Background:

A development company focused on the creation and preservation of essential housing needed to secure a $3.17M multifamily acquisition in Riverdale, MD as part of its growing regional portfolio.

The challenge:

The acquisition required a $75,000 earnest money deposit with a 60-day due diligence period while significant pre-development costs also needed to be covered upfront. As the developer evaluated the opportunity, capital was simultaneously needed for appraisals, property assessments, design work, and other due diligence expenses, creating pressure on liquidity early in the acquisition process.

The solution:

Through Duckfund's EMD financing structure, the developer secured the soft deposit required to place the Riverdale property under contract, allowing the team to manage cash flow across the acquisition process, review the deal thoroughly, and continue pursuing additional opportunities within its growing portfolio.

Signed documents:

• Purchase Facilitation Agreement Signed by: The Client, Duckfund
• Option Agreement Signed by: The Client, Duckfund
• Personal Guarantee Signed by: The Client
• Purchase and Sales Agreement (PSA) Signed by: The Seller, Newly registered LLC
• Assignment of LLC Membership Interest Signed by: The Client, Duckfund

Deal summary:

$75,000 EMD funded for an affordable housing acquisition in Riverdale, MD

Key Benefits of Partnering with Duckfund:

Supported extended due diligence timelines:Additional liquidity remained available while the developer coordinated with public entities, navigated approval processes, and managed the longer timelines often required for affordable housing transactions.

Freed capital for pre-development costs:More internal capital could be allocated toward appraisals, property assessments, architectural work, and other upfront diligence expenses required to evaluate the opportunity properly.

Improved portfolio-wide cash flow management:Capital remained available across the broader business while the developer balanced acquisition activity, operating expenses, and growth initiatives simultaneously.

Strengthened the developer's position in competitive acquisitions:Greater financial flexibility helped the team compete more effectively with traditional operators and negotiate from a stronger position with sellers.

Conclusion:

By partnering with Duckfund, the developer preserved liquidity during a critical stage of the acquisition process, allowing the team to focus on due diligence, pre-development planning, and capital coordination without tying up additional internal cash in escrow. The structure also provided added flexibility as the team dealt with longer timelines and multiple stakeholders often involved in affordable housing transactions.