Milestone Realty Services

Milestone Realty Services, Inc. has established a Residential Land Investment Program to provide Investors attractive rates of return based on opportunities presented by trends in the Southeast Michigan residential land market and the capital needs among the market’s homebuilders.

New residential construction continues at near record pace in southeastern Michigan:

SEMCOG, the Southeast Michigan Council of Governments, reported an eight percent increase over the prior year in new residential construction with 23,413 housing units permitted in 2003 for the seven counties comprising SEMCOG.
According to the U.S. Census Bureau, more homes were built in Michigan between 2000 and 2003 than in any other midwestern state. Michigan’s 149,204 new housing units between April 1, 2000 and July 1, 2003 ranked ninth in the nation.
The Detroit Free Press reports that during the same period, there were 17,634 new homes in Oakland County, 17,547 in Macomb County, and of the 5,140 new homes in Wayne County, 67% were built within the last year.

Milestone’s Residential Land Investment Program encompasses investing capital in a series of lot banking transactions to acquire land parcels and finance infrastructure development for fully entitled residential land. The investments are structured primarily as mortgages, either as Participating First Mortgages and/or Participating Second Mortgages.

Milestone’s Residential Land Investment Program is distinguished by the following:

The value of entitled residential land is expected to increase as the region’s economic and demographic trends support continued demand for new housing while an increasingly restrictive political and regulatory environment and infrastructure shortages present supply constraints;
Well-capitalized residential land investments fill a capital market void and fulfill a need among the market’s homebuilders;
Residential land investments provide attractive investment returns. Acquiring entitled land eliminates the most significant components of development risk and Milestone’s Residential Land Investment Program structure provides a pre-determined exit strategy.

Milestone’s experienced real estate advisory and investment professionals have an in-depth understanding of residential land markets and are uniquely positioned to implement this investment strategy as a result of established relationships with leading homebuilders and land developers.

For more detailed information, including Model Transactions and Investment Structure Summaries, contact Martin West at 248-591-7105 ext. 1001; mwest@milestonerealtyservices.com.