Investor Information
This is a password protected area for investors only. Much of the information contained in this area is sensitive. Please do not share information found in this area with anyone, even another investor. I spend a lot of time cultivating and developing relationships, as well as doing a lot of homework, and attending meetings, therefore I sometimes uncover certain information that may give me a business advantage, which in turn can increase your investment return. I am available to answer any and all questions from investors and non investors alike during normal business hours or a specially arranged time and place.

Why Me and Why Now?
The Fairmont community is  an unincorporated area of Will County nestled between Lockport and Joliet. I was led to the Fairmont community area in 2004, and immediately began getting involved with the community and building trust among the residents. I built my first 2 homes in Fairmont in the fall of 2006 and they sold immediately. I built another in the 2007 and it sold right away. I followed up by building another home on Luther avenue and yet another one on Godfrey Ave. while purchasing 5 lots surrounding it. 
During this period I formed the FAIRAC committee which brought together stake holders to work with Lockport Township and the Will County Land Use Department,and the Will County Board to redefine the size of a lot needed to build a house. At the end of our journey a bill redefining minimum lot sizes in this Unincorporated community area of Will County passed the Will County Board 35 to 0
Then the home building depression came with a vengeance. The bank I dealt with, Community Bank of Lemont was taken over by the Fed and there was no talking to them.
Lost it all. 
I went back to my roots, general remodeling for home owners, coupled with quite a bit of work for the Chicago Central District Church of the Nazarene and First Church of the Nazarene in Lemont. All the time watching and waiting for the home building market to settle down.
During this time I was asked by the Will County Land Use Department to sit on a steering committee and work along with CMAP  to engage the community and form a general land use plan for the entire Fairmont Area. During that process we identified some localized flooding issues that needed attention. I was asked to be part of a interview and selection process  of  an engineering firm to address the flooding issues,.We selected a firm, requested, reviewed and approved a plan. We are currently in the beginning stages of implementing the first phase of a storm water water management plan. 
During this period of time I moved into the Fairmont community. I felt that I had to live here to understand the struggles the community has gone through the last several decades. I also knew the best solution to help this community rise again was only available from the inside, I had to live here if I was to be part of the solution, a solution that actually worked long term. 
Won't you join with me and fellow community members to make Fairmont a strong and vibrant community again.
.... Why am I asking You to be part of this?
Just as Christ commands us to corporately worship in community, it will take a community of people to revitalize Fairmont. We all can see God's hand in our lives if we stop and look back at our life. Looking back and seeing His work is not faith. Real  faith is believing He has a plan for us going forward, AND trusting in Him enough to step forward without seeing His plan.
I feel He wants me to share my coming to Fairmont story with all of you. A very, very few of you already know this story.
It was late 2002 and my chronic back pain, something I had since my 20's was visiting me again. The shots of anti-inflammatory drugs were not alleviating the excruciating pain. Many doctors later it was determined I had a ruptured disc and needed surgery. I had back surgery in April and all was well for about 12 weeks and the pain started again. Back with a vengeance. debilitating pain. I spent a week in the hospital for pain management in June, July, and August. Finally they agreed surgery was necessary again, as they now believed the same disc and ruptured again.
Some of the nerves in my back were so damaged and inflamed they could barely move them to address the ruptured disc. After surgery they did not paint a good picture.  I went home 3 days later on a lot of pain medication.
The next part of the story is where I have had to rely on others to tell me what happened. Three days home and I passed out about 10 pm and was found the next morning by my mother about 7:30 am. She called 911, the paramedics came and worked on me for over an hour trying to stabilize me for transport. I would be told later by my doctor that when I was admitted to the hospital I had a 25% chance of living. Thirteen days later I went home. Being told you would not work again or walk without a cane is eye opening. Add the fact you will never have a day when you would be pain free. Those of you who know me know how stubborn I can be, and this time it was a good thing. Turns out they were wrong about the not working and cane thing, but right about the pain.
I was in a pretty dark place, trying to function daily was a chore, I literally had to learn to walk again. I could not stand to brush my teeth, the pain was too much. I worked at it daily and got to a point where I needed to do something to keep my sanity.
Being able to drive was a huge accomplishment. I remember just getting in my SUV and just driving. God was my navigator, and directed me to Fairmont. I spent hours several times a week driving the streets of Fairmont, not really knowing why, but I needed to be there. I saw 2 lots on Cameron street for sale that I liked, but no resources or ability to buy them, little did I know, God had all I needed.
The next spring I had progressed to a point where I wanted to build a house. Still without any financial resources, but with the faith if God had led me there He must have a plan, I got a set of house plans and talked to my concrete subcontractor and we made a deal. If I would teach him how to build he would front the money to build a house. He did, and we did, it sold before it was completed.
Now that I had 1 sold house under my belt the bank would talk to me. Remember those 2 lots on Cameron? I asked my Realtor Rose to check into them. She dug up the expired listing and convinced the buyer listen to my offer. Turns out there were 3 lots each 40 ' wide, none of which were build-able. I managed to legally consolidate the 3 lots and then split them into 2 lots, building 2 houses. They both sold within 2 weeks of completion.
Whatever I attempted to do in Fairmont God kept opening doors and putting the right people in my path.  I had 2 more houses going, owned 5 lots and had a letter of intent on 4 acres of land, until the crash in 2008/2009. As things were winding down, my bank being taken over by the Feds, God arranged it so I could move into Fairmont. 
Soon after moving into Fairmont I was asked if I wanted to serve on a steering committee for the Fairmont area, seems now that I lived in the community I was eligible. Did I already say God always has a plan?
Living here it became more than obvious to me me that Fairmont had some issues that needed to be worked on, if the community was going to make the turn around. The size of  build-able lots, the financial and educational health of the Fairmont school, a long range comprehensive workable land use plan which also addressed flooding issues, etc. Many of those roadblocks are in a much better place now, and now is the time to get moving and follow God as He moves forward with His plan for Fairmont. 
This initiative will take some time, several months to get off the ground, so please make your decision to be a part of the revitalization of Fairmont. I have several meetings with Will County officials in the coming weeks and months and it would be helpful to know where the support is.
Are you with me?
Investing Opportunity

The flow chart graphic to the right simplifies the money flow through the project.

The basic single home project investor gets 1 point/share for each $1000 invested. Money can be invested in 2 ways.
  1. Money (actual dollars)
  2. Work performed by a subcontractor either labor and/or labor during the process, and not receiving payment until the house is sold.
  3. Land or house committed to the project. Pre-determined payment available when project is completed and sold
In our example we will use 150 k construction cost for the house.
  • 15 k for the lot
  • 135 k for the direct construction cost
  • Total of 150 k to be raised for this project.
A total of 150 shares to the investors and 50 shares to the management team of
  • John Knoelk Project Manager
  • Peter Gloodt CFO
  • Rose Schmidt Bookkeeper and Office Support
Land and construction cost 150 k
RE Sales Commission          10 k  5% of 200 k
Overhead                            10 k cost of doing business
Total Cost                          170 k
Sales Price                         200 k
Profit                                   30 k
Management Share            7,500 k    50 shares
Investor Profit                    22,500 k   150 shares
Per $1000 invested               $150.00

**** All the above numbers are for example purposes only. Actual numbers will vary.

All shares in the project will be limited to shares in the particular project and shall carry no voting rights or be legally connected with Contractor John Inc. or it's subsidiaries. Each share shall own 1/200th of the individual project' profit at it's value as determined by the sales market. Profit shall be the amount of money remaining after all expenses have been paid.
My Ultimate Goal is to Revitalize the Entire Fairmont Community
Short Term
  • Raise $150,000 investment Capital
  • Create an affordable quality home for a family
  • Provide a ROI for investors and repeat the process
  • Enlist the help of Will County and Lockport Township officials
Long Term
  • Create a CDC (community development corporation) or other entity, to aid in our work
  • Develop raw land into useful affordable housing
  • Create an age and race integrated community
  • Bring Fairmont to a point where it can become a village
Style of Homes Previously Built in Fairmont
Homestead "A"
Homestead "B"
Homestead "C"
Current Rehab Opportunities


Profit or Non-Profit
Two different business entities or ways of doing business. In this instance the goal is to build and remodel houses and eventually develop land to build more houses.No company, for profit or non-profit can exist without making money (profit). In fact a non-profit company can make money, a profit within certain parameters as long as it comes from the primary business of the non-profit. Of course both entities can pay all expenses and salaries. The creation of a non-profit company is expensive and time consuming, and not something that is necessary right now. We will be operating within an existing for profit Illinois corporation.

Build a New Home or Remodel an Existing One
There is a reason to include both in our efforts. There are more than a few sub 50k homes for sale, that can be renovated and sold  in the $125k to $175k price range. A newly built home will be in the $165k to $200k price range.
 By offering both type of products we are increasing our pool of potential buyers.

Purchase Financing Options
We are looking into first time home buyer programs, lenders that specialize in bruised credit purchasers. I am also vetting "credit scrubbing" or credit clean-up companies, and credit counseling to aid prospective purchasers. I will welcome any and all referrals in this area.

Project Management
  • I believe in assembling a quality team of individuals. Every team must have a leader, a person who can ask the right questions of team members, listen to their responses, be open to changes and new opportunities in the market and make the decisions that have to be made to keep moving forward. That leader is me. I will have the final word on all project matters, always keeping in mind what is best for everyone.
  • I have asked a good friend of mine Peter Gloodt to join this team. Pete is a commercial real estate appraiser and a commercial realtor. Stopping there when describing Pete's talents is an injustice. Pete has a unique ability to look at a property, analyzing it and structuring the financing so as to get the most ROI for all involved. He has a great talent for thinking outside the box when the need arises. His talents will really shine as we move along this road, purchasing larger parcels for development and mixed use scenarios. 
  • I asked Rose Schmidt to be a member of the team because of her versatility.Rose has an interior designers degree, she also has a Realtors sales license and she is a good office manager and bookeeper. I have worked with Rose for many years in all three areas and have had nothing but positive results

Rehab Opportunities
The example above is a general scenario on a newly constructed house. There are and will be investment opportunities for entire house rehabilitation projects, but the investment threshold will still be $1,000.

Once you have invested for a project there will be no refunds until the end of the project. You may work it out with another investor to take 100% of your position. The new investor must send us the money and after a minimum of 5 business days and the check clears, we will refund your initial investment with no return on your money. Any other agreement you may have or not have does not involve us at all. 

Sales and Marketing
We will be using different types of marketing throughout the process. One invaluable resource is all of you. Everyone of the investors are salespeople. You stand to gain the most if we can sell the property early in the process and without using a Realtor. We will be engaging the community members, on a regular basis, through community churches, gatherings at the community center, and the network of community leaders we have gotten to know over the years.

Advisory Committee 
I am in the beginning stages of creating an advisory committee. This committee will be made up of building industry professionals, general business professional and community members. This committee will be a sounding board and keep us on track to achieve our goals for the Fairmont community.


Links and Information