In this episode, Craig McGrouther and I dive into real estate investment and operational improvements. Learn how partnering with experienced managers can reduce risk and how the looming recession might impact your investment strategies. We also explore the benefits of streamlining reporting and communication processes and why prioritizing fewer, higher-quality deals is a more effective approach. Plus, gain clarity on the critical differences between bad debt and delinquency to better manage your cash flow.
Rob oversees acquisitions and capital markets for Lone Star Capital and has acquired over $600M of multifamily real estate. He has evaluated thousands of opportunities using proprietary underwriting models and published the number one book on multifamily underwriting, The Definitive Guide to Underwriting Multifamily Acquisitions. He has written over 50 articles about underwriting, deal structures, and capital markets and hosts the Capital Spotlight podcast, which is focused on interviewing institutional investors.
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With over $600 million in acquisitions and over 30% gross realized returns since 2018, Lone Star Capital is a fast-growing real estate investment firm owning and operating over 4,500 multifamily units in Texas. We deliver superior risk-adjusted returns through diligent sourcing and selection, vertically integrated property management, and rigorous reporting.
Timestamps:
00:00:00 - Setting up the Podcast Studio
00:03:28 - Investments and Production Update
00:06:52 - Investing Strategies with Emerging Managers
00:10:14 - Keyman risk in investing funding startups
00:13:27 - Striving to be the Best in the Market and Focusing on Fit and Alignment
00:16:34 - Setting Standards in Business Operations
00:19:40 - New Acquisition in Dallas
00:23:03 - Exciting Changes in Operations
00:26:30 - Finding Opportunity in Real Estate Investment
00:29:40 - The Concept of a Steepening Yield Curve
00:33:03 - The Importance of Surrounding Yourself with Diverse Perspectives
00:36:31 - Laughing at High Cap Rate Expectations in Real Estate Market
00:39:46 - Changes in the Real Estate Market
00:42:58 - The Impact of Instagram on Society
00:46:16 - Streamlining Reporting and Communication
00:49:40 - The Hassle of Financials
00:52:48 - Streamlining Financial Processes
00:55:59 - Higher Vacancy Factor and Collection Rate
00:59:25 - Understanding Delinquency and Bad Debt
01:02:43 - Impact of Evictions on Credit Score and History
01:05:55 - Outro
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#rob_beardsley #multifamily #real_estate #lone_star_capital #underwriting