Generational wealth is the goal of many real estate investors. And while the first generation works hard to create the foundation, often the second-generation has different goals and desires outside of the family business. Pankaj Sharma knows this all too well.

Pankaj is a second-generation multifamily owner/operator with over 20 years of experience in the field. His current personal portfolio consists of 2,000 units in 5 major cities in eastern Pennsylvania. His latest deal closed in July of 2019 when his company purchased a $50 million fixer-upper, multifamily building. Recently Pankaj started Sharma's Karma, a YouTube channel, as a way to document their investing journey and give back.

In this episode, Pankaj shares his view on generational investing, working with family, details of the $50 million apartment project, and the role meditation and mindset have played on his real estate journey.

Key Insights

• Second Generation multifamily owner/operator, 2000 Units in 5 cities in Pennsylvania.
• His father's first deal and how Pankaj learned the business from the ground up.
• Pankaj's spiritual training with Agape International Spiritual Center
• How he turned a distressed foreclosed multifamily with shootings and low occupancy into a $10MM asset.
• Investing strategy: buy, renovate, hold long term.
• How he acquired a $50MM, fixer-upper deal
• Take distressed mismanaged properties, and gradually over time with a long patient strategy, put in value add, build tenant-base and collections.
• Business plan and financing on a multi-million dollar project
• How to reinvest cashflow from properties and protect yourself from being over-leveraged
• The Harrisburg Market: Improvements and investments in Harrisburg. Cumberland County is the fastest-growing county in PA.
• How to evaluate a deal and key indicators to look for. You can't change the neighborhood, but you can change the building.
• Key lessons he has learned managing big projects with a hands-on approach
• Remember: If you don't pay for it upfront, you're going to have to pay later and when you pay later, it's going to come with a late fee.
• Strategies in working with family
• You have to do the right thing, even though sometimes the right thing is uncomfortable, however as a result of doing things that are uncomfortable, you grow.
• Creating generational wealth and bringing the next generation into the family business
• How his spiritual connection fulfills his business and his business helps him grow spiritually

Bullseye Tips:

Apparent Failure:

The main thing in failure, everything is temporary, whatever you are going through this too shall pass.

Digital/Mobile Resource:

Sharma's Karma

Most Recommended Book:

Creating Money

Daily Habit:

Meditation

Wish I Knew When I Was Starting Out:

Should have bought a whole lot more.

What I Wish I knew a Year Ago

That there was going to be a recession because it's here.

Current Curiosity:

Where his new level of meditation will take him

Best Place to Grab a Bite in Spring City, PA

His house, his wife Ruby is the best cook

Contact Pankaj:

Website: S&S Properties Investment

YouTube: KarmaCast