Tue, 27 July 2021
#333: Tech & Real Estate, The Future of Traditional Office Spaces, and So Much More! -with Jonathan Wasserstrum
Jonathan Wasserstrum is a real estate tech expert, and CEO and Co-Founder of SquareFoot.
Founding Squarefoot in 2011, it poses as a new kind of commercial real estate company by helping other businesses find their next office space. It leverages technological innovation and human expertise to solve clients’ needs and help guide them from initial inquiry to lease signing and beyond. The platform now features more than 300,000 office listings, 5,000 new listings monthly, and over 1,300 leases executed to date.
Jonathan previously worked in the International Capital Group at Jones Lang LaSalle where he advised foreign and domestic clients on more than $3 billion worth of transactions globally.
“We have in-house teams of brokers in every market we cover to actually shepherd our clients through the process."
“We are not a listing site, we are a tech and able brokerage…we just believe that tech and transparency make that leasing process 100x better than any alternative.”
02:17 - Jonathan gives us an overview of how he got started with Squarefoot.
06:35 - Jonathan gives Kevin a behind-the-scenes look at Squarefoot and how they operate as compared to typical brokerage, consulting, and cold calling.
08:54 - Jonathan tells us who his ideal clients are.
09:40 - Jonathan hones in on Squarefoot’s plans moving forward.
12:12 - Jonathan provides his perspective on the future of office spaces in the wake of the pandemic.
19:18 - Jonathan talks about the pandemic and its impacts on the markets his company finds itself in.
22:17 - Jonathan talks about what it was like growing a tech brokerage and some of the most challenging aspects aside from covid.
Tue, 20 July 2021
#332: Commercial Syndication, Limited Partnerships, Sponsorship Vetting, and So Much More! -with Brad Shepherd
Brad Shepherd is a real estate expert and the founder of Sugar House Investments.
Having graduated college with a degree in Finance, Brad purchased his first rental property within months of graduating and quickly found his career take-off with a retail and hospitality startup in Utah. Playing a key part in this company's foundation, he spent his last four years there as president of the organization, guiding it through monumental growth.
With well over a decade in the field, his experience includes management of hotel and vacation property, retail and café operations, development of retail and hospitality space, and raising capital from both domestic and international investors.
“My very first step into the commercial space was investing as a limited partner, and if I knew then what I know now, I wouldn’t have made that investment. But I learned a ton from it, and I'm glad I did do it… it's helped me quite a bit as I’m going out there and talking to other potential investors.”
In regard to good sponsorships: “whatever systems need to be in place to work with an insurance adjuster to get things settled quickly, those things have to be in place.”
“When somebody asks me how to vet an opportunity, start with the team. What’s their track record, get to know them, what's their style.”
“A good sponsor can make a mediocre deal, [and] do better than a mediocre sponsor can with a good deal.”
02:05 - Brad gives us an overview of his college background, his internship in Seattle, and how he got started in the real-estate space.
04:54 - Brad tells us how he transitioned into commercial real estate.
11:15 - Talks about the role teams play in the real-estate space, especially in Texas.
14:10 - Brad discusses how he’s attracted limited partners towards investment opportunities.
16:50 - Brad talks about the vetting process in regard to sponsors and how he figures if they can meet the expectations of his team and investors.
17:56 - Brad delves into what he thinks went wrong during one sponsor partnership that wasn’t the right fit/did not go well.
22:06 - Brad tells us where he believes he could have done better with this sponsor partnership.
24:16 - Brad tells us his answer to this question—what’s more important: the sponsor or the deal?
25:56 - Brad talks about how his investment activities have changed during 2020.
Tue, 13 July 2021
#331: Multifamily, Syndication, Residential to Senior Housing Conversions, and So Much More! -with Prashant Kumar
Prashant Kumar is a real estate expert and syndicator.
As Founder and Managing Partner at MyRealityGains, he applied his 25+ years of experience in corporate America to analyzing opportunities and managing his real estate operations. He acquires and holds stable, income-producing multifamily apartment complexes in emerging US markets with long-term capital appreciation.
In addition to his investment activities, Prashant also runs a real estate meetup in NY as well as participating in numerous industry masterminds.
“I feel like the assistant living space, which can be explored further…is there but it’s not like everyone is rushing there towards it because it's more of an operation intensive business.”
“[The senior assistant living space] is a very operation-intensive business. We come in as investors, we get it built, but even to do the operation [everything] has to be correct. So we have to find the right operation efficient company to do the work.”
“The biggest challenge with residential is to do the operations…number one operations and number two, from a scalability standpoint, getting a loan on those properties.”
“From a conversion standpoint, you will buy as a residential home, you will put the money to modify it… so you are talking about nine months worth of delay before you can go into the operation. And then filling up time can be anywhere from 3 to 6 months depending on what you do.”
“The biggest factor [at play in hotel to senior housing conversions] is the zoning. You know, if the hotel is empty doesn’t mean you can go in and convert it. It depends on the town and if they’re going to allow for assisted living in that area or not. Number two is the general population, the age group, and what is their income and the demand.”
2:04 - Prashant gives us an overview of his background in India, working in the corporate world, and how he got started in real estate.
5:23 - Prashant tells us how he went about managing his first single-family and multi-family investments.
7:30 - Prashant talks about his progression—how he went from his first single-family investment to the world of larger syndications and multi-family investments.
10:42 - Prashant describes his experience obtaining a property out of outward-bound marketing/cold calling efforts.
14:45 - Prashant tells us all about the senior housing space, his growth plans, and what attracts him to this sector.
18:40 - Prashant discusses his first two projects in the assisted living space.
19:18 - Prashant briefs the terms on SPA loans.
20:28 - Prashant talks about the distress aspects of residential and senior assistant investments.
23:24 - Prashant discusses where he’s at in the turnaround process of his assistant living investments.
25:40 - Prashant discusses the challenges of residential housing versus the benefits of the larger scale senior housing space.
28:11 - Prashant tells listeners how single-family to senior care facility conversions work.
30:52 - Prashant dives into senior housing conversions out of extended stay/hotel spaces during the pandemic and what makes a good hotel for this type of conversion.
Tue, 6 July 2021
Mike Zlotnik is a real estate investment expert.
Beginning his career in Information Technology, Mike successfully managed many aspects of this business sector such as Risk, Business Intelligence, and Quality of complex systems, software, and processes.
After 15 years in IT, however, Mike knew his passion lied within the Real Estate Investment space due to its predictability of outcome and well-understood risks. Mike dove headfirst into real estate in 2000 and now holds the title of CEO at TF Management Group. Under his leadership, the company has seen transformation and growth, delivering strong returns for the fund investors.
“The strengths of the open-ended fund [are that] you can keep raising capital on a periodic basis quarterly and you can keep making investments and reinvest capital that comes back from the files. It’s got its positives. One of the major negatives with any open-ended fund is mark to market on however often you raise capital…you’ve got to be able to value the portfolio. It’s called mark to market concept.”
“One thing I can tell you [is] that when you mix growth and income strategies, the growth projects create tax efficiency… and it creates yield drags on the income projects. So mixing growth and income projects in the same fund has a little bit of that tax efficiency a little bit of yield drag as the result.”
02:23 - Mike Gives us an overview of his background in real-estate
04:29 - Mike tells us what TF Management Group does, what they fund, and who they invest with.
05:38 - Mike gives comparisons between open-ended/evergreen funds and closed-end funds as well as the types of assets in each.
07:40 - Mike gives us Examples of opportunities and assets in their most recent funds.
13:54 - Mike talks about the process behind hotel to multi-family conversions!
21:40 - Mike tells us what he thinks about the future of the hospitality space.
26:47 - Mike speaks about business strategies during the pandemic.