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CASE 5 — HOTEL AND THREE OFFICE BUILDINGS

Services Provided:
Consulting.

Assignment:
Analyze local conditions and prepare an Economic Feasibility Study for a partially finished development project of a 10-story hotel plus three high-rise office buildings, on the new rapid transit line in Maryland, just outside Washington, D.C. The client had opened escrow on the project, sold the concept to investors and had obtained several million dollars in necessary investment capital.

Results:
Wyant spent several days researching the project—the geographical area, political climate, union situations, weather conditions, zoning and other critical areas that would affect the project. Due diligence brought out the following situation: under zoning there was a grandfather clause on the property which allowed only nine more months to develop a vested interest in the construction. This meant to build the remaining three 10-story buildings, it would require a "design and build" project, anticipating very quick approvals by the government agencies, then bidding the project, digging large holes for underground parking and coming out of the ground with concrete and steel within nine months.

This was almost impossible in a good climate and with full assistance from all agencies, the unions and suppliers. However, the government was in a slow growth mode and was delaying hearings on the projects. The unions had contract expirations within a few months and it was expected they would strike for an indefinite period of time. Additionally, the heavy equipment operators were already out on strike and there was a nationwide gasoline shortage, which the heavy equipment needed. And lastly, it was early summer in the Northeast; any holes dug would have been filled with rainwater and snow and unusable until the following summer. All this would put the project beyond the grandfathered clause provision.

The client cancelled the project, returned the investment funds and a short while later, Wyant was summoned to appear before the key investor, a personal advisor to the King of Saudi Arabia. The investor wanted to personally thank Wyant for saving him money by giving him straight, honest and detailed information on the project.

 
 

CASE 6 — OFFICE BUILDING

Services Provided:
Consulting, Construction Management and Leasing.

The client purchased at a foreclosure auction for $250,000 a two-story office building in North Long Beach. They gave the assignment to Wyant and Associates. We analyzed the property, market, specific local brokers, types of lease documents and prepared a complete business plan, which the owner approved. In three months, after we supervised the minor construction renovations, prepared a marketing plan, selected and worked closely with the broker, a lease was signed for the full building. New value at the end of three months was $650,000, almost a tripling of the client’s purchase price.

 
 

CASE 7 — COMMERCIAL PROPERTY

Services Provided:
Consulting, Construction Management and Leasing.

Another commercial property in Pasadena was purchased at auction for $440,000. Wyant was given the assignment, analyzed the property, market, potential tenants, city code violations and other areas. Wyant prepared a new business plan, supervised the renovations and performed the leasing of the property. A new AAA tenant was signed five months later and the improved value was $1,650,000, a 375% increase in value of $1,210,000.

 
 

CASE 8 — MODULAR HOME COMPLEX

Services Provided:
Consulting, New Business Plan, Marketing Plan and Communications with Individual Property Owners.

Assignment:
Prepare a business plan and new market plan for a 165-acre, 300 unit, manufactured/mobile home project in north eastern San Diego County, which had been developed by a major builder/developer on the West Coast. Sales were languishing and there was no official business plan from which to operate.

Results:
Wyant analyzed the complex, reviewed comparable complexes in three surrounding counties, interviewed recent purchasers and other home owners, attended HOA meetings and social gatherings, evaluated marketing plans, studied costs associated with new home transportation and final set up, staff member assignments and other critical areas. A new business plan was prepared complete with a calendar of events and budget. A new marketing plan was developed and followed resulting in new one-year sales exceeding the total of the previous three years.