How To Pick Business Partners In Real Estate

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Network and learn some tips for vetting partners in the Multifamily investment industry!

VIDEO TRANSCRIPTION

00:00
monday monday monday welcome back what
00:01
are we doing today man we’re doing money
00:03
mondays you missed
00:04
you missed having me right now yeah not
00:06
as handsome from the previous half on
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here yeah
00:08
there’s you know tara had a little bit
00:09
more hair 20 people oh we had less hair
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for the record
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i got more pounds but he’s definitely
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got less hair so
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he did a good job he was a little bit of
00:18
a deer in the headlights but derek did a
00:20
good job
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but everybody monday mondays use every
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monday 3 30 central what are we talking
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about today ben oh my gosh how to vet
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potential partners in the multi-family
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real estate industry and
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when we talk about partners folks right
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we have the gp and the lp
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we’ve talked about these concepts right
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the gps are typically the managers right
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and then the lps are the investors so
00:41
we’re talking about
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partners today right we’re talking about
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how do you find
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other gp partners right and you know
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some of the things that avoid making the
00:49
mistake i made
00:50
and picking age mediocre at best part no
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i’m kidding
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well no there’s also well you actually
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you brought up a good point right so
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our our partnership’s a little bit
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unique right we actually have a real
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business that’s called disrupt equity
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right
01:02
you know there’s people that just
01:04
partner up just to do deals yeah
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they’re semi-exclusive maybe they’re not
01:08
100 they’re a
01:09
real business yeah business but it’s not
01:11
another thing it’s on a deal-by-deal
01:13
basis right and i think that that’s what
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we’re talking about today right
01:16
that’s a good point right you know and
01:18
so or maybe you can’t you find somebody
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and you say hey i want to
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you know build a business with you and
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in that case you guys are exclusive and
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you’re going to go out and buy
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projects but that doesn’t mean that you
01:27
don’t also have partners too right
01:29
so how do you vet a potential partner
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right
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i think really you have to bring you
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have to determine what does everybody
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bring to the table
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and is it a win-win right you know
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because somebody can can bring something
01:41
to the table and i’ll just i’ll use a
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wild example right
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say we’re worth a hundred million
01:45
dollars i wish we were but we’re not
01:47
right and then on the way and then so
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and then you’re buying a 20 million
01:50
dollar deal somebody comes along and
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says well i’m worth 100 million dollars
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too
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that should be worth something to to you
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guys well it’s really not because we
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already have that already bringing that
01:59
to the table you’re not adding any value
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in that case right so you need to be
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bringing something of value to
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the people that are actually running the
02:06
deal right so there’s going to be lead
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sponsors and co-sponsors right
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the leads are typically the people that
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are kind of leading the charge
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is how i’m going to describe that so
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some of the things that we look for
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right you know and potential partners
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right why don’t you kick it off
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what’s probably one of the more
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important things so i mean i think
02:21
ultimately like we like to say right
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there’s a lot of ways people can get
02:24
involved in a deal
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right and you’re finding ways to fill
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the gaps that you may have right and so
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even even partners aside about how to
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vet them right what are the different
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roles people take on the gp side there
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is finding the deal
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yep there is operating the deal there is
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doing construction management
02:40
there is helping with the balance sheet
02:42
right which really includes both
02:43
liquidity and net worth yep
02:45
yep right there is what else is there
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there’s managing investors is another
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big role there is that raising equities
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another one
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and you know really alberta’s money yeah
02:53
earnest money there’s a lot of different
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ways and these are ways that we’ve
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we’ve partnered with people on these
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aspects as well right and so ultimately
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first figure out the
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what gap do you have yes you know and
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who could fill that gap where i get the
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right butt in the right seat
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then figure out that is that person
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qualified is that person someone you
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want to do business with
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you know do they have the things that
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you look for in a partner right no i
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agree i agree yeah i think you
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you whoever is the lead right you know
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in this case we’ll go into each deal and
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you know it amazes me that people are
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kind of fumbling around creating their
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team as they go
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right we’ve we’ve pretty much we pretty
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before we get under contract on anything
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we pretty much know who our team’s going
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to be
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right we already know what the splits
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are going to be we already know how this
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is all going to kind of get rolled out
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some people do it a little bit more
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haphazardly
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but i would say try to get that defined
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very very early on
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and define what that what that gap is
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right and then you go and find somebody
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right
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but in order to vet potential partners
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right i think
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really take a step back it’s like any
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other partnership
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right you have to like know and trust
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that person first and foremost
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and you need to determine if they’re you
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know at the end of the day do they have
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experience
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you know and what they’re bringing to
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the table right you know people can say
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oh i can raise capital
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or i could do this i could do that and
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then you quickly find out that they
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actually can’t
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so you need to do some level of due
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diligence folks right this is a
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partnership this is like a marriage in
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fact in some cases it might be
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if you if you go to divorce that person
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it might be even more painful than a
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real divorce
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so you need to really think that through
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pretty
04:20
pretty extensively because we see a lot
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of these people coming hot off of a boot
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camp
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you know they want to do deals oh you
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want to do deal two oh yeah okay let’s
04:28
all do deals together
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right with no due diligence beyond the
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fact that you guys all went to the same
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event together
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right and that you all want to buy
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multi-family i think there needs to be
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something a little bit deeper than that
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um you know start off with just getting
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the person right you know
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and ultimately it starts with that you
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know do you like the person being around
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them because
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you are going to be working with them uh
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for quite some time sometimes in
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five seven ten years you know and if you
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don’t like that person that’s gonna be a
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long time doing that
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right you know so i would say that do
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that level of due diligence
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you know after you’ve determined what
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your gaps are gonna be
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and then we talked about you know some
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of the things that you know some of the
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roles that people can play
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you know and i see we see a lot of
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people that you know
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balance sheet and the equity raise and
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the earnest money and or bringing the
05:17
deal to the table those are probably the
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four biggest ones
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absolutely right i mean it’s a team
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sport right yep this is where it’s all
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about networking getting to know the
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people that’s why we host the
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conferences that we host we do the
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meetups we have our meetup this thursday
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all of that is to help introduce us to
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more potential partners and investors
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that’s one of the you actually brought
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up a good point right people always
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think that it’s some kind of a funnel
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for investors for us and in some cases
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it is right but just as important for us
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as we’re trying to determine
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who are the players in the market who
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are people that could add value to our
05:45
organization
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and allow us to grow and so that’s why
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we put on a lot of events and we’ve met
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a lot of people through these events
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that we go to
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you know whether people bring us deals
05:54
or they add value in some other way or
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they’re just
05:57
a connector right you know oh hey you
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know i came out to this event and
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you know what you need to talk to this
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person right um
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you know and so that’s one of the
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reasons and that’s how you’re going to
06:06
find potential partners i think that’s
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one thing that
06:08
that maybe we can kind of go through
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here is where do you find partners and
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i’d say at boot camps networking events
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yeah online events right i mean it’s
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getting to know people and get to really
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know them right
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there is a lot of smoke and mirrors in
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this business
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right get to know who you’re working
06:23
with and what they’ve done what you know
06:25
what their actual track record is
06:26
right and it’s okay for them to be new
06:28
but just kind of go get into bed with
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someone that you know what you’re
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getting into so to speak right and i
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think you know
06:33
you bring up a good point man you know
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got tons of them then
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you’re doing you’re doing great right
06:37
off of a vacation man you’re going to
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you’ve got to get caught up on some of
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these good points
06:41
right but the the issue that we see in
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this business
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is that there is a lot of fake until you
06:47
make it and there’s a lot of beefing up
06:49
one’s resume
06:50
and we’re not here to publicly shame
06:52
anybody i mean ultimately you know
06:54
people are doing things for different
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reasons right you know ultimately
06:56
building your personal brand is
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important um we are
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probably more honest and transparent
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than most people
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but you have to realize that those three
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four five thousand doors that they
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claim to be you know essentially gp or
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lead sponsors on
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you probably if you start digging a
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little bit deeper you’ll probably find
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out that that’s not true
07:15
right they might own a small position or
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they might be providing a service or
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whatever it might be
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right you know but they probably don’t
07:23
they’re probably not the lead sponsor on
07:25
all of those units and so you need to
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understand that because people get
07:28
propped up and they’ll have speaking
07:30
roles and they’ll have all this stuff
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and then people just believe it because
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they’re assuming oh if they’re up on
07:35
stage then they must be telling the
07:36
truth right
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it’s not really the trade so you have to
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really dive into their track record
07:41
right
07:42
i’d say the other thing too is really
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just their character work ethic right
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right
07:46
yeah you know and on the same vein ask
07:48
for real referrals yeah that’s another
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thing not enough people do
07:51
right partners for sure partners
07:53
investors hey can i talk to some
07:55
investors you quickly start to get a
07:56
sense of
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is this the guy that says he is or is he
07:59
you know just a small piece of something
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right
08:01
and again not that there’s a right or
08:02
wrong but just understand how that
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person’s portraying themselves
08:05
yeah and i think it goes back to
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character right you know i mean we’re
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looking for people that have the hustle
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have the work ethic are transparent
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honest and open
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and ultimately we can teach them a lot
08:15
of other things right you know that’s
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those soft skills are really what we’re
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looking for right that hustle is
08:20
important
08:21
and doing the right thing is important
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for us and so if
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if i’ll take 20 of those folks over one
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ultra wealthy person that’s just a big
08:29
pain in my butt right
08:31
you know or lies all the time so um
08:34
and i think you know to along that same
08:36
vein that ferris says right
08:37
ask for feedback from previous investors
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or previous partners
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you know i mean you’ll quickly find out
08:42
are these people legit or not
08:44
or you’ll find out they’re good the bad
08:45
and the ugly um
08:47
you know and do maybe a practice run i
08:49
think that that’s that’s one thing we
08:51
kind of did too right you know i mean
08:52
before we really really consummated it
08:54
you know we kind of maybe did a little
08:55
bit in parallel but you know go do a
08:57
deal first
08:58
right before really creating a business
09:00
still fooled me
09:01
[Laughter]
09:03
before really creating a company right
09:06
you know let’s go do a deal and like i
09:08
said doing a deal is a big
09:09
big commitment too but creating a whole
09:12
you know real estate firm that’s then
09:14
going to go buy another 20 deals
09:15
that’s an even bigger commitment so
09:17
maybe test the waters
09:19
see how those people operate you know
09:21
what they had said that they can commit
09:23
to did they actually commit to
09:24
and we found that out from partners in
09:26
the past right you know who kind of
09:28
sold us a little bit of a line of goods
09:29
and you know and and we live and learn
09:32
we still stuck to our commitment and you
09:34
know ultimately got it across the finish
09:35
line
09:36
but we’ll think twice about ultimately
09:37
partnering with those people in the
09:39
in the future so doing a you know a
09:41
practice run on something small
09:42
is probably a good idea just to
09:44
determine if you want to expand on that
09:46
partnership
09:47
right all right so what are some warning
09:50
signs
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of bad partnerships i’d say the biggest
09:54
one is just
09:55
how easy is this person to get a hold of
09:57
me personally i don’t like to do
09:58
business with people that are just
09:59
just flaky yeah it’s hard to get a hold
10:01
of hard to get commitments from any of
10:03
that stuff i mean
10:04
you know it doesn’t matter how much
10:05
value they add but ultimately it just
10:07
becomes
10:08
you have to kind of value your own time
10:10
right and how much time you want to
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spend chasing them and
10:12
whenever you know you really need that
10:13
person that person going to be around or
10:15
not right
10:15
so you know that’s probably the biggest
10:17
one i would say just
10:18
in terms of just vetting that person
10:20
right that’s a big warning sign that
10:22
person’s not easy to get a hold of
10:24
ask yourself do you really want to do
10:25
that um other things too is just again
10:27
if they can give you just
10:28
straightforward answers to your
10:30
questions
10:30
right do they weasel around i mean
10:32
that’s the thing you see that hey ben
10:34
you know how did you do on your first
10:36
deal well it was i
10:37
don’t know i mean just hey it went well
10:40
it didn’t went well and here’s what
10:41
happened right
10:41
be open and candid with people yeah and
10:43
you know and and admitting i mean that
10:45
really is a good
10:46
segue to admitting mistakes yeah
10:48
everybody makes mistakes right ben makes
10:50
them more than i care for him to make
10:52
them right i tell him to stop
10:53
he keeps doing it but it’s okay right
10:55
you know we all make mistakes
10:58
you know but we recognize the mistake
11:00
don’t just defer i
11:01
i hate the people that defer oh it was
11:04
you know i yeah
11:06
because i mean come on we all make
11:07
mistakes okay but
11:09
own up to it because then you can
11:10
recognize the problem you can actually
11:11
solve the problem
11:12
and try
11:15
or lead sponsor or whatever the heck you
11:17
want to call us right lead syndicator
11:18
you know the buck stops with us you know
11:20
and and we’ve made our fair amount of
11:22
mistakes
11:23
and we’ll be the first ones to admit it
11:24
right i’ll admit it on camera that you
11:26
know there’s been deals that have been
11:27
challenging for us
11:28
and we’ve made some mistakes on them
11:30
right but i’m going to tell you one
11:31
thing right
11:32
the true test of character of a leader
11:34
is somebody that doesn’t make that same
11:35
mistake twice
11:36
so that’s the that’s the advice that i
11:38
give to people on that but you know i
11:40
would add you know
11:42
we’ve had a lot of people that have once
11:44
again i go back to this i don’t want to
11:45
beat this to death but
11:46
you know where they’ve beefed up their
11:48
resume and then
11:50
we found out the reality of that resume
11:52
wasn’t as
11:53
is you know beefy as they want to say it
11:55
was right so
11:57
that when you when you catch them in a
11:58
lie about you know who they are or what
12:01
track record they have right
12:03
what else are they potentially lying
12:04
about or what else could they
12:05
potentially lie to you about in the
12:06
future
12:07
right you know i mean at the end of the
12:08
day i’d much rather somebody say
12:10
hey i’ve done this this and this yeah i
12:11
know it’s not a lot but you know i can
12:13
bring a lot to the table
12:14
versus yeah i’ve done 50 deals and i’m
12:17
worth whatever amount of money and all
12:18
this stuff and then i find out that
12:20
really none of that’s true
12:21
or maybe half of that’s true right or
12:23
maybe even three-fourths of that is true
12:25
and i’m still going to be saying
12:26
you still lied to me right you know so
12:28
that’s another
12:29
a big warning side for us is just
12:31
honesty and
12:32
getting caught in a lie right you know
12:35
um
12:36
so another question i kind of came in
12:38
prior to the show was what’s a large
12:40
reason
12:40
why partnerships will go south in the
12:42
multi-family industry
12:44
i’m gonna say once again you didn’t vet
12:46
your partners properly
12:47
and you didn’t and you don’t like know
12:48
and trust each other and so therefore
12:51
any bad thing that happens at the
12:53
property
12:54
those are symptoms of the underlying
12:56
problem which is just non-performance
12:57
yeah i would say that’s gonna that’s
12:59
gonna fracture right that’s what i was
13:00
getting to right so
13:01
you have you had poor performance
13:03
performance at the property
13:04
then you have a weak partnership it’s
13:06
going to fracture right that’s why you
13:08
always hear these fractured partnerships
13:10
and that’s an opportunity
13:11
and that’s actually we almost bought a
13:12
deal a few months ago that was like that
13:14
here in houston right where
13:16
the deals were underperforming they were
13:18
going to lose a lot of money
13:20
and ultimately that led to you know a
13:23
bigger firm here in houston kind of
13:25
breaking up
13:26
and you know but it was ultimately just
13:28
because they had gotten into some deals
13:29
that they probably shouldn’t have and
13:31
they put too much money into it and it
13:32
is what it is right but
13:34
i would say the testament of a good
13:36
partnership is to be able to get through
13:38
those challenging times to work through
13:39
problems yeah
13:40
that will happen man and then i think
13:42
that that’s important right
13:44
will happen in this business and if
13:47
you can ultimately we’re not we’re not
13:48
we’re not on public media yet well and
13:50
i’m just trying to i’m trying to kind of
13:51
keep it pg for you know the
13:53
the kiddos that can’t spell that yet
13:55
right but bottom line is
13:58
we have six year old uh i don’t know
14:00
likes to watch this so i’m not gonna
14:02
she probably can spell it anyway my
14:05
point is
14:06
is that you know if you can get through
14:08
the troubling times like a covid or like
14:10
a deal that’s been challenging
14:12
and make it out on the other side of it
14:14
you’re probably gonna be a stronger
14:15
partnership too right it’s just like a
14:17
marriage
14:17
because at the end of the day if your
14:18
marriage can survive tumultuous times
14:21
and
14:21
you guys make it out at the end yeah
14:22
maybe you learn some things maybe you
14:24
grew closer maybe
14:25
things you know ultimately you know made
14:27
that that partnership stronger um
14:30
that might be something that you can
14:31
kind of look at as you know hey this is
14:33
the person that i want to continue to go
14:34
buy another 100 deals with
14:36
right you know but on this on the flip
14:38
side of that when you don’t
14:40
handle those situations well is when
14:42
you’re going to have problems
14:44
so boom we blew through that man what do
14:47
we got any questions we’re at the q a
14:49
section man
14:50
let’s see so if you have any comments
14:52
questions anything you’d like to know
14:54
whether about this topic or others
14:55
please go ahead and leave a comment
14:56
we’re happy to kind of go through them
14:57
live
14:58
it doesn’t have to be about today’s
14:59
topic could be about any topic yep
15:01
and so let’s see who do we have so oh
15:05
trevor says great advice honesty and
15:08
transparency so important
15:09
yep it is awesome let’s see steve on
15:12
youtube
15:13
said how do you hey basically i said
15:16
i mean to simplify it how do you read
15:19
through all the bs that people are
15:20
putting out there right there’s a lot of
15:22
fakes
15:22
what’s the best way to get through it
15:24
you know i mean i think you know
15:26
ultimately
15:26
you have to do some due diligence on
15:28
those people right yeah get to know
15:29
those people meet them face to face and
15:31
then most importantly talk to people
15:33
that have
15:34
worked with them for their efforts but
15:36
there is there is ways to
15:38
sometimes having a conversation with
15:39
these people you can quickly most people
15:41
could sniff the bs to be honest oh they
15:42
all
15:43
and if you think somebody’s full of full
15:45
that bs
15:46
most people are going to think that same
15:48
thing right it’s funny we know some
15:49
folks here in town that you know i mean
15:51
and you start asking around about them
15:53
and it’s funny everybody kind of has the
15:54
same smirk on their face because they
15:56
all think the same thing that these guys
15:58
are full of it
15:59
right and so you know sometimes it’s not
16:01
hard to wade through
16:03
what’s reality and and what’s not right
16:06
but
16:06
i would say for those folks that are a
16:08
little bit more slick right do some due
16:10
diligence pull a credit
16:11
background check you know there’s ways
16:14
to verify
16:15
you know um how much they’ve done right
16:18
you know i mean it might take a little
16:19
bit more sleuthing you might have to
16:20
talk to some brokers or maybe some other
16:22
folks
16:23
you know and some stuff might be a
16:24
little bit harder to find out but there
16:25
is ways to verify some of this
16:27
information so let’s see so we got
16:28
another question on instagram
16:30
oh oh shanicat which is basically just
16:32
asking about the time and location of
16:33
thursday’s media button we barely
16:35
mentioned that oh my gosh
16:37
we were just talking about that yeah so
16:39
thursday’s meetup is going to be
16:40
6 30. it’s kind of the kickoff start
16:43
time
16:44
right and where’s it at ben pitch 25
16:47
45 here in houston 6 630 central so it’s
16:50
obviously close to the stadium right you
16:52
know what’s on the stadium on the other
16:53
side of george r brown
16:55
right it’s kind of i probably say the
16:56
the closest um
16:58
you know monuments from the georgia
17:00
mountain yeah so downtown houston would
17:01
love to see you all there
17:03
thursdays are we inside shannon we’re
17:04
inside this time all right so ben’s not
17:06
going to sweat through his shirt this
17:07
time
17:07
ben is going to bring a shirt just in
17:09
case we have to go outside yes we might
17:10
have to who knows
17:11
right you know i’m like i’m like hakeem
17:13
elijah and i have to have like a backup
17:14
jersey you know just to get through a
17:16
networking that’s how much of a hardcore
17:19
networker he is
17:20
i’m just i’m running around no it was
17:22
literally like 120 degrees outside and
17:24
this
17:24
it was humid so anyway we’re gonna have
17:26
a lot of fun we’re probably gonna have
17:28
i’d say 7 500 people out there
17:29
maybe even a little bit more uh we’ll
17:31
provide some content i think we’ve got a
17:33
panel going on
17:34
right what is it equity raising shanna
17:36
you’re talking about raising equity
17:37
raising equity come on this is a big fun
17:40
topic that everybody wants to obviously
17:42
find out about i think one of us will
17:44
probably jump on the panel i don’t know
17:45
uh
17:46
moderate and one of the most moderate
17:48
right yeah so let’s see let’s keep going
17:50
so kathy says what do i need to do
17:52
to work on a deal with you guys serious
17:54
question
17:55
come network yeah right i mean that’s
17:57
really what a bully game you know i mean
17:59
kathy we know you
18:00
so i’m just having more conversations
18:01
right it’s putting stuff in front of you
18:03
you put stuff in front of us and
18:04
you know you find synergies right that’s
18:06
how it works with any partner and you
18:07
know
18:08
and a lot of it is also timing right
18:09
yeah that’s actually
18:11
at the right time that’s how some of
18:12
these things happen too i think i think
18:13
that’s actually probably the most
18:15
important thing right you know i mean we
18:16
work on a lot of projects sometimes we
18:17
have our own projects sometimes we’re
18:18
partnering with other people right it’s
18:20
just
18:20
so that timing component is probably the
18:22
biggest key but i’d say
18:24
right now what we’re looking for folks
18:25
i’m actually gonna start i’m gonna start
18:27
doing this right
18:28
bring us some deals yeah we are happy to
18:30
partner with anybody on the deal
18:32
i mean as long as it’s a win-win and
18:34
we’ll add value in multiple ways and we
18:36
can help get it to the finish line
18:37
absolutely you know i mean ultimately
18:38
there’ll be a level of vetting that we
18:40
would do on the deal and
18:41
how we’re going to structure the
18:42
partnership but we are open to
18:44
partnering with people that’s how we’ve
18:46
grown to where we’re at and deals are
18:48
tight this these days so if you find
18:49
something you’re saying hey
18:51
you know i want to get this across the
18:52
finish line ultimately we can bring a
18:54
ton of value to the to the transaction
18:55
and we’d love to do it so
18:57
kathy i’d say i know you’re kind of
18:58
looking in our neck of the woods and
18:59
maybe some other spots
19:01
show us something let’s go from there no
19:03
all right let’s see always says it’s a
19:05
good idea to get investing experience
19:06
through working in private equity firms
19:08
rather than trying to
19:10
get into the investing world with no
19:11
experience yeah no i mean no
19:13
you learn a lot like you know even even
19:15
me working at microsoft which you think
19:17
was
19:17
something not related taught me a lot
19:19
about what i do today right
19:20
you learn something with any role the
19:22
closer you are to real estate probably
19:23
the more
19:24
likely you you know you learn right but
19:25
i like to say you know
19:27
what we do is project management on
19:28
steroids right like what we do is more
19:30
and guess what
19:31
microsoft i learned to do that very very
19:32
well so you learn something in any role
19:35
that you have hopefully right as long as
19:37
it kind of fits that and so
19:38
there’s nothing wrong i mean being in a
19:39
private equity firm you’ll learn a lot
19:41
more about
19:41
where money comes from and how it goes
19:43
we also learn that doing what we do
19:44
but again you’ll have that insight and
19:46
that’s a way you could add value to
19:47
other operators like us
19:49
right if you get to know 30 other
19:50
private equity firms so guess what
19:52
that’s a way to add value to other
19:53
people
19:53
absolutely no no from that perspective
19:55
absolutely from an equity rate
19:57
perspective
19:57
and we we network and we know a lot of
19:59
people that are x wall street including
20:01
tarik for who was on the show last week
20:03
right you know he used to work at
20:04
blackrock so you know
20:06
those types of firms add a lot of value
20:09
right i would say they’re probably a
20:10
little light on the operator side of it
20:12
but they’re good on the capital stack
20:13
which means they know debt and equity
20:15
they know how financing works right
20:17
they’re probably going to be pretty good
20:18
at asset management project management
20:21
so you know i mean if you if you have a
20:22
leg in there ollie i’d say go for it man
20:25
i mean ultimately it’s pretty good pay
20:26
you know you’re probably going to work
20:28
your butt off you know but
20:30
you know it might be a good few years
20:31
you hustle and then maybe you can break
20:33
off and do your own thing and we know a
20:34
lot of people that have done that too
20:35
so the next question from somalia was uh
20:38
will it build confidence in investors
20:40
to invest with you yeah i mean people
20:42
are looking for experience and
20:44
you understand you say wall street it’s
20:46
like a it’s like a bill and even
20:47
subconsciously even in my mind i’m like
20:49
okay hey you know
20:50
if these guys made it into wall street
20:52
and they were able to be semi-successful
20:53
then
20:54
then they must be sharp people right you
20:56
know now that doesn’t mean that
20:58
you know i’m automatically going to
20:59
partner with them or invest with them
21:00
but
21:01
it definitely gives you a little bit of
21:02
a leg up because you know you’re you’re
21:04
part of that fraternity or
21:05
you know um and a woman’s perspective a
21:08
sorority
21:09
yeah and so then we have a couple more
21:11
comments questions i’m going to combine
21:12
them into the same question boom let’s
21:13
do basically
21:14
kathy said i have some possible deals in
21:16
my pipeline trevor says i’d love to
21:17
partner with you guys on some days
21:19
um michael says what size deals which
21:21
markets and asset class do you like all
21:23
right
21:23
so we’re interested in bringing us all
21:25
right maybe i want you to qualify that a
21:26
little bit more
21:27
so ultimately you know are we should do
21:29
a show about this though we should
21:31
we’re happy to partner with people on a
21:33
deal that’s maybe minimum 90 units right
21:35
yes
21:36
90 units up to sky’s the limit 500 units
21:39
right
21:39
we will partner with people and if we
21:41
can’t get it all done we can help bring
21:42
people to help right
21:43
to get it done it’s about partnerships
21:45
and you know primarily we’re looking
21:47
texas georgia florida yes
21:49
maybe you know north carolina if someone
21:50
has a good deal but my big feedback to
21:52
people is
21:53
we also get a lot of stuff from people
21:55
so please do the homework for us
21:57
yeah i’ve already qualified the deal
21:59
have already
22:00
underwritten the deal here’s the key
22:02
things to consider here’s a story
22:04
and let’s go get it done right so you
22:06
know you know it’s
22:08
about really doing that before coming to
22:10
us because we do get a lot and if we
22:11
gotta go do all this work too
22:13
like yes we have a team that can
22:14
underwrite and do all that but we need
22:15
someone to do that first step
22:16
yeah to kind of help us right to know
22:18
how serious you are
22:19
because also some people send us 50
22:21
deals a week you know like that’s not
22:22
really valuable like what’s the value
22:24
of that person providing
22:28
49 of them turn out to be crap right so
22:31
you know i’d also
22:32
further qualify right you know i mean we
22:34
want them to be b
22:35
class and newer you know we would we do
22:37
a 70s deal
22:39
if there’s a value-add component
22:40
absolutely you know there’s just not a
22:42
lot more of those out there these days
22:43
so we’re trying to stick to 1980s and
22:45
newer
22:46
you know up to say 2015. you know we
22:48
like to have some kind of a value-add
22:50
component there and
22:51
even class a deals can have some
22:52
value-add you know we just looked at a
22:54
couple this last week
22:55
totally so yeah and yes new development
22:57
also
22:58
absolutely it works you know i mean
22:59
especially if it’s in texas
23:01
so right yeah maybe we should i didn’t
23:04
realize that we were people gonna be
23:05
interested in that people caught on to
23:11
no no but like you know i mean i think
23:12
people need to understand that yeah i
23:14
mean
23:14
it’s this is how we’ve always done it
23:16
we’ve always partnered with people we
23:17
just haven’t really announced it that
23:18
much right
23:19
no no so all right man all right let’s
23:22
keep going
23:23
so what else is going on ben we have oh
23:26
wait wait wait wait wait wait wait wait
23:26
wait wait wait wait wait wait wait wait
23:26
wait wait wait wait wait wait wait wait
23:26
wait wait wait wait wait one more oh
23:28
guys you have a specific underwriting
23:29
template that you’d like to use when
23:31
getting deal submitted to you
23:32
um this is from our buddy ed aguilo uh
23:36
the feedback is
23:37
we’ll look at what you have and then we
23:38
can plug it into ours later yeah
23:40
start with just doing the homework and
23:42
trying to help
23:43
we’ve had experience with a lot of them
23:44
right you know um
23:46
and for folks that know us know the ones
23:48
that we do are the ones that we use
23:50
but we’ve used all kinds of different
23:52
ones over the past so
23:54
you know but let’s keep going so he was
23:57
in miami last week
23:58
what were we doing in miami we had our
24:00
big conference went really well three
24:01
times
24:02
50 plus people yeah yeah home run packed
24:05
house
24:06
great networking great people and we’re
24:08
excited because what then what’s coming
24:10
up our big one is coming up boom
24:11
boom boom biggest one for those of you
24:13
that have been to them we’ve done seven
24:15
eight of these
24:15
big ones in houston our backyard it’s
24:17
gonna be a home run we already have some
24:19
great speakers lined up
24:20
it can be six seven hundred people out
24:22
there and it gets more expensive as time
24:25
progresses so
24:25
yes from our side we like to have the
24:28
house filled up front so we know exactly
24:29
how to plan we don’t like
24:31
we don’t want to know if we’re going to
24:32
get 500 people or 700 people that’s a
24:33
big difference in terms of planning so
24:35
we like to front load it yep so if
24:36
you’re going to
24:36
come check it out we highly recommend it
24:38
we already have tom will write coming
24:40
gary
24:41
sutton and a couple of other guest
24:42
speakers coming as well as well as the
24:44
great ben suttles will be there so
24:46
you know come check it out people it’s
24:47
houston hotel is cheap for you guys
24:50
right the room’s like 140 bucks so i
24:51
mean no excuses yeah yeah
24:52
it is the premier multi-family
24:54
networking conference it’d
24:56
be exciting absolutely so check it out
24:58
mf investor
24:59
network dot com put in early bird as
25:02
your coupon code
25:03
for the rest of this week right then the
25:04
price goes up the rest of the week right
25:06
shannon give me a thumbs up yeah right
25:08
tim vitelli’s 180
25:10
off not bad tim says the conference was
25:13
awesome
25:14
thank you thank you why do you enjoyed
25:15
it tim yeah all right tim i recognize
25:17
you i was looking at the pictures
25:19
no we get a lot of good feedback here
25:21
folks the reason is
25:22
is that and i can’t stress this enough
25:24
we’ve created an environment where
25:27
people feel you know open just to
25:29
network and get to know each other and
25:30
build those relationships without some
25:32
fear that they’re going to be sold
25:33
something right
25:34
we’re literally not selling any products
25:35
or services here right now we have a lot
25:37
of great vendors
25:38
that we use that bring along that are
25:40
going to be sponsors of the event and
25:42
they ultimately are as well but
25:44
ben ferris and uh ultimately kenny wolf
25:47
from wolf investments who we partner
25:48
with do not sell you anything which is
25:50
great
25:50
all right we gotta have a lot of
25:52
opportunities to network too kathy has
25:54
some networking some speed networking
25:55
there was something true that went well
25:56
we’re gonna do more of that
25:57
captain said what’s the date website
25:58
says 212 the website is correct
26:00
february 12th so mark that calendar off
26:04
it’s like a
26:05
you know um it’s a little bit far trevor
26:08
says conference was great got my vip
26:10
ticket already i appreciate it thank you
26:11
trevor we appreciate that buddy
26:13
yeah all right and let’s see tim also
26:15
said yes absolutely
26:16
it wasn’t 12-hour commercial for courses
26:19
and mentorship
26:20
we tried not to right yeah you know and
26:22
people never believed that they always
26:23
know themselves they’re always waiting
26:26
to put on a great
26:27
event and honestly we do it for the for
26:30
the topic of this meetup which is
26:31
finding partners
26:32
yes that’s what it’s all about that’s
26:33
how we find a lot of the people that we
26:34
work with so
26:35
that’s why we host it for us if we break
26:37
even we’re happy we lost a lot of money
26:38
in the first couple
26:39
i think we fine-tuned it to where we’re
26:41
to break eve that’s all the goal is we
26:42
don’t sell a course
26:43
or meet up or mastermind any of that
26:44
stuff so yep yep
26:46
so what are we talking about next week
26:47
man next week we’re talking about
26:48
managing investor relations
26:50
part two all right all right yeah no
26:54
there was a part of the process that was
26:56
a little bit more intense
26:57
you know we might drag tark in here who
26:59
knows i don’t know we could have him
27:00
stand in the corner
27:02
you know but she doesn’t laughing
27:07
stand in the corner folks uh but anyway
27:09
no we wanted to kind of dive into
27:11
you know more of that middle part of the
27:13
process when you really are having to
27:15
manage paperwork and
27:16
and and managing investors when you’re
27:18
in a deal
27:19
you know i think that’s the most touch
27:22
uh point
27:23
process that you’re gonna have with your
27:24
investors throughout the whole entire
27:26
time that you’re investing with them or
27:28
they’re investing with you so it’s
27:29
important to kind of dig a little bit
27:30
deeper into that so
27:31
we’ll go into that process next week so
27:34
tune in to that
27:34
should be interesting should be fun yeah
27:37
delegates we’ll keep going on this thing
27:39
so that said let’s call it a wrap money
27:41
mondays every monday 3 30 central look
27:43
forward to seeing you guys all next time
27:45
we’ll see

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