Deal Funding Transactions in Virus Times (1218)
Transcript:
Steven Butala:
Steve and Jill here.
Jill DeWit:
Hello.
Steven Butala:
Welcome to The Land Academy show, entertaining land investment talk, I'm Steven Jack Butala.
Jill DeWit:
And I'm Jill DeWit broadcasting from sunny Southern California.
Steven Butala:
Today jill and I talk about deal funding transactions in these virus times. Why do you have to put virus in every single thing that's [crosstalk 00:00:18].
Jill DeWit:
Yeah, I was kind of wondering that. Is this is a new thing for you?
Steven Butala:
No, it turns out there's a virus.
Jill DeWit:
I know, I'm aware of that. Really?
Steven Butala:
Yeah.
Jill DeWit:
Could you imagine?
Steven Butala:
The world is stopped.
Jill DeWit:
I wonder if that's still happening. I don't know if you've heard this. There's a show, I think it's called Big Brother and they put people in an apartment or something, do you know what I'm talking about?
Steven Butala:
Yeah, I get it.
Jill DeWit:
Okay. They put them in an apartment and they-
Steven Butala:
That started on MTV back in the '80s.
Jill DeWit:
Okay. And they had cut them off-
Steven Butala:
Real World or something.
Jill DeWit:
... from the outside world and when this whole thing started to happen, they didn't know. They're inside and it's closed, vacuum of a space. They didn't know what was going on outside. They didn't know that people are not being allowed to leave because they're already in that situation by the way, with no change to them.
Steven Butala:
Yeah, we're all on that show now.
Jill DeWit:
Right? We're on the... That's right, Big Brother can't leave anyway, so I wonder if they have now let them in on, "Hey, this is what's going on. We're all feeling the same thing."
Steven Butala:
Probably the German show, yeah.
Jill DeWit:
Yeah. I thought that was kind of interesting.
Steven Butala:
Deal funding and transaction virus time. Oh, you know what? Before we get into it, let's take a question posted by one of our members on landinvestors.com online community. It's free.
Jill DeWit:
Rick asks, I'm having a hard time deciding if a 35 to 45 acre property in Pima County, Arizona sort of near-
Steven Butala:
Diamond Bell Ranch.
Jill DeWit:
... would be worth buying at about $40,000. It has dirt road access and the highways about six miles away. I've looked up properties in the Pima area and many are over $200,000 at this size, which makes this seem reasonable, but there are outliers that are lower. I figure some of you are experienced with the area. What do you think best? Rick.
Steven Butala:
I'm very experienced with this area, but this question is not about Pima County or Diamond Bell Ranch. Every single County has these outlier weird anomalies for pricing that either make it very more expensive than the regular property or less. And it's for a lot of reasons. Somebody went in... We're going to use Pima County as an example. If you're sitting and saying to yourself right now, I don't care about Arizona and I don't care about Pima County, I buy property in Vermont, please don't stop listening because it applies to you.
Steven Butala:
Somebody went in and created this brand called Diamond Bell Ranch. It's the exact same property as the stuff that's a mile away. Exactly the same 40 acre property. What they did is they went in and bladed in roads and created this brand and they advertise the hell out of it, probably on TV or in newspapers or whatever, and now it's at a premium. And a couple of people probably went in there and built these beautiful right out of a movie ranches.
Jill DeWit:
Ranch. Right.
Steven Butala:
They put the little gates in the front and the whole thing and put a lot-
Jill DeWit:
Had their brand above there.
Steven Butala:
Yeah, like that. And put a-
Jill DeWit:
Double R.
Steven Butala:
.... dead cow skull on the front.
Jill DeWit:
That's it, yes.
Steven Butala:
All of that.