$? The money would be returned in 3 years once units built and sold, and there could be 20% interest paid on the money.
Thanks for useful advice.
Yes...I give loan! Terms are 3% interest and we will give you up to $5 million for your project. Just pay our application fee of $5,000. Guaranteed approval for you because your relative is a builder! I await your check in the mail.
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