Selling Family Land Is Hard
Siblings Connie and Scott grew up visiting this unique property in southern Ferndale with their parents. Over the years, as their own children have grown up, they’ve maintained their connection through frequent visits, growing hay for local farmers, and maintaining a small apartment complex. When the time came for them to sell the land, they ran into some significant hurdles, and their property sat for years with a “For Sale” sign on it. Ultimately, they turned to Cultivate for solutions.
President Matt McCoy remembers their initial meeting. “They’ve had difficulty selling their property for years because it’s too complex for local developers and too small to sell to a regional firm. There’s a fair bit of development risk due to wetlands, permitting, and other obstacles and Connie and Scott love this land too much to just cut the price and sell. The risk was too high for anyone to buy the property at their price, and we were the only ones who saw the potential in a Development Partnership”
Proving up a Development Partnership requires a team approach. This property already has Single Family, Multi-Family, and Commercial zoning. Each unique zoning type has its own opportunities and challenges, requiring a different type of expertise. VP Rob Weston knew the complexities added by multiple zones would intimidate developers interested in a 25-acre development, and that 25 acres was too small to attract a regional developer who is comfortable with a multi-zone project. VP Jamie Imus displayed his years of expertise by demonstrating the financial viability of this unique project to owners who aren’t in the industry, while VP Ali Taysi deployed the team of professionals necessary to investigate the permitting hurdles.
Ultimately, Matt brought the whole team together in a way that works for everyone, “ They were willing to join our team as development partners, where they own the land and we provide the labor and pay the development expenses. This enables them to take on some of the development risk, without having to spend any extra money, and thus get a higher price for their property when it sells. It’s great for them, great for us, and Ferndale gets a new neighborhood!”
