DESTIN, Fla.- After selling a successful home inspection business in Atlanta and moving to Destin full time in 2004, Jim Cochran has decided on another business venture. He's building a total of seven $1.8 million homes in the South Walton Frangista Beach neighborhood, and selling them in "fractions."
The John Paulsen Group of Crye*Leike Coastal Realty intends to sell the homes to six owners, each of whom would pay about $300,000 and then have eight weeks every year to stay in or rent the home. That split gives each buyer two weeks in each season.
This concept of fractional ownership differs from what others in the area are doing because Crye*Leike Coastal Realty is selling fractions of luxury homes, while others are selling condominiums. "What we have in Destin is an expensive product that's getting out of reach for most buyers and fractional ownership opens the door for new buyers," says Cochran. "This is not a time share. It is a deeded property where each owner will receive a title insurance policy." Similar sales arrangements on properties in Aspen and Vail, Colo., inspired Cochran to try selling fractions on the Emerald Coast.
An eight-bedroom home measures 4,500 square feet and has all the touches of an extravagant beach getaway with travertine floors, granite countertops and even a hand-painted mural in the main living area. When a buyer purchases a fraction of the home, Cochran provides the owner with one year of rental management to help the buyer establish the business needed to rent the home. Beach Reunion, a rental management company started by Cochran two years ago, rents houses of that size for about $6,200 a week for two weeks in the summer. Crye*Leike Coastal Realty in Destin, Florida has had success marketing the homes for family reunions and believes the homes would be a good investment for corporate clients or to reward employees.
Crye*Leike Coast Realty office specialists in fractional sales are John Paulsen (850-496-3637), Suzanne Sweatt (850-496-4466), and Perry Bailey (850-496-8334). For additional information, visit their Web site at www.CoastalRealtyFla.com. Crye*Leike Coastal Realty is located at 4447 Commons Drive East in Destin, Florida.
Crye-Leike began franchising operations in 1999 as Crye*Leike Franchises Inc., a real estate franchisor subsidiary of Crye-Leike, Realtors. Crye*Leike Franchises is currently comprised of 29 independently owned and operated franchise brokers who are located in territories within the seven state southern region of Tennessee, Alabama, Arkansas, Florida, Georgia, Kentucky and Mississippi, with future plans to expand into contiguous states. Crye*Leike Franchises, Inc. is led by President of National Franchise Sales and Development, Kevin Joiner.
Crye-Leike? (www.crye-leike.com), a full service real estate company for 29 years, is the nation's 6th largest real estate company and the largest in the Mid-South. It has a network of over 3,300 sales associates and 104 corporate and franchise offices located in 55 counties throughout a seven-state southern region in Tennessee, Alabama, Arkansas, Florida, Georgia, Kentucky and Mississippi. In 2005, the Crye-Leike organization attained sales of $5.6 billion with 34,039 closed transaction sides
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