DHS Industrial Park
Fund Began: August 10, 2017
Last Day to Invest: August 10, 2018
Investor returns are prorated based upon the date that their paperwork is completed and approved. Those who invest earlier are thus rewarded with a greater return. With each passing month your personal profit decreases by 1/12th. Imagine for example a $100 investment that generates a 50% annual return. If you invest for one year you’ll end up with $150, but if you invest for six months you have only $125.
- Close on Property ($1.2M) 100%
- Phase 2 ($1.2M) 48%
This project is almost 100% shovel ready with over $120K in Architecture, Pre-lims and Permits. Total projected timeline for the project beginning to sale is 12-15 months to get to the last building. Pre-sales will start immediately, due to the fact that the property directly to the south has already sold all but one of their buildings, and they just started grading.
Each Industrial building [which will be designated as a condo] has a unique floor plan ranging in size from 12,052 to 24,848 square feet. All of the buildings are plain “vanilla” shells with offices and bathrooms, along future owners ample flexibility and options for customization.
The modern design and prime location will allow for easy access to the freeway, including the city of Palm Springs, and other desert communities. Each building will also boast the GreenZone CFC [certified for cultivation] Seal and come with a CUP [conditional use permit] license.
Our plan is to develop nine of the ten planned buildings in the Morongo Triangle and lease out the remaining one in order to provide a source of residual income. Of the total 152,000 square feet, approximately 128,000 will be sold and 25,000 leased on triple net terms. The construction will be divided into two phases allowing us to remain capitalized and not have to raise the entire construction budget up front.
The specific returns for a single investor will vary based upon the amount invested and the total amount raised. If you were to invest $100,000 and we raised a total of $5.5 million you could realize an annual return of $95,820 from the buildings that are sold and another $8300 for the one leased out.
Below is a brief overview of the projected numbers.
Purchase Price: $1.1M
Projected Profit: $10.6M
Total JV Investment Amount: $5.5M
Minimum Investment Currently: $50,000
Investors 50/50 of the Profit & Cashflow
Net Profit from Sales: $5.3M
Net cashflow from Leasing: $460,309
Minimum Investment: $50,000