ReUp Living Acquires Justin Bieber's Former Hawaii Vacation Home, Plans Major Renovation to Restore Architectural Vision

ReUp Living, the pre-listing solution for homeowners, buyers and real estate agents that increases a home’s value by remodeling it with no risk or upfront costs before selling, has recently announced the acquisition of the prestigious Waterfalling Estate on the Big Island of Hawaii. This ultra-luxury property, known for its stunning natural waterfalls and having served as Justin Bieber’s vacation home, will undergo significant renovations to restore it to the original architect's intentions. This marks a significant milestone for ReUp, especially as it establishes itself as a game-changer in the real estate industry and gears up for nationwide expansion. 

A Jewel in Hawaii’s Crown

Waterfalling Estate, perched atop a cliff on Hawaii's Hamakua Coast, is an architectural marvel. This nearly 11,000-square-foot property features five bedrooms, seven bathrooms, a 16-foot deep Olympic pool with a two-story waterslide, a nine-hole golf course and a tennis stadium. Its most spectacular feature, however, is the pair of natural waterfalls cascading into the ocean, offering a serene and dramatic backdrop that has caught the eye of numerous celebrities and TV producers. The property has made previous appearances on the CBS reality series “Love Island” and MTV’s “Ex on the Beach.”

Ryan Sawchuk, founder of ReUp, shared the story behind the acquisition: "About a year and a half ago, our chairman Eric Lochtefeld and I were watching a Sotheby’s auction for this property. The auction failed twice. We put an offer out at $6.25 million with an 80% carry back at 5%. And, to our delight, they accepted. Since then, we've done some modifications privately, but now, with the launch of the Hawaii ReUp franchise, it's time to transform it completely with our platform."

Lochtefeld shares his side of the story: "When I bought the property, I saw it as an undervalued gem that, with the right investment, could be restored to its former glory. Partnering with ReUp provided the necessary capital to do the renovations we envisioned, leveraging their innovative approach to real estate."

A Vision for Transformation

Through ReUp’s franchise location in Hawaii, Waterfalling Estate will undergo a full transformation that includes:

• BASE: BASE allows homeowners to create immersive 3D digital twins of a home using cutting-edge and proprietary Lidar and AI imaging technology to customize room finishes, textures, colors and flooring. The Professional version allows real estate professionals access to a project management dashboard, MLS integration and structural remodels. The Enterprise version provides all of the above plus scale, reporting and support for large organizations, along with a home-furnishing layer with major brands and preventative maintenance and damage assessments with insurance partners. 
• Sell Your Home for More: By updating a home before selling with no upfront costs to the sellers, ReUp increases its value, allowing the company and the seller to share in the profit.
• Customize Your New Home: ReUp’s patented Digital Twin platform gives new homebuyers the ability to choose from literally millions of permutations to make it their own. Instead of having to make changes to an existing home months after the purchase, buyers get the home they want the day they move in. 

How This Acquisition Will Strengthen ReUp’s Market Position in the Luxury Market

The acquisition of Waterfalling Estate underscores ReUp’s strength and growth in the luxury real estate sector. "ReUp started with probate properties, but we've gradually moved into different categories, and now, we're making a significant entry into the luxury market,” Lochtefeld said. “This property is a perfect example of how ReUp can unlock value in high-end real estate, a sector often hampered by liquidity issues and renovation challenges."

Ironically, Waterfalling Estate’s own history actually illustrates this point and showcases how valuable ReUp can be for property owners in this sector. 

“The original owner built it and spent around $12 million, but when his business partner passed away at 95% completion, the contractor panicked and chose to auction it quickly,” said Lochtefeld. “He got talked into a $9.5 million offer by the CFO of the auction company, far below the hoped-for $20 million. These special properties need unique representation. When ReUp successfully renovates and sells this property for its true worth, it will be a significant achievement.”

Plus, since buyers in the luxury market are making such a hefty investment, ReUp can also add a layer of security and peace of mind knowing they are getting what they want. 

"The beauty of our platform is that whatever a buyer envisions, they can have,” Sawchuk said. “The house is built with a helicopter landing pad, for example. Personally, I would want a hot tub or tiki-club, but someone else might want a helicopter pad. This shows the difference with ReUp — the seller shouldn’t dictate what’s done; it should be through our platform so buyers can request modifications before they move in.”

Why ReUp Is Exciting for Real Estate Agents

This acquisition isn’t just about luxury, Lochtefeld says, it's also about showcasing how ReUp's technology and business model can revolutionize real estate transactions across the board. 

“When an owner wants to sell their house, they hire a real estate agent who must determine the listing price,” said Lochtefeld. “Often, realtors try to act as appraisers, which they are not. ReUp’s technology provides a new data point that leads to better appraisals by showing what specific renovations will increase the property’s value. This tool is invaluable for real estate agents, helping buyers visualize the potential of a property with renovations.”

Unlike traditional real estate transactions, ReUp handles the renovation costs upfront and shares the profit from the increased home values, guaranteeing higher returns from real estate sales. Additionally, the company enables buyers to personalize their new homes while the financing process is underway. ReUp manages all aspects of the renovation, including costs, sourcing, project management and communication, exclusively working with licensed and insured general contractors. By making home improvements straightforward and hassle-free, ReUp allows sellers to boost their property values, buyers to update and customize their dream homes, and real estate agents to enhance their profitability through elevated post-renovation property values.

"Imagine an agent coming to a potential buyer with the promise of not just a luxury home, but a personalized luxury experience,” said Sawchuk. “That's a game-changer. And it's not just for high-end properties. We offer the same level of customization and value enhancement for homes at all price points."

Looking Ahead

With plans to transform Waterfalling Estate into an even greater luxury destination and bring in a significant return on investment, ReUp continues to push the boundaries of what is possible in the real estate market. 

“ReUp is creating tools for everyone involved — agents, buyers and sellers,” said Lochtefeld. “Renovating is challenging if you haven’t done it before, so any tools that streamline this process are beneficial. ReUp supports both buyers and sellers, empowering property owners to overcome the fear of selling for less than their property's worth.”

ReUp Living has had a dynamic start to 2024 and has a clear strategy for continued expansion, making it well poised for continued growth in the real estate franchise industry. With plans to sign 30 new franchisees over the next three years, the brand’s target markets for expansion include Charlotte, Raleigh, Atlanta, Charleston, Jacksonville, Tampa and many more.

“This is really a great case study for any entrepreneurs interested in franchising with ReUp,” said Sawchuk. “It's a testament to our model — turning a diamond-level property into something even more special. This is a big milestone for the brand and we are excited about what it means for the future.”

To find out more information on costs to buy this franchise, please visit https://www.reupliving.com/franchising.