How to Invest in Commercial Real Estate

By Criterion, Braden Cheek, Brian Duck, Joel ThompsonBusiness Investing

How to Invest in Commercial Real Estate episodes

August 08, 2022 EPISODE 72 - KNOWLEDGE Combats FEAR! Exploring Value-Building Alternatives With Benjamin Meyers.
How do you make the most of the assets you already have? Today hosts Braden Cheek, Brian Duck and Joel Thompson from The Criterion Fund discuss alternative value-building alongside guest Benjamin Meyers!
Time Stamps:
0:00 - Introduction
1:39 - Benjamin's background
3:33- Would you recommend getting your Masters in Real Estate Development?
9:11 - What is an "Owners Rep"?
12:58 - Bridging the gap between getting an education & actually starting a company.
16:54 - Benjamin's "AHA" moment when looking at the zoning laws after relentlessly trying to add value to the assets he already had.
23:21 - Recapping the themes of the day! Always look for alternative ways to create value. Knowledge combats fear.
*Be Sure to check us out on Spotify and Apple Podcasts for the Audio version of today's episode!**
https://open.spotify.com/show/08KmNvqGV5HjmHUC8fLuce
https://podcasts.apple.com/us/podcast/how-to-invest-in-commercial-real-estate/id1543470290?itsct=podcast_box&itscg=30200
Links mentioned in this episode:
www.TheCriterionFund.com
www.HowToInvestInCRE.TV
Invest.HowToInvestInCRE.com
To sign up for our exclusive investor list, click below.
https://www.thecriterionfund.com/join-our-investor-list
31 min
August 01, 2022 Episode #071- RECESSION-PROOF Your Real Estate Career!
Today hosts Braden Cheek, Brian Duck and Joel Thompson from The Criterion Fund discuss the how to navigate the current current CRE landscape by seeing the opportunities behind rising interest rates and the uncertainty ahead!
Time Stamps:
0:00 - Introduction
1:52 - We're typically higher-leverage buyers
2:37 - Using our latest Stonewood Village acquisition as an example of how rising interest rates affect your returns.
5:02 - If you're underwriting CRE, you need to know when "Prime" moves!
6:18 - Back to the Stonewood Village deal.
8:46 - What if interest rates keep rising? What are the downsides?
11:04 - There might be LESS risk and MORE opportunity in a rising interest rate environment!
14:40 - There seems to be less competition around us right now- uncertainty breeds opportunity! It may take 6 months for sellers to begin dropping their prices.
17:08 - Visit our website to get our updates, and remember to ask yourself how you can win!
*Be Sure to check us out on Spotify and Apple Podcasts for the Audio version of today's episode!**
https://open.spotify.com/show/08KmNvqGV5HjmHUC8fLuce
https://podcasts.apple.com/us/podcast/how-to-invest-in-commercial-real-estate/id1543470290?itsct=podcast_box&itscg=30200
Links mentioned in this episode:
www.TheCriterionFund.com
www.HowToInvestInCRE.TV
Invest.HowToInvestInCRE.com
To sign up for our exclusive investor list, click below.
https://www.thecriterionfund.com/join-our-investor-list
19 min
July 25, 2022 Episode #070- If You Could START OVER in CRE, What Would You Do DIFFERENTLY?
Today our hosts Braden Cheek, Brian Duck and Joel Thompson from The Criterion Fund discuss what they would have done differently on their individual journey to CRE Investing! From starting sooner to understanding Real Estate cycles, this is an episode you won't want to miss!
0:00 - Introduction
0:27 - It's distribution time! Precision Equity & Criterion combined for over $1 Million in distributions this quarter!
5:15 - If you could go back & do it over, what would you do differently?
7:40 - Commercial vs. Residential - sometimes we don't know what's possible!
9:04 - (To Joel): How would you get into CRE differently from where you first started?
12:01 - (To Brian): Would you do anything different coming into CRE as a stock market investor & industry professional? Step 1: start earlier!
14:42 - Step 2 - Get more involved than just being an investor!
16:45 - (To Braden): What would you have differently coming up in the Real Estate game?
19:59 - The BIGGEST GIFT OF CRE: The gift of getting your time back!
21:34 - How The Great Recession affected Joel's perception of CRE.
24:16 - Understanding Real Estate Cycles!
*Be Sure to check us out on Spotify and Apple Podcasts for the Audio version of today's episode!**
https://open.spotify.com/show/08KmNvqGV5HjmHUC8fLuce
https://podcasts.apple.com/us/podcast/how-to-invest-in-commercial-real-estate/id1543470290?itsct=podcast_box&itscg=30200
Links mentioned in this episode:
www.TheCriterionFund.com
www.HowToInvestInCRE.TV
Invest.HowToInvestInCRE.com
To sign up for our exclusive investor list, click below.
https://www.thecriterionfund.com/join-our-investor-list
30 min
July 18, 2022 Episode #069- How to Become A TOP ASSET MANAGER in Commercial Real Estate!
Today our hosts Braden Cheek, Brian Duck, and Joel Thompson from The Criterion Fund discuss the life and journey of one of Oklahoma's top Asset Managers- special guest Bob Parker from Owasso Land Trust!
Time Stamps:
0:00 - Introduction
1:40 - Bob's origin story!
6:48 - Over the years, Bob learned how to run a multi-tenant property.
9:05 - Property Managers have to be the tenants friend! Honesty and respect are immensely valuable.
10:44 - "The tenants will get away with whatever you let them get away with!"
12:52 - Where Bob's Real Estate journey has taken him more recently, and how he fell in love with budgeting!
17:56 - "How did your tenants handle COVID restrictions?"
19:28 - No small business should let a customer leave without their phone number and email! Find a captivating way to get their information and connect with them.
21:34 - "Can't pay your rent? Prove it!"
23:01 - What are Bob's main value drivers as an Asset Manager?
27:32 - Bob to Joel: "Did you guys have a different response to COVID with your properties in Metropolitan areas?"
29:35 - Would you recommend getting a CCIM designation?
33:19 - One last tip on enhancing value!
*Be Sure to check us out on Spotify and Apple Podcasts for the Audio version of today's episode!**
https://open.spotify.com/show/08KmNvqGV5HjmHUC8fLuce
https://podcasts.apple.com/us/podcast/how-to-invest-in-commercial-real-estate/id1543470290?itsct=podcast_box&itscg=30200
Links mentioned in this episode:
www.TheCriterionFund.com
www.HowToInvestInCRE.TV
Invest.HowToInvestInCRE.com
To sign up for our exclusive investor list, click below.
https://www.thecriterionfund.com/join-our-investor-list
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39 min
July 05, 2022 Episode #068- The Current State of COMMERCIAL CONSTRUCTION!
Today our hosts Braden Cheek & Brian Duck from The Criterion Fund and special guest Tyler Detring from Ascend Construction Services discuss the state of commercial construction in 2022 and what tools Tyler and his team are using to persevere through supply chain challenges and inflation!
Time Stamps:
0:00 - Introduction
1:20 - Tyler's background.
1:50 - It's a crazy time! How interest rates are impacting commercial construction.
4:00 - Setting & managing expectations in the industry!
9:34 - How is Tyler approaching pricing nowadays?
14:50 - The art of delivering disappointment & working with subcontractors and a 4-layered supply chain.
20:44 - Persevering and giving quality estimations in spite of the challenges that price fluctuations & labor shortages bring.
26:00 - Now is the time to start a business! There is a high demand for plumbers and electricians.
27:57 - Tyler gives The Criterion Fund a shout out!
*Be Sure to check us out on Spotify and Apple Podcasts for the Audio version of today's episode!**
https://open.spotify.com/show/08KmNvqGV5HjmHUC8fLuce
https://podcasts.apple.com/us/podcast/how-to-invest-in-commercial-real-estate/id1543470290?itsct=podcast_box&itscg=30200
Links mentioned in this episode:
www.TheCriterionFund.com
www.HowToInvestInCRE.TV
Invest.HowToInvestInCRE.com
To sign up for our exclusive investor list, click below.
https://www.thecriterionfund.com/join-our-investor-list
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30 min
June 20, 2022 Episode #067 - How to Spot RED FLAGS in Commercial Real Estate!
Today our hosts Braden Cheek, Brian Duck and Joel Thompson from The Criterion Fund discuss some red flags to look out for when purchasing a new multifamily or retail property!
Time Stamps:
0:00 - Introduction
2:07 - Red Flag #1- Avoiding financial data / falsifying Income!
4:44 - Red Flag #2 - historical vacancies under 85%.
7:09 - An example of how owners will try to get higher rent rates because of Tenant Improvement dollars.
9:52 - Red Flag #3 - Unforeseen expenses that challenge your projected CAP-X! Examples in retail: parking lot expenses, roofing expenses, HVAC costs, and tenant improvement $$$ for vacant spaces.
Examples in multifamily- boiler/chiller costs, roofing expenses, parking costs, & non-rentable units.
15:36 - Red Flag #4 - Receiving a "Further Investigation Needed" notification during the property's environmental inspection!
20:53 - Environmental testing in multifamily.
22:18 - NOI changes / final thoughts.
*Be Sure to check us out on Spotify and Apple Podcasts for the Audio version of today's episode!**
https://open.spotify.com/show/08KmNvqGV5HjmHUC8fLuce
https://podcasts.apple.com/us/podcast/how-to-invest-in-commercial-real-estate/id1543470290?itsct=podcast_box&itscg=30200
Links mentioned in this episode:
www.TheCriterionFund.com
www.HowToInvestInCRE.TV
Invest.HowToInvestInCRE.com
To sign up for our exclusive investor list, click below.
https://www.thecriterionfund.com/join-our-investor-list
MB01GOYTK7WTBLE
30 min
June 13, 2022 Episode #066 - What to Look For in a PROPERTY MANAGER!
Today our hosts Braden Cheek, Brian Duck and Joel Thompson from The Criterion Fund discuss what qualities are needed in your next property manager and what protocols you should be taking to ensure your property is running smoothly!
Time Stamps:
0:00 - Introduction
1:16 - What should you be looking for in a third party property management company?
3:08 - Google + Effort = Knowledge! Get your list of managers together and ask for recommendations from people you trust in the market.
4:30 - You need to be looking at their infrastructure right off the bat.
5:59 - Should you choose a national or local property management company?
9:10 - What all does a property manager have to do?
12:11 - How much you care, matters!
13:20 - Be sure to walk the property with the property management companies.
14:01 - You want someone who's knowledgable on market rents and aggressive in negotiations!
15:35 - Why we negotiate our own lease renewals, and our final thoughts on effectively choosing the right property manager.
*Be Sure to check us out on Spotify and Apple Podcasts for the Audio version of today's episode!**
https://open.spotify.com/show/08KmNvqGV5HjmHUC8fLuce
https://podcasts.apple.com/us/podcast/how-to-invest-in-commercial-real-estate/id1543470290?itsct=podcast_box&itscg=30200
Links mentioned in this episode:
www.TheCriterionFund.com
www.HowToInvestInCRE.TV
Invest.HowToInvestInCRE.com
To sign up for our exclusive investor list, click below.
https://www.thecriterionfund.com/join-our-investor-list
20 min
June 06, 2022 Episode #065 - Criterion's 5 KEYS to Success!
Today our hosts Braden Cheek, Brian Duck and Joel Thompson from The Criterion Fund discuss 5 key principles that have helped them throughout their investing journey!
Time Stamps:
0:00 - Introduction
1:25 - What does success mean to you?
2:24 - Key #1: Decide what it is you want!
8:14 - Key #2: Focus your time!
14:14 - Key #3: Embrace FAILURE!
19:42 - Key #4 - Enjoy the journey!
25:36 - Key #5 - Never give up!
*Be Sure to check us out on Spotify and Apple Podcasts for the Audio version of today's episode!**
https://open.spotify.com/show/08KmNvqGV5HjmHUC8fLuce
https://podcasts.apple.com/us/podcast/how-to-invest-in-commercial-real-estate/id1543470290?itsct=podcast_box&itscg=30200
Links mentioned in this episode:
www.TheCriterionFund.com
www.HowToInvestInCRE.TV
Invest.HowToInvestInCRE.com
To sign up for our exclusive investor list, click below.
https://www.thecriterionfund.com/join-our-investor-list
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33 min
May 30, 2022 Episode #064 - Maximizing Trust and Managing Risks With Neal Stenzel!
Today our hosts Braden Cheek, Brian Duck, and Joel Thompson with The Criterion Fund team up with Neal Stenzel, CFO of Oral Roberts University, to discuss his personal experiences when investing with The Criterion Fund!
0:00 - Introduction
0:43 - ICSC (International Conference of Shopping Centers) Convention
1:30 - This will be the last podcast in this studio!
1:55 - Our special guest- investor Neal Stenzel, CFO of Oral Roberts University.
3:19 - Neal's background as a conservative investor, and how he got into Commercial Real Estate Investing.
5:06 - "I went out and searched for some advice." - Neal dives deeper into the world of investing & starts to take more risks.
6:42 - "Education is expensive" - the price of making mistakes & how to bounce back.
7:28 - You have to learn what NOT to do! Life is about taking risks!
9:35 - "Risk" vs. "Risky”
10:56 - Neal's first time investing with us, and why trust played a huge role in minimizing "swindle risk"
13:44 - The biggest question for Neal was “How much money do I put into this?" And the importance of starting small. & more on swindle risk.
17:01 - Investing with The Criterion Fund in 2019. Remember you're in it for the LONG HAUL (5-7 year time period).
18:34 - Every time he had a question, Brian & Braden would answer his calls. The importance of being responsive.
20:32 - The combination of capital appreciation & income. Neal's reaction to the first deal that sold in Las Vegas.
22:19 - A lot of investing has to do with your family!
23:13 - The importance of over-delivering on your promises & consistently sending out checks to your investors.
25:41 - "You have to put yourself in position to be lucky." - how this applied to the El Luchador Deal.
28:10 - Comparing CRE Investing to investing in the stock market.
*Be Sure to check us out on Spotify and Apple Podcasts for the Audio version of today's episode!**
https://open.spotify.com/show/08KmNvqGV5HjmHUC8fLuce
https://podcasts.apple.com/us/podcast/how-to-invest-in-commercial-real-estate/id1543470290?itsct=podcast_box&itscg=30200
Links mentioned in this episode:
www.TheCriterionFund.com
www.HowToInvestInCRE.TV
Invest.HowToInvestInCRE.com
To sign up for our exclusive investor list, click below.
https://www.thecriterionfund.com/join-our-investor-list
MB01GOYTK7WTBLE
32 min
May 23, 2022 Episode #063 - HOW And WHY We Chose Our TWO NEWEST CLOSINGS!
Today our hosts Braden Cheek, Brian Duck, and Joel Thompson with The Criterion Fund discuss the metrics they used when analyzing their two newest closings, and what investors can expect from these properties!
Time Stamps:
0:00 - Introduction
1:43 - Village at Northshore in Slidell, Louisiana - acquisition costs, expectations, and upside!
7:26 - A deeper dive into the metrics we look at, and the questions we ask when evaluating a deal.
8:20 - How much cash we're taking in for this deal, and the expected return for our investors.
9:54 - What is our criteria when evaluating a property we're looking to purchase?
10:35 - Stonewood Village in Stone Mountain, Georgia - What do we like about it?
14:10 - The Stone Mountain Metrics! We're loving the risk/return profile.
19:52 - Don't miss out on these deals! Slots are filling up fast.
*Be Sure to check us out on Spotify and Apple Podcasts for the Audio version of today's episode!**
https://open.spotify.com/show/08KmNvqGV5HjmHUC8fLuce
https://podcasts.apple.com/us/podcast/how-to-invest-in-commercial-real-estate/id1543470290?itsct=podcast_box&itscg=30200
Links mentioned in this episode:
www.TheCriterionFund.com
www.HowToInvestInCRE.TV
Invest.HowToInvestInCRE.com
To sign up for our exclusive investor list, click below.
https://www.thecriterionfund.com/join-our-investor-list
23 min