The Real Estate Espresso Podcast

Brian Boyd is based in Nashville Tennessee where he is practicing tax law. On today's show we are talking about some of the proposed changes to the US Tax Code and how real estate investors could adapt to those changes if they come to fruition. To connect with Brian visit briantboyd.com. ------------ Host: Victor Menasce email: podcast@victorjm.com

On today’s show we’re going to take you through thought experiment. I’m going to give you two distinct sales pitches. I’m going to bet that most people will choose the lifestyle investment.  The first is a luxury condo located in paradise. When you are not staying in your condo, it goes into the hotel's pool of rooms and you share in the hotel revenue. Hotel guests will pay for your vacation property. The second sales pitch is for a two acre parcel of land in the downtown core that may have future development potential. For now, it’s a parking lot for 200 vehicles. The parking lot has daily and hourly rates, and a discounted rate for evenings and weekends. Parking is expensive at $24 per day or six dollars an hour for the first four hours, after which you pay the full day rate. The parking lot is often full each day. The land is expensive at $8M. If you finance a large percentage of the purchase, you are facing a debt service amount of about $56,000 a month.  The parking lot is not very sexy. It’s parking, surrounded by high rise office towers in the downtown core.  One of these will appeal to the true analytic investor, and the other will appeal to the lifestyle investor.  How many of the lifestyle investors will decline to even consider the parking lot?  -------------- Host: Victor Menasce email: podcast@victorjm.com

On today’s show we are taking a look at a report that was published by Fannie Mae’s research team on Monday of this week. Fannie Mae’s research team is under the direction of Chief Economist Dr. Doug Duncan who is a past guest on this show. We are accustomed to getting overall market updates from Fannie Mae. This one was very different in that it was very narrowly focused on the insurance. I don’t ever recall seeing a report like this from Fannie Mae focused on a single expense line item.  It contains a pretty detailed and comprehensive explanation of what has happened over the past two years in insurance and how it has impacted multi-family investors. Here's a link to the full report. https://www.fanniemae.com/media/51396/display

On today’s show we are looking at the special considerations associated with developing a waterfront property.  There are some special risks associated with waterfront that might not exist in other more central locations. -------------- Host: Victor Menasce email: podcast@victorjm.com

On today’s show we are taking a look at market inefficiency and why it occurs.  When I say inefficiency, we see markets oscillating between being vastly under supplied to over supplied and back.  The signs of inefficiency are everywhere if you choose to look. But why is it happening? -------------- Host: Victor Menasce email: podcast@victorjm.com

On today’s show we are talking about the biggest things I look for when it comes to building on a new site. If you know the product that you are looking to build, then the hard cost of construction is fairly easy to estimate with pretty good accuracy. The largest variable is the site related costs. These can quickly spiral out of control. These risks are so severe that they can represent an existential threat to your project.  The risks break down into three main categories: servicing of utilities and access  Storm water management  Structural and Geotechnical ----------------- Host: Victor Menasce email: podcast@victorjm.com

Chris Eymann is based in Arizona where he does a high volume of house flips. He is also a lender. On today's show we are talking about the state of the market from the perspective of a lender. He can be reached on Instagram at chris_eymann or visit his property website at sellwholesalehouses.com. ------------- Host: Victor Menasce email: podcast@victorjm.com

Adam Goldman is a specialist in placing franchises with owners. Some commercial spaces struggle to find a tenant and a franchise can often be a solution to that problem. To connect with Adam visit franchisecoach.net or book a consultation with him directly at franchiseadam.com will get you a link to book a meeting time with him. -------------- Host: Victor Menasce email: podcast@victorjm.com

Have you ever wondered how the mapping software on your phone can alert you to a traffic jam?  It doesn’t matter if you are using an android phone or an iPhone, the mapping software uses the same basic technique for determining what is happening in traffic. If your phone has location tracking turned on, then the operating system services will report back to Google or to Apple Maps the moving speed estimation of your phone and all of the other phones that are currently travelling along that stretch of highway.  By collecting the aggregate information, they can determine the average speed that phones are travelling along that stretch of freeway. Since most of those phones are located with their owners inside a vehicle, we can infer that the cars and trucks are traveling at the same speed as the phones. If the speed limit on that stretch of road is 60, and the average speed is 30, they will probably color code that section of freeway in yellow and if the average speed is 10, they will probably color code that section of freeway in red to denote a severe traffic jam.  Now you might be wondering why I’m telling you this on a real estate podcast. What the heck does this have to do with real estate? Well, this same technology can be applied to other types of analysis that are extremely useful to real estate investors. Let’s imagine for a moment that you want to invest in retail real estate, maybe a shopping center. In this case you don’t care how fast the phone is traveling, you want to know where all the phones are going. Where are they stopping?  What if you could use this location information in a much more granular way. Let’s say that you wanted to open a shoe store in a particular mall, it might be useful to assess the foot traffic to the mall, to other shoe stores and other clothing stores in the area. This same technology can be used to tabulate the movement of cell phones according to location.  ------------- Host: Victor Menasce email: podcast@victorjm.com

On today’s show we are taking a look at a white paper that has been published on the White House website late last year. The document is called “COMMERCIAL TO RESIDENTIAL CONVERSIONS: A GUIDEBOOK TO AVAILABLE FEDERAL RESOURCES” This 54 page document outlines all of the programs that are available to at the Federal level to assist in these types of conversions. In addition to the Federal programs there are a number of local and state programs that are aiming to help facilitate these conversions. https://www.whitehouse.gov/wp-content/uploads/2023/10/Commercial-to-Residential-Conversions-Guidebook.pdf ------------- Host: Victor Menasce email: podcast@victorjm.com