Episodes

One of the little discussed sectors of multifamily investing is townhomes. Townhomes are easier to build than large apartment complexes, and they have strong appeal to certain segments of renters. Townhomes appeal more to families and attract stable, higher income households. Tenants also tend to stay longer in townhomes than traditional apartments. Josh Green, Co-founder of Traverse Capital, has many years of multifamily development experience, and is developing his first ground up townhome com...

Over the past two years, multifamily has faced major challenges that’s resulted in price reductions of 25-35%. Class C in particular has taken a major hit in several markets, but Inflation has recently been tamed and expenses have been mostly stabilized. Solid operators are improving their daily operations and increasing occupancy and collections. Class C also still presents the best pricing value, and upside opportunity. Craig Berger, Founder and CEO of Avid Realty Partners, is successfully opt...

As demographics and lifestyles change, so do the requirements for where tenants choose to live. This is why architectural and design components for living spaces increasingly impact the desirability and value of residential properties. For example, the work-from-home trend and common areas have become more important as people are placing a higher priority on socializing where they live. Kurt Volkman, Associate Principal at HED, one of the largest architecture and engineering firms in the U.S. –...

Although much of the hospitality industry has rebounded from Covid, many hotels are stiff facing headwinds. What compounds this challenge is the requirement national brands place on operators to invest large sums of money into their properties to maintain certain standards. Many operators don’t have, or want, to invest this capital. As a result, there is an enormous opportunity to acquire these properties as steep discounts. Ryan Sudeck, CEO of Sage Investment Group, is acquiring older hotel pr...

AI will change the world even more than the internet, with profound implications for all aspects of society. It will impact most aspects of commerce, including Real Estate. Amongst other implications, AI is creating an insatiable demand for Data Centers. Peter Lewis, Chairman and Founder of Wharton Equity Partners, has over 35 years of experience as a real estate owner, developer, and operator, and is now allocating his valuable time and resources to the development of Data Centers to address th...

Although asset prices have declined over the past couple years, we still may see further reductions, especially with the possibility of another recession. If oil prices spike, or we have another major stock market correction, a recession will likely follow. As it stands, global instability, and the Middle East in particular, can cause a spike in oil prices that impacts the market. Domestically, we’ve had the longest inverted yield curve in our history, which may be a likely precursor to the next...

The national debt has climbed to nearly $35 Trillion dollars. Many economists believe this will produce unavoidable inflation and increased interest rates. As of this year, however, U.S inflation has been largely tamed and come back down to historical norms. This has largely been the result of global supply chains opening back up, and the overall impacts of globalization. Richard Duncan, author of “The Money Revolution: How to Finance the Next American Century,” has a prescription for future gro...

There are many investment opportunities to generate cash flow, but few are as safe as low leverage Hard Money Loans against single family homes in strong markets. As long as you have an experienced operator who knows how to value the properties, vet the borrowers, and administer other aspects of the business, your investment will be safe, especially if it’s a conservative return. Michael Joseph, Partner at First Bridge Lending, has a $300 million dollar fund against California single family home...

In the past decade, Credit Unions have become more mainstream and a common source of commercial lending. As consolidation in the banking industry as depleted the number of community banks, Credit Unions have been filling the breach. Credit Unions are non-profit entities owned by their customers, or “members.” They’re easy and flexible to work with and often have lower fees and lower borrowing rates. They offer no pre-payment penalties on commercial loans, they have less stringent approval requir...

Getting the right price and the right terms is the ultimate hedge against the inevitable unknowns and challenges of operating multifamily properties. Class C properties, in particular, can present great buying opportunities, but they have a lot of day-to-day operational challenges, from collecting rents to perpetual maintenance issues. Steven Weinstock, co-founder of WE Capital in Brooklyn, operates C and B class properties in Cleveland and Louisville. Steve is acquiring these properties from fo...

50% of multifamily property management fees are generated through maintenance work. Property management firms markup maintenance as high as 50%, and don’t provide clients itemized expenses. Some companies even charge vacancy fees. They make money on revenue, not on reducing expenses. Brian Levredge, President of Pinnacle Asset Management, manages his own properties in Chattanooga and surrounding areas. Rents in these markets have not experienced the declines of other Southeastern markets. Brian ...

Despite headwinds that have buffeted the multifamily industry over the last couple years, certain markets have continued to flourish. New England, for example, has continued to excel because there’s been an influx of new residents and limited new construction. As Boston rents have become the second highest in the nation behind New York, it’s pushed many of these renters to move to Southern New Hampshire and other New England markets. Axel Ragnarsson, founder of Aligned Real Estate Partners, acqu...

As passion for sports persists, the sports industry has shown major growth over the past several decades. It’s not just the teams, it’s the entire industry and ecosystem that supports them. Whether it’s food and beverage, merchandising, broadcasting and media, or even sports betting, sports are booming. In addition to the NBA, MLB, NFL, and NHL, sports like soccer and women’s sports are growing rapidly, not to mention the growth of youth sports. Nick Edwards, Founder of Venture Champion Partners...

As banks have become more regulated since 2008, and more risk averse because of economic uncertainty, the private lending market has grown tremendously in recent years. Whether it’s Real Estate operators who need to come up with more money to refinance their loans, or smaller private companies who need funding to grow their businesses, Private Credit is growing dramatically to fill these roles. Jeremy Hill, Founder and Managing Partner of JB Capital, provides $2 - $5 million loans to Commercial ...

Starting in 2012, Blackrock started investing in single family homes. This was on the heels of the great financial crises when newer homes in Phoenix and other sunbelt markets were selling for $60,000-$70,000. Since then, other institutions have also entered the space, and single-family homes has become an institutional asset class. Kris Garin, Principal and CEO of Riparian Capital Partners is aggregating an impressive portfolio of government-subsidized affordable single-family homes in Baltimor...

Wealth Management professionals typically recommend clients invest 70-80% of their portfolios in traditional vehicles such as stocks, bonds and commodities. Although traditional investments are great long-term wealth-building vehicles, alternatives assets also perform well and serve different purposes. They can generate consistent cash flow as high as 10%, with attractive tax advantages and achieve strong appreciation, all with less volatility than public equities. Jim Pfeifer, one of the founde...

There are no shortcuts to succeeding in business, there’s no way to avoid doing the hard work and putting the time in. The key is to persevere and stay in the game long enough to succeed. The longer you persist, the easier things become as you improve your skills and refine your focus, direction, and niche. A.J. Lawrence, entrepreneur, investor, and founder of businesses, advises companies across industries on how to grow. A.J. is a digital marketing and sales expert with several seven figure e...

There are different strategies for scaling a Real Estate portfolio. You can raise money from friends and family, you can syndicate deals from accredited investors, or you can create funds with multiple assets. Instead of these options, Nate Reichard, Chairman, CEO, and Founder of Reichard Capital, is starting a private REIT. A REIT provides more efficient access to capital and therefore an enhanced ability to acquire more properties. Unlike funds, REIT operators don’t have mandates on when to di...

Industrial properties were at 80% occupancy and selling at 5 cap rates pre-pandemic. Now they’re over 90% occupancy and selling at 8.5% cap rates. With interest rates most likely coming down, this represents a great opportunity to invest in industrial. Warren Buffet says never bet against America, now is a great time to invest in industrial properties. Judd Dunning, President of DWG Capital Partners, is raising a fund to acquire single tenant Sale Lease Backs from profitable companies with stron...

David Saxe is co-founder and Managing Principal at Calvera Partners. His company started out by buying small value-add multifamily properties in the San Francisco Bay Area and has grown to acquiring larger properties in Austin, Dallas-Fort Worth and Raleigh-Durham. Calvera invests in markets with strong health care and technology industries, often in places to which Californians are relocating. His company recently launched an evergreen fund where they are creating a diversified multifamily port...

With so many multifamily syndicators having executed value-add business plans over the past several years, there are fewer of these properties available for acquisition. Additionally, older properties have more deferred maintenance, and therefore are more difficult to underwrite. Most of the time, even with lower prices, the risk is not worth the reward with older properties, and newer properties appreciate more over time. Over the past year, more Class A properties have traded hands. Neill Be...

Over the past several years, it’s been difficult to generate cash flow investing in commercial Real Estate equity. There’s been too much investor demand driving the prices up and the returns down. Investing in debt, however, presents opportunities for strong cash flow with lower risk. As bank lending has gotten less accessible over the past couple years, borrowers have been forced to seek out other sources of capital, which has presented great opportunities for private lenders. Paul Shannon, co-...

Acquiring quality multifamily assets has gotten increasingly competitive over the last several years. This is one of the reasons it’s become more profitable to build communities from the ground up. Whereas the economics are enticing, however, there’s commensurate risk. There’s interest rate risk with floating construction loans, there’s construction cost risks with the move in material prices and labor costs, and there’s lease-up risk. Andrew Brewer, Founder of Iron Gall Investments, is building...

The commercial real estate market has seen more activity over the past few months as a result of pent-up demand and optimism that interest rates will decline. Many institutions, Private Equity firms, and other investors have lots of dry powder and are eager to deploy capital. As large Retail and Office have fallen out of favor over the past five years, an insatiable demand for stable industrial and multifamily assets has exploded. Cliff Booth, Founder of Westmount Realty Capital, has been a larg...