Do you want to invest in my deal?

Would you like to invest in my deal?

This won’t be a usual update email. I have decided to sell some of my shares and am considering opening the deal to new investors who want to purchase a stake in the project.

This isn’t about raising money for the project. We have completed our final fundraising. This is about me adjusting my personal financial situation.

The Backdrop

I spent roughly a year searching for property in Costa Rica before settling on the land we purchased in Playa Negra.

After going under contract and completing due diligence, we closed on the property in the summer of 2023. At the time of purchase, I raised $3.25 million (1.3M from me), structured as 100 shares total. Just under $2 million went toward the land, and the remaining capital was allocated to infrastructure & operating costs.

The plan is very simple. We are currently months away from transitioning to step 3.

1. Use equity to acquire the land

2. Use debt, if needed, to complete the infrastructure and model home

3. Build the homes as we get sales

The Approval Process

The two years that followed were spent mainly on approvals. The property had to be subdivided into what Costa Rica calls a ‘horizontal condominium’.

Only after completing that process at the beginning of 2025 could we begin meaningful construction.

Infrastructure & Debt

Last year, we began installing all major infrastructure. To do this, I took on $3 million in hard-money debt on top of the remaining capital we had to complete the installation.

Between infrastructure costs and model home construction, total costs exceeded my initial estimate.

At that point, I had two options:

• Borrow more money at hard-money rates

• Or find another way to raise capital
  

Costa Rica banks could give cheaper capital, but they were unwilling to lend unless we hit 50%+ pre-sales, which would have forced us to sell the project at prices I believe materially undervalue it, since neither the model nor the infrastructure was complete. 

I wasn’t willing to do that.

Adding New Shares

Instead, I chose to add equity through issuing more shares.

Initially, the project consisted of 100 shares. In October, I added 40 new shares at $50,000 per share and raised $600,000 from new investors.

That left $1.4 million (28) in remaining shares to sell.

I bought those myself.

This was not a small decision. I effectively put nearly every other dollar I had into this project. I did it because I remain very bullish on the long-term outcome, and frankly, I didn’t have anyone left in my investor network to tap.

That said, as the last few months have passed, I’ve come to recognize that I’ve overextended myself by concentrating too much of my net worth in one deal. Although the project is making quick progress now, I’m simply uncomfortable. 

Being pragmatic matters, and I don’t feel comfortable putting all my eggs in one basket at this point in my life, with 4 young kids.

Where the Project Stands Today

As of now:

• Infrastructure is essentially complete, aside from amenities and a few remaining small items.

• The wall and front gate are going in right now.

• We are halfway done with the model home.

The project turned out better than I expected. It looks very good!

We’ve also been researching comparable lot sales in the area. Based on current data, I’m confident the lots are worth at least $250,000 per lot on average, and likely much more.

At that valuation:

• 41 lots + Model Home

• Minus the existing debt

• Implies a project value of roughly $60,000 per share

• Across 140 total shares

The Plan Going Forward

The plan is not to sell lots. That would be the easiest thing for me to do. It wouldn’t require selling my shares, but we are trying to build a company in Costa Rica with a bigger vision.

The plan is to begin selling homes using the co-ownership structure I’ve written about previously.

To reduce personal concentration risk, I’ve decided to sell a portion of my own shares at the same price I paid in October: $50,000 per share.

I’m targeting up to $750,000 total, spread across multiple people.

This will allow me to be patient and sell this project at the pace required to reach our maximum potential.

Who This Is (and Isn’t) For

I’ve been very hesitant to raise money from people I don’t know personally. This project has involved a lot of unknowns (and still does). At this point, I’ve largely tapped my small personal network.

So I’m opening this up carefully to subscribers who:

• Understand this is a long-term, illiquid investment

• Are comfortable with ambiguity

• View this as a way to build a relationship with us, not just invest in a single deal
  

I do not want anyone putting more than ~5% of their investment portfolio into this. I’m serious about that. I don’t want stressed partners.

There is no hard exit timeline. I’d like this to be a 2–3 year project from here, but it could take longer, especially if we use seller financing to support sales.

Think of this less as a one-off investment and more as an opportunity to:

• Dip your toe in the water

• See how I operate

• Build mutual trust for future projects in Costa Rica

This is the first time I’ve opened up something like this to subscribers.

If it’s not for you, no problem at all.

If it is, feel free to reach out and we can have a conversation.

I appreciate everyone who has been willing to follow along, and I look forward to showing off this project as we complete it. 

If you’re interested, contact me at

Email: [email protected]

Cell: 801-368-6460