What We Do + The $1.2M 5-Unit (Sell as 5 Homes Strategy)
CLUBHOUSE 100 LESSON What We Do + The $1.2M 5-Unit (Sell as 5 Homes Strategy) WHAT WE DO AT CLUBHOUSE We do NOT operate deals. We: - Identify mispriced assets - See the highest and best use - Control the deal - Sell the better exit strategy We make money by changing how the deal is viewed. Everyone else sees a 5-unit rental.We see 5 separate houses (or future houses). THE PLAY — REPOSITION THE DEAL This is NOT: - Cap rate - Rent increases - Long-term hold This is: Conversion → Separation → Retail / Builder exit HOW THIS BECOMES $1.2M The value is trapped because it’s being viewed as: → One 5-unit income property But the real value is: → Five individual homes / lots / exit opportunities STEP 1 — IDENTIFY THE ANGLE Ask: - Can these be sold individually? - Condo map? - Short plat? - Already separate structures? You are looking for: “One parcel → multiple exits” STEP 2 — CHANGE THE BUYER You are NOT selling to: - Landlords - Cap rate investors You are selling to: - Builders - Developers - Retail flippers - Spec home buyers Different buyer = higher price STEP 3 — CREATE THE STORY This is everything: “5 existing units positioned for individual resale.Builder or investor can unlock significantly higher value through separation and resale strategy.” You are selling the exit, not the current condition. STEP 4 — SHOW THE MATH (SIMPLE) Example concept: - Buy at $1.75M as a 5-unit - Sell as 5 homes at $800K each = $4.0M Spread = $1.5M potential You don’t need perfection — just a clear upside. STEP 5 — POSITION AS A PROJECT This is key: You are NOT selling a stabilized asset.You are selling: - A project - A plan - A profit opportunity THE 10-POINT PLAY (SELL AS 5 HOMES) 1. Confirm physical layout (5 separate units?) 2. Check zoning / feasibility for separation 3. Estimate individual resale values 4. Calculate total retail value (5x homes) 5. Compare to current acquisition price 6. Identify profit spread (target: $1.2M+) 7. Lock up property at bulk price 8. Build “builder exit” narrative 9. Target developers / flippers (NOT landlords) 10. Sell the upside, not the current income