GET A PIECE OF MODAL LIVING
Modal’s potential market in California alone is projected to be $250+ billion
Modal achieved 1,200% YOY revenue growth from 2019 to 2020 and signed contracts worth $6.5 million to date.
Led by one of the most prominent leaders in the homebuilding industry, seasoned affordable housing executives, and partnered with the largest modular manufacturers in North America.
A new mode of living
At Modal, we are dedicated to solving the affordable housing crisis, by building a housing supply to benefit both homeowners and renters. Accessory Dwelling Units (ADUs), or backyard homes, have become the go-to solution for affordable housing. Modular construction is the ideal mode for building ADUs due to its small footprint and minimal impact on homeowners’ lives.
Rendering of Modal Unit
Since our inception in 2019, Modal has focused on developing compelling, modular ADUs and a delivery process that can be scaled with limited fixed costs. Our modular units marry sustainability and superior quality while having the benefit of speed and lower costs.
Our CEO and Chairman, Scott Stowell, spent 35 years in the homebuilding industry and served as the Chairman of the 4th largest publicly traded US homebuilder. Scott saw firsthand the limitations of traditional construction and the huge, unmet demand for small, minimal housing. Modal was born to meet that demand while solving the biggest issues facing the construction industry. Although our initial focus is backyard homes, we are expanding our product line for hospitality, multi-family, and affordable housing developments.
To date, we have successfully delivered dozens of ADUs in multiple states, worth $6.5M in total sales, and achieved over 1,200% YOY revenue growth in 2020. After years of refining our processes, we are at an inflection point and ready to scale. We want to revolutionize the way we build housing and the way people live and interact with the built world around them.
ADUs are one of the fastest growing segments of the real estate market
Fueled by changes to state and local zoning laws, the ADU market has grown significantly in the last 5 years and is rapidly expanding. In California alone, the ADU market increased 214% per year from 2016-2019 and the total market is estimated at $250+ billion.
Rendering of Modal Unit
Demand for new ADU construction is strong because it benefits both communities and homeowners. State and local governments have relaxed regulations on ADUs to resolve the affordable housing problem. This has opened the door for many homeowners to capitalize on these changes and generate additional income, increase their property value, and have extra space for guests, loved ones, or working from home. An ADU is one of the best investments a homeowner can make to maximize the value of their home.
ADU-friendly legislation is sweeping the nation. In addition to the entire state of California, municipalities that now allow ADUs include Seattle, Portland, Phoenix, Denver, Orlando, Honolulu, Minneapolis, Charlotte, Philadelphia, Pittsburg, Austin, Houston, San Antonio, and Salt Lake, and experts anticipate continued market growth for the foreseeable future.
Solving the affordable housing crisis with ADUs still has its set of challenges
Despite the strong, growing demand and positive regulatory tailwinds for Accessory Dwelling Units, actually obtaining one is quite complex, expensive, and time-consuming.
The process of navigating architecture, permitting, and city codes can be intimidating while rising costs and change orders lead to budget overruns and difficulty financing. In addition, managing construction in one’s backyard for months on end can be a burden on families and neighbors.
As a result, this fragmented and frustrating process is the primary barrier for homeowners adding an ADU.
Affordable, chic, and stress-free, Modal provides the ideal income property right in your backyard
Modal eliminates the biggest hurdles for would-be ADU consumers by coupling our beautiful, thoughtfully designed modular units with a turnkey, hassle-free service.
All Modal units are built in an off-site factory with quality materials that meet the highest standards of the International Building Code. Building modular provides deliveries twice as fast with more consistent, reliable outcomes. It also generates 90% less waste and 43% fewer carbon emissions than traditional construction.
Rendering of Modal Unit
Our product line includes a home office, studios, one-bedroom units, and two-bedroom units, each stylishly designed to fit into almost any backyard. Modal homes come equipped with a bathroom, kitchen, and living spaces, and are designed to fully maximize space.
From the first phone call to key in hand, Modal makes the experience simple and seamless. We offer a free property analysis, in-person and virtual home visits, financing, and an elegant online ordering process.
Most importantly, our team does the heavy lifting and handles all aspects of the project -- including processing permits on the homeowner’s behalf, coordinating site work, managing contractors, transporting units from the factory, installing on the foundation, and connecting water, sewage, and electrical wiring. Our customers can sit back, relax, and continue with life stress-free.
Modal is live and actively installing with a track record of success
So far, we have sold 50+ units worth $6.5 million in sales with an average revenue growth rate of 600%+ over two years, and we are continually adding to our backlog. We have successfully installed dozens of units for customers in California, Utah, and New Mexico. We have ensured scalability through strategic manufacturing partnerships with some of the largest modular manufacturers in North America.
We have raised over $4 million in debt and equity from seed investors and spent the past two years building our team, refining our processes and are now at an inflection point ready to scale.
Modal is focused on revolutionizing construction, with the leadership, traction, and technology necessary to scale in today’s booming market!
Traditional building methods remain outdated and inefficient which has led to skyrocketing prices and housing shortages. Modal is solving these problems and improving communities by leveraging modular construction to inspire independent, minimal living.
We have established partnerships and capacity to rapidly scale our solutions nationwide. Over the next 3-5 years, our team will continue to enter new geographies, develop unique and compelling products, and expand our sales channels to include multi-family, hospitality, and more, increasing our potential market size in the multi-trillion-dollar construction industry.
As we work to solve the current affordable housing crisis, we are also addressing one of the largest and fastest-growing segments in the real estate market. Backed by an amazing team with decades of experience in the industry, our business is booming, making this a great time to get involved with our growth. Join us to help revolutionize the housing market, while producing returns along the way.
We are raising funds to invest in sales, marketing, and product development to achieve our high growth goals, and we look forward to having you onboard!
Modal designs, manufactures, and installs modern, modular backyard homes and offices through a turnkey, hassle-free service. We help homeowners maximize space, while providing an opportunity to create passive income and increase their home value.
Chairman of the Board / CEO
Chief Financial Officer
Director of Construction
Strategic Board Advisor
Maximum Number of Shares Offered subject to adjustment for bonus shares
*Maximum Number of Shares Offered subject to adjustment for bonus shares. See Bonus info below.
Early Bird Discounts -
Friends and Family - First 72 hours | 15% bonus shares
Super Early Bird - Next 72 hours | 10% bonus
Early Bird Bonus - Next 7 days | 5% bonus shares
Volume Discounts -
Tier 1 - Over $2,500
Investors that contribute between $2,500 and $4,999 are eligible for ADU Discounts ($1,500 off unit plus $1,000 in free upgrades) and/or $1,000 off the Modal Pod (Home Office).
Tier 2 - Over $5,000
Investors that contribute between $5,000 and $9,999 are eligible for ADU Discounts ($2,500 off unit plus $2,500 in free upgrades) and/or $2,000 off the Modal Pod (Home Office).
Tier 3 - Over $10,000
Investors that contribute between $10,000 and $24,999 are eligible for 5% bonus shares PLUS ADU Discounts ($3,000 off unit plus $5,000 in free upgrades) and/or $3,000 off the Modal Pod (Home Office).
Tier 4 - Over $25,000
Investors that contribute between $25,000 and $50,000 are eligible for 7% bonus shares PLUS ADU Discounts ($5,000 off unit plus $10,000 in free upgrades) and/or $5,000 off the Modal Pod (Home Office).
Tier 5 - Over $50,000
Investors that contribute over $50,000 are eligible for 10% bonus shares PLUS ADU Discounts ($10,000 off unit plus $15,000 in free upgrades) and/or $7,500 off the Modal Pod (Home Office).
*All perks occur when the offering is completed.
Modal will offer 10% additional bonus shares for all investments that are committed by investors that are eligible for the StartEngine Crowdfunding Inc. OWNer's bonus.
This means eligible StartEngine shareholders will receive a 10% bonus for any shares they purchase in this offering. For example, if you buy 100 shares of Common Stock at $9.26 / share, you will receive 110 shares of Common Stock, meaning you'll own 110 shares for $926. Fractional shares will not be distributed and share bonuses will be determined by rounding down to the nearest whole share.
This 10% Bonus is only valid during the investors' eligibility period. Investors eligible for this bonus will also have priority if they are on a waitlist to invest and the company surpasses its maximum funding goal. They will have the first opportunity to invest should room in the offering become available if prior investments are cancelled or fail.
Investors will only receive a single bonus, which will be the highest bonus rate they are eligible for.
Each Subscriber shall appoint the Chief Executive Officer of the Company (the “CEO”), or his or her successor, as the Subscriber’s true and lawful proxy and attorney, with the power to act alone and with full power of substitution, to, consistent with this instrument and on behalf of the Subscriber, (i) vote all Securities, (ii) give and receive notices and communications, (iii) execute any instrument or document that the CEO determines is necessary or appropriate in the exercise of its authority under this instrument, and (iv) take all actions necessary or appropriate in the judgment of the CEO for the accomplishment of the foregoing. The proxy and power granted by the Subscriber pursuant to this Section are coupled with an interest. Such proxy and power will be irrevocable. The proxy and power, so long as the Subscriber is an individual, will survive the death, incompetency and disability of the Subscriber and, so long as the Subscriber is an entity, will survive the merger or reorganization of the Subscriber or any other entity holding the Securities. However, the Proxy will terminate upon the closing of a firm-commitment underwritten public offering pursuant to an effective registration statement under the Securities Act of 1933 covering the offer and sale of Common Stock or the effectiveness of a registration statement under the Securities Exchange Act of 1934 covering the Common Stock.
Irregular Use of Proceeds
The Company might incur Irregular Use of Proceeds that may include but are not limited to the following over $10,000: Salary payments made to one’s self, a friend or relative. Inter company debt or back payments. Vendor payments.
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Cancel anytime before 48 hours before a rolling close or the offering end date.
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