What Freshwater Development does

Freshwater Development (Freshwater Development Group LLC) is a privately held luxury real estate design-build firm founded in 2021 by Andrew McCarthy and headquartered in Traverse City, Michigan. The company operates as a vertically integrated developer, design architect, and general contractor, controlling acquisition, financing, entitlement, design, construction, marketing, and final disposition of its projects. It specializes in luxury waterfront and in-town residences in Northern Michigan, with a portfolio that includes the Brownstones at 100 Park (three waterfront homes from $2.7M each), the Penthouses at 111 State (two condominiums at $2.95M-$3.25M), and custom single-family homes such as Birch, Driftwood, Sweetwater, and Washington. The firm sells direct to high-net-worth buyers through website inquiry forms, broker relationships (including Christie's International Real Estate), and earned media coverage in Crain's, WSJ Real Estate, Condé Nast Traveler, Inman, and Travel + Leisure.

Technically, Freshwater Development executes a design-build process that integrates development, design, and construction under a single accountable team, allowing design decisions to be tested against constructability and cost in real time. Every residence is delivered as a fully electrified, high-performance home with multi-zone mechanical systems, multi-layer spray foam insulation exceeding local R-value requirements, heated floors, geothermal heating, and EV charging stations. The firm holds specialized expertise in Michigan waterfront construction, including EGLE environmental permitting, shoreline setbacks, high-water-mark rules, docks and boat slip permitting, soil conditions, erosion control, and slope engineering. The team is small (four people) but credentialed, with founder Andrew McCarthy recognized by Crain's as a Rising Star (2019) and Notable (2021) in NYC real estate and prior oversight of $3 billion in capitalized development including 111 West 57th Street, 432 Park Avenue, and 1 Boerum Place ($375M).

Revenue is generated primarily through one-time sales of luxury residential properties (with pricing from $2.7M per unit to $3.25M per penthouse, and custom construction at $400-$800+/SF) and secondarily through Freshwater Stays, a managed rental portfolio handling bookings, guest experience, and revenue for completed homes. Customer segments include HNW second-home buyers, climate-conscious buyers relocating from West Coast and Arizona markets, and custom home builders seeking integrated design-build accountability. The firm has no disclosed external funding rounds and appears entirely founder-owned and controlled.

Name

Freshwater Development

Legal name

Freshwater Development Group LLC

Website

https://freshwaterdevelopments.com

Company type

Private

Founded year

2021

Operating status

Operating

Headcount range

1–10 employees

Short description

Freshwater Development is a Traverse City, Michigan-based design-build firm founded in 2021 that develops, designs, and constructs luxury waterfront residences for high-net-worth buyers, operating as integrated developer, architect, and general contractor on multi-million-dollar projects in Northern Michigan.

Ownership category

akta.pro rank

Headquarters

HQ city

Traverse City

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2C

Offering type

Services

Cost components

Supply Chain, Personnel, Operations, Technology or R&D, Infrastructure, Marketing or Sales

Revenue model

1. Luxury Real Estate Development and Sales: Freshwater Development acquires, designs, and constructs unique real estate assets, generating revenue through the sale of completed luxury homes and condominiums. The company oversees all aspects from acquisition, financing, entitlement, design, construction, marketing, to final disposition of assets. Each development has a custom business plan aligned with a boutique investment offering.
2. Property Management and Rental Operations: Through Freshwater Stays, the company manages a rental portfolio of homes, focusing on guest experience, bookings, calendar, check-ins, and revenue management.

Pricing tiers

Go-to-market motion2 records

Distribution channels3 records

Marketing channels5 records

Core offering

Freshwater Development is a vertically integrated design-build real estate development firm that acquires, designs, and constructs luxury waterfront residential properties in Northern Michigan. Operating as developer, design architect, and general contractor, the company delivers fully electrified, high-performance custom homes, luxury brownstones, and condominiums to high-net-worth buyers, with a specialized focus on waterfront construction in the Traverse City region.

Product overview

Freshwater Development is a design-driven real estate development company that operates as a unified platform for acquiring, designing, and constructing luxury residential properties. The company's portfolio includes the Brownstones at 100 Park (luxury waterfront brownstones with boat slips in downtown Traverse City), Penthouses at 111 State (luxury condominiums with private elevators and rooftop terraces), and custom single-family homes in Northern Michigan (Sweetwater, Birch, Driftwood, Washington). The company also manages the Freshwater Stays rental portfolio. Freshwater Development controls every phase of development in-house, serving as developer, design architect, and general contractor for all projects. Previous experience includes major New York City developments such as 1 Boerum Place and 111 West 57th Street.

Differentiator

Problem solved

Functional benefit

Products and services

• Brownstones at 100 Park A boutique collection of three luxury waterfront brownstone residences in downtown Traverse City with dedicated boat slips, private waterfrontage on the Boardman River, and panoramic Lake Michigan views. Each residence features up to 5 bedrooms, 3.5 bathrooms, and approximately 3,000 SF of private interior and exterior space, priced from $2.7 million each.
• Penthouses at 111 State Luxury full-floor penthouse condominiums overlooking Rotary Square Park in Traverse City, featuring private elevators, dedicated rooftop terraces with pergolas, parking garages with storage, and nearly 3,500 SF of private interior and exterior space with 5 bedrooms and 3 bathrooms. Penthouses priced at $2.95 million and $3.25 million.
• Sweetwater A 4,500 SF custom home under construction on 2.31 acres with 175 feet of private Lake Michigan frontage in Northport, MI, featuring 6 bedrooms, 5 bathrooms, multiple outdoor living spaces, with completion scheduled for 2027.
• Birch A completed 4,000 SF custom home with 110 feet of private Lake Michigan beach frontage on 3.17 acres in Northport, MI, featuring 6 bedrooms, 5 bathrooms, 2 primary suites with waterfront balconies, and primarily electric design with high-performance mechanical systems.
• Driftwood A completed renovation of a 4,000 SF waterfront home with over 140 feet of private beach frontage across 2.1 acres in Northport, MI, featuring 5 bedrooms, 3 bathrooms, and custom finishes including Marvin windows and Miele appliances.
• Washington An extensively renovated and reconstructed 3,800 SF Victorian home built in 1901 in Traverse City's Historic District, featuring 5 bedrooms, 3.5 bathrooms, geothermal system, and modern finishes while honoring architectural heritage.
• 1 Boerum Place A 250,000 GSF mixed-use development in Brooklyn NY completed in 2022, consisting of 138 high-end residential units above 22,000 SF of retail, with total development value of $375 million. Listed as previous project reflecting Andrew McCarthy's prior experience.
• Freshwater Stays A rental portfolio of homes managed by Freshwater Development, offering short-term rental properties for guests with a focus on guest experience, bookings, calendar management, check-ins, and revenue management.
• Custom Home Construction Bespoke design-build custom home construction service in the Traverse City / Grand Traverse region. Construction starts around $400 per square foot for above-grade living space; high-end finishes with premium windows, natural stone, custom millwork, and geothermal systems reach $600-$800+ per square foot. A 3,000 SF custom home typically starts around $1.2 million in construction cost, before land.

Quantifiable outcome

• 1 Boerum Place leased all 138 units in under 9 months and became home to the most expensive rental unit in Brooklyn
• +2 more outcomes

Named customers2 records

Segments3 records

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature3 records

Partnerships

Nine partnerships are on record, tiered key consultant, supporting and contractor.

• Via Design (Architect of Record)key consultantImplementation/ SI/ Consulting PartnerVia Design serves as the Architect of Record for the Sweetwater project (4,500 SF custom home on 2.31 acres with 175 feet of Lake Michigan frontage in Northport, MI), providing permit-ready construction documents and architectural oversight.
• Classic Engineering (Structural Engineer)key consultantImplementation/ SI/ Consulting PartnerClassic Engineering provides structural engineering services for the Sweetwater project, ensuring the steel and wood structure and oversized glass pane specifications meet engineering requirements.
• Soils and Structures (Geotechnical Engineer)supportingImplementation/ SI/ Consulting PartnerSoils and Structures serves as geotechnical engineer for the Sweetwater project, assessing soil conditions critical for construction on waterfront parcels.
• Peterson Environmental (Environmental Engineer)supportingImplementation/ SI/ Consulting PartnerPeterson Environmental provides environmental engineering for the Sweetwater project, addressing waterfront-specific environmental compliance requirements.
• Nederveld Engineering (Civil Engineer)supportingImplementation/ SI/ Consulting PartnerNederveld Engineering provides civil engineering for the Sweetwater project, managing site work, erosion control, and infrastructure requirements for the Lake Michigan waterfront development.
• Paul Maurer General ContractingcontractorImplementation/ SI/ Consulting PartnerPaul Maurer General Contracting provided interior renovations for the Driftwood project (4,000 SF waterfront home renovation with 140+ feet of private beach frontage in Northport, MI).
• Asunto BuilderscontractorImplementation/ SI/ Consulting PartnerAsunto Builders provided exterior renovations for the Driftwood waterfront home renovation project in Northport, MI.
• TruNorth LandscapecontractorImplementation/ SI/ Consulting PartnerTruNorth Landscape provided landscape design and installation for the Driftwood waterfront property, including the redesigned landscape package with multiple dining and viewing spaces and landscaped retaining wall.
• Team Elmers (Excavation and Remediation)contractorImplementation/ SI/ Consulting PartnerTeam Elmers provided excavation and remediation services for the Driftwood waterfront renovation project, handling site preparation and earthwork on the 2.1-acre parcel.

Scale indicators2 records

Recent moves6 records

Expansion highlights5 records

Broad incumbents

• The Related Companies: Major luxury real estate developer responsible for iconic projects including Hudson Yards and high-end residential developments. Comparable in luxury real estate development at scale, though with a much broader portfolio and institutional backing.
• Hines: Global real estate firm with significant luxury residential development portfolio across multiple markets. Comparable in luxury real estate development discipline, though operating at global scale with institutional capital.
• Starwood Capital Group: Global real estate investment firm with significant luxury residential and hospitality portfolio. Comparable through focus on luxury real estate investment and boutique development approach, though at much larger scale.
• Toll Brothers: Largest US luxury homebuilder with a broad nationwide portfolio. Comparable as a luxury residential developer, though operates at significantly larger scale and with greater geographic diversification than Freshwater Development.
• Brookfield Property Group: Global real estate investment and development firm with luxury residential portfolio. Comparable in luxury real estate development and asset management, though operating at scale with deep institutional capital base.
• Tishman Speyer: Global real estate developer with luxury residential and mixed-use projects including iconic NYC developments. Comparable in luxury real estate development approach, though at significantly larger scale and with institutional investors.

Direct peers

• Extell Development: New York-based boutique luxury developer behind Central Park Tower and other ultra-luxury NYC projects. Comparable as a high-end boutique developer with vertical integration and design-led approach, though at substantially larger project scale.
• The St. Joe Company: Florida-based luxury waterfront and master-planned community developer. Directly comparable in luxury waterfront residential development, though focused on Florida Gulf Coast rather than Great Lakes and operating at materially larger scale.
• Avery Hall Investments: Boutique real estate development firm where founder Andrew McCarthy served as VP and oversaw the 1 Boerum Place development. Directly comparable in boutique luxury development model and team size, though operating in the Brooklyn market.
• Macklowe Properties: NYC luxury developer behind 432 Park Avenue and other iconic Manhattan towers. McCarthy worked on 432 Park Avenue during his New York tenure, making this a directly comparable boutique luxury developer with similar pedigree and project profile.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat4 records

Key risks6 records

Key highlights7 records

Customer concentration

• LinkedInlinkedin.com/company/freshwater-development
• Instagraminstagram.com/freshwaterdevelopment

Revenue estimate

Valuation estimate

Number of profiles

Profiles6 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 Freshwater Development