I Was Broke Because I Wanted To Be

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I Was Broke Because I Wanted To Be

When I was forty years-old, a friend asked if I wanted to invest in a commercial real estate deal. He was assembling a partnership to purchase a small retail building. At the time, I was a property manager, and my friend was a broker.

Investing in commercial real estate had been a goal, but my finances were a mess. Unfortunately, I had to wait. I couldn’t admit my poor financial situation, so I simply asked my friend to think about me for the next deal.

That embarrassing moment ignited a desire to be in a real estate deal. But to achieve that dream, there was one thing I needed to do—grow up.

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You Don't Buy Things With Money

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You Don't Buy Things With Money

I was recently talking with a colleague who said he was close to retiring. Gil (not his real name) is in his early fifties and slightly quirky. He’s the type of guy who marches to the beat of his own drummer. Although he works for a large, corporate-think company, he sports a long beard and tattoos. He’ll freely talk about politics and other matters that most folks would shy away from. With his wife, he lives in the country – far away from the hustle and bustle of society.

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The Investment Property Process

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The Investment Property Process

If you’re looking to purchase an investment property, whether it be a residential single-family home or a commercial building, the purchasing process is very similar. While there are some differences between the two processes, I thought they are close enough that I thought we should take a quick run through to get a discussion in place for future articles.

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Investing is Risky. So is Life. Get over it.

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Investing is Risky. So is Life. Get over it.

We spend our lives with risk.

There is everyday risk like driving to and from work, school, or some event with our spouse. At any moment, we put ourselves on the road with other people who may or may not be in full control of themselves whether it be from alcohol, lack of sleep, or relationship induced stress. Some of these people are just plain morons who should not be allowed to drive - but they're given a license anyway and we willingly chose to get on the road with them.

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The Attack of the Side Hustle!

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The Attack of the Side Hustle!

When I purchased my first commercial building, I was a property manager. Therefore, it was natural for me to accept the same role for our investing group. It dove-tailed nicely into my day-to-day routine. I could field calls throughout the day for my own property as well as from the portfolio I managed. Everything rolled together well. It was a comfortable fit.

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How I Bought My First $1.5M Commercial Building

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How I Bought My First $1.5M Commercial Building

In late 2016, we bought a 10,135 square foot retail building in Deer Park, Washington. At that point, it was the largest and most expensive building I’d been a part of acquiring. Quite frankly, I was a bit scared that we could pull it off. Up until then, the most expensive building I had purchased with partners was $390,000. The building we were contemplating was almost four times that price. It made my heart race considering it.

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What Does Your Broker Invest In?

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What Does Your Broker Invest In?

I’m going to rant against some of those in the financial services industry. You see, I’m a commercial real estate broker who loves the product he represents. My clients can see and hear my enthusiasm when we talk about their needs, whether it be buying, selling, developing or leasing.

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When Revaluing a Property Doesn’t Go Your Way – Rosewood Retail Part 3

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When Revaluing a Property Doesn’t Go Your Way – Rosewood Retail Part 3

Roughly six years into the ownership of our Rosewood Retail property, one of the partners decided she wanted to sell out. A couple years prior, Bobbi (not her real name) had gone through a divorce and a year later relocated to another state. She was involved in another partnership with us and had chosen to sell her portion of ownership earlier. It had gone very well for her as detailed in The Little Property That Could – A Partner Wants Out.

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It Always Starts with One – Rosewood Retail, Part 1

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It Always Starts with One – Rosewood Retail, Part 1

It’s embarrassing to admit, but when I was a property manager, I didn’t know how to invest in commercial real estate. In my area, most property managers don’t own investment real estate. I’d imagine that trend continues beyond my part of the country. Perhaps it’s because property managers spend so much of their work time around real estate that they don’t want to do it on their personal time. Maybe it’s an employee versus entrepreneur mindset that holds them back. Whatever the reason, it’s a strange reality to encounter.

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Sometimes the Only One Who Gets Paid is the Architect

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Sometimes the Only One Who Gets Paid is the Architect

So, you’re interested in redeveloping a commercial building? You want to buy a vacant property, rehab it, tenant it and then start collecting rent. That process is called “adding value” and it’s awesome. Congratulations! It’s one of the most fulfilling experiences in commercial real estate investing.

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A Deal That We Cleaned Up On

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A Deal That We Cleaned Up On

In the summer of 2010, my investing partner cold-called the owner of a small office building. It was located on Trent Avenue and had a small, clean warehouse with it. As the area changed over the past forty-plus years, it had become eclectic. Industrial users are mixed in with ethnic restaurants, specialty retailers looking for cheap rent sidle up next to little office buildings.

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