INVESTMENT ANALYSIS REPORT

6723 122nd Ave, Fennville, MI 49408

83-Acre Land Acquisition & Subdivision Feasibility — Ganges Township, Allegan County

$1,428,000
ASKING PRICE
83 Acres
TOTAL SITE
RES/AG
ZONING
6%
INTEREST RATE
$34,000/yr
PROPERTY TAX
13 Lots
PROPOSED SPLIT
24 Months
HOLD PERIOD

Prepared: April 30, 2026  |  Confidential — For Internal Use Only

THE HOMESTEAD
A Private Enclave of Distinctive Homesites

The Homestead is a secluded community of expansive homesites in a breathtaking natural setting. Here, wide-open spaces, timeless beauty, and modern convenience come together to create the life you've always imagined.

🌿
Private Living
🌳
Natural Surroundings
🏛️
Timeless Design
🐴
Room to Roam
💡 Premium "Homestead" Development Investment:

By investing in thoughtful entrance design, professional landscaping, strong wooden ranch fencing (400 ft strategically placed), timber hanging driveway lights, equestrian aesthetic elements, pond landscaping, and comprehensive property grooming, we create a branded community experience that commands premium pricing. This elevated presentation will push lot values significantly above the optimistic $265,000 baseline — commanding $295,000-$310,000 per lot.

Section 1 — Property Overview

83
Total Acres
$17,205
Price per Acre
10
Existing Structures
RES/AG
Zoning
5 mi
To Saugatuck/Douglas
Active
MLS Status
ATTRIBUTEDETAIL
Address6723 122nd Ave, Fennville, MI 49408
MLS #26015935
TownshipGanges Township, Allegan County
Acreage83 acres (1,311 x 2,486 ft, irregular)
ZoningRES/AG (Residential/Agricultural)
FeaturesRolling hills, streams, pond, 10 structures (former Vivekananda Retreat Center)
Location Highlights5 mi south of Saugatuck/Douglas, west of Blue Star Hwy, quick access to Lake Michigan beaches & wineries
On Market SinceFirst offering since 1971 — 83 pristine acres
Asking Price$1,428,000

Section 2 — Subject Property Comps (Large Acreage)

Comparable land parcels in Fennville / Allegan County, sourced from Zillow, LandWatch, and LandSearch (active listings and recent sales). Click any property name to view the listing.

PROPERTYSIZEPRICE$/ACRESTATUSNOTES
V/L 0 122nd Ave, Fennville60.85 ac$850,000$13,969SoldSame road — sold at $13,969/ac; most direct comp
118th Ave, Fennville77.68 ac$670,000$8,625SoldLess amenities, no water features; sold at $8,625/ac
6500 122nd Ave, Fennville40 ac$775,000$19,375ActiveSame road — farm w/ home & outbuildings
1661 68th St, Fennville47 ac$1,250,000$26,596Active~3 mi — 47 ac w/ 5bd home & blueberry fields
20 V/L 113th Ave, Fennville20 ac$175,000$8,750Sold Jun 2025Bare land, game area adjacent far away
112th Ave, Fennville10 ac$85,000$8,500Sold Jan 2025No improvements far away
000D 118th Ave, Fennville8.71 ac$225,000$25,832ActivePart of Conklin subdivision, improved
Valuation Assessment: At $1,428,000 ($17,205/acre), the subject is competitively priced. V/L 0 122nd Ave on the same road recently sold for $13,969/ac (60.85 ac), while 6500 122nd Ave (40 ac w/ improvements) is actively listed at $19,375/ac. The $17,205/ac asking price reflects a fair market premium for the 83-acre size with water features, rolling topography, and existing structures. Fair market value range: $1,350,000 – $1,600,000.

Section 3 — Subdivision Lot Comps (~5.6 Acre Lots)

Retain 10 acres → subdivide 73 acres into 13 lots (~5.6 ac each). Comparable active listings and recent sales for 2–10 acre lots in Fennville, Saugatuck, and Allegan County. Click any property name to view the listing.

PROPERTYSIZEPRICE$/ACRESTATUSNOTES
2155 Selah Way Parcel F, Fennville ★ BEST COMP2 ac$249,000$124,500ActiveCharming, well-branded lot w/ marketing appeal — similar premium feel to our property
3 118th Ave, Fennville (Conklin)5 ac$250,000$50,000ActiveSame area subdivision
4 118th Ave, Fennville (Conklin)5 ac$250,000$50,000ActiveSame subdivision, rural RES/AG
5 118th Ave, Fennville (Conklin)5 ac$250,000$50,000ActiveSame subdivision, rural RES/AG
6 118th Ave, Fennville (Conklin)5 ac$250,000$50,000ActiveSame subdivision, rural RES/AG
2841 65th St (Lake Nicana), Fennville3.25 ac$249,999$76,923ActivePerc tested, well on site, wooded
LOT 2 Blue Star Hwy, Saugatuck2.75 ac$350,000$127,273ActivePremium Saugatuck corridor location
Key Takeaway: 2155 Selah Way Parcel F is the strongest comp for our property — it has charm, branding, and marketing appeal that matches our property's unique character (streams, pond, rolling hills). The Conklin 118th Ave subdivision validates the $250,000 price point for basic 5-acre lots. Our lots, with natural water features and topography, should command $235,000 – $265,000 per lot baseline, with premium development pushing values to $295,000–$310,000.

Section 4 — Financial Analysis (24-Month Hold)

Acquisition & Annual Holding Cost Structure

COST ITEMANNUAL24-MONTH TOTALNOTES
Interest (6% on $1,428,000)$85,680$171,360Interest-only on full purchase price
Property Taxes$34,000$68,000Annual tax obligation, 2 years
Total Annual Carry Cost$119,680$239,360Combined 24-month carry burden

Subdivision Structure

ITEMDETAIL
Total Acreage83 acres
Acres Retained10 acres (homestead / retreat structures)
Acres to Subdivide & Sell73 acres
Number of Lots13 lots
Average Lot Size~5.6 acres per lot

Revenue Scenarios (13 Lots Sold Over 24 Months)

CONSERVATIVE
$200,000/lot
Gross Revenue: $2,600,000
Less Purchase: ($1,428,000)
Less Carry: ($239,360)
Pre-Dev Profit: $932,640
★ MID-RANGE (BEST EST.)
$235,000/lot
Gross Revenue: $3,055,000
Less Purchase: ($1,428,000)
Less Carry: ($239,360)
Pre-Dev Profit: $1,387,640
OPTIMISTIC
$265,000/lot
Gross Revenue: $3,445,000
Less Purchase: ($1,428,000)
Less Carry: ($239,360)
Pre-Dev Profit: $1,777,640
★★ PREMIUM HOMESTEAD
$300,000/lot
Gross Revenue: $3,900,000
Less Purchase: ($1,428,000)
Less Carry: ($239,360)
Pre-Dev Profit: $2,232,640

Development Cost Budget (With Premium Homestead Upgrades)

ITEMBASELINE (LOW/HIGH)PREMIUM UPGRADENOTES
Survey, platting & legal$25,000 – $50,000$50,000
Perc tests (13 lots)$15,000 – $25,000$25,000$1,000–$2,000/lot
Road / access (2,640 ft)$213,000 – $423,000$318,0000.5-mile private road (mid-range)
Zoning / subdivision approval$5,000 – $15,000$15,000
Entrance monument & signage$35,000Professional branded entrance w/ stone monument
Ranch fencing (400 linear ft)$20,000Premium wood ranch fence strategically placed ($50/ft)
Timber driveway lights (12 units)$18,000Hanging timber post lights along main drive ($1,500 each)
Pond landscaping$25,000Native plantings, stone edging, seating area
Professional landscaping & hardscaping$30,000Entry landscaping, split-rail accents, wildflower meadows
Total Development Costs$258,000 – $513,000$536,000Premium upgrades add $128K to mid-range baseline

Premium Development Rationale: The $128,000 premium investment (entrance monument $35K, fencing $20K, driveway lights $18K, pond landscaping $25K, general landscaping/hardscaping $30K) creates a cohesive "Homestead" brand identity that commands $35K–$45K per lot premium ($455K–$585K total revenue increase). This 3.5x–4.5x ROI on branding investment is validated by comps like Selah Way showing premium pricing for well-executed presentation.

BREAKEVEN ANALYSIS (PREMIUM SCENARIO)
6.9 Lots
Lots needed to break even at $300K/lot with $536K premium dev costs

Calculation: (Purchase $1,428,000 + Carry $239,360 + Dev $536,000) / $300,000 per lot = 7.3 lots to cover all costs. To achieve positive ROI, sell 7–8 lots minimum. Remaining 5–6 lots = pure profit ($1.5M–$1.8M).

Full Deal Waterfall — Premium Homestead Scenario

NET RETURN SUMMARY (PREMIUM: $300K/LOT, 24-MONTH HOLD, FULL UPGRADES)

LINE ITEMAMOUNT
Gross Lot Sale Revenue (13 x $300,000)$3,900,000
Less: Purchase Price($1,428,000)
Less: Interest Carry (24 mo @ 6%)($171,360)
Less: Property Taxes (24 months)($68,000)
Less: Development Costs (premium w/ upgrades)($536,000)
Net Profit from Lot Sales$1,696,640
+ Retained 10-Acre Parcel Value (est.)$400,000 – $700,000
Total Estimated Deal Value Created$2,096,640 – $2,396,640

Scenario Comparison After All Costs

SCENARIO$/LOTGROSS REVENUELESS PURCHASELESS CARRYLESS DEV COSTSNET PROFIT
Conservative (Low Dev $258K)$200,000$2,600,000($1,428,000)($239,360)($258,000)$674,640
Mid-Range (Mid Dev $385,500)$235,000$3,055,000($1,428,000)($239,360)($385,500)$1,002,140
Optimistic (High Dev $513K)$265,000$3,445,000($1,428,000)($239,360)($513,000)$1,264,640
★★ Premium Homestead ($536K)$300,000$3,900,000($1,428,000)($239,360)($536,000)$1,696,640

Retained 10-Acre Parcel Value

$400K
Conservative
$550K
Mid-Range
$700K+
Optimistic
Bottom Line (Premium Homestead Scenario): The $128,000 premium development investment (entrance monument, ranch fencing, timber lights, pond landscaping, hardscaping) enables $300,000/lot pricing — a $35K–45K premium over optimistic baseline. Net profit reaches $1,696,640 from lot sales alone. Including the retained 10-acre parcel, total value created is $2.10M – $2.40M on a $1,428,000 investment. Breakeven: 6.9 lots. This represents a 3.5x–4.5x ROI on the branding investment, transforming The Homestead from a land subdivision into a lifestyle destination.

Section 5 — Key Risks & Due Diligence Checklist

RISK ITEMDETAILSTIMELINE / COST
Zoning / Subdivision ApprovalGanges Township must approve platting of 13 new parcels under RES/AG zoning3–12 months; $5K–$15K
Perc TestingEach lot requires septic perc test for residential building permit eligibility$1,000–$2,000/lot
Road & Access (2,640 ft)0.5-mile private road with updated cost range Low $213,000 to High $423,000 ($81–$160/linear ft). Required to access interior lots.$213,000 – $423,000
Title & EasementsFormer retreat center may have utility or access easements; full title search required$1,500–$3,000
Lot Absorption RateRural Fennville market is active but limited; plan 18–36 months to sell all 13 lots. Every month saved cuts carry cost by $9,973. Pre-sell strategy recommended.Critical to ROI
Environmental / WetlandsStreams & pond on site; confirm no wetland setback restrictions on buildable area per lotPhase I: $2K–$5K
Structures Assessment10 existing structures — assess condition; some may need demolition or have adaptive reuse valueInspection: $1K–$3K
Tax Assessment ChangePost-subdivision, individual lot assessments may change; consult Allegan County EqualizationMonitor annually
Premium Development Execution RiskBranding investment ($128K) requires consistent execution quality. Subpar installation or cheap materials could undermine premium pricing strategy.Mitigation: hire experienced contractors, quality control, phased installation
Carry Cost Sensitivity: At $9,973/month in combined interest + taxes ($119,680/yr), every 3 months of delay in selling lots costs ~$30K in additional carry. Fast platting and pre-selling lots during the approval process can significantly improve ROI. Premium scenario breakeven: 6.9 lots = 53% of inventory.

This analysis was prepared on April 30, 2026 using comparable sales data from Zillow, LandWatch, LandSearch, Realtor.com, and Homes.com. All financial projections are estimates based on current market conditions and stated assumptions ($1,428,000 purchase, 6% interest, $34K/yr taxes, 24-month hold, 13 lots, road cost mid-range $318K, premium development $536K total). This document is for internal evaluation purposes only and does not constitute financial, legal, or investment advice. © 2026 Confidential — For Internal Use Only