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    • Real Estate Fund
      • Executive Summary
      • Business Description
      • Rights & Liabilities
      • Case 1 | Shares
      • Case 2 | Shares
      • Case 3 | Ratio Model
      • Case 3 | Issued Shares
      • Notes
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Case 1 | Shares Distribution

Investor 1 and Investor 5 fail to payments after paying only the land purchase. SDG and other investors are not interested in buying out Investor 1 and investor 5. Other investor complete the project by increasing their contributions.

Investor 1 and Investor 5’s shares are calculated by two methods:

• Investment Ratio Model: (Initial Investment ÷ Total Investment Needed) x 100. In that case Investor 1’s shares would decrease to 4,5% ((45.000 ÷ 1.000.000) x 100) and investor 5’s shares to %6.

• Issued and Outstanding Shares Model: Investors’ shares are not determined by their contributions according to the investment needed. Outstanding shares are allocated to each investors with respect to their initial investments. Each share has a nominal value of USD 1.000 and investors receive Issued shares for all contributions they make until the end of the project.

• In that case Investor 1 receives 45 outstanding shares and no issued shares as he can’t make any payment during the permit and construction process. At the end of the project total outstanding & Issued shares are equal to 100. Therefore investor 1 is entitled to 4,5% of the property.

Ornek Proje Tablo

• Project: House
• Land: 8.000 sqf
• House: 3.000 sqf
• Location: Studio City, Los Angeles, CA
• Land Cost: USD 300.000
• Permits &Construction Cost: USD 700.000
• Total Cost: USD 1.000.000
• Price Range for new Houses in the Area: USD 2.000.000 - 2.800.000
• Investors: 6 Investors

SDG

SDG California is a privately-held full-service Land & Real Estate Development Company headquartered in Los Angeles, California, focusing on house, townhouse, condominium development, and multi-use building projects in the Area.

R/E Investment Fund

Smart Development Group designs real estate investment projects bringing together many investors, manages the process, and finalizes the property's sales. SDG, LLC was created in 2016 by three shareholders with more than 20 years of experience in the Real Estate sector.

Projects

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© 2016 Smart Development Group | All Rights Reserved.
  • SDG
    • About Us
    • Words of Founder
    • Our Team
    • Real Estate Fund
      • Executive Summary
      • Business Description
      • Rights & Liabilities
      • Case 1 | Shares
      • Case 2 | Shares
      • Case 3 | Ratio Model
      • Case 3 | Issued Shares
      • Notes
  • Projects
  • Contact
  • TÜRKÇE