~41%
Annualized profit on cost — best in portfolio
Single Family · Los Angeles
The Modern Orange
465 S Orange Grove · Sold · $2.77M · 2014 – 2015
15 mo
Hold period
$2.77M
Sale price
50.8%
Gross profit on cost
The Investment
The best annualized return across all 21 completed projects.
465 S Orange Grove produced a 50.8% gross profit on cost — strong, but not the highest margin in the schedule. What sets it apart is that the project delivered that margin in fifteen months.
It was a ground-up build on an infill lot with a by-right pathway, which is the configuration that compresses timelines: no entitlement hearings, no variance risk, and a construction program that could start as soon as plans cleared.
Annualized over the actual hold, the return works out to roughly 41% profit on cost per year — the highest annualized figure in the portfolio, ahead of projects that generated far larger absolute profits over far longer holds.
Gallery
The property.
Return On Investment
The numbers.
| Strategy | Total project cost | Disposition / value | Gross profit | Profit on cost |
|---|---|---|---|---|
| New construction | $1.84M | $2.77M | $0.93M | 50.8% |
This project was completed by the principals through Thornton Development Group or an affiliated predecessor entity. It was not an Assemble Capital offering and did not involve Assemble Capital investors. Figures are sponsor-level, pre-tax, unaudited, and derived from internal records, closing statements, and lender documentation. Past performance is not indicative of future results.
Investment Cycle
How the deal ran.
Every project follows the same arc — acquire, design and permit, build, market, exit. What changes is where the time and the risk concentrate.
2014
Acquire
By-right infill lot acquired with a defined construction program.
2014
Permit
Plans cleared without entitlement hearings or variance risk.
2014–2015
Build
Ground-up construction executed on a compressed schedule.
2015
Exit
Sold at $2.77M — 50.8% on cost in 15 months, ~41% annualized.
The Takeaway
Annualized return is the honest comparison. A 50% margin in 15 months and a 50% margin in 50 months are not the same investment.
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