Case Studies
Purchase/Lease
Sale/Leaseback
Build-to-Suit/Lease


Build-to-Suit/Lease
 
The Situation:
Taylor MR/DD Services has contacted CapGrow Partners concerning the need to downsize their current 8-bed ICF/MR home. The problem facing Taylor MR/DD Services, however, is that four of the residents who currently live in the home have greater behavioral issues than the other four roommates. Thus, Taylor MR/DD Services has determined that it would be best to build one home that is designed specifically around the needs of the clients with behavioral challenges and a second home that mirrors a typical single-family residential floor plan.
 
The Process:
  Taylor MR/DD Services and the CGP team review the current available budget for leasing and come to an agreement on the requested lease terms and conditions
     
  The entire CGP team and Taylor MR/DD Services work closely to define and finalize the specific program and design requirements for both homes
     
  Desirable plots of land are found for both homes
     
  The CGP team helps Taylor MR/DD Services narrow down the location for the new homes and has the selected plots thoroughly evaluated
     
  The final architectural plans are drawn up by the CGP team, and approved by Taylor MR/DD Services
     
  The CGP team meets with, evaluates and selects a local builder and contractor(s) to complete the project
     
  Construction commences
     
  CGP tends to all of the development, construction and closing activities
     
  The homes are completed
     
 
Typical Time Frame (Date of Initial Contact to Moving In):
  Between 5 and 12 months
 
The CapGrow Partners Advantage:
  CapGrow Partners assumes 100% of the financing risk
     
  Through the process of taking on all of the financing, developing and construction management responsibilities, the CGP team has allowed Taylor MR/DD Services to focus more time and resources on their operations and clients
     
  CGP has provided Taylor MR/DD Services with two customized homes
     
  CGP has lessened the amount of real estate-related risk for Taylor MR/DD Services
     
  Taylor MR/DD Services has entered into a lease agreement that was specifically designed to meet both the operation's needs, as well as the needs of the residents living in the home
     
  The CGP team provided the client a Committed. Responsive. Experienced. solution
     
 
Additional Benefits:
  Taylor MR/DD Services was able to divert all attention and resources away from the often complex and cumbersome responsibilities associated with building a new home
     
  Due to diversifying their investment portfolio’s risk, Taylor MR/DD Services can now have more confidence in making alternative investments
     
  Taylor MR/DD Services has eliminated the need to assume additional long-term indebtedness on their balance sheet
     
  The rent is fully deductible over the term of the lease, which in turn allows for a for-profit company's after-tax cost to be less than if they would have used an alternative form of asset-based financing
 
 
tel: 1.773.327.7542
2620 N. Racine Ave. Suite 1N
Chicago, IL 60614
 
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