Mike Zlotnik - Diversifying Investments for Success

Key Takeaways

Life comes down to becoming and being persistent.

Focus gave me the clarity to continue to scale the portfolio.

You really need to focus on what you as an investor wants, ultimately what your goals are.

You can always buy real estate. You can always buy it in any part of the market cycle. You can't always sell real estate.

Market cycles have changed dramatically. The decade of from 2010 to 2020, there was no recession.

Understand where your market is and what part of the cycle and recession is trying to buy as much as you can.

Timeline

[01:09] Intro to episode guest

[02:56] One word that describes Gino personally and professionally.

[05:11] Gino talks about his background.

[11:21] What are your top three market choices for the coming year?

[16:47] Where do you think we are in the current market cycle?

[28:08] Gino shares three tips for closing a real estate deal in today's world.

Contact

Email: jakeandgino.com

Key Takeaways

Industrial is the backbone of our country, really of the world. Everything is made in an industrial building.

Companies are coming back. It's called onshoring or reshoring where what they used to do overseas; they now need to do locally.

Real estate is a leveraged business for the most part.

You've got to have your back office. In my case, I've got two guys in my back accounting office that have been with me for 20 years.

Timeline

[02:24] Intro to episode guest

[03:41] One word that describes Joel personally and professionally.

[06:220] Provide a brief overview of your background, detailing your journey over the years, from your initial steps to your current role at Brit Properties.

[15:50] Do you just own your buildings and take care of all the maintenance and issues or are your tenants triple net tenants?

[20:04] So we have said that real estate's a leveraged business. Isn't your IRR or your return to your investors higher with debt on the property than it is when you're all cash?

[30:35] Let's discuss the real estate market briefly. Given that 2023 hasn't been an ideal year for real estate purchases, what has been your experience, and what are your insights on where the markets are headed in the next 12 to 24 months?

Contact

Email: joel@britproperties.com

Key Takeaways

Real estate investment is not one size fits all; it's essential to find a model that aligns with your values and business approach.

Operating virtually in real estate is not only feasible but can be advantageous, leveraging technology and avoiding physical constraints.

Mezzanine debt provides equity-like returns with a safer position, offering a bridge for deals facing challenges like rising interest rates.

Prudent preparation involves considering multiple scenarios, both optimistic and pessimistic, to navigate uncertainties in the market.

Lesson number one, diversify. Lesson number two, diversify in time.

Diversify among many dimensions of diversification. Where you invest, location, who do you invest with, what kind of strategy.

Timeline

[03:26] Intro to episode guest

[05:16] One word that describes Mike personally and professionally.

[07:10] Let's talk a little bit about your background, and what you've done and how you got into the investment field and what that looks like for you today?

[13:05] Do you really like sponsors that are more vertically integrated or not?

[18:00] How's your team set up? How's your structure? How does your group operate?

[22:21] Is your team solely focused on raising capital, and what types of investors do you attract—individuals, family offices, or institutional funds?

[26:48] What's your market outlook for the next 12-24 months amid current uncertainties?

Contact

Email: bigmikefund.com

Key Takeaways

Real estate success is not just about profits; it's about achieving time and financial freedom to lead a more purposeful and playful life.

You have to be able to balance success with your personal life or it's just pointless.

It's hard in the moment when there's uncertainty, but once the problem resolves itself, it'll either work out or it won't.

Our ability to affect the future of the deal is enhanced with us being able to be in there and protect the capital that we've put in there.

I'm a human. I'm going to make mistakes, but I can actually go back and change history to set us up in a better place moving forward.

Vetting involves SEC checks, criminal background checks, Zoom meetings, and local members physically inspecting properties; transparency is key for trust.

Timeline

[01:28] Intro to episode guest

[02:52] One word that describes Emma personally and professionally.

[04:07] Why don’t you let us all know about Emma, your background and how you got into multifamily?

[07:29] Emma talks about her company High Rise Capital and what they do.

[10:47] What specific breakthrough or turning point occurred in your coaching relationship that significantly impacted your perspective and performance?

[17:38] Do you have a particular market you like or a particular asset class?

[23:15] As a potential passive investor, what information do you seek and how do you vet operators before investing in your fund?

Contact 

Email: highrise.group/contact

Key Takeaways

Investors can discern sincerity, and authenticity is a key factor for long-term partnerships.

When rates rise, it can be a good time to buy, and when they fall, it's favorable for selling as property values increase.

Renovating properties with high vacancy rates, despite potential bank reluctance, offers a chance to improve and raise market rents.

I love the journey more than I love the actual outcome of it. it's just that relentless passion.

The relentless pursuit should be fueled by passion, not just for the outcomes but for the entire process, ensuring sustained motivation and satisfaction.

Timeline

[01:40] Intro to episode guest

[02:56] One word that describes Duane personally and professionally.

[05:50] Talk about your background a little bit and how’d you get into this?

[11:26] Duane talks about the business side of multifamily.

[15:02] So what does it cost per unit to put a water conservation package in typically?

[17:10] I know you are working on a deal right now, why don’t we talk about that a little bit?

[21:35] What do you say to the new investor and how do you get them in your wheelhouse?

Contact 

Email: winkelcapital.com

Key Takeaways

Confidence is not just about being assertive; it's about the willingness to learn and be coached.

Life is a journey with its ups and downs; winning the small battles leads to winning the war.

Consistency in facing ups and downs allows for success through the big challenges.

The language of business is accounting; understanding that language enhances your chances of success.

Real estate investing has the potential to never be taxed if leveraged with write-offs, expenses, and depreciation.

Don't let the tax tail wag the dog; sometimes, there are valid reasons to exit a property despite tax implications.

Timeline

[02:05] Intro to episode guest

[02:50] One word that describes Brady personally and professionally.

[06:46] Can you share a brief overview of your background, current role, and your company?

[10:10] What are the tax planning strategies for limited partners, and how do they benefit as investors?

[16:36] Brady, discuss business entity structuring and mapping as Mike mentioned. How should people structure their entities?

[20:54] Discuss cost segregation, its mechanics, and how it relates to leveraging depreciation in your investments.

[31:13] Explain what a K1 is and how it's utilized for new investors or passive investors exploring deals.

Contact 

Email: brady@highcountryfinance.com

Instagram: @TheBradySlack

Key Takeaways

Understanding the market's cyclic nature is crucial, with an anticipation of improvement over the next 12-18 months.

Have solutions ready for all aspects of a deal. Learn from 2008: be prepared for market turns.

Specializing in one thing becomes crucial as you recognize the depth of your knowledge.

True expertise arises from hands-on experience, embracing challenges, and actively practicing in your field.

If you're taking on a deal, be the source for the completed project. It's about having the solution to all the problems or having access to them.

Syndication is just a fancy word for a partnership. Limited partners provide capital, and general partners create, vet, underwrite, manage, and decide when to sell.

Despite political divides and global uncertainties, with pent-up demand and a shortage of supply, there's significant money on the sidelines.

The market hasn't cooled off as expected. Interest rates haven't slowed much. Wages are rising, and the economy remains strong.

Timeline

[01:50] Intro to episode guest

[02:41] One word that describes Shannon personally and professionally.

[04:16] Can you tap into something that was a bump in the road for you that you learned a valuable lesson from?

[11:17] What is syndication, particularly for new listeners, in a concise way?

[15:09] What's your outlook on the market in the next 12 to 18 months, considering the recurring cycle?

[23:25] Are you currently involved in multifamily projects, or are you focused on light manufacturing and industrial deals?

[26:07] Are you building multifamily or single-family properties?

Contact 

Website: shannonrobnett.com

Key Takeaways

Discovering our true nature and purpose is a lifelong journey. There are various characteristics and traits that define us, and these qualities evolve over time.

A transformation in one's faith can lead to a fundamental shift in values and perspective on life.

Instead of treating spirituality as a resource to turn to only in times of trouble, it can be a consistent and integral part of one's business endeavors.

Effective communication and genuine interest in what matters to others can lead to stronger connections and partnerships.

Success should be redefined on an individual basis, rather than trying to emulate others. It's essential to discover one's unique definition of success.

Timeline

[00:40] Intro to Podcast

[02:32] Intro to episode guest

[03:56] One word that describes Tim personally and professionally.

[06:16] Do you think that each of us have some word or quality that other people associate you with?

[18:12] Tim shares his background and how he got to where he is today.

[27:10] Are you in the multifamily business or how’d you get into multifamily business?

Contact 

Website: seekgocreate.com

Socials: Seek Go Create

Key Takeaways

New multifamily investors should focus on setting clear goals, making decisions, and taking the first step to get started in the business.

It's crucial to focus on the numbers and find deals that make financial sense.

If you find a good deal in multifamily, you can probably show a 15 percent ultimate return on a deal.

Building relationships and networking with industry professionals can lead to mutually beneficial opportunities.

Multifamily remains a resilient and attractive asset class in the real estate industry.

Strong cash flow is a key factor in surviving economic challenges in real estate.

Timeline

[00:50] Intro to Podcast

[02:04] Intro to episode guest

[02:47] One word that describes Rod personally and professionally.

[04:23] Rod shares his background.

[09:00] How do you inspire and retain community members, encouraging them not to quit?

[13:40] What are the three essential fundamentals for success for new multifamily investors entering the business today?

[23:44] What’s your future plan? What’s your future goal?

[27:02] Where do you see rent growth going?

[30:18] What do you think is the best debt out there to find today?

Contact 

Website: https://linktr.ee/rodkhleif

LinkedIn: https://www.linkedin.com/in/rodkhleif

Key Takeaways

Real estate touches the lives of many people, making it essential to consider the human side of the business.

We've successfully turned properties with crime issues into safe and welcoming communities.

Providing quality housing that tenants love and find sticky can significantly reduce vacancy, a major cost in multifamily real estate.

Focusing on emerging markets with job growth is essential for successful real estate investments.

Consider markets with minor league sports teams as they indicate a growing economy and potential investment opportunities.

Single-family rentals can offer excellent cash flow and tenant stability, but the stress involved can be challenging.

Timeline

[00:38] Intro to Podcast

[02:10] Intro to episode guest

[03:16] One word that describes Matt personally and professionally.

[04:45] Matt shares his background.

[06:10] Have you always been in multifamily, or did you start out on the residential side?

[11:05] What are some of the fundamentals that you look at before you look at the deal in that market?

[16:43] So when you say residential, is it all apartments or are you in the single-family space also?

[28:12] We could talk about building relationships all day long, but how do we build those right ones? Who are the people that we need to build those relationships with?

Contact 

Socials: @MattFaircloth

Website: derosagroup.com