Confidential · Accredited investors only
Three contiguous Colee Hammock parcels — 19,575 SF with 145 feet of water frontage — assembled under contract at $4.08MM, against $4.05MM of May-2026 appraised value. An $11.35MM construction facility at 9% fixed funds 100% of the build budget, so the full equity requirement of $2,435,819 funds once, at closing. There are no capital calls in the structure.
Three third-party appraisals (May 2026) total $4.05MM against the $4.08MM contract — entry carries no assemblage premium, on a block where land is the value.
$11.35MM construction loan per term sheet: 9% fixed IO, 24 months, $8.34MM of draws covering the entire construction budget, $1.0MM prepaid interest reserve.
Twelve existing units produce $24,000/mo of rent against $22,632 of interest during the six-month pre-construction hold — the deal carries itself before demolition.
LPs fund $2,192,237 of the $2,435,819 equity; the GP invests $243,582 of real cash on identical terms. Distributions follow a three-tier IRR waterfall — step through it:
| Partnership terms | Detail |
|---|---|
| Total equity | $2,435,819 |
| Limited partners — 90% | $2,192,237 |
| General partner — 10% co-invest | $243,582 |
| Tier 1 — to 8% IRR | Pro rata 90 / 10 |
| Tier 2 — 8% to 12% IRR | 72 / 28 — 20% promote |
| Tier 3 — above 12% IRR | 70 / 30 |
| Capital calls after close | None — build is 100% debt-funded |
| Returns — base case, $995/SF | Profit | Multiple | IRR |
|---|---|---|---|
| Project — levered | $2,124,852 | 1.87x | 36.9% |
| Limited partner — net | $1,573,347 | 1.72x | 31.1% |
| General partner | $551,505 | 3.26x | 81.0% |
Sellout: five residences at $3,383,000 each ($995/SF on 3,400 SF), $16,915,000 gross, 5% sale costs. Unlevered project IRR 23.3% — the 9% fixed facility is the return amplifier.
The model's sensitivity grid runs LP net IRR from $945 to $1,045 per foot at the base construction budget. Even the bottom of the grid clears the 12% hurdle into full promote territory — and capital is returned in full down to the $863/SF all-in breakeven.
Delay tolerance: a four-month sales delay past maturity at the base price still produces $1.75MM of levered profit (26% project IRR) per the model's delay grid. Extension carry runs $94,460/month.
Closed luxury-townhome sales in the corridor run $603–$651/SF on dry lots and $746–$870/SF on the water. The ask sits above every closed print — the case for it is waterfront frontage, a custom 3,400 SF product larger and newer than anything in the set, and a June 2028 delivery. The case for the downside: capital comes back in full at $863/SF, inside the closed waterfront band.
| Comparable | Product | Closed | Price | SF | $/SF |
|---|---|---|---|---|---|
| 12 SE 10th Ave — The Beverly | 2023 TH · 3BR · elevator + pool · dry | Mar 2026 | $1,975,000 | 3,033 | $651 |
| 15 SE 11th Ave — The Beverly | 2023 TH · 3BR · dry | May 2026 | $1,879,000 | 3,114 | $603 |
| 808 NE 2nd St — 8hundred North | 2024 new construction · rooftop · dry | Sep 2025 | $1,600,000 | 2,639 | $606 |
| 144 Isle of Venice Dr | Waterfront TH · deeded dockage · 4 DOM, cash | Apr 2026 | $2,800,000 | 3,217 | $870 |
| 101 Isle of Venice Dr | Waterfront TH · 50-ft slip | Sep 2025 | $2,395,000 | 3,212 | $746 |
| 817 NE 17th Way — Victoria Park | 2018 TH · plunge pool · dry | Mar 2026 | $1,310,000 | 2,548 | $514 |
| Regency Park — 809 NE 16th Ave | Pre-construction · Kobi Karp · 2027 delivery | Active | $1.9–2.4MM ask | 2,930–3,077 | $650–780 |
Closed sales verified against Beaches MLS records and Broward County folios, June 2026. Sale prices and living square footage as recorded; $/SF on air-conditioned area.
The three 4-plexes stay in service through month six — $24,000 of monthly rent against $22,632 of interest — then come down as the five-residence program goes vertical.
| The program | Detail |
|---|---|
| Residences | 5 townhomes · 3 stories · 3BR |
| Size | 3,400 SF each · 17,000 SF saleable |
| Architect | Stofft — custom concept drawn |
| Hard cost | $6,375,000 · $375/SF |
| Contingency | $757,920 — 10% of hard + soft |
| All-in cost basis | $832/SF incl. carry & fees |
| Pricing | $3,383,000 per residence · $995/SF |
| Delivery | CO June 2028 · 18-month build |
The facility funds 100% of the construction budget and prepays its own interest reserve — there is no mechanism that asks LPs for a second check.
The 24-month facility is fixed-rate, interest-only — the carry cost is known to the dollar on day one, with $61,133 of reserve headroom on top.
30% presale deposits on all five residences by month 19, held in escrow, pay property taxes and insurance through delivery — $223,200 the project never draws.
Full return of capital at $863/SF all-in — beneath the $870 top closed waterfront print and 13.2% below the ask.
The GP funds $243,582 on identical terms and earns its promote only after LPs clear an 8% IRR — alignment in cash, not language.
An 80% cash sweep retires debt unit by unit as residences close — equity's position improves with each sale, not just at the end.
Real estate entrepreneur and developer with $150MM+ of luxury construction and development across South Florida — built on relationships, execution, and long-term value. Recent sales include Palazzo Corallino, a $13.9MM Coral Ridge waterfront estate, and the $12.25MM Enclave at Golden Harbour in Boca Raton.
Rooted in generations of builders, Frank leads ARC's tech-forward construction platform. The portfolio runs from the $89MM, 354-unit Edge Avenue G in Bayonne (NJBIZ Top Project) to the $500MM Resorts World Catskills — and ARC is on site today as a JV partner on the $2.2B New Highmark Stadium for the Buffalo Bills.
$2.19MM of limited partner equity at a 31.1% net IRR and 1.72x in 24 months — one funding, no capital calls, capital returned in full inside the closed waterfront comp band. Subscription materials and the full model on request.
