CLUBHOUSE 100 LESSON What We Do + The $1.2M 5-Unit (Sell as 5 Homes Strategy) WHAT WE DO AT CLUBHOUSE We do NOT operate deals. We: - Identify mispriced assets - See the highest and best use - Control the deal - Sell the better exit strategy We make money by changing how the deal is viewed. Everyone else sees a 5-unit rental.We see 5 separate houses (or future houses). THE PLAY — REPOSITION THE DEAL This is NOT: - Cap rate - Rent increases - Long-term hold This is: Conversion → Separation → Retail / Builder exit HOW THIS BECOMES $1.2M The value is trapped because it’s being viewed as: → One 5-unit income property But the real value is: → Five individual homes / lots / exit opportunities STEP 1 — IDENTIFY THE ANGLE Ask: - Can these be sold individually? - Condo map? - Short plat? - Already separate structures? You are looking for: “One parcel → multiple exits” STEP 2 — CHANGE THE BUYER You are NOT selling to: - Landlords - Cap rate investors You are selling to: - Builders - Developers - Retail flippers - Spec home buyers Different buyer = higher price STEP 3 — CREATE THE STORY This is everything: “5 existing units positioned for individual resale.Builder or investor can unlock significantly higher value through separation and resale strategy.” You are selling the exit, not the current condition. STEP 4 — SHOW THE MATH (SIMPLE) Example concept: - Buy at $1.75M as a 5-unit - Sell as 5 homes at $800K each = $4.0M Spread = $1.5M potential You don’t need perfection — just a clear upside. STEP 5 — POSITION AS A PROJECT This is key: You are NOT selling a stabilized asset.You are selling: - A project - A plan - A profit opportunity THE 10-POINT PLAY (SELL AS 5 HOMES) 1. Confirm physical layout (5 separate units?) 2. Check zoning / feasibility for separation 3. Estimate individual resale values 4. Calculate total retail value (5x homes) 5. Compare to current acquisition price 6. Identify profit spread (target: $1.2M+) 7. Lock up property at bulk price 8. Build “builder exit” narrative 9. Target developers / flippers (NOT landlords) 10. Sell the upside, not the current income

Cap Rates Don’t Tell the Whole Story Institutional buyers and brokers love to anchor everything to cap rate. Cap rate.Cap rate.Cap rate. But in the small multifamily space—duplexes, triplexes, fourplexes—that narrative is often incomplete. Many of these properties don’t trade based on cap rate at all. They trade because: - A buyer wants to owner-occupy - A family member is being housed - Someone plans to hold long-term - A value-add investor sees repositioning upside - There’s potential to add units or convert to condos Now layer in reality: You have a seller who has owned the asset for 20, 30, even 40 years.Rents are often 30–50% below market. On paper, the cap rate looks weak—or completely unworkable. So the typical broker response is:“Doesn’t pencil.” We see it differently. You’re not buying the current income stream.You’re buying the delta. The spread between: - Existing rents - Stabilized market rents That’s where the value lives. This is why we go direct-to-seller and structure seller financing: - Control the asset without bank constraints - Reposition rents to market - Increase NOI - Double the value—sometimes more—without relying on initial cap rate metrics Cap rate matters. But it is not the full story—especially in fragmented, under-managed small multifamily. The real question is: What does this property become once properly operated? That’s the game we play.

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Hello everyone, I am happy and excited to be a part of the team. Lets make some money

CLUBHOUSE 100 LIVE TRAINING SESSION (VIDEO) SESSION OBJECTIVE By the end of this session, every partner should be able to: - Take any off-market lead - Convert it into a clean, marketable deal package - Control the narrative - Move it to assignment or close PART 1 — CORE PRINCIPLE You are NOT selling a property.You are selling: - Opportunity - Spread - Control - Certainty The better your presentation → the higher your fee. PART 2 — THE 10-POINT SYSTEM 1. CONTROL THE DEAL (FIRST RULE) - Must have: PSA, option, or verbal commitment - Never market without control - Know your price and your terms Standard:“Seller agrees to X price, subject to inspection and assignment.” 2. BUILD THE STORY (NOT JUST NUMBERS) Every deal needs a narrative: - Why is seller selling? - Why now? - Why below market? Example:“Long-term landlord retiring, no rent increases in 10 years, wants simplicity.” 3. PRICE THE DEAL RIGHT (SPREAD = BUSINESS) You must know: - True value (not Zillow fantasy) - Real rents - Actual expenses - Investor exit Rule:If your buyer can’t make money → you don’t have a deal. 4. CREATE A CLEAN DEAL SUMMARY This is your weapon. Include: - Address - Price - Units / sqft / lot - Rents (actual vs market) - Expenses (real or estimated) - Upside Keep it SIMPLE and CLEAR. 5. PHOTOS + VISUAL CONTROL - Use Google Street View if needed - Old listings - Drive-by photos Rule:Bad photos kill deals. No photos = no interest. 6. OFFER TWO PATHS (ADVANCED MOVE) Always present: 1. Cash price (assignment) 2. Terms price (seller finance) This doubles your buyer pool. 7. CREATE URGENCY You are not “listing.” You are controlling access. Use: - “First come” - “Highest and best” - “Reviewing offers in 48 hours” 8. TARGET THE RIGHT BUYERS Do NOT blast blindly. Focus: - Existing landlords - Cash buyers - Prior investors Quality > quantity 9. CONTROL COMMUNICATION