- Early Buyer Program · Santee, California
Secure a Future Alta Crest Home at Pre-Development Pricing
The Alta Crest Early Buyer Program provides a limited number of qualified participants with an opportunity to secure contractual rights to purchase a specific future home within the Alta Crest Santee community.
An Early Buyer enters into a pre-development option purchase agreement covering a designated homesite and planned residence. In exchange for making a substantial upfront payment before development and construction are completed, the Early Buyer receives a predetermined purchase opportunity at pricing expected to be meaningfully below the anticipated retail price of the completed home.
The Early Buyer Program involves substantial risk. Construction, completion, pricing and resale are not guaranteed. All rights and obligations will be governed exclusively by the definitive option purchase agreement and related documents.
How the Early Buyer Program Works
A structured path from selection to completion
Step 1
Select a Specific Homesite and Home
Subject to availability, the Early Buyer selects a particular Alta Crest homesite and corresponding planned residence. The selected property, preliminary home configuration, option price, future purchase price and applicable deadlines will be identified in the definitive option purchase agreement.
Step 2
Enter Into an Option Purchase Agreement
The Early Buyer enters into a written agreement granting defined contractual rights to purchase the selected home following its completion. The agreement will address:
- The designated homesite and planned residence
- The future purchase price or applicable discount
- Construction and completion conditions
- Closing requirements
- The treatment of funds if the project is delayed or not completed
- The upfront option payment or deposit
- The option period and expiration date
- Assignment and transfer restrictions
- Default and termination provisions
- Any developer repurchase or reacquisition rights
Step 3
Provide Upfront Pre-Development Capital
The Early Buyer makes a substantial upfront payment associated with the selected property. Because funds are committed before site development and home construction are completed, the proposed purchase economics may be more favorable than the anticipated future retail pricing. This preferential pricing reflects the Early Buyer’s earlier commitment, limited liquidity and assumption of pre-development and construction risk.
Step 4
Choose a Completion Strategy
Subject to the definitive agreement, applicable law, lender requirements and market conditions, the Early Buyer may have three potential paths:
Purchase and Keep the Home
The Early Buyer may exercise the option, provide the additional funds required to complete the purchase and close escrow on the finished residence. The buyer may purchase the home for personal occupancy, as a second home or as an investment property, subject to applicable restrictions and financing requirements.
Assign the Purchase Rights to a Retail Buyer
If permitted under the option agreement, the Early Buyer may identify a qualified retail purchaser and assign the contractual purchase rights before the final closing or chose one of the buyers from our interest list. The replacement buyer would complete the acquisition through escrow. Any economic benefit to the Early Buyer would depend on the assignment terms, the completed home’s market value, transaction costs, applicable taxes and the developer’s consent where required.
Transfer the Rights Back to the Developer
The option agreement may provide a process through which the developer can reacquire the Early Buyer’s contractual rights. Any payment, pricing formula, timing, conditions or developer approval associated with that transfer must be stated in the definitive agreement. Unless the agreement expressly provides otherwise, the developer’s reacquisition of the rights should not be described as guaranteed.
Why Become an Early Buyer
Earlier commitment may create greater opportunity.
Potential benefits may include the items shown here. No particular savings, resale price, profit or completion date is guaranteed.
Early Buyer Vs Equity Investor
Two distinct paths of participation
| Feature | Early Buyer | Equity Investor |
|---|---|---|
| Receives contractual purchase rights tied to a particular home | ✓ | — |
| Acquires an interest in the project entity | — | ✓ |
| Signs an option purchase agreement | ✓ | — |
| Signs subscription and operating documents | — | ✓ |
| Economic rights center on the selected property | ✓ | — |
| Economic rights center on project-level returns | — | ✓ |
| May ultimately purchase the residence | ✓ | — |
| Does not automatically receive a particular home | — | ✓ |
| Does not ordinarily share in overall project profits | ✓ | — |
| May receive preferred return and project profit participation | — | ✓ |
| Funds are governed by the option agreement | ✓ | — |
| Funds are governed by the offering documents | — | ✓ |
| Accreditation requirements depend on final legal structure | ✓ | — |
| Equity offering is limited to verified accredited investors | — | ✓ |
Important: Whether the Early Buyer arrangement constitutes only a real-property transaction or is also subject to securities laws depends on its final terms, marketing and economic substance. This table is descriptive and is not a legal conclusion.
What Happens If the Project Is Delayed
Development and construction schedules are estimates
The option agreement will define the parties\u2019 rights if any of the following occur. Prospective Early Buyers should review these provisions carefully before committing funds.
- Construction begins later than anticipated
- Completion extends beyond the projected schedule
- The selected home or plan must be modified
- Government approvals or utility work are delayed
- Construction financing is delayed or unavailable
- Costs or market conditions change materially
- The project or selected home cannot be completed as planned
Who May Be a Good Fit
Is the Early Buyer Program right for you?
- Can commit substantial funds during the pre-development period
- Does not need immediate liquidity
- Understands development and construction risk
- Is interested in purchasing a future new home in a high demand area
- Wants exit flexibility
The program is not appropriate for anyone who requires guaranteed completion, guaranteed appreciation, guaranteed resale or unrestricted access to their funds.
Closing Disclosure
The Alta Crest Early Buyer Program is a speculative pre-development opportunity involving substantial risks, including project delays, construction changes, lack of liquidity and possible loss of some or all committed funds
Descriptions of anticipated discounts, future values, assignment opportunities or potential economic benefits are estimates and are not guarantees. No binding rights will exist until the applicable agreements are executed and all required conditions are satisfied. Prospective participants should obtain independent legal, tax and financial advice.