Ironclad Underwriting Podcast

Unlocking the Power of Value Add Strategies in Commercial Real Estate!


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Overview

In this episode, Jason Williams and Frank Patalano break down the true impact of value add strategies in commercial real estate and how forced appreciation transforms investment outcomes. They walk through a real example, explain how renovations translate into millions in added value, and compare residential and commercial valuation in a practical, easy to understand way. The conversation highlights what improvements actually increase rents, which ones simply maintain a property, and why smart operators focus on changes tenants can see and feel.

Topics Covered

  • How bulk cable and internet contracts can increase net operating income
  • The difference between residential natural appreciation and commercial forced appreciation
  • A full breakdown of value add math using a 100 unit property
  • Why some CapEx projects raise rents and others do not
  • Which improvements residents notice and will pay more for
  • How amenities like pools, gyms, and dog parks affect perceived value

Quotes

  • “Commercial real estate gives you far more control because the value is based on numbers, not the neighborhood.” - Frank Patalano
  • “Adding two hundred dollars a month in rent across a hundred units can create four million dollars in value.” - Jason Williams
  • “Residents will pay for what they see, feel, and use, not for the things hidden behind the walls.” - Frank Patalano

🎧 Connect with Jason:

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https://IroncladUnderwriting.com

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🎧 Connect with Frank:

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Ironclad Underwriting PodcastBy Jason L Williams PHD