A local contractor is looking to build Raleigh’s first small village since the city revised its codes in December to encourage their construction.
The community planned 3708 Rock Quarry Road is marketed as a hub for “digital nomads,” those who work remotely and love to travel, a growing demographic since the COVID-19 pandemic began.
Behind the concept is Zach Milburn, a cryptocurrency investor and former app developer who made headlines last year when he listed his Wake County home for $5.5 million because that it was accompanied by an NFT. An NFT, or non-fungible token, is a token used to represent ownership of unique items, most commonly works of art and collectibles.
Houses, in which people would pay an annual fee to live for weeks or months at a time, are open plan, futuristic and glassy.
“We don’t even call it a tiny house, but most people would see it that way. There are sort of shipping container vibrations,” Milburn said.
nomadic nation, as the company calls it, has so far raised $1 million for the effort. The main investors, Milbrun said, have been a North Carolina real estate developer Jim Anthony and Balaji Srinivasanwriter and former CTO of cryptocurrency firm Coinbase.
Anthony said he recognizes the nature of work is changing as high-speed internet becomes ubiquitous.
“I think more and more people who are dissatisfied with the life they lead may actually find that it’s a lifestyle they enjoy,” he said. “It’s sort of the next evolution, where all you really carry around is your computer and your smartphone, plus clothes and essentials.”
Milburn, in a separate interview, shared this view.
“I think we still underestimate the impact remote work can have on humanity. We just want to create a platform that lets people do it more seamlessly and improves the experience,” he said. “Real estate is one of the slowest and slowest moving industries. It’s a big challenge, but it’s a big opportunity.
What are “digital nomads”?
Milburn said the grand vision is to be a “multi-billion dollar company with locations in most countries.”
As they progress in Raleigh, they also plan to place hubs in Miami and Salt Lake City.
Miami was a no-brainer due to its tropical weather, sandy beaches and “good vibe”. Salt Lake City, where Milburn is from, was selected for its proximity to the mountains and outdoor appeal throughout all four seasons.
They initially thought Austin would be in the mix, but skyrocketing real estate prices he dampened the enthusiasm of the enterprise.
Digital nomads can stay in any of the hubs for any duration with their memberships.
A Nomad Nation community already exists, with about 150 members and adding one person per day, Milburn said. Their app connects a community of remote workers and hosts quarterly meetups, in places like Utah, Mexico, and Portugal.
It costs $240 per year. “We’re losing money on it right now,” Milburn said, though they’ll soon raise the price to $50 a month, plus a $1,000 signing.
Raleigh re-zoned to encourage smaller homes
The Raleigh City Council voted unanimously in December to change zoning and building codes to encourage homes under 600 square feet, both singly and in groups called “cottage yards.”
“All the stars aligned and things fell into place at the right time,” Milburn said of the change.
Katie Dombrowski, communications manager for the planning and development department, said a few chalet court developments had been approved, although none had obtained permits.
The Milburn property on Rock Quarry Road is zoned for 64 units. They plan to build 40 mini-houses.
Nomad is currently building a prototype tiny house on another property in Raleigh, which will help give the company a better idea of the cost to build and maintain.
Plus, when construction wraps this summer, revenue generated from rentals on Airbnb will help raise money for the big vision. Milburn said they would “experiment” with nightly and monthly rates.
“It’s a colossal undertaking. It takes a ton of capital,” he said. “Over the next few years, we really want to achieve scale.”
What happened to the NFT house in Raleigh?
Milburn, 31, is not new in the small domestic world. He bought his first property, where he and his wife would live, in a trailer park in Raleigh. They couldn’t qualify for a mortgage at the time and wanted to do things cheaply.
“I’ve been following the tiny house space for probably seven years,” Milburn said. “I designed what was basically a tiny house, but it was rejected over 10 times in Raleigh because it was too small. Over time, we kind of blew up the house bit by bit.
Now they live in their own castle, the custom-built NFT house, and rent out parts of it on Airbnb.
Milburn’s (and NFT) home didn’t sell in the last year, although Milburn said he had a few investors send in real estate agents to take a look.
“I have way too much interest. People have been sending me threatening messages on social media,” he said.
NFTs are controversial. Most require large amounts of energy to buy and sell, and many wonder if the greenhouse gases are worth it. Some just think the whole concept is a scam.
“I didn’t really intend to sell it. It was kind of a joke,” Milburn said.
However, getting a $5.5 million offer might have swayed him.
“I really really like this place. It was a labor of love to build it and I would have been really sad to see it go,” he said. “But that’s the price I probably would have sold it for.”
This story was originally published April 11, 2022 11:09.
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