Real Angle: Building Success in Commercial Real Estate

Residential Land Development, Jackson Stith @ Maverick Capital

Tue, 01 Oct 2024 09:36:17 -0400

Jackson Stith, principal at Maverick Capital, discusses land development in the Rio Grande Valley. The region is experiencing population growth and economic development, making it an attractive market for real estate. Maverick Capital focuses on land development projects, primarily in the form of multi-family housing. They conduct extensive due diligence before acquiring land and then proceed with site planning, utility installation, and establishing the necessary legal frameworks. Stith emphasizes the importance of understanding the local market and catering to the specific needs and preferences of the residents. He also discusses the potential for amenities to enhance the value proposition of their projects. In this conversation, Jackson Stith discusses his experience in land development in Mexico. He talks about the amenities that work well in the region, such as playgrounds and pools, and the target buyers for rental properties and townhouses. Stith explains the flow of the development process, from builders leasing up the properties to selling them to investors. He also shares the secret sauce of his success, which includes understanding the market thoroughly, maximizing land efficiency, and problem-solving. Stith discusses his funding strategy, which involves using his own cash upfront and raising money on a deal-by-deal basis. He also shares his vision for the future, including expanding into vertical development and capitalizing on the growing market opportunities in Mexico.

Keywords

land development, Rio Grande Valley, population growth, economic development, multi-family housing, due diligence, site planning, utilities, legal frameworks, amenities, land development, Mexico, amenities, rental properties, townhouses, target buyers, development process, funding strategy, vertical development, market opportunities

Chapters

00:00 Introduction and Overview of Maverick Capital
03:05 The Acquisitions and Development Process
07:46 Local Players and Real Estate on Both Sides of the Border
10:01 Typical Projects and Focus Areas
14:24 The Importance of Amenities in Real Estate Projects
17:41 The Success of Amenities in Land Development
18:17 Target Buyers and the Development Process
20:59 The Secret Sauce of Success in Land Development
22:26 Funding Strategies for Land Development
30:34 The Vision for the Future: Vertical Development and Market Opportunities in Mexico

Medical Office Investing, Joseph Caltabiano @ Healing Realty Trust

Tue, 24 Sep 2024 04:51:00 -0400

In this episode, Josh discusses medical office investing with Joseph Caltabiano, founder and CEO of Healing Realty Trust. HRT is a REIT that acquires medical office buildings and adds psychedelic-assisted therapy clinics as vacancies arise. Remote work has not disrupted medical office buildings and continues performing well. The REIT structure provides transparency and aligns the interests of the operating side and investors. The value-added strategy involves expanding the infrastructure for psychedelic-assisted therapy, which is a growing and evolving field. The company targets properties in suburban areas near hospitals and focuses on stable revenue streams from long-term therapy. Their long-term goal is to scale up and eventually create a public opportunity.

Keywords Healing Realty Trust, REIT, medical office buildings, psychedelic-assisted therapy, value-add strategy, suburban areas, stable revenue streams, scale up, public opportunity

Chapters

00:00 Introduction and Overview

05:09 The Benefits of the REIT Structure

07:24 The Potential of Psychedelic-Assisted Therapy

13:12 Targeting Suburban Areas for Stable Revenue

19:45 Scaling Up and Creating a Public Opportunity

23:13 The Disrupted Cap Rates of Medical Office Buildings

26:31 The Bipartisan Acceptance of Mental Health

Fractionalization of Home Ownership, Frank Rohde @ Ownify

Tue, 17 Sep 2024 05:03:00 -0400

Frank Rohde, Founder and CEO of Ownify, explains a unique alternative to rent-to-own structures. Ownify is an alternative to traditional mortgages for first-time home buyers. It allows buyers to purchase homes and build equity without incurring debt. The homes are fractionalized into 10,000 bricks, which are membership interests in an LLC that holds title to the home. Buyers contribute a 2% down payment, while Onify contributes 98% of the bricks. Over a five-year program, buyers pay rent and gradually buy more bricks, eventually reaching 10% ownership. At the end of the program, buyers can use their equity to obtain a traditional mortgage and purchase the home from the LLC.

Keywords Ownify, alternative mortgage, first-time home buyers, fractional ownership, down payment, equity, rental income, home price appreciation

Chapters

00:00 Introduction to Ownify

03:22 How Ownify Works: Building Equity Without Debt

14:56 Buying the Home and Future Market Value

19:24 Balancing Investors and Buyers

26:39 Maintenance and Repairs

The Rise of Modular Construction, Roger Krulak @ Fullstack Modular

Tue, 03 Sep 2024 13:02:46 -0400

Roger Krulak, founder and president of Fullstack Modular, discusses modular construction and its benefits. Fullstack Modular is a fully volumetric design manufacturer system for mid to high-rise buildings. They have built the tallest modular building in the world, hotels, affordable housing, and student housing. They have factories in Connecticut and Portland, allowing them to serve both the East Coast and West Coast. Modular construction offers faster construction, less neighborhood disruption, and cost savings through economies of scale. Fullstack Modular aims to be part of the development team and drive the product through the factory to level out the volatility of the development cycle.

Keywords modular construction, Fullstack Modular, volumetric design, mid-rise buildings, high-rise buildings, tallest modular building, hotels, affordable housing, student housing, factories, East Coast, West Coast, faster construction, cost savings, economies of scale, development team, volatility

Chapters

00:00 Introduction to Fullstack Modular

03:48 Benefits of Modular Construction

06:34 Industrialization in Construction

10:49 Becoming Part of the Development Team

13:08 Modular Construction in the Market

18:13 Adoption of Offsite Construction

21:22 Collaboration with Building Trades

24:02 Limitations of Modular Construction

25:12 Applications of Modular Construction

The Surprising Strength of Post-Pandemic Brick-and-Mortar Retail, Michael Berne @ MJB Consulting

Tue, 27 Aug 2024 09:40:35 -0400

In this conversation, Joshua Kahr speaks with Michael Berne of MJB Consulting about the state of the retail market and trends. They discuss the role of MJB Consulting in helping clients understand the realistic retail expectations for their projects. They also explore the influence of retail on site planning and space planning and the importance of understanding psychographics in retail. They touch on the impact of the pandemic on retail and the resilience of brick-and-mortar stores. Finally, they discuss the future trends in retail, including the growth of experiential retail and the success of off-price retailers.

www.consultmjb.com (for consulting)

www.michaeljberne.com (for speaking and writing)

Keywords retail market, trends, MJB Consulting, realistic retail expectations, site planning, space planning, psychographics, pandemic impact, brick-and-mortar stores, experiential retail, off-price retailers

Chapters

00:00 Introduction and Overview

02:02 Role of MJB Consulting in Retail

03:23 Influence of Retail on Site Planning

05:59 Psychographics in Retail

10:02 Resilience of Brick-and-Mortar Stores

Mobile Home Investing, Sam Hales @ SG Communities

Tue, 20 Aug 2024 08:19:00 -0400

In this conversation, Joshua Kahr speaks with Sam Hales of SG Communities about mobile home parks and manufactured communities. They discuss the reasons why Sam got into mobile home parks, the challenges of finding product, the lack of new park development, and the perception problem associated with mobile home parks. They also touch on the financing and investor relations aspects of the business. Sam mentions that they are currently considering the future direction of Saratoga Group, whether to continue with syndication or explore other options. Sam Hales, CEO of Saratoga Group, discusses the mobile home park industry and the growth of his organization. He shares his focus on providing stability for residents and employees and building a career path for his team. Sam talks about the challenges of running a family business and the importance of having consistent rules for all employees. He also shares a surprising anecdote about a manager burning down a clubhouse on the morning of a closing. The conversation ends with a discussion about the current market and the increase in activity in the real estate industry.

Keywords mobile home parks, manufactured communities, product availability, new development, perception problem, financing, investor relations, syndication, mobile home parks, growth, stability, career path, family business, rules, surprising anecdote, market activity

Chapters 00:00 Introduction and Setting

02:30 Recession Resistance and Perception Problem

05:11 Zoning and Approvals for New Parks

07:06 Housing Crisis and Perception Problem

09:03 Changing Perception through Upgrades

11:41 Refinancing with Fannie Mae or Freddie Mac

14:11 Considerations for the Future of Saratoga Group

22:48 Surprising Anecdote: Manager Burns Down Clubhouse

31:04 Increased Market Activity in Real Estate

State of the Real Estate Accounting Industry, Howard Altshuler @ Weaver

Tue, 06 Aug 2024 09:37:51 -0400

In this conversation, Joshua Kahr and Howard Altshuler discuss the state of the accounting industry and the Fort Worth real estate market. They explore the growth and opportunities in the Fort Worth area, the impact of the pandemic on the office market, and the strategic growth of accounting firms through acquisitions and private equity investments. The conversation covers various topics related to the accounting profession, including talent acquisition, education requirements, the impact of AI, and the culture of accounting firms. Howard Altshuler shares insights on the challenges and opportunities in the accounting industry, as well as the importance of company culture and talent development.

Keywords

accounting industry, Fort Worth real estate market, office market, growth, acquisitions, private equity investments, accounting, talent acquisition, education requirements, AI impact, company culture, talent development

Chapters

00:00 Growth and Opportunities in Other Markets

15:06 Strategic Growth of Accounting Firms

20:11 Navigating Talent Acquisition in the Accounting Profession

25:00 Education Requirements and Challenges 30:42 The Impact of AI on Accounting: Uncertainty and Potential

Multi-tenant Flex Industrial Investing, Grant Reaves @ Stoic Equity Partners

Tue, 30 Jul 2024 19:56:44 -0400

Grant Reaves, Managing Director and Co-Founder of Stoic Equity Partners, discusses the industrial real estate market. Stoic primarily invests in multi-tenant flex industrial properties in the Southeast region of the United States. They focus on secondary markets that offer in-place yield and potential for rent growth. The demand for flex industrial space is high, with a variety of tenants including home services businesses, pharmaceutical companies, general contractors, and more. Stoic follows a value-add strategy, acquiring properties with varying degrees of stabilization and pushing rents to increase returns. They have recently launched a fund to raise equity for their acquisitions. Grant Reaves and Joshua Kahr discuss their experiences in the real estate industry and the growth of their firms. They talk about the importance of remaining humble and working well with partners. Grant shares the story of how he and his partner Jeremy Friedman started working together and their different backgrounds in investment banking and home building. They discuss the evolution of their firm and their plans for future funds. Grant also shares a funny story about discovering people living in one of their self-storage units. They talk about the importance of marketing and building relationships with investors.

Keywords

industrial real estate, flex industrial, secondary markets, in-place yield, rent growth, value-add strategy, fund, real estate, growth, partnership, investment banking, home building, fund, syndication, marketing, investors

Takeaways

Stoic Equity Partners invests in multi-tenant flex industrial properties in the Southeast region of the United States.

They focus on secondary markets that offer in-place yield and potential for rent growth.

Flex industrial properties have a variety of tenants, including home services businesses, pharmaceutical companies, and general contractors.

Stoic follows a value-add strategy, acquiring properties with varying degrees of stabilization and pushing rents to increase returns.

They have recently launched a fund to raise equity for their acquisitions. Remaining humble and working well with partners is important in the real estate industry.

Building relationships with investors and marketing through various channels is crucial for raising funds.

The evolution of a firm often involves starting with friends and family, then moving to syndication, working with family offices, and eventually launching a fund.

Putting out content and showcasing expertise through blogs, videos, and podcasts can help attract investors.

Flexibility and problem-solving skills are valuable assets in the real estate business.

The internet has made it easier to raise funds and connect with investors from different locations.

Finding the right investors who align with the firm's vision is key to long-term success.

Documenting everything on social media can have unintended consequences and impact one's reputation.

Selling and convincing are important skills in both brokerage and fund management.

Keeping things simple and not overcomplicating deals is crucial in the real estate industry.

Chapters

00:00 Introduction and Background

02:10 Investing in Multi-Tenant Flex Industrial Properties

04:59 The Diversity of Tenants in Flex Industrial

10:00 Trends and Outlook for the Industrial Market

12:53 Value-Add Strategy in Industrial Real Estate

14:55 Stoic's Approach to Property Management

20:11 The Evolution from Syndication to Fund Management

23:03 Attracting Investors through Content Marketing and Relationship Building

High Leverage Balance Sheet Lending, Maxwell Wu @ Fulcrum Lending

Wed, 17 Jul 2024 09:37:50 -0400

In this conversation, Joshua Kahr speaks with Maxwell Wu, CEO of Fulcrum Lending, about their lending business in the multifamily space. They discuss Fulcrum's high-leverage lending approach, their transition from being a correspondent for Freddie and Fannie to a balance sheet lender, and the importance of technology in their operations. They also touch on the current market dynamics, the future of gap financing, and Fulcrum's growth plans.

Keywords

multifamily lending, high leverage lending, balance sheet lender, technology, market dynamics, gap financing, growth plans

Takeaways

Fulcrum Lending is a high leverage lender in the multifamily space, offering loans with a 1.0 debt service coverage ratio (DSCR) and up to 75% loan-to-value (LTV) ratios.

They started as a correspondent for Freddie and Fannie but transitioned to a balance sheet lender due to rate increases and the need for gap financing.

Fulcrum uses their proprietary technology platform to quickly evaluate deals and make data-driven lending decisions.

The current market conditions, including the increase in money supply, suggest that the window for gap financing will continue for another 18 months to two years.

Fulcrum's future plans include expanding their footprint on the West Coast and Southeast, offering their own loan products, and focusing on being the best in the multifamily space.

Chapters

00:00 Introduction and Background

03:00 The Role of Technology in Lending

07:06 Lending Terms and Leverage Levels

09:05 Efficiency and Speed in the Lending Process

11:13 The Importance of In-Person Meetings

22:45 The Window for Gap Financing

26:25 The Impact of Money Supply on the Market

30:06 Fulcrum's Vision for Growth

Exploring Land Development in Texas, Alexander Vitenas @ Land Based Strategies

Tue, 09 Jul 2024 08:53:00 -0400

In this conversation, Josh Kahr speaks with Alex Vitenas about land development. They discuss the process of land development in Texas, including tax foreclosures and auctions. Alex shares his experience in purchasing distressed assets and flipping properties. He also talks about his funding strategies and the importance of finding the right deals. Alex highlights the success he has had with subdividing land and selling the parcels individually. Alexander Vitenas discusses his strategy of utilizing leverage to acquire properties and pay off debt quickly. He shares his approach of accumulating cash and then using leverage to do acquisitions. He also talks about the benefits of delayed gratification and the challenges of analyzing a large number of deals. Vitenas explains his decision to focus on finding the best deals rather than a specific neighborhood and the importance of being able to quickly identify the highest potential opportunities. He also shares a story about a challenging property purchase and the legal issues he faced.

Takeaways

Land development in Texas involves tax foreclosures and auctions.
Purchasing distressed assets can be a profitable strategy.
Finding the right deals and focusing on specific areas can lead to success.
Subdividing land and selling parcels individually can be a lucrative approach. Utilizing leverage can help accelerate debt repayment and property acquisition. Accumulating cash and then using leverage can be an effective strategy.
Delayed gratification can have significant benefits in the long term.
Analyzing a large number of deals can be challenging but can lead to finding the best opportunities.
Focusing on the best deals rather than a specific neighborhood can result in higher deal flow and better returns.
Legal issues can arise in property purchases, and it is important to navigate them effectively.

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Chapters 00:00 Land Development in Texas 11:45 Finding the Right Deals and Focusing on Specific Areas 22:26 The Benefits of Delayed Gratification 29:11 Navigating Legal Issues in Property Purchases

Building a Vertically Integrated Real Estate Company in New Orleans, Michael Merideth @ VPG Enterprise

Tue, 02 Jul 2024 09:00:40 -0400

Michael Merideth, CEO of VPG Enterprise, discusses his journey with Joshua Kahr in real estate and the growth of his company. VPG Enterprise is a vertically integrated real estate company based in New Orleans, specializing in affordable housing. Michael started investing in small rental properties in 2011 and has since grown the company to include institutional and affordable housing developments. The company has also expanded geographically, working on federal projects in Miami, Texas, Arkansas, and Oklahoma. Michael's vision for the future is to become a billion-dollar real estate company with a focus on more stable and less risky projects.

Takeaways

VPG Enterprise is a vertically integrated real estate company based in New Orleans, specializing in affordable housing.
Michael started investing in small rental properties in 2011 and has since grown the company to include institutional and affordable housing developments.
The company has expanded geographically, working on federal projects in Miami, Texas, Arkansas, and Oklahoma.
Michael's vision for the future is to become a billion-dollar real estate company with a focus on more stable and less risky projects.

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Chapters 00:00 Introduction and Background 01:15 Building a Vertically Integrated Real Estate Company in New Orleans 13:28 The Vision for the Future: Becoming a Billion-Dollar Real Estate Company

Benchmarking Performance, with Norman Miller, Professor Emeritus at the University of San Diego

Tue, 25 Jun 2024 08:11:00 -0400

In this conversation, Joshua Kahr and Norman Miller, a professor emeritus at the University of San Diego, discuss various aspects of real estate investment. He explains the evolution of family offices and the challenges of benchmarking in real estate. Miller emphasizes the importance of long-term thinking and net present value in investment decisions. He also highlights the significance of storytelling and track records in the industry. Additionally, Miller discusses the role of risk, branding, and niche segments in real estate investment. He concludes by expressing optimism about the future of the real estate market.

Takeaways

Real estate investment requires a long-term perspective and a focus on net present value rather than short-term gains.
Storytelling and track records play a crucial role in attracting investors and building credibility in the real estate industry.
Benchmarking in real estate can be challenging due to the lack of public data and the diversity of property types.
Investors should consider the risk-adjusted returns and the financing strategies when evaluating real estate investments.
Niche segments, such as data centers and self-storage, offer promising opportunities for real estate investors.

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Chapters 00:00 Introduction and Background 01:27 The Evolution of Family Offices 03:43 Challenges of Benchmarking in Real Estate 05:36 Determining the Right Level of Risk in Real Estate Investing 07:23 Internal Rate of Return (IRR) vs. Net Present Value (NPV) 09:17 The Importance of Storytelling in Real Estate Investment 10:28 The Challenge of Measuring Success in Real Estate 13:18 The Role of Risk in Real Estate Investment 14:17 The Importance of Track Records in Real Estate Investment 19:14 The Value of Branding in Real Estate 21:45 The Future of Private Wealth Managers in Real Estate 23:31 The Importance of Niche Real Estate Segments 26:06 The Role of REITs in Real Estate Investment 31:47 The Future of the Real Estate Market 33:21 Conclusion

Transitioning from LP to GP, Diana Lin @ Navi Ventures

Tue, 18 Jun 2024 04:27:00 -0400

In this conversation, Josh speaks with Diana Lin from Navi Ventures. We discuss her role in the company and their focus on value-add multifamily properties. She shares the markets they operate in, including Arizona, DFW, and New Mexico. Diana explains how she transitioned from being an architect to launching her own real estate venture. She emphasizes the importance of partnerships and finding mentors in the industry. Diana also highlights the value of hands-on experience in real estate rather than relying solely on formal education.

Diana Lin discusses her transition from being a limited partner (LP) to a general partner (GP) in real estate deals. She highlights the benefits of being an LP, such as gaining perspective on underwriting and vetting sponsors. Diana also shares her surprises and challenges as a GP, emphasizing the importance of time management and active asset management. She expresses her interest in focusing on ground-up development in the future and leveraging her architectural background to design her own projects. Overall, Diana's journey showcases the evolution and growth of a real estate professional.

Takeaways

Navi Ventures focuses on value-add multifamily properties in markets such as Arizona, DFW, and New Mexico.
Diana Lin transitioned from being an architect to launching her own real estate venture.
Partnerships and finding mentors are crucial in the real estate industry.
Hands-on experience in real estate is valuable and can be more beneficial than formal education.
Transitioning from an LP to a GP provides valuable perspective on underwriting and vetting sponsors.
Active asset management is crucial for success as a GP.
Being a GP requires time management and the ability to wear multiple hats.
Ground-up development offers opportunities for creative design and control over the entire project.

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Chapters 00:00 Introduction and Company Overview 01:07 Markets and Location 04:07 Diana's Background in Architecture 06:27 Transitioning from Architecture to Real Estate 08:26 The Decision to Launch Navi Ventures 10:55 Choosing Value-Add Multifamily 12:36 Importance of Partnerships and Trust 14:04 The Value of Experience over Education 15:08 Learning by Doing 16:24 The Role of Architecture in Real Estate 18:43 Benefits of Being an LP 21:09 Surprises of Being a GP 22:34 Balancing Work and Family 25:36 Future Plans: Ground-Up Development 28:38 Architecture Background and Development

Setting Up A First Fund, Diego Hurtado @ Navio Consulting

Tue, 11 Jun 2024 04:36:00 -0400

Diego Hurtado, Principal at Navio Consulting, discusses fund management and raising funds for small to medium-sized developers. Navio Consulting helps these developers build and set up real estate investment funds, and then assists in managing them. The typical fund structure involves adhering to Regulation D, Rule 506(c), which allows for the marketing of the offering to accredited investors. Diego emphasizes the importance of trust and relationships in the fundraising process, and the need for professionalization in the industry.

Takeaways

Navio Consulting helps small to medium-sized developers build and manage real estate investment funds.

The typical fund structure involves adhering to Regulation D, Rule 506(c), which allows for the marketing of the offering to accredited investors.

Trust and relationships are crucial in the fundraising process.

Chapters

00:00 Introduction and Overview

00:40 Navio Consulting: Helping Small to Medium-Sized Developers

05:15 Fund Structure and Regulation D

08:49 Fees and Compensation in Fund Management

11:11 Advantages of Building a Fund

15:18 Involvement in the Fund After Launch

18:02 Asset Management and Deal Fees

21:11 Trends in Fundraising and Fund Management

26:48 Long-Term Vision and Interest in Education

31:11 Major Trends in Fundraising and Fund Management

33:31 Importance of Building Relationships

34:01 Conclusion

Staffing a Family Office, Brian Adams, Principal @ Mack International

Tue, 04 Jun 2024 04:22:00 -0400

It's not easy to build a management team for family offices.

In this episode, I speak with Brian Adams, Principal at Mack International. We discuss his transition from the commercial real estate industry to executive search for family offices. He explains the unique challenges of hiring for family office positions, including the need for candidates with both technical skills and emotional intelligence to work within a family construct.

Adams also highlights the stability and control that family offices offer compared to traditional finance roles. He discusses the increasing importance of family offices as their own asset class and the trends of leadership transition and the creation of new family offices. Overall, he provides valuable insights into the world of family offices and executive search within this niche industry.

Takeaways

Hiring for family office positions requires candidates with both technical skills and emotional intelligence to work within a family construct.

Family offices offer stability and control compared to traditional finance roles, which can be attractive to professionals seeking a long-term career.

Family offices have become their own asset class and are increasingly professionalized and institutionalized.

The future of family offices includes a leadership transition from baby boomers to the next generation, as well as the creation of new family offices and the splitting off of branches within larger families.

Chapters

00:00 Introduction and Background

00:40 Transition to Executive Search

03:21 Hiring for Family Office Positions

05:29 Differences in Hiring for Family Offices

08:24 Compensation and Career Path in Family Offices

10:22 Rise of Family Offices

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Data Driven Development in Boston, Eric Doroski @ Zanzibar Capital

Tue, 28 May 2024 14:30:00 -0400

Summary

In this conversation, Joshua Kahr speaks with Eric Doroski, Managing Partner at Zanzibar Capital, about their focus on the Boston market and their investment and development pipeline. They discuss the challenges in the current market, including the lack of debt and equity, and the impact of interest rates. Eric shares insights into their current project, a 32-unit condo development, and the importance of understanding the retail condo market. They also discuss their data-driven approach and how they convey this to their investors. Eric highlights the trend of affordable housing projects and their equity sources, including working with family offices.

Takeaways

Zanzibar Capital focuses on the Boston market, particularly in the greater Boston area, with a focus on multifamily and mixed-use properties.
They are currently working on a 32-unit condo development project in South Boston, which includes ground-floor retail and affordable units.
Eric Doroski emphasizes the importance of a data-driven approach and the ability to provide quantitative answers to investors' questions.
They discuss the challenges in the current market, including the disconnect between buyers and sellers, and the impact of interest rates. However, there are still opportunities for investment and development.

Chapters

00:00 Introduction and Background

01:02 Zanzibar Capital and Focus on Boston Market

03:18 Investment vs. Development Pipeline

04:27 Challenges in the Current Market

05:12 Current Project: 32-Unit Condo Development

07:14 Retail Condos and Specialized Investments

08:06 Focus on Core Competencies

09:08 Cashless Society and Amenities

09:54 EV Charging and Future-Proofing

11:56 Interest Rates and Future Opportunities

13:13 Data-Driven Approach and Investor Communication

15:22 Unique Value Proposition and Gut Feelings

19:49 Trends in the Market: Affordable Housing Projects

23:04 Equity Sources and Working with Family Offices

26:41 Interesting Market Trends and Opportunities

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Online Fundraising and CrowdStreet, Ian Formigle @ CrowdStreet

Tue, 21 May 2024 11:16:09 -0400

In this conversation, Ian Formigle, Chief Investment Officer at CrowdStreet, discusses the role of CrowdStreet as an online platform for individuals to invest in commercial real estate projects. He explains how CrowdStreet acts as a broker-dealer and offers investment opportunities in various asset classes and geographies. Ian also highlights the growth of the investment advisor side of CrowdStreet and the different preferences of investors. He shares the factors that contributed to CrowdStreet's success in the online platform market and the importance of avoiding platform risk. Ian discusses the types of real estate investments that attract investors, such as multifamily properties, and the challenges of investing in niche product types. He also explains the process of finding and vetting sponsors for the platform and the criteria used for screening. Finally, Ian discusses the short-term goals of CrowdStreet, including recovering and growing in 2024. Takeaways

CrowdStreet is an online platform for individuals to invest in commercial real estate projects across the country.
CrowdStreet acts as a broker-dealer and offers investment opportunities in various asset classes and geographies.
Investors on CrowdStreet can choose between investing individually or through funds managed by CrowdStreet Advisors.
Multifamily properties are a popular investment choice on the platform due to their approachability and potential for cash flow.
CrowdStreet screens and vets sponsors to ensure they meet the platform's criteria and maintain a long-term relationship based on trust.

Chapters 00:00 Introduction and Overview 00:43 What does CrowdStreet do? 01:38 CrowdStreet's Role as a Broker-Dealer 03:00 Growth in Investment Advisor Side 04:07 Surviving and Thriving in the Online Platform Market 05:23 Factors Contributing to CrowdStreet's Success 06:11 Differentiating CrowdStreet's Marketplace 07:02 Avoiding Platform Risk 08:27 Creating a Scalable Investor Experience 09:46 Transitioning from Active to Passive Real Estate Investing 11:58 Understanding Crowdfunding and Regulation 506 14:13 Differentiating CrowdStreet from True Crowdfunding 15:38 Investor Interest in Multifamily Real Estate 17:15 Product Types that Attract Investors 19:22 Product Types that Lack Investor Interest 21:19 Avoiding Niche and Risky Product Types 23:21 Finding and Vetting Sponsors 26:23 Recovering and Growing in 2024 31:10 Short-Term Goals for CrowdStreet

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Energy Rights and Power Production, Chris Pawlik @ EPR Squared

Tue, 14 May 2024 10:35:50 -0400

Chris Pawlik, co-founder of EPR Squared, explains the concept of energy producing retail realty and how the company offers a sale leaseback of energy rights to property owners. By developing energy rights behind the meter, property owners can decrease operating expenses and increase net operating income. The agreements typically last around seven years, and EPR Squared provides a percentage rent to the property owner based on the revenue generated from the power. The company targets projects with a minimum size of 30,000 to 50,000 square feet, but is also developing an energy rights portal to accommodate smaller projects. Takeaways

EPR Squared offers a sale leaseback of energy rights to property owners, allowing them to decrease operating expenses and increase net operating income.
The agreements typically last around seven years, and property owners receive a percentage rent based on the revenue generated from the power.
EPR Squared targets projects with a minimum size of 30,000 to 50,000 square feet, but is developing an energy rights portal to accommodate smaller projects.
The real estate market conditions, such as interest rates and leasing activity, can impact the adoption of EPR Squared's services.

Chapters 00:00 Introduction and Company Overview 00:49 Explanation of EPR Squared 04:02 Sale Leaseback of Energy Rights 05:54 Revenue Sharing Agreement 08:25 Duration of Agreements 09:57 Impact of Real Estate Market on EPR Squared 14:54 Market Potential and Location 17:03 Comparison to Other Financing Options 20:56 Longevity of Solar Equipment 21:08 Customer Acquisition 23:29 Surprises in the Business 28:52 Impact of Real Estate Market on EPR Squared 32:48 Minimum Size for EPR Squared Projects 34:42 Energy Rights Portal

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

The Efficiency of Multi-Family Offices, Jason Mandel @ Mandel Family Office

Tue, 07 May 2024 10:50:00 -0400

SummaryIn this conversation, Jason Mandel, CEO of the Mandel Family Office, discusses the basics of family offices and the services they provide. He explains the difference between single family offices and multi-family offices, highlighting the benefits of the latter. Mandel emphasizes the importance of holistic financial advice and the role of a family office in helping families avoid controversy and disintegration. He also discusses philanthropic ambitions, legacy planning, and tax minimization strategies. Additionally, Mandel shares insights on utilizing insurance solutions for wealth management, investment funds and strategies, and concerns and challenges faced by clients. He concludes by discussing client acquisition and referrals. Takeaways

Family offices provide holistic financial advice and services to wealthy individuals and families.
Multi-family offices offer a range of services and allow clients to share expenses, reducing costs.
Family offices can help families avoid controversy and disintegration by providing unbiased advice and structuring solutions.
Insurance solutions can be utilized for wealth management, tax minimization, and legacy planning.
Investment funds and strategies can be tailored to meet the unique needs and goals of clients.
Client acquisition for family offices often comes through referrals from lawyers and accountants.

Chapters 00:00 Introduction and Background 01:01 Starting a Family Office 02:39 Single Family Office vs. Multi-Family Office 03:35 Benefits of a Multi-Family Office 06:06 The Importance of Holistic Financial Advice 08:36 Avoiding Controversy and Family Disintegration 09:35 Philanthropic Ambitions and Legacy Planning 11:00 Utilizing Insurance Solutions for Wealth Management 13:05 Tax Minimization Strategies 14:45 Utilizing Life Insurance for Tax-Free Growth 19:36 Investment Funds and Strategies 21:33 Asset-Backed Lending and Tax-Free Retirement Plans 29:46 Concerns and Challenges for Clients

---

This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Financing Energy Projects for CRE, Chad Blevins @ Repower Holdings

Tue, 30 Apr 2024 11:25:16 -0400

Chad Blevens from Repower Holdings discusses their unique approach to financing energy improvement projects in commercial real estate. Repower Holdings aims to provide capital for energy improvement projects that are part of larger real estate deals, offering an equity position in the overall asset. This approach aligns the interests of the energy improvement provider and the real estate investor, driving trust and collaboration. The strategy is applicable to various asset classes and regions, with a focus on high energy use intensity and regions with higher energy costs. Repower Holdings plans to start deploying capital in Q1 and expects to have a balanced portfolio across asset classes and regions.

Takeaways

Repower Holdings provides capital for energy improvement projects in commercial real estate, offering an equity position in the overall asset.
Their unique approach aligns the interests of the energy improvement provider and the real estate investor, driving trust and collaboration.
The strategy is applicable to various asset classes and regions, with a focus on high energy use intensity and regions with higher energy costs.
Repower Holdings plans to start deploying capital in Q1 and expects to have a balanced portfolio across asset classes and regions.

Chapters

00:00 Introduction and Overview

00:57 Repower Holdings' Concept and Objectives

03:23 Equity Position in Real Estate Deals

07:10 Repower Holdings' Differentiation

09:32 Partnership with Correlate Energy

10:29 Expanding Financing Options 11:57 Equity Financing vs. PPA Financing

13:23 Focus on Ground-Up Development and Value-Add Projects

16:00 Case Study: Energy Retrofit of a 1970s Vintage Apartment Complex

20:51 Importance of Energy Efficiency in Real Estate

22:16 Energy Efficiency Challenges and Low-Hanging Fruit

24:35 Alignment of Interests and Trust

26:32 Fundraising and Deployment Timeline

28:20 Target Market and Product Types

30:11 Balanced Portfolio Approach

34:04 Long-Term Viability of the Strategy

---

This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Urban Infill Development in San Diego, John Allen @ Streamline Development Group

Tue, 23 Apr 2024 13:36:00 -0400

In this conversation, Josh Kahr speaks with John Allen, founder and president of Streamline Development Group. They discuss John's unconventional route into real estate development and the focus of Streamline Development on urban infill projects in San Diego. They also explore the high demand for rental properties in San Diego, the presence of national players in the market, and the challenges of finding development sites. John shares insights into the legislative edge that Streamline Development has in shaping upcoming regulations and their plans for future growth and expansion, including a focus on middle-income housing. They also discuss how sometimes historic preservation can be used as a barrier to development, and how their perspective as a local player differs from the national development firms.

00:00 Introduction and Background

03:03 Starting Streamline Development

07:09 Scaling the Business

09:03 Demand for Rental Properties in San Diego

12:52 Local Developers vs. National Players

15:47 Finding Development Sites

18:36 Using Legislative Edge as an Advantage

22:42 Surprises in Recent Transactions

28:47 Future Growth and Expansion

32:21 Focus on Middle-Income Housing

---

This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

From Acquisitions to Asset Management, Roundtable with Montgomery Partners

Tue, 16 Apr 2024 09:46:00 -0400

In this interview, Josh Kahr gets to sit down with the whole team at Montgomery Partners and talk about the lifecycle of the asset - from acquisition to fundraising to asset management. They are a long-term value-add investor in the multifamily space. They focus on the B to C class space in markets such as California, Colorado, and Nevada, and are expanding into Utah, Washington, Idaho, and Oregon. The company has a track record of success and a loyal investor base. They are cautiously optimistic about the market in 2024, but are aware of potential challenges such as a recession and increased supply. Montgomery Partners is open to exploring new opportunities, including joint ventures and alternative investment strategies. They are also considering ancillary revenue opportunities such as solar and EV charging.

Chapters

00:00 Introduction and Company Overview

03:02 Investment Strategy and Target Markets

08:06 Market Outlook and Potential Challenges

12:12 Operational Challenges and Property Management

15:15 Recent Deals and Surprises

18:06 Market Conditions and Future Plans

25:15 Solar and Electric Vehicles

29:21 Third-Party Property Management

30:30 Cautious Optimism and Future Investments

---

This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Tax Appeal and Tax Assessments, David Wolfe @ Skoloff and Wolfe

Tue, 09 Apr 2024 09:47:16 -0400

In this conversation, Joshua Kahr speaks with David Wolfe, managing partner at Skoloff and Wolfe (https://www.skoloffwolfe.com/), about tax appeals and property tax assessments. They discuss the challenges property owners face with assessments and revaluations, the importance of understanding assessment ratios, and the deadlines for tax appeals. They also explore the process of tax appeals, including negotiations based on the income approach to value. David shares some surprising cases and challenges in the field of tax appeals and discusses the future plans for the firm.

Chapters

00:00 Introduction and Background

03:00 Understanding Property Tax Assessment

06:23 Challenges with Assessments and Revaluations

12:12 Deadlines for Tax Appeals

14:05 The Process of Tax Appeals

20:48 Negotiating Assessments Based on Income Approach

22:21 Dealing with COVID-19 Impact on Assessments

26:31 Contingency-Based Pricing Model

29:31 Surprises and Challenges in Tax Appeals

35:23 Future Plans for the Firm

---

This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Investing in the Rodeo Region, Brian Wilson @ Bow River Capital

Tue, 02 Apr 2024 13:00:25 -0400

In this conversation, Joshua Kahr speaks with Brian Wilson, Managing Director of Real Estate at Bow River Capital (bowrivercapital.com). They discuss Bow River Capital's investment strategy, regional focus on the "Rodeo Region", and how they find quality operators to partner with. They also explore the current market conditions and the timing of capital deployment. Brian also shares insights on finding and evaluating operators, as well as other interesting investment opportunities in retail and single-tenant net leasing. They conclude by discussing the outlook for 2024 and the importance of considering market fundamentals in investment decisions. Is 2024 the year the equity floodgates finally open?

Chapters

00:00 Introduction and Background

01:11 Overview of Bow River Capital

03:18 Investment Strategy and Partnerships

05:45 Regional Focus

07:13 Investment Opportunities in Non-Coastal Cities

08:46 Timing of Capital Deployment

11:36 Market Fundamentals and Supply

13:57 Importance of Partner Selection

16:23 Dual Strategy of Apartments and Industrial

20:13 Market Timing and Fund Deployment

23:49 Finding and Evaluating Operators

25:28 Other Interesting Investments

32:43 Investment Opportunities in Retail and Single-Tenant Net Leasing

35:22 Investment Opportunities in Income Funds and Subordinate Debt

38:06 Outlook for 2024 and Conclusion

---

This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

UK Investing Modeling as a Service, Alex Wilson @ Pantera

Tue, 26 Mar 2024 12:08:00 -0400

In this conversation, Joshua Kahr speaks with Alex Wilson, COO of Pantera (www.panteratechnology.com), a financial forecasting and investment modeling platform for the real estate industry. They discuss Pantera's services, market focus, and expansion plans. They also explore the challenges and opportunities in the PropTech space, including the siloed nature of the industry and the role of strategic investors. The conversation highlights the need for modern technology in real estate and the importance of simplifying complex processes. They also touch on the health of the real estate market and how that impacts the investment landscape, linked to the relatively slow adoption rate of technology in the industry.

Chapters

00:00 Introduction and Company Background

01:23 Pantera's Services and Value Proposition

04:05 Market Focus and Expansion Plans

05:07 Regional Differences in Real Estate Analysis

07:45 Customer Acquisition and Word of Mouth

10:18 Competition and Excel Integration

13:26 Challenges and Siloed Nature of PropTech

16:11 Funding and Strategic Investors

19:56 Future Vision and Product Development

22:58 Impact of Real Estate Market on Pantera

27:20 Surprises and Challenges in Starting the Business

32:31 Adoption of Technology in Real Estate

33:31 Conclusion and Appreciation

---

This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Cost Segregation, Part 2, Kim Lochridge @ Engineered Tax Services

Tue, 19 Mar 2024 09:45:00 -0400

In this conversation, Joshua and Kim discuss energy efficiency tax credits and deductions. They cover the history of these incentives, including the Energy Policy Act of 2005, and focus on two major programs: Section 179D and Section 45L. Section 179D provides a tax deduction for commercial buildings that meet energy efficiency criteria, while Section 45L offers a tax credit for residential units. The conversation explores the eligibility criteria, changes in the tax code, and the impact of these incentives on architects, engineers, and developers.

They also touch on the changes brought about by the Inflation Reduction Act, the challenges in qualifying for Energy Star certification, and the future of these tax credits. Additionally, they highlight the involvement of stakeholders in government processes and the complexity of implementing and modifying tax credit rules.

Introduction
History of Energy Efficiency Tax Credits
Section 179D: Tax Deduction for Energy Efficiency Section
45L: Tax Credit for Residential Energy Efficiency
Changes after the Inflation Reduction Act
Challenges in Qualifying for Energy Star Certification
Summary of Available Tax Credits
Future of the Tax Credits
Involvement in Government and Lobbying Efforts
The Complexity of Government Processes
Other Tax Credits for Residential Properties
Conclusion

---

This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Cost Segregation, Part 1, Kim Lochridge @ Engineered Tax Services

Tue, 12 Mar 2024 12:23:00 -0400

Introduction
History of Energy Efficiency Tax Credits
Section 179D: Tax Deduction for Energy Efficiency Section
45L: Tax Credit for Residential Energy Efficiency
Changes after the Inflation Reduction Act
Challenges in Qualifying for Energy Star Certification
Summary of Available Tax Credits
Future of the Tax Credits
Involvement in Government and Lobbying Efforts
The Complexity of Government Processes
Other Tax Credits for Residential Properties
Conclusion

---

This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Building a Hotel Brand, Ethan Orley @ Oliver Hospitality

Tue, 05 Mar 2024 05:56:00 -0500

In this conversation, Joshua Kahr speaks with Ethan Orley, managing partner at Oliver Hospitality (www.oliverhospitality.com), about his journey in the hospitality business.

They discuss the challenges of operational oversight, the current deals and expansion plans of Oliver Hospitality, and the availability of equity and debt in the hotel industry. They also touch on the concept of self-check-in hotels and the future of the industry. Ethan shares insights into the Oliver brand and the types of hotel deals that are most effective for their business. They conclude the conversation by discussing partnership opportunities in the hotel space.

Chapters

00:00 Introduction and Background

02:20 Starting the Hospitality Business

04:29 Operational Oversight and Challenges

06:04 Current Deals and Expansion Plans

08:56 Building a Management Company

10:21 Raising Equity and Debt

12:46 The Oliver Brand

16:50 Considerations for Hotel Deals

20:16 Availability of Equity and Debt

23:03 Self-Check-In Hotels

26:27 Becoming a Lender

34:04 Future of Hotels

37:25 Partnership Opportunities

38:01 Closing Remarks

---

This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Economic Forecasting for CRE, Malcolm Frodsham @ Real Estate Strategies

Tue, 27 Feb 2024 05:18:00 -0500

In this interview, I spoke with Malcolm Frodsham, Director of Real Estate Strategies (www.realestatestrategies.co.uk), an economic forecasting firm that focuses on UK commercial real estate markets.

We chatted about a diverse range of topics including how one even gets into this line of work. We talked about what economic forecasting is, and how firms can best use it. We also discussed how international markets have more in common than you'd think, and what sort of signal can be teased out of where there are differences. The future of specific product types including office, retail, and multifamily were also examined, and how specific regulatory pressures can affect forecasts.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Providing Co-Investment for Development, Ashleigh Simpson @ Grosvenor

Wed, 21 Feb 2024 14:46:18 -0500

In this interview, I chatted with Ashleigh Simpson, Head of Structured Development Finance for Grosvenor's North American property business. Amongst other things, they co-invest with residential developers in for sale and for rent ground-up multi-family developments in the United States and Canada.

We discussed what co-investment means and what they look for in a development partner. We also discussed the implications of trying to call the market, and what it's like to focus on a product through various market cycles.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Family Office Strategies for Real Estate, Adam Fruitbine @ Maxx Properties

Tue, 13 Feb 2024 05:18:00 -0500

I sat down with Adam Fruitbine, CIO at Maxx Properties (www.maxxproperties.com), in this interview. Maxx Properties is a family office that focuses on owning and managing its multifamily real estate portfolio.

To start, we discussed what it means to be a family office, how they think about hold periods, and the role of debt. We also talked about their strategic plan to grow their operations and build an investment management business. This would bring in new investors while still maintaining their core family office operations. The targeting of new markets to invest in was also examined, and to what extent regulatory pressures enter into their decision-making.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Aggregating Capital, Ron Diamond @ Diamond Wealth Strategies

Tue, 06 Feb 2024 05:38:00 -0500

In this interview, I spoke with Ron Diamond, CEO of Diamond Wealth Strategies. They are a family office with a focus on commercial real estate. They aggregate capital from over 100 single-family offices and deploy this capital as a collective force alongside their own capital. This collective of capital allows them access to deals that they otherwise wouldn't see if they were investing on their own. We discussed the state of the markets and the recent opportunities that they're looking at. He also shared how the family office landscape is changing, the long-term institutionalization of family offices, and the unique advantages that family offices have over private equity firms.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Growing New Retail IRL, Amol Sarva @ Aikito

Tue, 30 Jan 2024 05:16:00 -0500

In this interview, I spoke with Amol Sarva, co-founder of Aikito (https://www.aikito.co/), a platform simplifying commercial renovations. As a serial entrepreneur, he co-founded startups including Virgin Mobile USA, Peek, Halo Neuroscience, Knotel, LifeX Ventures, and CornerUp. His extensive experience in entrepreneurship, advocacy for open access in wireless spectrum policy, and commitment to sustainability make him a sought-after expert.

We discussed his new venture, Aikito, and how they're enabling businesses to roll out new locations on budget, in shorter time frames, and with higher quality results. We also discussed how sustainability issues have moved to the forefront of concerns for clients when considering how they're building these new locations.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Expanding Into New Markets, Jonathan Feifer @ Parkstone Management

Tue, 23 Jan 2024 05:17:00 -0500

In this interview, I spoke with Jonathan Feifer, CEO of Parkstone Management. They are a real estate development company that has built multifamily projects in New York City and New Jersey. They are now expanding to Reno, Nevada.

Amongst other things, we discuss the state of the debt and equity markets and the challenges of development in other regions. We also discuss how to grow a development pipeline during a slow market.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Bridge Financing, Kevin McCarthy @ Southmark Capital

Tue, 16 Jan 2024 11:58:00 -0500

In this interview, I sat down with Kevin McCarthy, CEO of Southmark Capital. Southmark Capital purchases distressed debt and also offers short-term bridge financing.

His firm was formed over 20 years ago when he worked with the principals of two family offices to deploy their capital in a specialized platform to purchase distressed debt as a way to obtain low basis cost land that could be developed. As opposed to many buyers of distressed debt, they have a focus on ground-up development.

We discussed the state of the debt markets, the growth of non-bank lending, and what opportunities he sees coming down the road over the next 12-24 months.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Hard Money Lending, Deryle Bourgeois and Shaun Bourgeois @ NOLA Hard Money

Tue, 09 Jan 2024 05:17:00 -0500

Deryle Bourgeois and Shaun Bourgeois are the owners of NOLA Hard Money (https://nolahardmoney.com/) , a high-yield lender that services primarily the Louisiana market.

We discussed some of the misconceptions about what "hard money" lending is and what place it serves in the capital markets landscape. We also talked about what a hard money lender looks for, what kinds of investments are not a good fit for them, and what differentiates a successful lender over the long term from those that dip in and out of the market.

We also took the time to talk about how they fund their loans, and where related businesses that provide servicing and title insurance fit into all of this.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Registered Investment Advisor for Real Estate, Erin O’Boyle @ Harvest Capital Partners

Tue, 02 Jan 2024 14:49:00 -0500

Erin O’Boyle is a Founder and Managing Partner of Harvest Capital Partners (www.harvestcp.com), an SEC-registered investment advisor that services Public and Private Pension funds and institutions in the commercial real estate space.

We had the chance to discuss the state of the market, the mindset of pension funds when it comes to making investments, and how they formulate strategies. We also talk about whether or not owners are adequately valuing their portfolios given the state of the capital markets.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Growing a Development Platform, Stephen Hutto @ 40|M

Tue, 19 Dec 2023 05:11:00 -0500

In this interview, I spoke with Stephen Hutto, CEO of 40|M. They are an opportunistic value-add investor in the Dallas market. He was previously the CIO of Gemdale USA, a real estate investment and development company that is the US arm of a Chinese-based multi-national developer.

We discuss what it takes to grow a national development platform from scratch, what the transition is like to go from working for a multinational to working for himself, and the general state of the US commercial real estate market. Along the way, we also ponder just how bad this market is going to get.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Non-Bank Lending for Agriculture, Keir Renick @ FarmOp Capital

Tue, 12 Dec 2023 05:56:00 -0500

In this interview, I spoke with Keir Renick, CEO of FarmOp Capital (www.farmop.com). They are a specialty lender that provides operating capital to farmers. His company provides an alternative lending source for farmers who otherwise would not be able to access credit. They have had rapid growth in the last few years.

We discuss what it's like to manage 100% year-over-year growth, how his entity makes and monitors loans, and how a specialty lender fulfills a market need where traditional commercial real estate lenders such as banks cannot.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Impact Investing, Paul Rabinovitch @ a single-family office

Tue, 05 Dec 2023 05:14:00 -0500

In this interview, I spoke with Paul Rabinovitch, a Senior Advisor at a single-family office. For confidentiality reasons, the name of his employer has been withheld. Paul’s experience includes building one of the largest private portfolios of net zero energy operating buildings in the USA as well as leading-edge workforce housing, affordable housing, historic preservation, and community-oriented development projects that focus on inclusivity and equity.

We discussed his employer's investment mandate to him to focus on "impact" real estate. They look to deliver strong risk-adjusted financial returns together with lasting environmental and social benefits. We also talked about what impact investing means to him, why it's important, and what markets and product types are most relevant.

We also dove into what a family office really is, and how no two family offices are the same. The state of capital markets and to what extent a family office is insulated from normal market volatility was also a spirited topic of discussion.

---

This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

C-PACE Financing, Laura Rapaport @ North Bridge

Tue, 28 Nov 2023 05:39:00 -0500

In this interview, I spoke with Laura Rapaport, CEO of North Bridge (www.northbridgeops.com). Her company provides C-PACE financing ("Commercial Property Assessed Clean Energy"). C-PACE is a financial tool for property owners to obtain low-cost, long-term financing for energy-efficient equipment, renewable energy, water conservation, resiliency, and indoor air quality projects. It can provide up to 100% funding of total project costs by placing a special voluntary assessment on the property that repays the costs of the upgrades, including equipment, labor, and soft costs.

We discuss the state of the C PACE market, its growth path, and its use in today's credit-constrained market as "rescue capital." We also talk about the patchwork of regulation regarding C PACE and how it's not so simple as having a State pass a law that authorizes its use.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Large Scale Apartment Development, Joseph Ouellette @ Standard Communities

Thu, 16 Nov 2023 05:38:00 -0500

In this interview, I spoke with Joseph Ouellette, COO of Standard Communities (www.standard-communities.com). His company is a major developer and investor in LIHTC ("low income housing tax credit") properties and workforce housing in approximately 20 markets throughout the United States.

We discuss what it's like to manage organizational growth vs. being a "deal maker", what makes an investment work for them, and how COVID and government intervention affected overall delinquency rates.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Rebuilding Detroit, Josh Fuhrer @ Bedrock Detroit

Thu, 09 Nov 2023 05:56:00 -0500

In this interview, we speak with Josh Fuhrer, VP of Development at Bedrock Detroit (www.bedrockdetroit.com). His company is working on what is arguably the largest-scale private sector development currently underway. We discuss the resurgence of the City of Detroit, his company's role as an engine of economic development, and the impressive scale of their projects.

We also talk about the overall real estate cycle and whether or not they're actually affected by it. The topic of planning for future generations is also discussed.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Automating the Underwriting Process, Parag Goswami @ Clik.ai

Thu, 02 Nov 2023 05:01:00 -0400

In this interview with Parag Goswami, CEO of clik.ai (www.clik.ai), we discuss AI-assisted real estate underwriting and the future of AI and machine learning in commercial real estate in general.

We also talk about the overall real estate cycle and whether the health of the industry overall affects the health of "proptech". We also discuss how the funding for proptech ventures is often different from other tech/software companies.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Launching a Co-GP Fund, Min Suh @ Steady Capital

Thu, 26 Oct 2023 01:15:00 -0400

In this interview with Min Suh, Managing Partner at Steady Capital (steady-cap.com), we discuss co-GP funds vs. "friendly equity", the evolution of the capital stack in today's market, and what it's like to raise capital for a first-time fund. We also reflect on whether or not we're about to experience an epic level of debt defaults. Good times.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Online CRE Underwriting, Steve Surridge @ Forbury

Thu, 19 Oct 2023 01:18:00 -0400

In this interview with Steve Surridge, CEO of Forbury, we discuss the technology landscape for real estate investment analysis software, growing into international markets, and how their products expand the usefulness of Excel in analyzing commercial real estate.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Real Estate Development with Not-For-Profit Partners, Brandon Gibson @ The Steinbridge Group

Wed, 04 Oct 2023 15:07:24 -0400

Welcome to Real Angle. I'm Joshua Kahr, and in this episode, I interview Brandon Gibson, Managing Director at Steinbridge.

I think you'll find this to be a very engaging interview. We discuss real estate development, working with not-for-profits, and unlocking hidden value in underutilized land.

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This podcast is sponsored by Kahr Real Estate Services (https://www.kahrrealestate.com/), a leading provider of in-person and online financial training for the commercial real estate industry.

Sign up for our live Excel modeling training class here: https://www.kahrrealestate.com/product/excel-for-real-estate-analysis/

Real Angle: Building Success in Commercial Real Estate

Residential Land Development, Jackson Stith @ Maverick Capital

Medical Office Investing, Joseph Caltabiano @ Healing Realty Trust

Fractionalization of Home Ownership, Frank Rohde @ Ownify

The Rise of Modular Construction, Roger Krulak @ Fullstack Modular

The Surprising Strength of Post-Pandemic Brick-and-Mortar Retail, Michael Berne @ MJB Consulting

Mobile Home Investing, Sam Hales @ SG Communities

State of the Real Estate Accounting Industry, Howard Altshuler @ Weaver

Multi-tenant Flex Industrial Investing, Grant Reaves @ Stoic Equity Partners

High Leverage Balance Sheet Lending, Maxwell Wu @ Fulcrum Lending

Exploring Land Development in Texas, Alexander Vitenas @ Land Based Strategies

Building a Vertically Integrated Real Estate Company in New Orleans, Michael Merideth @ VPG Enterprise

Benchmarking Performance, with Norman Miller, Professor Emeritus at the University of San Diego

Transitioning from LP to GP, Diana Lin @ Navi Ventures

Setting Up A First Fund, Diego Hurtado @ Navio Consulting

Staffing a Family Office, Brian Adams, Principal @ Mack International

Data Driven Development in Boston, Eric Doroski @ Zanzibar Capital

Online Fundraising and CrowdStreet, Ian Formigle @ CrowdStreet

Energy Rights and Power Production, Chris Pawlik @ EPR Squared

The Efficiency of Multi-Family Offices, Jason Mandel @ Mandel Family Office

Financing Energy Projects for CRE, Chad Blevins @ Repower Holdings

Urban Infill Development in San Diego, John Allen @ Streamline Development Group

From Acquisitions to Asset Management, Roundtable with Montgomery Partners

Tax Appeal and Tax Assessments, David Wolfe @ Skoloff and Wolfe

Investing in the Rodeo Region, Brian Wilson @ Bow River Capital

UK Investing Modeling as a Service, Alex Wilson @ Pantera

Cost Segregation, Part 2, Kim Lochridge @ Engineered Tax Services

Cost Segregation, Part 1, Kim Lochridge @ Engineered Tax Services

Building a Hotel Brand, Ethan Orley @ Oliver Hospitality

Economic Forecasting for CRE, Malcolm Frodsham @ Real Estate Strategies

Providing Co-Investment for Development, Ashleigh Simpson @ Grosvenor

Family Office Strategies for Real Estate, Adam Fruitbine @ Maxx Properties

Aggregating Capital, Ron Diamond @ Diamond Wealth Strategies

Growing New Retail IRL, Amol Sarva @ Aikito

Expanding Into New Markets, Jonathan Feifer @ Parkstone Management

Bridge Financing, Kevin McCarthy @ Southmark Capital

Hard Money Lending, Deryle Bourgeois and Shaun Bourgeois @ NOLA Hard Money

Registered Investment Advisor for Real Estate, Erin O’Boyle @ Harvest Capital Partners

Growing a Development Platform, Stephen Hutto @ 40|M

Non-Bank Lending for Agriculture, Keir Renick @ FarmOp Capital

Impact Investing, Paul Rabinovitch @ a single-family office

C-PACE Financing, Laura Rapaport @ North Bridge

Large Scale Apartment Development, Joseph Ouellette​ @ Standard Communities

Rebuilding Detroit, Josh Fuhrer @ Bedrock Detroit

Automating the Underwriting Process, Parag Goswami @ Clik.ai

Launching a Co-GP Fund, Min Suh @ Steady Capital

Online CRE Underwriting, Steve Surridge @ Forbury

Real Estate Development with Not-For-Profit Partners, Brandon Gibson @ The Steinbridge Group

Large Scale Apartment Development, Joseph Ouellette @ Standard Communities