Costello Investments

What Costello Investments does

Costello Investments LLC is a privately held, fourth-generation family-owned land development and real estate investment company headquartered in Sioux Falls, South Dakota. Founded circa 1982, the firm develops and sells fully improved industrial, residential, and commercial lots in the Sioux Falls-area communities of Sioux Falls, Hartford, Harrisburg, and Tea, with a flagship inventory of shovel-ready parcels in the Western Meadows Addition (Hartford) along the I-90 corridor and additional commercial inventory in the Green Meadows Addition (Harrisburg). Lot offerings are priced by square foot or by parcel, ranging from approximately $70,000 per residential lot to $225,013 for a 50,003 sq. ft. commercial parcel, and all parcels include municipal sewer, water, curb/gutter, asphalt streets, and street lighting. The company holds licensed real estate broker status in South Dakota, Iowa, and Wyoming, and distributes via a direct sales model driven by phone, email, and a Wix-based marketing website.

Beyond lot sales, Costello Investments owns equity in over 1,375 apartment units across South Dakota, Nebraska, and Wyoming, generating a recurring rental income stream. The firm also provides development and consulting services to investors in new and rehabilitated apartment complexes, with a specialized focus on tax credit and HUD affordable housing programs, having overseen development of over 40 affordable housing complexes in South Dakota and Wyoming. Operations are conducted through a vertically integrated Costello Companies umbrella that includes wholly owned Costello Property Management (1,375+ units under management), Costello Compliance (tax credit and HUD compliance services), and BlackWing Elite Builders (construction). Management is led by owners Thomas Costello III and Dan Costello, Managing Director Joan Franken (22 years), and Director of Development Bonnie Mogen (since 2013). Revenue is generated through one-time lot sale transactions, recurring rental income from the apartment portfolio, and professional services fees from affordable housing development consulting.

Name

Costello Investments

Legal name

Costello Investments LLC

Website

https://costellolots.com

Company type

Private

Founded year

1982

Operating status

Operating

Headcount range

1–10 employees

Short description

Costello Investments LLC is a family-owned Sioux Falls, SD land developer that builds and sells fully improved industrial, residential, and commercial lots in Hartford, Harrisburg, and Tea while owning equity in 1,375+ apartment units across SD, NE, and WY and consulting on tax credit and HUD affordable housing projects.

Ownership category

akta.pro rank

Product category

Real Estate Land Development

NAICS

Offices of Real Estate Agents and Brokers (53121), Lessors of Real Estate (5311), Nonresidential Property Managers (531312), Other Activities Related to Real Estate (531390)

SIC

Real Estate Agents & Managers (For Others) (6531), Real Estate (6500), Lessors Of Real Property, Nec (6519)

akta.pro primary industry

Land & Development Site Brokerage (BPAJABAG)

akta.pro secondary industries

Residential Investment Property Brokerage (SFR/Small Multifamily) (BPAJAAAE), Multifamily Brokerage (BPAJABAD), Warehousing & Logistics Facilities Brokerage (BPAJACAA)

Keywords

• Land development services
• Residential lot sales
• Commercial lot sales
• Industrial lot sales
• Affordable housing consulting

Headquarters

HQ city

Sioux Falls

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations, Infrastructure, Marketing or Sales, Supply Chain

Revenue model

1. Land Development and Sales: Development and sale of industrial, residential, and commercial lots to buyers. One-time transaction-based revenue from lot sales.
2. Apartment Ownership: Ownership interest in over 1,375 apartment units across South Dakota, Nebraska, and Wyoming generating recurring rental income.
3. Development and Consulting Services: Provides development and consulting services to investors in new and rehabilitated apartment complexes, specializing in tax credit and HUD programs.

Pricing tiers

Go-to-market motion1 record

Distribution channels1 record

Marketing channels3 records

Core offering

Costello Investments LLC develops and sells fully serviced industrial, residential, and commercial lots primarily in South Dakota (Sioux Falls, Hartford, Harrisburg, Tea), holding ownership in over 1,375 apartment units across South Dakota, Nebraska, and Wyoming. In parallel, the company provides development and consulting services to investors in new and rehabilitated apartment complexes, with specialization in tax credit and HUD affordable housing programs. Operating as a licensed real estate broker in SD, IA, and WY, the firm is supported by related companies offering property management, compliance, and construction services.

Product overview

Costello Investments is a land development and real estate investment company operating as a portfolio of related businesses. The core offering consists of three types of developed land lots for sale: Industrial Lots (light industrial zoned parcels along I-90 in Hartford, SD), Residential Lots (developed parcels on Opal Lane in Hartford, SD), and Commercial Lots (commercially zoned land in Hartford and Harrisburg, SD). Supporting the land sales business, the company operates Property Management services managing over 1,375 apartment units across South Dakota, Nebraska, and Wyoming, and provides Development and Consulting Services specializing in tax credit and HUD programs for new and rehabilitated apartment complexes. Related companies within the Costello Companies umbrella include Costello Property Management, Costello Compliance, and BlackWing Elite Builders Inc.

Differentiator

Problem solved

Functional benefit

Products and services

• Industrial Lots Light industrial zoned lots in the Western Meadows Addition, Hartford, SD, along Interstate 90 with approximately 1-2 acre parcels. Lots are fully developed with City of Hartford water & sewer, curb/gutter, asphalt streets, street lights, natural gas, 3-phase electric, and no on-site detention required, priced at $3.25 per square foot. Designed for buyers constructing light industrial, manufacturing, or warehousing facilities.
• Residential Lots Residential lots on Opal Lane in the Western Meadows Addition, Hartford, SD. Lots are fully developed with City of Hartford sewer & water, curb/gutter, asphalt streets, and street lights, with MidAmerican natural gas and Sioux Valley electric available to each lot. Available lot pricing starts at $70,000, intended for individual homebuilders and residential developers building single-family homes.
• Commercial Lots Commercially zoned land available in two developments: Western Meadows Addition in Hartford, SD (along Western Avenue near I-90, including Lot 2A Block 1 at $225,013 for 50,003 sq. ft. at $4.50/sq. ft.) and Green Meadows Addition in Harrisburg, SD (along Willow Street, 0.79-acre parcel at $9.00/sq. ft., General Business zoning). Lots include City water & sewer, curb/gutter, asphalt streets, and street lights, and may qualify for a City of Hartford 5-year property tax abatement on new construction.
• Property Management Property management services for over 1,375 apartment units across South Dakota, Nebraska, and Wyoming, delivered through the related entity Costello Property Management as part of the Costello Companies family of businesses.
• Development and Consulting Services Development and consulting services provided to investors in new and rehabilitated apartment complexes, with specialization in tax credit and HUD affordable housing programs. Services span ownership structuring, property management, development oversight, consulting, sales, and construction.

Segments4 records

Ideal customer profiles4 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Partnerships

Five partnerships are on record, tiered core and minor.

• Costello Property ManagementcoreOthersRelated company under the Costello umbrella providing property management services. Joins Costello Investments in offering vertically integrated real estate services from development through ongoing management.
• Costello CompliancecoreOthersRelated company providing compliance services for affordable housing developments. Specializes in tax credit and HUD program compliance requirements.
• BlackWing Elite Builders Inc.coreStrategic or Co-development PartnerConstruction partner and related company involved in building apartment complexes and other developments. Listed as a related Costello company with collaborative development relationship.
• City of HartfordminorOthersLocal municipality where company has developed Western Meadows Addition. Provides water, sewer services, and offers 5-year property tax abatement for new construction.
• Hartford Chamber of CommerceminorGTM or Marketing PartnerLocal business organization in Hartford, SD. Linked on Costello Investments website as a community resource for business networking.

Scale indicators4 records

Recent moves6 records

Expansion highlights5 records

Broad incumbents

• Hunt Companies: Hunt Companies is a diversified real estate developer with significant affordable housing and multifamily investments. Its tax credit development and asset management activities parallel Costello's affordable housing development and consulting business.
• PulteGroup: PulteGroup is a national homebuilder with land development capabilities and an active presence in Midwest markets. It competes with Costello for finished-lot buyers and offers comparable move-up and entry-level housing products.
• The Related Companies: The Related Companies is a large national real estate developer with extensive affordable housing operations. It shares Costello's expertise in LIHTC/HUD programs but operates a vastly larger mixed-income and mixed-use portfolio.
• D.R. Horton: D.R. Horton is the largest U.S. homebuilder with significant in-house land acquisition and development operations. It competes with Costello for residential lot buyers in Midwest markets and operates a substantially broader geographic footprint.
• LGI Homes: LGI Homes is a national homebuilder active in Midwest markets that develops and acquires finished lots for entry-level buyers. It overlaps with Costello's target buyer segment for residential lots on the I-90 corridor.

Direct peers

• Five Point Holdings: Five Point Holdings is a publicly traded land developer focused on master-planned communities. Like Costello, it develops and sells entitled residential, commercial, and mixed-use parcels, though at significantly larger scale and within California and Florida markets.
• Dominium: Dominium is a leading affordable housing developer and operator that specializes in LIHTC and HUD-financed apartment developments. It mirrors Costello's deep expertise in tax credit programs and its affiliated property management platform.
• Tri Pointe Homes: Tri Pointe Homes is a national homebuilder that actively acquires and develops residential lots in growth markets. Its integrated land development and homebuilding model closely parallels Costello's develop-and-sell lot strategy in Midwest communities.

Regional players

• Ho-Chunk Capital Partners: Ho-Chunk Capital is a Native-owned investment entity active in commercial and residential real estate in the Sioux Falls region. It is a regional competitor for land transactions, joint ventures, and development consulting in the same Upper Midwest geography.

Emerging players

• WNC Holdings: WNC is a specialty real estate investment firm focused on LIHTC syndication and affordable housing development. It shares Costello's tax credit expertise as a partner or competitor for affordable housing development mandates in the Plains states.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights6 records

Customer concentration

Revenue estimate

Valuation estimate

Number of profiles

Profiles4 records

Subsidiaries3 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Costello Investments