I've been studying the state highway plans. A new stretch of an interstate is targeted for an older (can even be considered distressed) neighborhood of 150 or so homes. Once the interstate goes in, its location makes it ideal to redevelopment into a premium neighborhood.
I was pondering if you could create a REIT or partnership structure that would buy and accumulate the neighborhood homes today, rent the purchased homes out for the mid-term years - passing those rental payments through to the REIT/partnership, then in 5 years or so redevelop the neighborhood. The final redevelopment move could be done inside the REIT / partnership, or have the REIT / partnership sell out / liquidate.
What's the methods of financing the accumulation and holding of property you've seen employed?
