Episodes

It’s hard to achieve economies of scale operating multifamily apartments with fewer than 100 units, but if you buy smaller buildings close to each other, you can gain operational efficiencies that translates into more profit. There’s also far less competition when buying these properties that bigger properties so you can often get better deals. Mark Weinstein, President of MJW investments, has acquired many smaller properties in close proximity and amortized management functions and operating ex...

What is a Family Office? The term “Family Office” has become more common over the past decade and the number of Family Offices is growing at a fast clip. A Family Office is a private wealth management advisory firm founded by an ultra-high-net-worth individual or family to manage their assets. Ultra-high-net-worth families or individuals (UHNWIs) are people with at least $30 million in investable assets. Richard Wilson, CEO of the Family Office Club, has helped 200 families create their own Fami...

In this environment, certain multifamily housing markets are seeing an 80% decrease in transaction volume vs. a year ago. Even though interest rates have increased way more than anyone predicted as recent as 6 months ago and operating expenses are increasing, sellers are still holding out for what they could have gotten in previous months. Eventually, some sellers will have a more pressing need to sell and pricing expectations will become more realistic. At this point, more sensible deals will m...

Although interest rates are on the rise at a faster clip than at any other time in recent history, the fed has historically lowered rates within two years following the past ten rate hike peaks. This is one of the reasons that over a long period of time, multifamily apartments are a resilient and safe asset class to invest in, especially in growing markets. J Scott, a multifamily investor, owns six apartment buildings across 800 units in Houston with fixed, long-term debt. J loves Houston for it...

Sometimes adding value to properties has more to do with intangibles such as improving resident culture and building a sense of community than merely improving the physical assets of a property. When residents derive quality of life benefits from residing at a community and take pride in where they live, they’ll see more value in the experience and be willing to pay more to live there and take better care of their property. Demetre Booker, Managing Director at Elevate Commercial, is investing in...

In this investing environment, it’s difficult to get an 8% to 10% yield on your cash and still achieve appreciation, without taking a lot of risk. With stabilized neighborhood retail, however, and office buildings in certain markets, this is still possible with the right deal, and especially the right operator. Nate Melchior, Principal at Dunton Commercial, manages a portfolio of 70 mid-size retail and office properties throughout the state of Colorado where they’re based. Nate and his partner a...

You hear a lot about value add Real Estate in terms of creating value in acquisitions these days, especially as prices have skyrocketed over the past few years. Although there’s great gains to be made with the right value add improvements to a property, the most expedient value add is buying the property for significantly less than it’s worth. Ben Kogut, partner at HJH Investments, has been having great success buying office buildings, shopping centers, and single tenant retail properties from m...

There’s great money to be made in government subsidized, affordable housing. Occupancy is generally high and tenancies can last for years. It’s a recipe for steady, predictable income and high margins. On the management side, however, there can be challenges figuring out how to manage lower income, working class tenants and do it at a profit. Mike Bonadies, Co-Owner and Managing Partner at TerraVestra properties in Southern New Jersey, owns his own rental portfolio and also manages 500 units for...

The world of alternative investments holds the promise of outsized gains and returns that exceed the public stock and bond markets. They also entail great risks. When investing in alternative investment funds, you need to make sure the management team has a great reputation, a great track record, and a fee structure that’s aligned with their investors. Kelly Ann Winget, Founder of Alternative Wealth Partners, has raised $1B in private capital in her career from individual investors looking for i...

Even though the U.S. economy is in a state of flux and there are other domestic and global uncertainties, trends continue to be in favor of growth in the South and Southeast in terms of population job growth and migration. The rate at which this is occurring is unparalleled and opportunities for solid investments in multifamily real estate will continue to present themselves. Charlie Young, Partner at Madera Residential, has been in the business for over three decades and has over 12,000 units i...

Most people aren’t even familiar with the term “Alternative Investments.” That’s because until a decade ago, operators of apartment buildings and other Real Estate assets, Private Equity funds, or private companies couldn’t legally market these assets to the public to raise money. Ever since the creation of the 506c code a decade ago, however, these operators can now legally market to retail investors so the general public can more easily access and invest in them. Alternative Investments provid...

In multifamily properties, it can be a challenge to manage buildings with fewer than 50-100 units. Third party property management companies cost a lot of money and having an in-house employee live on-site can be too expensive without enough units to amortize their cost. Additionally, it’s difficult to manage these smaller apartment buildings from afar, especially if you’re adding value to them with rehabs. Samuel Sells, CEO of Wild Mountain Capital, has acquired over 20 buildings over the past ...

There’s nothing passive about investing in older apartment buildings. Appliances, roofs, HVAC systems, plumbing etc. have limited lifespans so there’s perpetual upkeep and surprising expenses are far from uncommon. In new construction, by comparison, you can control all the variables and therefore the costs can be more predictable and therefore the profits. Roger Luri, CEO and President of LD2 Development in Chicago, and author of the new book “Don’t Buy Multifamily! BUILD IT,” has been in const...

If you pay close attention and evaluate what’s going around you, you can see opportunities and markets to be served that others don’t. It just requires continual awareness and objectivity and an honest appraisal of what you’re good at and want to spend time doing. After being in Investor Relations and a co-GP on a number of apartment deals, Matthew Baltzell founded Elite Podcast Bookings to connect sponsors and capital raisers with great Real Estate podcasts. There are literally thousands of com...

If you ever think of cell phone towers and rooftop antennas that transmit wireless usage, you might think the owners of these properties would have all the leverage in lease agreements with major carriers like TMobile, Verizon, and ATT because the insatiable need for increasing and better signal coverage. However, this isn’t entirely true. The carriers have more options than you would think on where to transit their signals from and can be brutal in their lease negotiations with landlords. Meir ...

With cap rates having gone as low as they arguably can go, multifamily operators are going to have to add deep value to properties moving forward to meaningfully increase their asset value. They can no longer rely on cap rate compression to generate high IRRs and returns for their investors. At this point, only the strongest operators will generate the kind of profits we’ve seen over the past few years. Steven Gesis, COO at Smartland, started in Northeast Ohio rehabbing, modernizing, and standar...

There’s been so much growth in Multi Family investing over the past few years it can make you wonder if it’s too late in the cycle to get into good deals. Yes, a lot of people are overpaying for properties, especially newer, inexperienced syndicators. There’s also risk that rents contract in an upcoming recession coupled with higher borrowing costs when floating rates adjust upwards. The fact remains, however, that 50% of the country are renters, and there’s still a big undersupply of B Class wo...

Sometimes great entrepreneurship is just applying common sense and having your eyes open to great opportunities. Brandon Schwab, Founder and CEO of Shepherd Premier Senior Living, owned 23 single family rental houses that were making $200-$300 per month per house when he stumbled upon the idea of lucrative Senior Living Facilities. Instead of making $200-$300 per home in monthly profit, he realized he could make over $10,000 per month with one single Senior Living facility. At the same time, he ...

If you’re willing to do what other aren’t, you may stand to benefit immensely. Jorge Newbery, Founder, Chairman and CEO of AHP servicing, has made a career out of inventing himself out of thin air. Jorge’s first big deal was a 298 unit apartment building in downtown Los Angeles in Skid Row for less than $3000/door in the late nineties. The prior three owners had been thrown in jail for violations, but Jorge saw immense value and had the confidence and bravado to take the project on. He ended up ...

Private Equity and Alternative investments have outperformed the public markets out of the last 35 years. However, few people are aware of investing in alternative investments such as Real Estate syndications in apartment buildings, Self-Storage facilities, and Mobile Home Parks, not to mention a plethora of other alternative opportunities like life insurance settlements, litigation finance, cannabis, and so many other ways to invest. As it stands, alternative investments only command 13% of U.S...

One of the great advantages of investing in Real Estate is the ability to shelter or defer paying taxes so you generate a higher return in the short-term and your money works harder for you and generates great wealth over time. Thomas Castelli, Partner at Hall CPA firm, has been a direct investor and also a limited partner in syndication deals so he believes in the value of Real Estate not only from a cash flow and appreciation perspective but also from a tax perspective. There are few other way...

If you’re not careful, you can lose a lot of money investing with the wrong people and the wrong deals. As human beings, we’re inclined to trust others and it’s difficult to discern dishonesty because we don’t expect it. Jack Gibson, a successful businessman, Real Estate investor, and Wealth building Strategist, lost a lot of money in tech stocks at a young age following the advice of a financial planner. Later, he was a victim of a Real Estate ponzi scheme. These costly mistakes taught Jack val...

Austin is one of the hottest Real Estate markets in the country. In order to be competitive and get the edge in this market, being there in person and having longstanding relationships has tremendous benefits. Andrew Campbell, Managing Partner of Wildhorn Capital, has built an impressive 4000 unit portfolio mostly in Austin that’s produced consistent strong returns for investors through cash flow and robust appreciation. He plans on making Austin his primary focus as long high-paying employment ...

The prices on multifamily apartment buildings have risen meteorically over the past 3 -5 years. In some cases, however, between the cost-per-unit to acquire the properties plus the amount per-unit to renovate them, the all-in price has exceeded the cost to build new complexes from the ground up. That’s why Michael Episcope, co-CEO of Origin Investments, has been only doing ground up deals for the past three years. Origin has a number of funds that are invested across eight fast-growing markets t...