The "office is dead" debate is on life support. What does it mean for the workspace of the future?
Although it is unlikely that we will see office occupancy levels like those in the 1980s and 90s in my lifetime, we aren't going to see a total collapse either.
The more we look
Everyone wants to buy underpriced assets from irrational sellers.
Few realize that means you have to negotiate with an irrational seller.
Most property buyers vastly underestimate how much crazy is out in the world...
#realestate
#cre
I completely understand why someone doesn't want to commute an hour and a half every day, totally got it. Doesn't mean they have to have a job here either.
- Jamie Dimon
@mu2myoc
In the 08-09 world, I applied for 100s of internships & routinely took tests, competing with 100s for each spot. It felt often pointless after hours of effort. Putting yourself out there is vital, yet I empathize with those who see these tests as futile without more insight.
A young broker cut me out of a deal.
Cost me less than a grand.
Three years later, he's begging me to help.
His client is trying to renegotiate a significant industrial LOI, and we have a backup.
I'm going to take the weekend to think about it.
Talked to a college kid today looking for a job in CRE.
I suggested he travel about an hour from his school to a conference. I'll get him in & introduce him to 2 folks I know who are hiring.
He responded, "I'm not looking to go to a conference. I'm looking for a job." 🤦♂️
“People rarely succeed unless they have fun in what they are doing.” – Dale Carnegie
Few people are exceptional who don’t enjoy the grind.
If you want to collect a paycheck that is fine.
But if you want to be excellent at a profession you have to at least enjoy it a little.
Crappy part of being in commercial real estate.
Routinely witnessing the fire sale of money producing assets because the next generation can't share...SMH
I've had multiple calls this week with Chicago investors considering pulling out of the city based on the results of
@Brandon4Chicago
Vs.
@PaulVallas
.
Regardless of political orientation, this election will significantly impact the future of Chicago's business community.
In our mariage it is death do us part.
Like the mafia, nobody is getting out alive.
So why wouldn't we have a joint account?
Do most spouses have joint or separate accounts?
@HowardRoark90
As a JD, who is a broker. Title isn’t very difficult and easy to scale. If you’re concerned about a broker receiving a 3% commission for hours of labor, you should be red hot about title fees which you don’t even have an option of doing on your own.
Call with a 80% vacant industrial multi tenant landlord.
LL: We don’t pay commissions.
Me: So if I bring you the perfect deal you’re not going to pay me?
LL: Look… I’m trying to save not spend money. Commissions are expensive.
Me: How expensive are those empty spaces.
LL:
It's unbelievable.
We have a job opening right now for someone who wants to learn real estate private equity inside and out.
No prior real estate experience necessary.
It's a hands-on role, with daily hands-on training for someone who is smart and hungry.
The person will
Unpopular Opinion:
The once tried-and-true model of real estate development, dependent on ever-increasing populations, is becoming a relic, even if low-interest rates make a comeback.
The blueprint for success is set to change dramatically, diverging from historical patterns.
I drove almost a hour out of my way on a Friday night to accommodate a young broker and their client.
They talked on the phone with me yesterday about how brokers didn’t show them respect.
Stood me up at the showing without a call, text or email.
SMH
The secret sauce! Everyone always wants to know the secret sauce to successful brokerages in our industry.
AFN had a 15 year run before being acquired by GlobalTranz. CEO and Founder, Ryan Daube, joined us to tell his story, and it’s a great one.
New episode tomorrow.
A wide range of emotions are natural because of
#Covid_19
If your sad, scared or feel alone please reach out to someone. Reaching out electronically or on the phone to those you love can make a huge difference.
You’re not alone and you are loved. Be kind 😊
(Real Conversation)
Resi Agent: My client needs industrial space
Me: okay what’s the business?
RA: It’s an industrial use.
Me: What exactly?
RA: They use an industrial building.
Me: Like what’s their business do?
RA: They do industrial things in an industrial space.
Me:
Two years ago, an owner called me to come out and lease his small office.
He met me in front of the building.
The first thing he said, "Why the f%#@ do I need a dumb f%#@ like you? I could lease this myself in a month."
Got right back in my car.
Space is still empty.
Local Developer Called This Morning:
Caller: So listened to your podcast this weekend.
Me: Oh thank you so much :)
Caller: You're not as dumb as I thought you were. Maybe we could work together in the future. I've got a project...
Me:
For those wondering what an efficient port looks like.
Here is the Chinese port in Guangzhou.
Virtual Longshoremen unload ships remotely, & supervise AI vehicles that automatically load containers on trucks.
Do we want a more efficient port or job safety for port workers?
It's pretty wild to be named on the
@X
CREi top influencers list. To all the real estate professionals considering engaging on the platform, let me tell you it's worth it—and probably not in the way you think.
Let me break down the lists 20 accounts you need to start following
Normalize paying taxes.
I'm amazed at the terrible 1031's and deals that some investors will happily take just to prevent a taxable event.
I try to avoid taxes as much as the next fella but it is better to be taxed than take a major financial setback.
For all the lurkers out there in the commercial brokerage community, please consider tweeting more on
#retwit
Many of you are knowledgeable and more experienced than a lot of the most active accounts.
Industry tip:
It rarely pays to call the senior broker listed on the top of the brochure; contact the junior agent.
Trust me.
They'll get right back to you, are happy to answer your questions, and will know all the deals coming down the pipeline.
When people say real estate is passive income.
Listen to them!
They're telling you they're inexperienced.
There's nothing truly passive about successfully managing real estate...
Some of the sharpest real estate minds on twitter have less than 2K in followers and are simply here to network.
Some of the biggest accounts spew a lot of garbage and sell courses.
To the young brokers just be careful who you trust…
One of the biggest mistakes entrepreneurs make is increasing their fixed costs too early.
If you keep fixed expenses low, you can be nimble and reinvest.
Growth almost always comes from flexible power.
A lot of folks can be total jerks over email.
When you pick up the phone....a different story.
Some people out there are supper kind, but man do they blow at email...
Stop idolizing the lives of others.
Unless you're in another's shoes, you have no idea.
Many successful folks are as broken as the next.
Especially at the top...
Pleanty of pain in pretty houses.
What's the point of
#ReTwit
if you can't share nuanced investing perspectives without being straw manned and dunked on by real estate bros for social media clout?
@HighyieldHarry
As a real estate broker & JD posts like this make me embarrassed to say I’m in real estate. A simple understanding of contracts law or a touch of humanity says this is wrong…
Signed a 6K industrial LOI a month ago.
In legal, the lawyer tried to renegotiate the business terms.
Term, free rent, etc.
The broker says they are "just acting in the client's best interest."
You're not.
We just signed a finalized deal with a backup.
Enjoy your weekend!
I'm ready to lay it all on the line for significant issues...
Still, as I get older, I'm starting to realize most arguments in life just aren't worth the trouble.
After passing 10K, I'd like to reintroduce myself:
I'm Gordon Lamphere, a real estate broker & property manager.
I lead the Sales & Leasing Team at
@VanVlissingenCo
.
Our team performs 100+ yearly transactions & has 50+ commercial buildings under management in Chicagoland.
If you're the junior person on a team it is hard to stand out.
The only way you can is to provide value.
The greatest value you can provide is by bringing in business.
So if your starting out, you'd better be networking and pounding the phones.
Just saying...
The cash paradox:
The more you have, the less you need.
When you don't need it, it's easy to access.
When you desperately need it, lenders tighten their belts.
You grow up working in a property management.
Work after college.
Graduate law school.
Get a job at a real estate brokerage firm.
Firm signs you up for a young people in CRE conference.
You at the conference:
Because Mr. T is trending.
Years back I sat next to him at a
@Cubs
game.
He was an absolute class act.
Kind, funny, and a great storyteller.
I pity the fool who doesn't know Mr. T!
Called an 80% vacant office building. Tenant seeks 25% of the building.
LL: We don’t pay commissions
Me: So if I bring you the perfect deal you won’t pay me?
LL: I’m trying to save, not spend money. Commissions are expensive.
Me: How expensive are those empty spaces?
LL:
Commercial brokers love to take digs at
#Resimercial
counterparts.
But…
The best residential agents outperform their commercial counterparts in aspects of client service, and pioneer modern marketing techniques.
We can still learn a lot from them.
Spent this morning on real estate
@tiktok_us
.
Either a lot the brokers are lying about deal volume or lot of clients are represented in complex transactions by designer dressed agents operating alone with < 1 year of experience.
No wonder people don’t trust our industry.
The most profitable deal size in commercial real estate tends to be too large for the majority of individual investors but too small for institutions.
If you focus on meeting the needs of the middle market, you can make a killing.
@miakhalifa
You can rebuke conservatives in the west, Israels actions against Palestinians, and also understand Hamas has no moral justification to target civilians.
I’m sure you experienced real trauma from the actions of the IDF. You as a self identifying Christian should understand an
This morning my wife asked why I leave about 1/4th of my clothes next to the hamper on the floor.
I explained “they are not dirty enough to be be clean or clean enough to be dirty. They are stuck in cloths purgatory.”
My wife responded:
Broker: I see that industrial building isn't listed for sale. Would you be open to selling?
Me: Offers are always open
B: How about $600,000?
M: So $35 a ft.
B: A starting offer
M: Can I get your emergency contact?
B: Why?
M: I think you've lost touch with reality
The truth is most brokers are on edge.
The frustration over the price gap between buyers & sellers persists, with no end in sight.
Moreover, interest rates have reduced willingness to sell.
You rarely see this much tension in the brokerage community as so few are getting paid.
When a tenant is dragging their feet in a renewal, there is one tried and true method to speed up the process.
Put up that leasing sign.
It doesn't guarantee a renewal...
But it certainly creates urgency.