Commercial Real Estate Investing From A-Z

How to deal with the worst possible outcome when it comes to real estate investing? Mike Morawski has dealt with the ultimate challenge, he was sentenced to 10 years in federal prison, charged on wire and mail fraud after transferring funds from one syndication to another without notifying his investors. He explains how he has overcome this life changing moment.You can read this entire interview here: https://bit.ly/366pNSJWhat happened along the way that was a mistake? What were the CAP rates at that time?I built a $100 million company with 100 employees working for me. We were in five markets around the country with 4,000 apartments. I thought that I had a team behind me that was getting the work done in restabilizing properties, but that wasn't happening. We should have taken a property, got it stabilized, and then gone to buy the next one, but I didn't do that. As an example, in 2007 I closed 17 transactions for 2,700 units, which was a lot of real estate in a quick period of time. I was undercapitalized and didn't raise enough money, I was over leveraged in that I bought all that $60 million worth of real estate at an 85% loan to value.Cap rates were 12-14%, they were a lot higher than they are now. As a matter of fact, I wrote a book called “Exit Plan”, and somebody was reading the book six months ago, and he called me to ask if I really bought that deal at a 13% CAP. I said yes. The funny thing is that I know the investor who just bought that deal with 4% CAP. It just goes to show you where the market is.You had a huge buffer with that high CAP rate, people today don’t have that much buffering in case of an additional 10% vacancy rate. Even though you were at an 85% loan to value that CAP rate is pretty high, so what happened after that?I just want to revisit that 85% loan to value, I don't think anybody should be in a real estate deal that they're not at 65-75% LTV. I've been looking at loans today, and some lenders sent me an email saying that they have loans at 80 and 85% LTV and I thought that's suicide.I had all this real estate, and 2008 comes around, it was the worst economic crisis that the country has ever seen. What happened was people started to move out of apartments, the market shifted and we had all this bad paper and foreclosures go to the market. My thought was, people are going to lose their house and they're going to need a place to live. Well, that wasn't what happened. People went home and doubled up, so our occupancies dropped. It was like hitting a brick wall, we started to come off of the rails and unwind as a company.By 2010, my occupancies had dropped and my NOI had dropped as a result of it. We went to some lenders and they helped us re-stabilize deals, but we still couldn't mitigate the storm. I had 38 companies at the time, and I had a number of deals that were very profitable and others that were not as profitable. So I started to take money from my profitable companies and move it into my non profitable companies. And my thought around the whole situation was, this is a recession and it tends to last 18 months. There’s a 12% correction in the marketplace, and then it bounces back. Well, this lasted for seven or eight years, it had a 40% correction in the market and people are still affected by it today. I thought if I move money between companies, and when the market comes back, I can put the money back.Did your lawyer tell you that you had to disclose that? Did he get charged for guiding you in the wrong direction?No, that was not ever part of the conversation, and I never thought I was breaking the law. They held me to a different standard because I was a licensed professional / syndicator.Mike Morawskiwww.mycoreintentions.com--- Support this podcast: https://podcasters.spotify.com/pod/show/best-commercial-retail-real-estate-investing-advice-ever/support

Where can you find commercial real estate deals in today's market? I will give you several ideas of how to find deals both online and offline. It's not magic, it's just work!You can read this entire episode here: https://bit.ly/3LUm0bHWebsitesLoopnet.com is a good place to start looking for commercial properties, but the most popular and more modern website is called crexi.com. Some brokers post their listings on both websites, but you can find different properties on both. On Loopnet, you may be able to find listings from brokers that have been in commercial real estate for a long time. On Crexi, you may find more properties for sale from more technologically savvy brokers.People You KnowDepending on how experienced you are, you will be able to get deals from people that you know. As your network grows their deal sizes, they will be selling their smaller properties so they can get into bigger properties. Sometimes they will offer these properties to you and you can negotiate. I know many people that have bought properties from people that they knew because the seller knew that their friends would close the deal, they did not involve any brokers and the buyer got a discount.Brokers Mailing ListsPut yourself on mailing lists for your targeted asset class, from brokers that specialize in your asset class. How do you get access to these mailing lists? For example, you can search for Car Wash brokers, and you will see a few of them that only specialize in car washes, sign up for their mailing list. Type whatever asset class you want, and start putting yourself on their mailing lists on their websites. I get so many emails every single day from brokers that I signed up with a while ago who sell properties in the asset classes that I’m interested in.Cold CallingI have interviewed people before that have purchased deals by cold calling property owners, they build a relationship with these people over time. Sometimes it takes one to two years of cold calling the same people every six months or so, you do have to take good notes on what each owner tells you, for example, if they have a family, or if they tell you to call back in six months, follow up in six months. By the time you reach out to them,Work as a Commercial BrokerYou will get first-hand access to deals, you can even put your commission in the deal and the seller will not have to pay the other half of the commission for the entire five or 6%. They will just pay your side of it, and you can even negotiate it and say that you won’t charge them any commission if they will give you a deal.Follow Up on Deals That Did Not CloseI have a document that is titled “Revisit in Q3”, it has a list of properties that I think are potentially decent deals if they stay in the market for a long time. They’re good properties but, in my opinion, overpriced, so I don’t think they will sell, and I want to see if they will still be available in three quarters, or two, so I can make an offer then.Build AI ModelsArtificial intelligence models can analyze properties that are a good fit for you. I met somebody that built a model for one of these companies that flip homes. What the flipping company did is, they gave all of their data on all of the best deals that they ever had so that the AI model now knows what property is available for sale today that will be a very good fit with the previous properties that sold successfully. And now, the software is feeding them these properties that are a good deal and will flip for whatever percentage they’re looking for.--- Support this podcast: https://podcasters.spotify.com/pod/show/best-commercial-retail-real-estate-investing-advice-ever/support

What are the top 3 ideas on how to make the transition from residential to commercial real estate investing? Amy Johnson, commercial real estate investor and principal at Y Street Capital shares her knowledge after being in residential for six years and moving to a successful career in the commercial space.You can read this entire interview here: https://bit.ly/3rFwFPsHow did you make the move from residential real estate investing and what made you think of moving to commercial real estate?We started in residential and went through that journey of house hacking our way through. What made that transition was really a lack of time. We got comfortable in the real estate world and we realized that doing these single units was too difficult to really scale and make it bigger. We felt like we needed to open our world up into commercial opportunities and that's when we made that switch from residential to commercial.What would be your top three lessons learned that you wish you knew before making the transition?1. Shadowing a professional. Go in, don't expect to be the professional on your first deal. Partner, or work with, or shadow somebody that has already done it. They've already gone through that, they already found the life lesson of XYZ and I'm never going to do that again. Go off of their learning curve for that. The easiest way to do that is you can usually be part of a syndication or something like that, or I've had people come and say, Hey, can I shadow you, and we can I work with you there. I'm careful with my time, but if you bring the right amount of value, maybe you bring the deal to them. We've done that with other people, they've brought us a deal, they said, I have this piece of dirt or I have this opportunity, I don't know what to do with it, but can I be part of your deal and learn from you, if I bring this to you, that's always been a win win. That will probably be my top one, shadow a professional to start.2. Selecting individuals that have other strengths than you. We all have different strengths and different superpowers. You need to surround yourself with other people that have different skills than you. For example, I'm terrible at Excel, it sucks the life out of me, but I love having conversations, I love networking, I can do that part. So I try to align myself with other people that are really good at the other parts. And we make a really powerful team.3. Try not to be a generalist, it's okay to have more than one type of asset that you're in. But if you're just chasing deals because you feel like it's a deal, and you're not mastering any of them. Maybe you're in flex industrial, then you go to storage, and then you go to retail and supermarkets or Dollar Generals, or you go to assisted living, or development. Those are all different things. They all have a very large learning curve in each of them. If somebody comes to me for retail, I'm sorry, I'm not a retail person. I don't do that. We try to stick to a bread and butter and keep to those specific things so that I'm not a generalist. We know those problems, so we know what to expect. It allows us to turn things over faster, and with less errors.What are some horror stories that you went through and how did you overcame them?The biggest one was not having the right amount of reserves. The second one was, everything takes longer than you expect it to happen. And that goes back to longer reserves. The third one is to not always rely on people's opinions of things, do your own research. The other one is that I'm never going to rely on $12-$14 an hour employees. That's probably the biggest horror story.Amy Johnsonwww.ystreetcapital.comwww.infiniterealestategroup.com--- Support this podcast: https://podcasters.spotify.com/pod/show/best-commercial-retail-real-estate-investing-advice-ever/support

What steps should you take to be able to quit your job and become a full time real estate investor? Bronson Hill, a syndicator and investor at Bronson Equity, who not only raised $15 million for his deals, but also just quit his job shares his path with us.You can read this entire interview here: https://bit.ly/3olStO6I had zero properties when I quit, but you did the right thing and you had real estate income before quitting. Can you share how your journey went?I admire you as well because like a lot of people say, I’m doing it, this is my new direction, burn the boats and just quit the job and I’m just going to go 100% into it. They do mentorship or other things, and then other people are a few months short of retirement and they’ve everything set up and all of a sudden they leave but I think I was somewhere in between. But there is a range of what people feel comfortable with.I had this relationship with my cousin and it has become a very transformational relationship. What he said to me was, everybody that he talked to wishes they had started in multifamily sooner. That principle really is the ability to scale or the ability to use other people's money, no matter how much money you have, no matter how much money you make. I had a couple of physicians that I worked with who made over $3 million a year, but they worked 80 hours a week. They weren't really financially free, they were kind of chained to have to go do that job. If something happened to them, they were disabled, they wanted to leave, they would just lose all of that income.Ask yourself, if adding another house, a duplex, a small multifamily, or whatever it is, is just completely overwhelming. If it feels like just way more work, then it's not really passive. That's a good passive or active test. There's really no such thing as a passive investment, but the idea of some things that are more passive.Were you able to cover your expenses by the time you left? You don't have to share exact numbers.I live pretty modestly, especially for LA, I just rent a place here, we have $150 million in real estate assets in Florida, Alabama, Arkansas, Texas, and Georgia. For me, I was able to at 40 to 50k, now it's more than that, but I was able to say, I can cover my living expenses based on this. And then each time I do a deal, I get an acquisition fee. Now in reality, I've reinvested most of the acquisition fees back in the deals that I'm doing. But then over time, when you do deals, you'll have things start to cash out. So there's some money coming from this deal. Or everybody is rolling from this deal to another. We had a deal recently that we bought in Jacksonville in March for $27 million it was a 288 unit multifamily complex. And we just sold it in December for $37.5 million. It was a huge profit, that was a 75%-100% return. But for me, we're 1030 wanting that in the next deal. And then there are some fees when we go to the next deal. There's some opportunity there.When deals sell, there are opportunities there. In some ways it's kind of feast or famine, but I feel like I'm investing in the business. I'm growing, I'm learning, and I'm covering my expenses. And I'm continuing to see my net worth grow. In multifamily in particular, you're doing these long term deals, you know that the money's there, you know it's coming, but you don't always see it right away. You're taking less up front, but still with these acquisition fees, they add up enough to at least cover the business expense and cover my living expenses, and they continue to grow my net worth.Bronson Hillwww.bronsonequity.com--- Support this podcast: https://podcasters.spotify.com/pod/show/best-commercial-retail-real-estate-investing-advice-ever/support

I'm going to be covering a topic request from one of our listeners "What happened when I landed in this country at 18 and how did I get to where I am today, 21 years later?" As you may know, I am originally from Brazil, and was very blessed to come here at 18. I landed in Silicon Valley and I still remember the first outing with my mom, she was explaining to me what the sign "Now Hiring" meant in Portuguese. I remember being so excited, because I saw "Now Hiring" everywhere that I went. In Brazil, we don't get these many opportunities. I got my first job at Mervyn's, and also worked at Blockbuster and Wells Fargo while going to college. After buying a music player with my first paycheck, I was pretty frugal and decided to start saving up. At Blockbuster, they absolutely loved me, I got promoted within one month of being there going from $7.25 an hour to $7.50 an hour. I got promoted to assistant store manager. And the reason that they loved me was that I was just working.Sign up for our newsletter at www.montecarlorei.com --- Support this podcast: https://podcasters.spotify.com/pod/show/best-commercial-retail-real-estate-investing-advice-ever/support

Join our 2022 goals calls here! Email us at admin@montecarlorei.com / Venmo @steffbold / or www.paypal.me/regoalsWhat are some things you need to keep in mind when leasing your property? Why should you put your prospective tenant's hat on? What are vacancy rates looking like today? Raphael Collazo, a retail real estate agent, shares his insights.You can read this entire interview here: https://bit.ly/3fhLRv1Investors and commercial leasing brokers have to put a hat on of our potential tenants, why don't we go into each step of your book and dive into some areas of it?First we talk about why you need commercial space in the first place. I've had a lot of conversations with people who like the fact of having a commercial space, it's a validation of them having made it, but in reality, they may not even need a commercial space. If you're a web designer, why do you need a commercial space, it's more of just fluff for you. On top of that, it may not be in your budget, your business may not be able to support you having a commercial space yet. Having that conversation early on is important so that you understand that maybe it's not the right time. And that's okay, it's actually better to know that now versus you getting into a commercial lease for three to five years, and then having that financial commitment for another three to five years. Then we review what you need to prepare before you get a commercial space, a lot of it is providing financials, if you're a newer business, or you haven't been around as much as some of these more established businesses, put the investor hat on, why would the landlord want to lease space to a potential business that doesn't have a track record of success, that's very risky for an investor. If there's a 2,000 square foot space, going for $2,000 a month, and you have $40,000 in reserves, your business is producing this, we can support this type of payment, it's getting ammo in the cartridge, so that as you go out and look for commercial space, you become a more attractive tenant to investors.Then we go through the process of narrowing down your list of criteria: how do you negotiate commercial leases, some of the provisions you need to keep in mind as you're looking at commercial spaces. And then at the end, we talk a little bit about once you get to the point of getting the lease signed, what are some of the build outs involved if you need a build out, and then we share some marketing strategies, and at the end, we have a call to action saying Now take the action, do it.And when they go ahead and do it, what are some of the things that they should be aware of with regards to negotiating that lease?As a landlord you want to pass along some of the main responsibilities over to the tenant, because you don't want to have to deal with getting calls for toilets and whatever else. That's part of the reason why you're investing in commercial real estate versus multifamily real estate. They want to be able to be a little bit more passive. Along with that, as a business owner, they don't consider the big ticket items, the landlord could pass along the responsibility for the furnace, the AC, if there's an elevator involved, maybe they're also passing along that responsibility. And you don't know that unless you read the lease.If you're in a multi tenant center, a lot of times you have to consider what's the competition in that center, because you don't want to be a liquor store, move into a multi tenant center, and then all of a sudden, next door, they allow another liquor store to move in. Have some form of exclusivity, and a sublease clause just in case.Raphael Collazowww.raphaelcollazo.comwww.linkedin.com/in/raphaelcollazo--- Support this podcast: https://podcasters.spotify.com/pod/show/best-commercial-retail-real-estate-investing-advice-ever/support

Join our 2022 goals calls here! Email us at admin@montecarlorei.com / Venmo @steffbold / or www.paypal.me/regoalsWhat questions should you ask a General Contractor (GC) when looking to hire one to build a property for you, renovate or expand it? How to even find general contractors for your projects? How should you pay them? Jeff Walston from Premise Construction will share his experience with us.You can read this entire interview here: https://bit.ly/3pZoZXvWhat are some of the major things that people should be aware of before hiring a general contractor?You need to know the right questions to ask. If you're in search for a general contractor, you can go to either your Better Business Bureau or your city commerce centers, they will know a great contractor because they've dealt with them in the past and know that they have a good track record, first and foremost. As far as questions to ask prior to starting the commercial projects:1. Making sure that they're fully licensed, fully insured, which is general liability, and workman's comp. Regardless if they are even going to be on the job site, you have to have that to protect everyone involved, it's very important.2. Their experience. If, for instance, you're hiring a contractor, and you want to do a restaurant build out, if they don't have any experience in the restaurant sector of commercial construction, maybe they have just been doing office buildings, you might have a few hiccups going through that whole process, because it's going to be a learning process for them. You need someone to know what they're doing in that specific sector.3. Once you figure out if they've done those projects, ask to see them, see if he can get references, ask around about their particular companies and do your research on them. It doesn't hurt to Google their company and Google their employees as well, I'd highly recommend that.What are some questions that people should be asking them to make a decision on which one to pick?If it's not down to price, if they're close in pricing, and you're just trying to figure out, who am I comfortable with, it's different for every circumstance, it's how you feel about the person that's representing the company. Some questions to consider are:- What expectations do you want them to have?- Can they meet your communication expectations?- Do you want daily updates? Do you want weekly updates? Do you want monthly updates?- Do you have project managers that are going to be managing our project daily?- Do you guys still perform work? Or do you subcontract everything out? And if so, how do you manage those subcontractors?- If they do have subcontractors that they're utilizing, you can ask them, How strong are your subcontractors? Do they show up on time? Are they managed well within their company? Get a feel of what they say about their subcontractors.- Is every subcontractor fully licensed and insured on your property?- You also want to see, from a liability standpoint, if they have any safety protocols, and if they do, what are those safety protocols, and maybe even see if you can get their safety protocol to see if everyone's following it. With any commercial property, the public safety for anyone involved in the project is vital for the people working there and the people utilizing the building later.- When problems arise, how do you handle it? Can you give me an example of the most recent one?Jeff WalstonPremise Constructionwww.linkedin.com/in/jeff-walstonjeffwalston@premiseconstruction.com--- Support this podcast: https://podcasters.spotify.com/pod/show/best-commercial-retail-real-estate-investing-advice-ever/support

Is location, location, location important in the metaverse? How can we develop properties in that world? What makes real estate valuable in the metaverse? How can you monetize it?You can read this entire interview here: https://bit.ly/33IcF5aLet's say Facebook decides to create their own universe, how are these pieces of land going to merge together? Or not? How will that work? What if one planet becomes more popular than another planet?That is the trillion dollar question. Are these going to be interoperable with each other? Is one going to dominate? That remains to be seen. We're still so early with this new world that nobody knows. Personally, I've bought virtual real estate in the Sandbox, Decentraland and Netvrk. And I'm looking to invest in virtual estate in up and coming metaverse projects as well. There's a saying, Spray and pray, I've kind of adopted that strategy, but not quite. I'm doing a lot of research into these projects, and I'm exploring them, but I am looking to get a lot of exposure to it. Some people compare it to being able to go back in time and buy a city block in Manhattan 100 years ago, what would that cost today? What would the return on that be worth today? It would be absolutely astronomical and, and incomprehensible. I think it's very possible that we're looking at a similar opportunity now, where in a decade or two decades, we look back, and we could have acquired a land plot in the Sandbox or in Decentraland for only $15k-20k. And now it's, millions of dollars. You can also purchase in game assets in the Sandbox and Decentraland. You can also create them, I believe. Roblox allows you to do something similar. I haven’t played it myself, but it might be something that some of your listeners are more familiar with, especially if they have young children that play Roblox. They provide you with tools to create your own anything in game assets, it could be a sword, a speedboat, a palm tree, a desk, a bed, pretty much anything that we have in the real world you could create it in the metaverse and you can sell it.Why is location important when you can literally click a button and be transported to the other side of the planet over there? Are people “walking” in these universes and is that why they will be able to see Snoop Dogg’s neighbor?Yes. There are various ways to move through these Metaverse projects, there are portals in some of them where you can teleport your avatar from one location to another. However, those are in specific locations only. So there are going to be large stretches of land between portals, where you’re going to have to find alternate means of moving around. The obvious and most common one would be walking or running. There are also roads, you can buy cars. I’m guessing you could move around the metaverse faster by purchasing a virtual car.Is there anything else that we haven’t covered that you think is important for our audience to know right now?I would just encourage everyone to start looking into this, do your research. It’s very easy to set up an account on the Sandbox and in Decentraland, create your own avatar, start exploring and start walking around. Look at their marketplaces. See what’s for sale, how much it costs, download a digital wallet, get a MetaMask, or Coinbase wallet, or a number of other wallets. But MetaMask is the most popular one. Start getting familiar with it, because this is the future. The opportunities are massive. We’re still super early in the space. And I think virtual real estate will be in very high demand over time. I personally think that it’ll be worth more than real world real estate at some point in the future.Paul’s Signal Group: https://bit.ly/3q0DRUhYoutube: https://bit.ly/3ytekHf--- Support this podcast: https://podcasters.spotify.com/pod/show/best-commercial-retail-real-estate-investing-advice-ever/support

What is the metaverse? Should you buy real estate in the metaverse? What does that even mean? What are some ways to monetize your property? Our metaverse expert will be enlightening us on what this is all about, and why it is important to at least start learning about it, and why it could be the next big thing in real estate.You can read this entire episode here: https://bit.ly/3E1p4xJWhat does that mean to own land that doesn’t exist, in a magical world?The ownership is via what’s called an NFT, which stands for non fungible token. It’s basically something that is digital, has scarcity, and is verifiably authentic on the blockchain. In addition to that, it’s also a way to verify ownership of a digital asset. Virtual land plots or parcels exist as entities on the blockchain, so your ownership is verifiable. That’s how it’s represented to the world. And the blockchain is a transparent public ledger. So everyone has visibility into it.But I’m still not understanding why I should buy a piece of land that doesn’t exist.There’s the appreciation component, because it exists as an NFT, you can also easily flip it on the blockchain. You can list it for sale on different entity marketplaces, the most popular and the largest being Opensea, kind of like the eBay of NFT’s.In addition to the appreciation, the fact that it’s easily transferable, or sellable, other reasons to purchase an own virtual real estate are that you can do much more with it in the metaverse than you can in the real world. For instance, you can advertise on it. You can advertise your own company, unlike the physical world, anyone in the world that has an internet connection is able to put eyes on those advertisements as they explore the metaverse and they happen upon your property and your billboards. The exposure opportunity is much higher. You can also rent out your property to, let’s say, people that want to host events on it. You can design and build any space, any environment that you can imagine. Unlike the real world where there are constraints.There are highly influential figures, celebrities, musicians that have bought up a lot of land in some of these Metaverse projects. Snoop Dogg is one example. He owns a massive section of land in the Sandbox. He has created what’s called the Snoop Verse. It’s basically a metaverse within the metaverse specific to Snoop Dogg, where he hosts live concerts where you can watch them as your avatar with other avatars and get access to other exclusive opportunities like NFT drops, play in the Snoop Dogg casino, check out his 200 car virtual car collection, get higher staking rewards on your tokens. Parcels adjacent to Snoop’s property, I think there is a string of three adjacent land parcels, if you take the minimum price $13,000 times three, you’d get $39,000. But those sold for $450,000, more than 10x the minimum price for land parcel in the Sandbox because of the proximity to this highly influential celebrity.Why is it worth 10x the price of minimum real estate values? Because Snoop is going to attract so much traffic to his land area, you are therefore going to get a lot more traffic to your plot of land, and so you’re going to get more eyes on it. Therefore, the advertising potential is higher, or the number of interactions you can expect on your property are much higher. You can also create games, you can rent it out, you can advertise on it. There’s no overhead costs, no insurance, no decay, no management. You don't need to clean the sheets. You don't need to vacuum it.Paul’s Signal Group: https://bit.ly/3q0DRUhYoutube: https://bit.ly/3ytekHf--- Support this podcast: https://podcasters.spotify.com/pod/show/best-commercial-retail-real-estate-investing-advice-ever/support

What are some asset classes that I think could potentially be very successful in the next decade with regards to real estate investing?You can read this entire episode here: https://bit.ly/3Ibdpj2I have recently been pondering about all of the missed opportunities that came right in front of my face a decade ago. Things like investing in Google and Facebook, I actually met the founder of Coinbase nine years ago, who told me that he thought that there was a huge opportunity in Bitcoin. Bitcoin was worth $13.30 then, if I had put $10,000 into it, it would have been worth $45 million today. I told my friends to buy Amazon stock when it was $250 a share. I test drove the very first Tesla Roadster 11 years ago, and never thought of investing in Tesla.As a fully grown responsible adult that has some money to invest today, I was pondering recently, what is right now right before my eyes today, that could be huge tomorrow, just like all of these companies that I just mentioned. These things can be controversial, and you might not like it, and you may think is the stupidest thing ever, or you may simply disagree with it. But it's just what it is. And you can either learn about it, or you can try to fight it.CannabisThe first thing that I think could be a great investment is in the cannabis space. Whether you rent an industrial building to a cannabis manufacturer or deliverer or whatever their business may be, today, cannabis is only legally allowed in a handful of states. Trends, whether you like them or not, start on the coasts. Cannabis has been legalized in a few states on the coasts, eventually it will be legalized on a federal level. And those who are ahead of the curve will benefit from it, and that is happening sooner than you think. Cannabis tenants tend to pay significantly more for renting the property because of many factors that are related to it not being federally legal. Once it becomes federally legalized, and you end up having a cap rate of, say, 7% when these industrial buildings with these cannabis tenants that are paying you top dollars, you automatically add value to your property.MetaverseIn the metaverse you are basically buying a "piece of real estate" in this fake world. I am looking at interviewing people that are experts in this topic, so we can all be enlightened and really learn what it means to invest in the metaverse with regards to real estate. What I learned so far is that there are companies already buying land in this 3D world that they will be able to build whatever they want. It can be a hotel, a golf course, an art gallery, a comedy show place, a sports stadium, a music stadium, and it can also be a game. It can basically be anything that the person that bought it would like to create in that world. They can charge people for admission, or a membership fee for example. And that's one of the ways to monetize it.EnvironmentalThe last example in this series is coming back to the physical world, the more realistic world. As we all know by now, the government creates tax incentives in order to incentivize a certain behavior that they want you to act upon. Like we have mentioned before they have tax incentives for real estate investors because the government does not want to build and maintain buildings. That is why real estate investors have these tax incentives. Today's incentives are in the environmental space. They are in wind farming, carbon capturing, clean energy, and a few other things that you might want to learn about.What do you think could be the next huge opportunity in real estate investing? Let me know below:linkedin.com/in/steffboldwww.montecarlorei.com--- Support this podcast: https://podcasters.spotify.com/pod/show/best-commercial-retail-real-estate-investing-advice-ever/support