The Commercial Real Estate Investor Podcast

Key Takeaways: Leasing commercial properties can be challenging for beginners but there are strategies like hiring a professional leasing team or directly marketing to potential tenants. It's important to have a clear buyer profile with specifics like location, size, age of building, etc. when working with commercial brokers to find off-market deals. Getting initial estimates from contractors can...

Key Takeaways: Alec is developing a 10,000 square foot flex industrial building near an airport in Spotsylvania, Virginia It's important to do market research and comps to understand achievable rental rates in the area Construction costs can vary significantly depending on location, but Alec has estimated a cost of around $112 per square foot for this project Due diligence like geotechnical survey...

Key Takeaways: - Hard money lending can be a good alternative investment for earning higher returns than traditional banks, especially as banks become more restrictive. Private lenders like Urban Gate Capital can close loans faster. - Urban Gate Capital has funded over 300 loans totaling over $33 million by structuring an evergreen debt fund to efficiently raise and deploy capital. - They emphasiz...

Key Takeaways: Tyler recommends taking 30 days off work each year from December 15 to January 15 as it is typically the slowest time for commercial real estate. He provides advice on getting started in commercial real estate in Nashville in 2024, recommending learning as much as possible, networking, and potentially partnering on a first deal. Tyler discusses some of the challenges he faced with a...

Key Takeaways: - 2023 was a challenging year for commercial real estate with rising interest rates and economic uncertainty - Investors are focusing more on stable asset classes like multifamily and industrial properties - Creative deals and alternative asset classes may provide more opportunities going forward - Accessing private/hard money lending could be attractive given current rates - Insula...

Key Takeaways: - It's important to hire an experienced real estate attorney who understands commercial leases and transactions. Referrals from others in your network can help find the right fit. - When reviewing a lease, pay close attention to ensuring the tenant is creditworthy, the lease terms actually make it a true triple net lease, and that there are no early termination rights for the tenant...

Key Takeaways: - Having a systematic approach to building and maintaining relationships with brokers, property owners, and other industry professionals to generate deal flow - Developing clear investment criteria focused on factors like location, demographics, property condition, to efficiently filter through deals - Using technology like Google Maps, PlaceIQ, and virtual assistants to help analyz...

Key Takeaways: - Hiring a third party asset manager can allow an owner to take a step back from day-to-day operations and focus on other goals or investments - An asset manager acts as the CEO to oversee finances and hold the property manager accountable - It makes sense to consider an asset manager once a portfolio grows to around 100-200 units - When onboarding a new asset, an asset manager will...

Key Takeaways: - Hiring a third party asset manager can allow an owner to take a step back from day-to-day operations and focus on other goals or investments - An asset manager acts as the CEO to oversee finances and hold the property manager accountable - It makes sense to consider an asset manager once a portfolio grows to around 100-200 units - When onboarding a new asset, an asset manager will...

Key Takeaways: - The commercial real estate market is slowing down significantly compared to last year, with brokerage volumes down 50% or more for many brokers. - Investment sales have dried up considerably, while leasing remains more active as companies still need space. However, cap rates have risen significantly. - The office market faces uncertainty, especially for Class B properties, but Cla...

- The real estate market is facing challenges like higher costs, difficulty obtaining financing, and uncertainty about the future. However, this also creates opportunities for investors who can find good deals. - Local politics and policies have a major impact on real estate markets, more so than who is in the White House. Investors need to pay attention to their local areas. - Expectations for in...

Key Takeaways: - Tyler is taking a sabbatical from mid-December to mid-January to recharge and plan for the new year. - He is working on a book about commercial real estate investing and companion materials to help visualize deals. - For 2024, Tyler is interested in smaller neighborhood commercial properties, industrial/outdoor storage, flex space, and some residential construction. - He thinks no...

Key Takeaways: - Self-serve car washes can provide high cash-on-cash returns, often 30-90%, through improvements like adding credit card readers and changing wash timers. - Locations with high traffic and growth are ideal, as are sites that have been undermanaged and offer opportunities for operational improvements. - Common value-add improvements include updating signage, credit card capabilities...

Key Takeaways: - Tyler is excited about the potential of industrial outdoor storage/vehicle storage properties as covered land plays that can provide good cash flow. He discusses underwriting assumptions and marketing strategies for these types of properties. - Tyler discusses his brokerage business and some recent listings they have picked up. He also mentions a drone he recently purchased to hel...

Key Takeaways: - It's important to find your niche and become a thought leader in your area of commercial real estate - Having the right systems and infrastructure like a CRM and calendar are crucial for staying organized - Leveraging technology like podcasts and blogs can help generate leads and position you as an expert - Building a team is important for scaling, but you need to clearly define r...

Key Takeaways: - Tyler believes that while office space may decline, it will not disappear completely and flexibility will be important going forward - Flex space is a high-demand asset class with low supply due to redevelopment of existing flex properties - Commercial real estate values have already declined by around 25% and more declines may come as sellers are forced to lower prices - It's sti...

Key Takeaways: Commercial real estate has been slow to adopt new technologies compared to residential real estate Prop tech (property technology) is evolving rapidly, with new tools for things like 3D scans, floor plans, analytics, and more The future of commercial brokerage is uncertain but brokers will likely still provide value as advisors on complex deals Emerging technologies like AI, AR/VR,...

Key Takeaways: Industrial outdoor storage properties can provide a good covered land play through cash flow from truck parking and potential for appreciation through different exit strategies like selling to investors, developers, or tenants. It's important to find properties in good locations near major highways and without crime or security issues when evaluating potential sites. Self-management...

Key Takeaways: - Marketing is crucial for commercial real estate investors to raise capital and find deals - It's important to determine your target audience and understand their perspective - Building trust and credibility is important, especially without a track record of success - Consistency and quality are important in marketing, not just quantity across many channels - Telling your story thr...

- Nashville was named #1 city for emerging trends for the third year in a row, which is unprecedented - The city is investing billions of dollars in major projects like the Titans stadium, airport expansion, and East Bank redevelopment - Mobility/transit is one of Nashville's biggest challenges as it continues to grow rapidly - Office real estate is facing an existential crisis as work habits chan...

One of the most important skills you can have in commercial real estate is your ability to negotiate leases. Whether you're a broker, business owner, or a landlord, your negotiation skills can be the difference between a successful deal and one that can come back to haunt you later. Today, we're diving into how to negotiate commercial leases, as well as some tips and tricks we've picked up along t...

Key Takeaways: - Tyler's commercial brokerage is aiming to increase sales volume by 500% next year through goal setting and action plans with brokers. - Tyler takes an annual month-long sabbatical in December/January to rest and work on other projects. - The commercial real estate market outlook seems gloomy according to Tyler and other investors on the roundtable, with defaults expected to double...

When you're first getting started in commercial real estate, it's important that you focus on a specific type of commercial property - office, retail, industrial, hospitality, etc. Doing so will allow you to go an inch wide and a mile deep so that you can better understand how that one property type works and branch out from there. But which type of commercial property should you focus on? Today,...

Key Takeaways: Tyler visited a large office building in Dallas that was converted into corporate co-working space and thought it showed the future of office space. He thinks gas stations, especially in rural areas, can still be a good investment even with the rise of electric vehicles since many vehicles and equipment won't be electric anytime soon. He recommends always doing a Phase I environment...

Commercial real estate is a capital intensive asset class, meaning it takes a lot of money to pull these deals together. But you, personally, don't have to have that cash on hand in order to pull these deals off. We're diving into utilizing commercial real estate brokerage as an income stream and how to start buying commercial real estate investments even if you're broke. https://www.tylercauble.c...