Ted Martell – Empty Rooms: Commercial Real Estate Non-Performing Loans in NYC at Maverick Real Estate (EP.349)
Nov 9, 2023
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Ted Martell, Co-Founder of Maverick Real Estate Partners, discusses the niche opportunity of investing in commercial real estate NPLs in NYC. The conversation covers Ted and David Aviram's path to bootstrapping the business, the blend of data science and analysis that makes it work, and the wide-open landscape of opportunity in the NYC commercial market. They also explore using Gen AI technology for loan analysis and navigating the challenges of the commercial real estate market in NYC.
Maverick Real Estate Partners utilizes a data-driven approach, combining expertise in non-performing loans with a sophisticated data warehouse to generate consistent deal flow.
The success of Maverick Real Estate Partners is attributed to the strong partnership between co-founders Ted Martell and David Aviram, leading to a culture of alignment, transparency, and credibility.
Deep dives
Maverick Real Estate Partners: Investing in Distressed Loans in NYC
Maverick Real Estate Partners, a leading investor in commercial real estate NPLs and distressed loans in New York City, manages $500 million focusing on this specialty. The co-founder, Ted Martell, discusses the journey of bootstrapping the business, the nature of the opportunity, and the blend of data science and analysis that makes it work. The podcast explores the open landscape of opportunities in the New York City commercial market, and how Maverick's focus on data gives them a competitive advantage.
Building a Data-Driven Sourcing Strategy for Non-Performing Loans
Maverick Real Estate Partners utilizes a sophisticated data warehouse to generate leads for sourcing opportunities. By ingesting and cleaning publicly available data sets, they connect the data and create a valuable resource for their sourcing team. This data-driven approach, combined with their expertise in non-performing loans, enables them to systematically call lenders, identify distressed opportunities, and generate a consistent deal flow.
Navigating Bid-Ask Spreads and Challenges in the Market
The current market presents challenges due to the bid-ask spread and uncertainties caused by rising interest rates and inflationary pressures. Maverick Real Estate Partners remains patient, making offers and seeking transactions, but they are unwilling to overpay for loans. They believe that a catalyst is needed to break the bottleneck and encourage banks and private lenders to start transacting. Despite these challenges, Maverick sees the current market as the opportunity of a lifetime.
The Importance of Alignment and Partnerships in the Real Estate Business
The success of Maverick Real Estate Partners is attributed to the strong partnership between co-founders Ted Martell and David Aviram. Their alignment, transparency, and ability to solve conflicts has been critical to building the company. This partnership extends to their limited partners and employees, creating a culture of alignment and transparency throughout the organization. Maverick's focus on data, combined with their partners' diverse experiences, allows them to be one of the most credible players in the market.
On today’s sponsored insight, we’ll discuss another empty room – an opportunity ignored by most investors because they either don’t want to or can’t participate. It’s real estate Non-Performing Loans (NPLs) in New York City, a niche opportunity requiring a high degree of specialized expertise.
Ted Martell is the Co-Founder of Maverick Real Estate Partners, the leading investor in commercial real estate NPLs and distressed loans in the New York City market. Maverick manages $500 million focusing on the specialty since its launch in 2010.
Our conversation covers Ted and David Aviram’s path to bootstrapping the business, the nature of the opportunity, and the blend of data science and analysis that makes it work. We also discuss the wide-open landscape of opportunity on the horizon in the NYC commercial market.