Lake Arrowhead

Lake Arrowhead is a private lake with no access to the public unless the property owners have lake rights and become members of Arrowhead Lake Association. The lake is 19 square miles and sits at 5,200 feet from sea level. There is a moratorium on “new short term rentals”. The 15 acre raw land
(Parcels 0333-106-15/16 Lots 3 & 4) with 840 feet of frontage is located on the main road which is North Bay Road.

Feasibility & Market Report

Prices both for lots, used or new homes in addition to boat docks have increased dramatically. In mid 2020 the boat slips were selling below $100,000 for a 30 foot boat, the prices starting mid 2021 have gone up to $330,000 and more with hardly any inventory.

Residential sales after COVID-19 Pandemic in Lake Arrowhead is booming and here is a comparison just between May of 2020, and May of 2021 (Post Pandemic).

Average Price Per Foot: (used homes with lot sizes of 5,000 to 7,500 Sq. ft.): $430/ft – still rising – up 65%

Sold Residential Volume In 2021: $73 Million – Up 347%

Average Price Per Square Foot: May 2020 was $256 a foot (Just 12 months ago)

Listing Verses Sold Price: 101% – Up 7.4%

New Listing: Up 86%

Average Days On Market: Down 78%

We assume a moderate increase of 10% per annum between July 2021 and July 2023 for used homes with an average price per foot of $516. Although, percentage of appreciation for the new home will be much higher, we will conservatively use the used home percentages, however prices would also be slightly higher due to the fact that we would offer lot sizes of 14,000 +/- with lake rights and full access to North Bay Road, Cedarwood, and Oakwood with an access to “Vista Point Park” and gated community. I estimate that price would be from $520 to $600/ft on a proforma basis.