Innovative Real Estate with Three Squared, Inc.
As specialists in efficient residential and commercial prefabricated design, Leslie Horn, Breck Crandell, and Jill Ramirez of Three Squared, Inc. share their greatest insights, tips, and case studies from their years of experience in the industry. They'll be giving you their best advice through, trainings, guest features, and Q&A segments so you can turn your innovative vision to a reality.
Innovative Real Estate with Three Squared, Inc.
Client Case Study: Royal Houm & Royal Container with JT King
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No one wakes up one morning and decides they are a developer, rather it takes due diligence, dedication, and experience to fall into this profession.
Something Fort Wayne based developer JT King is highly aware of.
In this episode we sit down with JT to talk about his development project in collaboration with the municipality of Fort Wayne, IN. A four home development that will showcase different building typologies in hopes to help solve the housing crisis. JT also talks about what motivated him to become a developer, the importance of collaboration, and how he wants his developments to be an advocate for others.
Here's a glimpse of what you'll learn:
- Who is JT King and Royal Developments
- How Fort Wayne is pushing the envelope of innovation
- Collaboration between, developer, municipalities, and architects
- Navigating your capital stack and project funding
- Breck's Project Highlight(s) of the week: Royal Houm & Royal Container
Show Notes
To learn more about Royal Developments head to their website here.
Follow along with Royal Developments on their Facebook and Instagram: @royaldevelops
Lean more about the HOME Program.
Ready to move forward with your project? Contact us here and we will put you in contact with the right member of our team.
Make sure to follow us on Instagram, Facebook, and LinkedIn to stay up to date on new project releases, trainings, and more.
Welcome to the Innovative Real Estate Podcast with your hosts Leslie Horn, Brett Crandol, and Claire Ovilla. We're here to make your life easier as a real estate developer and teach you everything we've learned about designing and building innovative homes, multifamily, and mixed use structures. On this podcast, we'll be giving you our best advice, trainings, and QA segments so you can learn from our years of experience and make your innovative vision a reality. Welcome back to another episode, Podcast Family. We are back with the most popular style of episode, another client case study. And we just we love highlighting our clients. It's so fun to bring on some really cool people that we've gotten to connect with doing big things out here in innovative real estate. And so we know that you're loving it too. We've got our client JT King on today with Royal Home and Royal Container. We've got, we're gonna have two project highlights for you, which Breck will get into in a minute. But just want to let you know that any links throughout this episode, you can find them down below if you want to get in touch with us. If you want to learn more about JT and what he's up to, if you want to see the designs that we're gonna be talking about, all those links are down below. And we're stoked to get into this conversation. Breck, let's kick it off with the project highlights plural of the week.
SPEAKER_04Heading on down to one of my favorite Midwestern cities, Fort Wayne, Indiana. Uh spent a lot of time there passing through. It's a gateway to the rest of the country. But that's where we're working on a couple of projects with JT. So we'd like to highlight two projects, one of which we've covered in the past, but it's okay. We'll do it again. Um, it is uh it's actually two different construction types for two different projects. And we'll get into a little bit more of that and the history of this project um as we talk to JT later. But um, one is a container-based project that we are affectionately referring to as the Royal Container. And that is a 1600 square foot. So if you divide that by 320 square feet, which is a container, eight by 40, uh, that gives you five containers. So it's a five container, two-story home. Uh, it's very, very efficient and it's planning, it is a three-bedroom, two and a half bath configuration. And the main level is mostly open concept, kitchen, living, dining. And then we have the Royal Home project, which is um not coincidentally uh almost an exact carbon copy of my house that I'm building here in Detroit. The doors and windows um and the roof pitch and overhangs have all been reconfigured based on its actual context and location because it faces a different direction than my home here in Detroit. So obviously our openings are going to shift, but the layout remains largely the same, with the one exception that I have a double height living space in mine, whereas in the royal home, they opted to build out a floor in that space and add a very large bedroom in that space. So the royal home comes in at 1800 square feet, all said and done. And that is a four-bedroom, two full bath layout. So Royal Home, Royal Container, Fort Wayne. Now it is my absolute pleasure to introduce a collaborator, a developer, slash builder, slash craftsman, and dare I say, turned friend JT King. So JT, welcome to the show today.
SPEAKER_03Hey, welcome.
SPEAKER_01I don't know how to even reply to that intro. So thank you guys so much. It's it's been an absolute pleasure so far working with you guys. This is it's like family, so it's been nice.
SPEAKER_04Well, we're happy to have met your acquaintance. So we'll get into the project that we're collaborating on here. I'll and I'll go, but um, I just I just want to throw you the mic for a minute here. Um, I'm sure you can give a little bit of your background. Um, but I'm really interested, like when we say someone's a developer, and I you know blame Leslie for this too. Like, no one gets out of bed one day and is like, you know what, I'm gonna be a developer. No, there's usually like a a path that you did not expect that ends you here. And so you have now taken this title and you're doing it in Fort Wayne, and I know other areas as well. So give us a little bit of the background, the lead up to how you ended up a developer yourself.
SPEAKER_01Yeah, I think uh it's been uh 35 years coming, honestly, and working for uh a lot of different companies uh in the construction field, uh fire truck company that would be still steel fabrication, and then actually working for a new home builder as well there in Fort Wayne, Indiana. And uh just through those skill sets, I think uh learned a lot about you know what I'm good at, what I'm not good at, and learning about what's what's good to build, what's not good to build, and different builders. And so kind of just formulating that together uh uh after 35 years of uh trial and error, I think that's when you're probably ready to start even dabbling in it. Uh just because there's a lot more in the background than people realize uh when it comes to development. And honestly, I feel like a lot of development is hey, I'm gonna take the hard things that you don't want to do, I'm gonna do them and make sure they're done well and organized well. And I feel like a lot of it comes down to that sometimes because a lot of people don't like to work with municipalities or other things in that such, and figuring out how to get those different municipalities and people to talk together is can be very difficult because the brain thinks very differently sometimes. Uh, and so it's been very neat to watch this project come together in Fort Wayne uh through that.
SPEAKER_03You know, JT, it's really a unique project that you've been asked by the by the we just simply say this is what's how it's come about. And I mean, you've been actually asked to do this by the municipality. And so explain here how we got involved and how we got involved with 50% of your project.
SPEAKER_01Yeah, yeah. So the cool news was back in February, we took a team uh from Fort Wayne up to you guys and also a couple other uh collaborators in Detroit to see different typologies of homes. And it was just so good to be in Three Squared because you guys were just seamless in your production of everything. It was well curated, people knew where to go to, they understood when they left what you guys did. Uh that was amazing. And that really was the kickoff, if I'm being honest with you. Without that tour, without them physically seeing it, uh touching it, uh, I really don't think it would have launched. And uh I just got lucky because I was the one that took them there for that. And they were like, hey, you're the developer. I'm like, what's that? Just kidding, obviously. But obviously kidding. But but it was it was just so good to and it for me, I got so encouraged because 25 people going up in a party bus uh and and not not partying, just to be very clear. But I I really I'll be honest, that was actually curated. That's something I thought of because COVID separated us a lot. And I was like, hey, we're gonna get together and we're gonna network for two and a half hours up there and two and a half hours back. And it worked very well. And people, there was a lot of connections that I'm not even involved in on that trip that came out of that, and city connections uh that helped a lot of uh NGOs as well. So it's uh I think uh I have a friend named Wes Jackson, and uh his theme that he talks about is I want to compliment or complete, not compete. Yeah, and so that's something that has been now stuck in my mind because we don't need competition right now in the industry. We need collaboration.
SPEAKER_03So the city asked you to take on four projects.
SPEAKER_01Yeah, exactly. So the four home project, and and the scope of that project is to kind of see different building typologies, whether it be the structure, uh, you know, that can be tech, that can be energy efficiency. But really, we're on this one specifically, we're looking at the structures a lot, whether it be using containers or shield panels, which are SIP panels. And so uh that's just been really neat to see that start to come together because we're gonna really show the real data of what that looks like. Uh and we don't have have an end goal of of what we want to show. We're just showing the facts.
SPEAKER_03Well, I think that's amazing because you also have two other building types that you're doing simultaneously.
SPEAKER_01That's correct. Yep, we have uh a place out in Napanee doing another typology and then a modular builder out of Indianapolis. That's correct. Yep.
SPEAKER_03I you know, and we are so excited to see the end results. And I know it's it's going to be a lot of you know, the research, a lot of numbers, just a lot of facts. And we're actually truly honored to be a part of at least 50% of them, the two. Um, and you know, we're just we we know that we're going to thrive. I mean, you're those two, and based on some other projects we're working with you on, I think I believe you're really heading off on the right foot in Fort Wayne. And honestly, I think you're setting new standards.
SPEAKER_01Thank you so much. And and I just want to also just be so thankful to the city of Fort Wayne because they really took this quite seriously and really listened to uh when Brett came down and gave a good presentation on container homes, they really listened and and did something about it. And I really personally did not push them a lot on that. It was just getting the good information to them and they they ran with it. And they've already, you know, changed some of the ordinances to create a high standard of container home in Allen County, uh, in the city of Fort Wayne. So it's it's neat to see what they're really doing and and they really want progress in Fort Wayne. It's cool, it's really exciting.
SPEAKER_04I I mean, I'll I'll touch on that and I'll also commend Fort Wayne because yeah, and I think pushing the envelope of innovation. I don't necessarily go Fort Wayne, you know, I know it's a smaller Midwest town that a lot of people think is you know kind of sleepy. But if you go there and you see the kind of developments that they are pushing right now, um, I mean, they are they are really like they're you know forcing Columbus to try and keep up with them for Indianapolis to try to keep up with them. This project is fascinating. I mean, to showcase four wildly disparate construction types, different designs with different architects, different teams, different manufacturing processes behind them, all in a row so that they can show the general public what the future of housing could potentially look like in a city like Fort Wayne is astounding. Um, and I think that that's a good case to make as we start to endeavor in other cities, be like, hey, you guys want to be behind Fort Wayne? Because they're killing it right now. And you guys got some catching up. Right.
SPEAKER_01That's a huge shout out to the community development. Everybody on community development has been unbelievably fantastic about their job and really actually care about the local community, which is so nice to see. It's so nice to see.
SPEAKER_04And acknowledgement of the ridiculousness of these processes.
SPEAKER_01Yes.
SPEAKER_04I mean, they were the first thing.
SPEAKER_01That's a great point, Break.
SPEAKER_04We are our own red tape. Why don't we navigate cutting through this and give JT the tools that he needs to actually navigate this process? Yeah, because that's what kills. I'm gonna say half of our projects.
SPEAKER_02Yeah, yeah.
SPEAKER_04You know, the other half is budgetary things, but just the red tape in this industry is so crushing.
SPEAKER_01Yeah, and it'll be exciting in the future to talk about the way that they're they're they're really looking to change some ordinances. So it's it's really neat. And they're they're setting a precedent. Um, yeah, I would say for a high standard container build and other homes too, as well. So, you know, when you learn about more of the regulations and why they're there in the city, you see, okay, it's really nice that they're protecting us from a lot of things we don't understand.
SPEAKER_02Yeah.
SPEAKER_01So you know, we for we forget about that, you know.
SPEAKER_04I yeah, I do completely agree. I mean, codes exist not only as a bare minimum, but it is to protect the health, safety, and welfare of the general public. I mean, that's huge. Yeah, but the road down was paved with good intention, and sometimes these rules are their own worst enemy, and then they just snowball, and then you have so many rules and regulations you can't you can't get anything done. I mean, correct that happy medium, yeah. I we see that all over the place where it's like we need housing, we're gonna stop you from developing housing. I'm like, okay, which one is it?
SPEAKER_01I will let's it's a quick one. I know. Yeah, that's what's been so nice here, and it's it's been so neat to see and great to have three squared throughout the big from beginning end to end, so you guys can also see that whole process as well with the new developers that you guys partner alongside of, like you have with me. Because the truth of the matter is without you guys, there I couldn't have handled the heavy lifting for a four-home project without uh a solid architectural team on the two of the four homes. Like it's not possible for for the size of my company right now. It's not possible.
SPEAKER_03JT, this this learning curve of yours, um, I mean, it's been like it's like this. It's been almost a straight edge going up, but it's been it has been awesome to see see your learning process from it. And as a result of it, also now being looked at as an expert in the community, and now more people in the community are coming out and talking to you. Um, but let's kind of take one other little sidestep here and talk about your capital stack because oftentimes, you know, that's like that's besides you know the red tape, that's like that's a deal killer. And you had to be prepared. I mean, not only are you just doing one, but also there were some funds involved, some home funds, but a lot of it, you know, you you had to put up front. I mean, tell us a little bit about part of that journey and and how you navigated through that, just your capital stack and getting you these these four homes funded.
SPEAKER_01So, another thing I would say as a developer is everybody thinks it's so fancy to do the front end stuff, uh, but they forget to say you don't get paid till it's ready and done. So, so as of right now, we've talked about all the fun stuff, the BZ and everything, but that's all been pro bono so far. So, but that's part of the that's part of the deal, and that's part of the thing you have to do, especially a new developer that you have to prepare for. And the only way I could do that is having honestly, for this personal project, it was family uh that was able to help me because I I came back from living overseas. I have no funds. Uh personal, I don't have a massive capital stack of my own. Um, and so uh yeah, through this project with the city, it's using a program called the Home Funds. It's a federal program uh that gives grants uh to cities. Uh and you you can look into that. But long story short, um they give it for ideas, uh implications that will help with the housing crisis. So Fort Wayne brought this to me. I had never heard about it before personally, um, and said, Hey, can we build through this? And we looked at the scope of the project, we looked at uh what we could, you know, because with the government, there's regulations and all the fun stuff that goes into that, and tons and tons of paperwork, and signing up for sams.org and other things that's not flashy and not fun, and 60 pages of paperwork and applications and applications, but um through that we're able to uh um do this by getting this project reimbursed. So, long story short, um the way this works is uh I have to buy the project myself, find fund it myself, but then the city reimburses it uh because the city will own it in the end. And so at the end of it, uh you have to have a qualified buyer with certain regulations. And so uh I have a very good friend of mine that works at Habitat for Humanity. His name is Jeff Breademeyer, uh, great, great friend of mine, and he we talked through this, and they already have qualified uh um educated home buyers. And so we met with the with the local uh CEO of uh Habitat, and he loved the idea. Uh, and we uh have now signed an MOU with uh Habitat, and so they're gonna provide the home buyers for this project. So they qualify, and they only I believe had 19 homes, uh but 24 uh homeowners. So we'll get up to 23 this year. Uh and so that's exciting as well. So it's it's it's a very I would not recommend this. This is it's it's it's pretty complex, and we can uh because it's it's not for the lighthearted uh to try to navigate all this with you know you need an attorney, you need the legal help, uh, you you need to really have a team around you. I have a very GC, I have a very good uh uh land acquisition realtor. Um, you know, a lot of a lot of people that make this go. Um and uh so just want to also say that in the background as well.
SPEAKER_03Yeah. So um would you say that Breck is on speed dial, Breck and Jill on Speed Dial with you?
SPEAKER_01Yeah, that's I think that's why Breck had to, he's like, I think JT calls me so much. I better figure out how to be his friend because this would make it so much easier. So no, but that's been the that's been the neat thing because like even going and learning together, like I've been able to uh have the privilege to learn with you guys and see a whole nother realm of three squared of seeing the teamwork that's not just in the office but passes through when you're outside and representing your company. It's it's just above par. It's so nice. It's so nice.
SPEAKER_03Well, I appreciate that. And and I know Brett, you have other questions, but I and I also want to ask that you know, you're creating as a developer your formula. I mean, this is what you you are starting to build out, your this is your education, your tuition. It's all about becoming a developer. And so do you think in the next like five projects, and I'm not talking about this, these four units being one, your next one, which we know what's rolling out, the 38, um with five sets of projects. Do you feel like then you'll be on your way with setting your formulas and who you are and your brand? Do you think it's gonna take a little longer, or do you think it's just formulating as you go?
SPEAKER_01I think a lot of it is formulating as you go, but with a very clear direction of what it is. Because uh yeah, I would say that would be what I would say to that. And and yeah, uh the team that you build will allow you to do that faster. Oh that's really key for my my key is who I have around me.
SPEAKER_02I love it.
SPEAKER_01And and I think you've done a fantastic job of that, both of you guys, with the team that you've built.
SPEAKER_04Well, I hope you're able to work. Whoever existed is listening to this conversation right now because you could just give me a checklist of the team that you need in order to accomplish these things. Because, as you know, and as we have learned, this industry is all about who you know. But who you know is contingent on your core values, how you carry yourself, and most importantly, communication. And so, what I will say about this team and about this project is that the communication has honestly been refreshing. That has been like my theme in working with you and with the city of Fort Wayne has been refreshing. Kind of, you know, reignited my faith in the building and construction industry a little bit just because of common courtesy. I can't tell you how many developers on we work with who just once they're done with you, they don't give you the time of day. They're not gonna respond to your emails, they're not gonna respond to your invoices, it's inconveniencing them. But, you know, careful what you ask for, JT, because when I get booked, uh you'll be that one phone call I have because I know people are gonna pick up.
SPEAKER_02It's true. It's true.
SPEAKER_04I don't even know if mom and dad will pick up every single time. But I really appreciated this refreshed communication and just the common courtesy uh of sharing these core values and being able to work with one another on this team. So you we talked a little bit about kind of the background of how this project got rolling and got started, but I want to I want to check in with you. You got your cap stack kind of rolling, and I know it's an ongoing conversation, never ending compromises, but let's celebrate some of the milestones that you have achieved through this process. Like, where did you start and where are we at now in the process? And you can kind of project a little bit into the future. What are the next steps now that we've reached these milestones?
SPEAKER_01Yeah, that's great. Yeah. So this past February we came to see you guys. Uh, and after that, we I signed a contract in June. Uh, so which is kind of crazy that it was June and we're almost breaking ground in January. Uh, but yeah, so we did that. And the big the big thing we had to accomplish first before we can even do this whole project was at the time we could not build container home in uh the city limits. So we had to go in front of the BZA and actually present our case and a lot of data. And we were able to actually get a unanimous vote uh to go ahead and approve that this project would go through special use. And uh that is a massive way. Like, I don't change the rules, literally change the rules. It's anybody in the construction industry is like, whoa. Anybody outside of it's like cool. And so like me, I'm like, I'm about ready to like jump up right now in my seat because I'm like, you don't even like it's crazy. And the three people. At the BZA in front of us, we're like, no, no, no. And I'm like, I don't, you know, this is 12-hour deodorant, but I don't think it's working properly. So because this is my first time in front of a BZA. So you want to talk about being challenged right away. I almost threw up, but it's okay. Everything's fine. For those of you who don't know, that's the part they don't see.
SPEAKER_04BZA is an acronym that stands for Building and Zoning Administration. It's a hearing that puts you in the hot seat in front of everybody who decides your fate and opens it up for public scrutiny. So that that three letters is a four-letter word in our industry. We're all afraid of it. No one wants to go through that process. So I feel funny. I sat through way too many of those.
SPEAKER_01Oh yeah, you're you're seasoned in that field. That was my first rodeo. So uh, but it's funny too, because it they sit above you as well, like a court setting. So you're just like, I'm please, please accept me. I'm just here to for a mirror request. Yeah, so no, it was it was good. And and I've yeah, again, Fort Wayne has been very helpful and also helping educate me on some of their specific things that I didn't know about. So uh sitting down with me and actually educating me. So that's really, really neat.
SPEAKER_03And when JT came to us, he had no gray hair. I'm just kidding, man.
SPEAKER_02Yeah, that's another thing I don't tell you about.
SPEAKER_01It's like the before and after a presidency where it's like, whoa, he looked really good, and then before and after development picks would be an amazing art series. We should and the the deering with like just he's not okay. You need to just take a shower and shake, sir.
SPEAKER_00Rec we can for you with building your house too.
SPEAKER_04Yeah, yeah, I don't want to talk about it. But we will, we will. We got future episodes coming up to give you updates on the Cochrane home. Uh so okay, so we've reached the approval stage. Um, yes. So we're we're getting mighty close to this real exciting moment, which is breaking ground. So, what does that timeline look like for you? And what do you anticipate over the coming months? Because we are in the Midwest and we're we're actually having a pretty mild winter, all things considered. So, like I'm under construction full swing right now because we've only had like you know one or two snows and they've melted by the next morning. So we're we're planning to work through winter. What's your plan?
SPEAKER_01Yeah, yeah. So we are the plan is full steam ahead. Uh, we're just finalizing with one of the other homes that we're building in this in this four-home build, uh, some some finals. So we need to just finish that that part of the bid up, but we're looking to break ground mid-January.
SPEAKER_04So and with the four at the same time, is that the plan?
SPEAKER_01Yeah, so that's that's why we have been this is you have seen like kind of this accordion effect where it's like all of a sudden it's like, well, the they're not three squared, so it's a little slower. So uh just I'm just saying.
SPEAKER_04So all those go in the ground at the same time, you said in January.
SPEAKER_01Yeah, because we want to show the real process. We want to show real process. So we're all starting at the same time. We're all showing kind of what that process looks like. Yep.
SPEAKER_04And so uh is there a betting pool? Can we take an overunder on the timeline of each of the four builds?
SPEAKER_01Uh hey, absolutely. We'll we'll we'll we'll put the put the link in the in the in the I'm just joking.
SPEAKER_04Yeah. With the with the asterisk that uh building timeline is not necessarily tied to building quality, certainly not tied to building quality. So it's like which one finishes first, but you know, when you get to walk through that, because that's the ultimate goal, right? Is the the cities always have this discussion with us since the very beginning that they want this to be a huge event when these four homes are done, that there is a very large open house where you get to, as the general public or a developer, an investor, whoever you are, get to walk through all four of these homes and pass your own judgment based on the quality, the design, uh all the finishes, everything about these homes that we're gonna be able to showcase four side by side by side.
SPEAKER_01Yeah, it's it's wonderful. And we're gonna do decently similar interiors so that people can really feel out the truth of the house. Um, because sometimes you walk in, it's like, whoa, that is such an amazing interior. And then you kind of have a subpar one, and that just kind of taints the house. So we're really trying, we're we're really trying to uh show show show the typologies very well. Yeah.
SPEAKER_04Now building and design is one thing, finishes are another thing, but what about the guts? Like the the actual, you know, the the the organs of the buildings. Are you looking to have comparable systems that drive these homes? So I'm talking about HVAC systems, electrical plumbing. Like, are those gonna be on par? Or are you exploring different options specifically for heating and cooling of these different developments?
SPEAKER_01Uh, specifically speaking on that one, uh, we're really excited uh about uh the core that's gonna be in home as well. Uh, that that will be very different than uh our other three homes, uh, except uh maybe in the future we may do the core in the container as well. Just we haven't gotten that far yet. But I think the core could be something that could be used in other facets as well. Yeah.
SPEAKER_04And the core gets a refresh for everyone is you know, consolidating the parts of the house that are the most expensive and hardest to build. So the core that we will be installing in JT's royal home is going to include the kitchen, two bathrooms, all of your mechanical space, and the staircase that will drive the house. So the rest of the walls are just pretty simple walls that you're pulling in wires to do your outlets and switches. But the the meat and potatoes of the house is in the core, and that's what he's discussing there. But talk a little bit more about like the actual heating and cooling systems. Like, are some of them forced air and some of them are gonna be uh heat pumps? Like, are you exploring a range?
SPEAKER_01Yeah, so we yeah, we're expanding uh uh exploring a range. We're gonna do one of them will have a heat pump, I believe. And and then we're gonna do gas forced air because that's kind of also the standard of what you would find in some of those in Indiana. So we're trying to show a couple different items in the heating and cooling. So because that you don't really see as much. Uh, so it's not a visual point. So that, and we'll have a lot of data on that stuff. So showing like so it if it's not in the house, we'll have the data of what it would be if it if you, you know, the expense, how much it would cost, and then how much you would actually save, whether it be, you know, if you go with a heat pump compared to gas force air. Yeah, a life cycle analysis. Well, then like and real data instead of just like a very microscopic view, kind of a hey, let's see, like on a 15 to 20 year thing, what are we looking at? You're actually not setting people up for failure, especially when they're kind of maxing out their income just to get into the house.
SPEAKER_03Right. So are you going to have um a check-in with the homeowners like on a regular basis every six months with their utility bills and kind of do a comparison, or is this all going to be done in reports in advance? Like we anticipate this home with these utilities and you know, insulation, blah, blah, blah, windows, things of that sort. Are you going to have things done in a study, or do you think you'll be able to have cooperation from the owners and perpetrators?
SPEAKER_01I think because I think that's that's a really great question. And I think uh we'll easily be able to have access because it's a habitat owner, and that relationship will be throughout the process as well. So I think it'll be curated during the process and then just kept because and I'm also just a relational guy, so I'm excited actually that it's habitat homeowners. I'm so pumped. Because it's just like, oh, this is so great because that's such a blessing uh for someone. So I I I'm and they're getting the benefit of that blessing, you know, instead of uh a developer or anything. So it's exciting that's exciting.
SPEAKER_04I actually I think that's the first time that I that I learned this. Um, because I I actually didn't know what the ultimate goal was once the homes were built. So these will be these will be sold as habitat homes through their program setup.
SPEAKER_01Yeah, so basically they're not going to be leading the build, they are just supplying the buyers. Which so that was the last piece of the pie to get a buyer because I couldn't launch the project without them being I didn't want to risk, sorry, I could have, I didn't want to risk launching a you know $1.2 million project and then getting stuck without having it pre-sold.
SPEAKER_04Right. Oh, that's fascinating. So I've done a lot of work with Habitat also. Um, and so I'm I'm very familiar with their model of home ownership. So are are any of those um good strings attached like they would in a in a traditional habitat home? Like, are the owners expected to contribute some like sweat equity towards the project as they normally would?
SPEAKER_01Yep. Yep, we're gonna keep it right to par so Habitat can kind of do their thing as well through this project as well.
SPEAKER_04Oh, that's awesome. That's great.
SPEAKER_01Yeah, it's really it's really great. And it's just it's it's really neat because a lot of our team actually is from used to work for granite rich builders, and now we are all kind of come back together and created this team to uh really take on this project. So it's kind of fun.
SPEAKER_04Small world always getting smaller. Well, listen, we're getting close to time, so I do want to wrap up like a bigger picture topic. Now that you're kind of in the seat of development, um, we kind of have opened everyone's eyes to the the wild possibilities that are out there. I mean, this is just a taste, and you know, I I know you got things cooking because you got to be a few steps ahead in order to accomplish these things.
SPEAKER_02Yeah.
SPEAKER_04What's your ultimate, what's your end game? What do you hope to achieve as a developer? Uh and I think that there's a wide variety of answers, but give me the truth. Like, why why do why do you stick with this? Because as you started this conversation, this is a very stressful position. So it's got to be worth it, right? So, what makes this worth it for you? What do you want to get out of this?
SPEAKER_01That's such a good question. It's deep, too. I mean, for me personally, okay, I'll give you I'll give you the real just real talk. Real talk is the best part of the project so far was the fact that the land that I bought from for the project, like real developments bought, the first land we bought was from an African. And I lived in Africa for seven years, and nobody knows you know those little things, but those little things are what make it let's go, you know, like let's do this, like these little moments in life where you get those, like, okay, I you know, I know I love the community aspect of it where uh you know, now they invited me over to have dinner. And so I think for me, my end goal is helping people understand um how to actually do development properly. Because I think a lot of times people just go in and have a grandiose idea like, here's some lots, here's some great ideas, and they don't even ask the local community, do you want these things? And so I think for me, I think rural developments will be a liaison between the person that is in the neighborhood and the entity that is building for them. And so I think that is where it's headed towards. The truth is, like, I I realize I am a developer because it's the developer, usually, is a person that has a lot of energy to push through the crap moments of life. And I've realized I'm really good at that if you boil life down. Like I have not had I've had a very easy childhood and a very great family I grew up in. And I'm just saying, like, I have had a lot of other hard things happen and seen a lot of other things. And I I am definitely a person that is a voice for the little man, and that's what I see rural developments as a protector of people that are going in and buying up lots cheaply from these people that are just trying to make a buck, and instead of coming alongside of them and saying, Hey, your group of Africans have 10 to 12 lots in Fort Wayne. Hey, I instead of me sit buying these from you for probably pretty decent prices, why don't we come up with a project together? And I'll help you develop this and understand how to do this, you know, and try to actually do that because that is the only way that we're gonna bring back infill projects and things of that sort because banks aren't funding them, private money is expensive. It's it's very difficult to do that. And so I think for me personally, that's why I see durable developments coming in and helping organizations like do this better because it's not easy to figure out how to deal with government, make sure you have a good architect, then a good GC, then a good this, then a good that, then this, then make sure they all know how to talk to each other because then there's personalities in there, too. You know, and so you get a lot of flavors together. You can you can have a whole project go completely. You saw it, Brett, you know, with the city of Fort Wayne. They were just just disheveled, barely talking to each other when you, you know, did uh home. And so you have to get in there and help people actually understand how to communicate with each other because they were kind of like not ready for this project in the beginning, you know. Or I think you felt that a little bit.
SPEAKER_04Yeah, definitely, definitely.
SPEAKER_01So I I how do I say that more concise? Because I'm a little emotional right now. I got you.
SPEAKER_04My here's here's my in a nutshell. Um response to what you said. Well, I know why we get along is because both your team and our teams, you know, if you ask nine developers out of ten why they do what they're doing, let's say to get money, to get rich. Yeah, I mean, that's and that was not your answer. It wasn't even close to your answer. So if I had to consider what you said, why are you a developer and what do you hope to get out of it? You're a developer because it's your calling. And you hope to get out of it to educate others. I mean, that's been like a recurring theme in the way that you describe yourself and the conversations that we've had as you're in this to reteach people what they don't know. I mean, Fort Wayne has forgotten how to build houses. Detroit has forgotten how to build houses. A lot of our country has forgotten how to build houses. And we're relying on a market that is broken and on a banking industry and an appraisal industry that is just making it so much worse, adding insult to injury. And we've forgotten how to build houses. So we're here to educate people on how we can build houses and show them what the future can be. And I commend you and your team and all of your efforts and working with Habitat and working with the city of Fort Wayne and all of your other collaborators to prove that it's not just one answer. And I love that there's no competition because I also don't believe in competition. There's enough work for us all to be busy. You look at the map here short, so many homes for Americans and on a global scale. Like, why are we fighting for work? Like, I hope you build a hundred modular homes that have nothing to do with three squared. I hope that container homes. I hope that we build a hundred home H O UMs. Like, I you know, I I hope to see that everybody can succeed from this because that's exactly what this country needs, and that's exactly what Fort Wayne needs today.
SPEAKER_01Well, are you gonna run for president?
unknownNo.
SPEAKER_02I mean soon.
SPEAKER_01Yeah, oh man. Yeah, so I yeah, thank you guys so much. I really appreciate just all your help and all that you have done. And and it's the the future is very exciting.
SPEAKER_00Yeah, I agree with that. Yeah, go ahead, Claire. No, I was just gonna say it's it's an honor to work with people like you, JT. Honestly, that's what what we're calling in more of in 2024, is just we want to make good buildings for good people. That's right. Good clients love it.
SPEAKER_01I love it.
SPEAKER_00That's great.
SPEAKER_01Thanks. Thanks for leading in that. Your team has done a great job leading in that.
SPEAKER_00Thank you. Yeah, well, it all comes back to what you what I don't remember if it was you or Brock earlier talking about core values and those core values aligning is what makes a really solid team. So pleasure. Is there anywhere that we can send people to hype you up a little bit? And if they want to learn more about what you're up to, you know, that your website or social handles. What do you want to leave the people with? Final thoughts.
SPEAKER_01Yeah, final thoughts is yeah, we would love to talk with you. And our website is www.royaldevelopments.com.
SPEAKER_00Amazing. Thank you so much for coming on, JT. I think we've got a part two in store in a couple months, maybe, and do a little catch-up. And uh again, if anybody wants to learn more about this, websites, links are down below. And we will catch you in the next episode. Thank you, JT. We appreciate it.
SPEAKER_03Thank you, JT.
SPEAKER_01Thanks, Claire. Thanks. Thank you guys.
SPEAKER_00Bye. We hope you enjoyed this episode. And if you found it so valuable, you want to connect with us one-on-one. Click the link in the description to tell us all about your project so we can help you get started. And to get notified on the next episode here on Innovative Real Estate, go ahead and subscribe to the podcast on iTunes so you never miss a beat. Get out there, put today's advice into action, and we will see you in the next episode.