Presented to alumni of the Rice MBA and Stanford MBA business programs in November 2016.
Topics included:
• What are some considerations business owners should explore before leasing, buying or building a new location?
• How long does a typical transaction take?
• How should commercial real estate be thought of as part of my company’s strategy?
• Who can help guide me through a commercial real estate transaction?
This document discusses the pros and cons of buying a building for one's business. It covers conducting a lease vs. buy analysis, researching the local real estate market, finding the right building, qualifying for financing, types of financing available including conventional, SBA 504 loans, managing tax deductions and appreciation over time, and different ownership structures. Experts in commercial real estate, financing, and taxes provide advice on each of these topics to help business owners determine if purchasing a building makes financial sense for their specific situation.
C. Matthew Schulz, a partner at Dentons law firm and chair of their Global Mobility and US Immigration practices, gave a presentation on starting a business as an international student. The presentation covered various visa options for international students looking to own or work for a business in the US, including visas designed for business owners like E-1, E-2, and EB5 visas, visas that do not require employment like EB1A and EB2, and visas for employees like F-1, J-1, H-1B, L-1, and various employment-based immigrant visas. Schulz emphasized that active involvement rather than just passive ownership is the issue, and discussed factors
Investing in Commercial Property (Series: REAL ESTATE INVESTING MADE SIMPLE 2...Financial Poise
Before taking the plunge into commercial real estate investing, one should have a clear understanding of how to select the right location, preferred type and class of property, what due diligence to do, how to secure financing, how to negotiate a deal, and how to manage the property going forward as a commercial landlord. This Financial Poise panel explains the process from looking for the investment, to contract, to closing, and beyond.
To view the accompanying webinar, go to: https://www.financialpoise.com/financialpoisewebinars/on_demand_webinars/investing-in-commercial-property/
This document provides an overview of investing in REO (real estate owned) properties. It discusses the foreclosure process, challenges of buying bulk REOs, and an opportunity to purchase 10 properties at a time for $20,000 each with turnkey support services included. The support services would handle listing, qualifying buyers, sales contracts, and collecting payments, ensuring properties are resold within 90 days. The investment aims to generate high returns of 20%+ through cash flow from land contract payments over time.
The document provides an overview of developing a surplus property plan, including how to analyze the situation, evaluate disposition alternatives, market surplus properties, and close transactions. It discusses developing goals for the plan, prioritizing properties, conducting financial analyses, understanding landlord and property situations, and determining appropriate disposition strategies on a property-by-property basis to achieve corporate objectives.
Positioning the Company for an Exit - Chapman - Mar 14Jim Chapman
The document discusses positioning a company for an exit through an IPO or acquisition. It outlines the deal environment and trends in 2014 that make deals more likely. Preparing the business for sale includes cleaning up records and contracts. Key steps are developing a letter of intent, conducting due diligence, and negotiating deal structure, price, and closing terms. Common mistakes include failing to prepare and cutting corners. An IPO transforms a company and requires time, experienced management, revenues, growth, and profitability. The process involves the SEC, roadshows, and underwriters.
The document provides an overview of a presentation on property management. It discusses various topics including the pros and cons of being a landlord, types of properties and landlords, hiring a professional management team, leasing properties, managing rentals, tools for landlords, and taxation related to rental properties. The classroom rules and agenda are also outlined. The presentation aims to educate attendees on effectively managing rental properties and being landlords.
Incorporation Stage Issues and Seed Financings Overview w/ Kristine Di BaccoStanford Venture Studio
Which legal entity is best for your startup company? How should you deal with founder stock and other incorporation issues? How should you structure a seed investment? Kristine Di Bacco, Partner at Fenwick & West, will help you answer these important questions, and others, as you think about the process of incorporating and raising seed financing.
This document discusses the pros and cons of buying a building for one's business. It covers conducting a lease vs. buy analysis, researching the local real estate market, finding the right building, qualifying for financing, types of financing available including conventional, SBA 504 loans, managing tax deductions and appreciation over time, and different ownership structures. Experts in commercial real estate, financing, and taxes provide advice on each of these topics to help business owners determine if purchasing a building makes financial sense for their specific situation.
C. Matthew Schulz, a partner at Dentons law firm and chair of their Global Mobility and US Immigration practices, gave a presentation on starting a business as an international student. The presentation covered various visa options for international students looking to own or work for a business in the US, including visas designed for business owners like E-1, E-2, and EB5 visas, visas that do not require employment like EB1A and EB2, and visas for employees like F-1, J-1, H-1B, L-1, and various employment-based immigrant visas. Schulz emphasized that active involvement rather than just passive ownership is the issue, and discussed factors
Investing in Commercial Property (Series: REAL ESTATE INVESTING MADE SIMPLE 2...Financial Poise
Before taking the plunge into commercial real estate investing, one should have a clear understanding of how to select the right location, preferred type and class of property, what due diligence to do, how to secure financing, how to negotiate a deal, and how to manage the property going forward as a commercial landlord. This Financial Poise panel explains the process from looking for the investment, to contract, to closing, and beyond.
To view the accompanying webinar, go to: https://www.financialpoise.com/financialpoisewebinars/on_demand_webinars/investing-in-commercial-property/
This document provides an overview of investing in REO (real estate owned) properties. It discusses the foreclosure process, challenges of buying bulk REOs, and an opportunity to purchase 10 properties at a time for $20,000 each with turnkey support services included. The support services would handle listing, qualifying buyers, sales contracts, and collecting payments, ensuring properties are resold within 90 days. The investment aims to generate high returns of 20%+ through cash flow from land contract payments over time.
The document provides an overview of developing a surplus property plan, including how to analyze the situation, evaluate disposition alternatives, market surplus properties, and close transactions. It discusses developing goals for the plan, prioritizing properties, conducting financial analyses, understanding landlord and property situations, and determining appropriate disposition strategies on a property-by-property basis to achieve corporate objectives.
Positioning the Company for an Exit - Chapman - Mar 14Jim Chapman
The document discusses positioning a company for an exit through an IPO or acquisition. It outlines the deal environment and trends in 2014 that make deals more likely. Preparing the business for sale includes cleaning up records and contracts. Key steps are developing a letter of intent, conducting due diligence, and negotiating deal structure, price, and closing terms. Common mistakes include failing to prepare and cutting corners. An IPO transforms a company and requires time, experienced management, revenues, growth, and profitability. The process involves the SEC, roadshows, and underwriters.
The document provides an overview of a presentation on property management. It discusses various topics including the pros and cons of being a landlord, types of properties and landlords, hiring a professional management team, leasing properties, managing rentals, tools for landlords, and taxation related to rental properties. The classroom rules and agenda are also outlined. The presentation aims to educate attendees on effectively managing rental properties and being landlords.
Incorporation Stage Issues and Seed Financings Overview w/ Kristine Di BaccoStanford Venture Studio
Which legal entity is best for your startup company? How should you deal with founder stock and other incorporation issues? How should you structure a seed investment? Kristine Di Bacco, Partner at Fenwick & West, will help you answer these important questions, and others, as you think about the process of incorporating and raising seed financing.
Book by: ALFRED LABEJA
Director/Property Expert.
Warib Capital Ltd
London.
Founder: http://www.propertyinvestmentgroups.com
HOW TO LOCATE ULTRA-BARGAINS
Radhima residence - Real Estate in AlbaniaIlir Konomi
This document summarizes information about the Radhima Residential Complex development in Albania. It provides an overview of Albania's growth in tourism, infrastructure investment, and favorable business climate. The development consists of studio and one-bedroom apartments near the beach in Radhima with amenities, parking, and views of the sea. Nearby attractions include beaches, national parks, historical sites, and castles. Payment for purchases is scheduled in installments during construction. Contact information is provided for more details.
Getting Ready to Sale Your Home in 2017Utah Realty
Thinking about moving! Get top dollar with Utah Realty™ and The Gale Team. We Service the Wasatch Front from Provo to Ogden, Salt Lake City, West Valley, Draper, Sandy, South Jordan, Holladay, Cottonwood Heights, Murray, West Jordan, Riverton Herriman, Lehi, and more!
The document discusses several sectors of the Indian economy including real estate, telecommunications, energy, and exports. For real estate, it calls for increasing the tax exemption limit for home loans from Rs. 1.5 lakhs to Rs. 5 lakhs. It also suggests allowing cross-purchasing of residential and commercial properties. For telecommunications, it notes the government has halved its revenue estimate for the sector to Rs. 44,300 crore. It discusses the need to promote growth in this important sector for Digital India. In energy, it mentions plans to set up more strategic crude oil reserves. And for exports, it outlines a new infrastructure scheme called TIES to support the sector.
Pennine Petroleum Corporation Pursues the Albanian AdvantageTodd Kimberley
With the current climate offering little exploration opportunity in North America, Albania, by contrast, is an attractive prospect through its welcoming environment, low risk and relatively low production costs. After emerging in December 2015 as the successful bidder for the Velca block, in southern Albania, Calgary's Pennine Petroleum Corporation has every intention of making a serious entry into the Albanian oil and gas industry.
This document discusses becoming investor ready by outlining the benefits of being prepared for investment, the key aspects of having an investor ready business, and providing a checklist for businesses to self-assess their readiness for investment. The benefits of being investor ready include gaining a competitive advantage, capitalizing on opportunities, making the business easier to run and more profitable. There are six pillars of becoming investor ready which cover personal attributes, business assessment, deal structure, document preparation, compliance, and final due diligence. The document provides a scoring system for businesses to rate themselves across various sections as green, amber, or red to determine their overall investor readiness.
This document provides an overview of Anixter's business for investors, including:
- Anixter is a global distributor of network & security solutions, electrical & electronic solutions, and utility power solutions.
- Recent acquisitions have strengthened Anixter's business by improving its geographic and end market exposure.
- Anixter's business model relies on its leading industry positions, supplier and customer relationships, barriers to entry, and cash flow generation.
The document provides a simple overview of all players in the Swiss FinteCH ecosystem, including startups, financial services firms, investors, associations, media, and so on.
This document discusses various types of commercial real estate loans, including construction loans, land development loans, and loans for income-generating commercial properties. It provides details on:
- The loan application process and documentation requirements, including operating statements, balance sheets, tax returns, and property evaluations.
- How construction loans are disbursed based on completion of stages of construction and ensuring costs are paid.
- Additional risks associated with lending for land purchases, development projects, and speculative residential construction versus contracted builds.
- The role of takeout commitments in protecting construction lenders for residential property loans.
Best Known as a real estate agent, Boris Gantsevich assists clients to achieve real estate desires. He delivers important knowledge to clients about real estate market and properties. Whether you are buying or selling he guides his clients through the process.
The pros and cons of buying new and(finished)RandyBett
The document discusses the pros and cons of buying a new custom-built property versus a resale property for business investment. Some pros of custom-built properties are that they can be purpose-built for business needs and may have lower initial and utility costs. However, construction can be subject to delays and cost overruns. Resale properties have lower purchase costs than custom-built, but may require more maintenance and not accommodate future business growth. The best option depends on factors like location, costs, and business needs, so professional advice is recommended when making this important decision.
Investing in Commercial Property (Series: Real Estate Investing 101 - 2020) Financial Poise
Before taking the plunge into commercial real estate investing, one should have a clear understanding of how to select the right location, preferred type and class of property, what due diligence to do, how to secure financing, how to negotiate a deal, and how to manage the property going forward as a commercial landlord. This Financial Poise panel explains the process from looking for the investment, to contract, to closing, and beyond.
To view the accompanying webinar, go to: https://www.financialpoise.com/financial-poise-webinars/investing-in-commercial-property-2020/
Before taking the plunge into commercial real estate investing, one should have a clear understanding of how to select the right location, preferred type and class of property, what due diligence to do, how to secure financing, how to negotiate a deal, and how to manage the property going forward as a commercial landlord. This Financial Poise panel explains the process from looking for the investment, to contract, to closing, and beyond.
Part of the webinar series: REAL ESTATE INVESTING 101 - 2022
See more at https://www.financialpoise.com/webinars/
In this webinar, the speakers discuss the charter school facilities landscape and how to properly plan a facilities project. They touch on how to balance your team’s facility dreams with your budget and even share some pitfalls you can avoid so you can take away actionable insights on what considerations you need to make when planning a facility project for your school.
This document summarizes two types of real estate financing structures - sale and leaseback and build-to-suit. Sale and leaseback involves selling an existing asset to an investor and leasing it back long-term, allowing the seller to access cash while maintaining control. Build-to-suit involves an investor funding and developing a new asset according to the occupier's specifications and then leasing it back long-term. Both structures provide upfront cash to occupiers in exchange for long-term lease payments and maintenance of operational control. The document outlines the key steps and structures for each approach.
Investing in Residential & Multi-Family Real Estate (Series: Real Estate Inve...Financial Poise
Apartment buildings and other residential and multi-family housing can provide a stable income to an investor. This Financial Poise webinar discusses some of the pros and cons of being a landlord. It provides a basic overview about how to find and assess opportunities, obtain financing, negotiate a deal, and manage a multi-family investment. The accounting, tax, and legal aspects of being a landlord are part of the discussion.
To listen to this webinar on-demand, go to: https://www.financialpoise.com/financial-poise-webinars/investing-in-residential-multi-family-real-estate-2020/
This document provides information to convince investors to invest in real estate. It outlines the benefits of real estate investment such as capital appreciation, recurring income from rent, security, and tax benefits. Real estate is compared to other investment options like gold, stocks, mutual funds, and bank deposits, demonstrating that it provides higher returns and stability. The document discusses different types of real estate investments and investors. It also addresses risks and provides tips on how to properly advise investors to match their expectations and avoid overcommitting.
Peak Properties is a real estate investment firm that offers private lending opportunities for investors to earn high returns of 10-15% by lending money to the firm. The firm buys distressed homes, renovates them, and quickly resells them for profits. Investors are secured by first mortgages on the properties and their money is used to fund purchases and repairs. The loans are short term, usually 4-6 months, and investors receive their principal and interest back when the homes are sold. The presentation provides examples of past deals and touts the safety and passive nature of these investment opportunities.
Understand the myths of commercial financing and find out what it takes to master this part of financing that most mortgage brokers are afraid of doing.
Webinar: Managing your property manager to maximise financial resultsReal Estate Investar
Whether you are new to property investment, have an existing property portfolio or are a full time property investor, this webinar will help you maximise the financial performance of your portfolio and improve profits.
This interactive masterclass covers:
> 9 tips that will ensure you have tenants queuing up to rent your vacant property.
> How to find an A-grade property manager in an industry of full of average people.
> How to get 5-10 property managers competing for your business on every rental property.
> How to easily compare the costs and services of each property manager.
> 11 things you can do to boost your rental income by $1,000 to $10,000 per year.
> How to select and retain the best possible tenants and achieve 0% vacancy rates.
> How to figure out the best tenancy rental strategy for each property.
> The pros and cons of residential tenancy types: long term residential, boarding houses, short stay and holiday homes.
Book by: ALFRED LABEJA
Director/Property Expert.
Warib Capital Ltd
London.
Founder: http://www.propertyinvestmentgroups.com
HOW TO LOCATE ULTRA-BARGAINS
Radhima residence - Real Estate in AlbaniaIlir Konomi
This document summarizes information about the Radhima Residential Complex development in Albania. It provides an overview of Albania's growth in tourism, infrastructure investment, and favorable business climate. The development consists of studio and one-bedroom apartments near the beach in Radhima with amenities, parking, and views of the sea. Nearby attractions include beaches, national parks, historical sites, and castles. Payment for purchases is scheduled in installments during construction. Contact information is provided for more details.
Getting Ready to Sale Your Home in 2017Utah Realty
Thinking about moving! Get top dollar with Utah Realty™ and The Gale Team. We Service the Wasatch Front from Provo to Ogden, Salt Lake City, West Valley, Draper, Sandy, South Jordan, Holladay, Cottonwood Heights, Murray, West Jordan, Riverton Herriman, Lehi, and more!
The document discusses several sectors of the Indian economy including real estate, telecommunications, energy, and exports. For real estate, it calls for increasing the tax exemption limit for home loans from Rs. 1.5 lakhs to Rs. 5 lakhs. It also suggests allowing cross-purchasing of residential and commercial properties. For telecommunications, it notes the government has halved its revenue estimate for the sector to Rs. 44,300 crore. It discusses the need to promote growth in this important sector for Digital India. In energy, it mentions plans to set up more strategic crude oil reserves. And for exports, it outlines a new infrastructure scheme called TIES to support the sector.
Pennine Petroleum Corporation Pursues the Albanian AdvantageTodd Kimberley
With the current climate offering little exploration opportunity in North America, Albania, by contrast, is an attractive prospect through its welcoming environment, low risk and relatively low production costs. After emerging in December 2015 as the successful bidder for the Velca block, in southern Albania, Calgary's Pennine Petroleum Corporation has every intention of making a serious entry into the Albanian oil and gas industry.
This document discusses becoming investor ready by outlining the benefits of being prepared for investment, the key aspects of having an investor ready business, and providing a checklist for businesses to self-assess their readiness for investment. The benefits of being investor ready include gaining a competitive advantage, capitalizing on opportunities, making the business easier to run and more profitable. There are six pillars of becoming investor ready which cover personal attributes, business assessment, deal structure, document preparation, compliance, and final due diligence. The document provides a scoring system for businesses to rate themselves across various sections as green, amber, or red to determine their overall investor readiness.
This document provides an overview of Anixter's business for investors, including:
- Anixter is a global distributor of network & security solutions, electrical & electronic solutions, and utility power solutions.
- Recent acquisitions have strengthened Anixter's business by improving its geographic and end market exposure.
- Anixter's business model relies on its leading industry positions, supplier and customer relationships, barriers to entry, and cash flow generation.
The document provides a simple overview of all players in the Swiss FinteCH ecosystem, including startups, financial services firms, investors, associations, media, and so on.
This document discusses various types of commercial real estate loans, including construction loans, land development loans, and loans for income-generating commercial properties. It provides details on:
- The loan application process and documentation requirements, including operating statements, balance sheets, tax returns, and property evaluations.
- How construction loans are disbursed based on completion of stages of construction and ensuring costs are paid.
- Additional risks associated with lending for land purchases, development projects, and speculative residential construction versus contracted builds.
- The role of takeout commitments in protecting construction lenders for residential property loans.
Best Known as a real estate agent, Boris Gantsevich assists clients to achieve real estate desires. He delivers important knowledge to clients about real estate market and properties. Whether you are buying or selling he guides his clients through the process.
The pros and cons of buying new and(finished)RandyBett
The document discusses the pros and cons of buying a new custom-built property versus a resale property for business investment. Some pros of custom-built properties are that they can be purpose-built for business needs and may have lower initial and utility costs. However, construction can be subject to delays and cost overruns. Resale properties have lower purchase costs than custom-built, but may require more maintenance and not accommodate future business growth. The best option depends on factors like location, costs, and business needs, so professional advice is recommended when making this important decision.
Investing in Commercial Property (Series: Real Estate Investing 101 - 2020) Financial Poise
Before taking the plunge into commercial real estate investing, one should have a clear understanding of how to select the right location, preferred type and class of property, what due diligence to do, how to secure financing, how to negotiate a deal, and how to manage the property going forward as a commercial landlord. This Financial Poise panel explains the process from looking for the investment, to contract, to closing, and beyond.
To view the accompanying webinar, go to: https://www.financialpoise.com/financial-poise-webinars/investing-in-commercial-property-2020/
Before taking the plunge into commercial real estate investing, one should have a clear understanding of how to select the right location, preferred type and class of property, what due diligence to do, how to secure financing, how to negotiate a deal, and how to manage the property going forward as a commercial landlord. This Financial Poise panel explains the process from looking for the investment, to contract, to closing, and beyond.
Part of the webinar series: REAL ESTATE INVESTING 101 - 2022
See more at https://www.financialpoise.com/webinars/
In this webinar, the speakers discuss the charter school facilities landscape and how to properly plan a facilities project. They touch on how to balance your team’s facility dreams with your budget and even share some pitfalls you can avoid so you can take away actionable insights on what considerations you need to make when planning a facility project for your school.
This document summarizes two types of real estate financing structures - sale and leaseback and build-to-suit. Sale and leaseback involves selling an existing asset to an investor and leasing it back long-term, allowing the seller to access cash while maintaining control. Build-to-suit involves an investor funding and developing a new asset according to the occupier's specifications and then leasing it back long-term. Both structures provide upfront cash to occupiers in exchange for long-term lease payments and maintenance of operational control. The document outlines the key steps and structures for each approach.
Investing in Residential & Multi-Family Real Estate (Series: Real Estate Inve...Financial Poise
Apartment buildings and other residential and multi-family housing can provide a stable income to an investor. This Financial Poise webinar discusses some of the pros and cons of being a landlord. It provides a basic overview about how to find and assess opportunities, obtain financing, negotiate a deal, and manage a multi-family investment. The accounting, tax, and legal aspects of being a landlord are part of the discussion.
To listen to this webinar on-demand, go to: https://www.financialpoise.com/financial-poise-webinars/investing-in-residential-multi-family-real-estate-2020/
This document provides information to convince investors to invest in real estate. It outlines the benefits of real estate investment such as capital appreciation, recurring income from rent, security, and tax benefits. Real estate is compared to other investment options like gold, stocks, mutual funds, and bank deposits, demonstrating that it provides higher returns and stability. The document discusses different types of real estate investments and investors. It also addresses risks and provides tips on how to properly advise investors to match their expectations and avoid overcommitting.
Peak Properties is a real estate investment firm that offers private lending opportunities for investors to earn high returns of 10-15% by lending money to the firm. The firm buys distressed homes, renovates them, and quickly resells them for profits. Investors are secured by first mortgages on the properties and their money is used to fund purchases and repairs. The loans are short term, usually 4-6 months, and investors receive their principal and interest back when the homes are sold. The presentation provides examples of past deals and touts the safety and passive nature of these investment opportunities.
Understand the myths of commercial financing and find out what it takes to master this part of financing that most mortgage brokers are afraid of doing.
Webinar: Managing your property manager to maximise financial resultsReal Estate Investar
Whether you are new to property investment, have an existing property portfolio or are a full time property investor, this webinar will help you maximise the financial performance of your portfolio and improve profits.
This interactive masterclass covers:
> 9 tips that will ensure you have tenants queuing up to rent your vacant property.
> How to find an A-grade property manager in an industry of full of average people.
> How to get 5-10 property managers competing for your business on every rental property.
> How to easily compare the costs and services of each property manager.
> 11 things you can do to boost your rental income by $1,000 to $10,000 per year.
> How to select and retain the best possible tenants and achieve 0% vacancy rates.
> How to figure out the best tenancy rental strategy for each property.
> The pros and cons of residential tenancy types: long term residential, boarding houses, short stay and holiday homes.
REAL ESTATE LAW DUMBED DOWN 2022 - Representing the Commercial TenantFinancial Poise
A commercial tenant views a lease negotiation quite differently than does the landlord. As most leases tend to be drafted by the landlord, a tenant must begin an uphill battle to gain as many concessions as possible. This is an arduous task made easier by a full understanding of what are the most important issues for a tenant in a commercial lease transaction.
How does the financial profile of the tenant enter into the picture? Where can a tenant get hurt the most by hidden costs or unforeseen expenses? Why is “leverage” the most important concept to consider in this process? This webinar will help one understand how the tenant, generally the underdog in lease transactions, can turn the tables and become the most powerful player in the leasing game.
Part of the webinar series: REAL ESTATE LAW DUMBED DOWN 2022
See more at https://www.financialpoise.com/webinars/
Cash Flow Gold offers a rent-to-own solution for clients who have been declined financing. Brokers can refer declined clients to the program and earn fees without much paperwork. The rent-to-own program allows clients to rent a home with an option to purchase it after 2 years, with 20% of rent payments credited towards the down payment. To qualify, clients must have sufficient income to cover rent and have a minimum 5% security deposit. Brokers should submit client files including application, credit report, income documentation, and notice of assessment for review.
Small Business Finance- Monica Kenney- IGNITE Conference Frost BankRandall Chase
Monica Kenney has over seventeen years of experience in the financial services industry. Currently, she
serves a Vice President and Commercial Banker at Frost Bank for the southern sector of Dallas. Her
responsibilities include investment activities, regional market growth support, community engagement
and portfolio management. She has held insurance and securities licenses.
Monica Kenney is an active member of her community and participates in the local Chambers of
Commerce, the Rotary, and the Lions Club. She also serves on the committees for several civic
organizations. Monica is a graduate of Leadership Southwest.
Monica Kenney is pursuing a Bachelor of Business Administration in Management degree.
Small Business Finance- What is needed from loan preparation, small business challenges, types of business loans, short term and long term financing and more.
This document provides an overview of the TREF I investment fund, which focuses on secured first loans for small commercial and non-owner occupied properties in the Chicago area. The fund was founded by investment professionals with over 50 years of combined experience in mortgages and real estate. It aims to provide high and stable income to investors by lending at above-market rates and protecting principal through underwriting and collateral. The managers have extensive experience in commercial lending and mortgage brokering in the Chicago market.
Real estate represents an important asset class that provides investors with a stable income through rents and regular distributions. As an asset class, real estate has low correlation with stocks and bonds and can help investors maintain real returns through inflation. There are various types of real estate investments including direct property investments where the investor owns physical property, listed property investments through real estate funds and trusts, and global property investments outside a home country. Real estate crowdfunding is an emerging model to invest in real estate projects, though it still lacks established moderating agencies in many markets. Commercial properties may provide better returns than residential properties due to higher potential rental yields and the incentives for business tenants to maintain improvements.
14 Things Every Investor Should Know About Commercial Real EstateKatchen Company
This document discusses reasons to invest in commercial real estate and tips for commercial real estate investing. It outlines four main reasons to invest: 1) cash flow from rents, 2) principal reduction as tenants make mortgage payments, 3) tax benefits from depreciation, and 4) appreciation as property values increase. It then provides 10 tips for commercial real estate investing, such as thinking big, taking time to research deals, obtaining financing in advance, and partnering with experienced professionals.
Similar to Real Estate Considerations for Business Owners (20)
Recent Trends Fueling The Surge in Farmhouse Demand in IndiaFarmland Bazaar
Embarking on the journey to acquire a farmhouse for sale is just the beginning; the real investment lies in crafting an environment that contributes to our mental and physical well-being while satisfying the soul. At Farmlandbazaar.com, India’s leading online marketplace dedicated to farm land, farmhouses, and agricultural lands, we understand the importance of transforming a humble farmland into a warm and inviting sanctuary. Let's explore the fundamental aspects that can elevate your farmhouse into a tranquil haven.
AVRUPA KONUTLARI ESENTEPE - ENGLISH - Listing TurkeyListing Turkey
Looking for a new home in Istanbul? Look no further than Avrupa Konutlari Esentepe! Our beautifully designed homes provide the perfect blend of luxury and comfort, making them the perfect choice for anyone looking for a high-quality home in the city.
With a wide range of apartment types available, from 1+1 to 4+1, we have something to suit every need and budget. Each apartment is designed with attention to detail and features spacious and bright living areas, making them the perfect place to relax and unwind after a long day.
One of the things that sets Avrupa Konutlari Esentepe apart from other developments is our focus on creating a community that is both comfortable and convenient. Our homes are surrounded by lush green spaces, perfect for enjoying a peaceful stroll or having a picnic with friends and family. Additionally, our complex includes a variety of social and recreational amenities, such as swimming pools, sports fields, and playgrounds, making it easy for residents to stay active and socialize with their neighbors.
https://listingturkey.com/property/avrupa-konutlari-esentepe/
Serviced Apartment Ho Chi Minh For RentalGVRenting
GVRenting is the leading rental real estate company in Vietnam. We help you to find a serviced apartment for rent in Ho Chi Minh & Saigon. Discover our broad range of rental properties in Vietnam.
For more details https://gvrenting.com/
Discover Yeni Eyup Evleri 2, nestled among the rising values of Eyupsultan, offering the epitome of modern living in Istanbul.
With its spacious living areas, contemporary architecture, and meticulous details, Yeni Eyup Evleri 2 is poised to be the star of your happiest moments. Situated in the new favorite district of Eyupsultan, claim your spot and unlock the doors to a peaceful life alongside your loved ones. Nestled next to the historical and natural beauties of Eyupsultan, embrace the comfort of modern living and rediscover life.
Social Amenities:
Yeni Eyup 2 offers a life filled with joy with its green landscaping areas, gym, sauna, children’s play areas, café, outdoor pool, and basketball court. Reserve your place for unforgettable moments!
Reliable Structure:
With 1+1, 2+1, and 3+1 apartment options, Yeni Eyup Evleri 2 is designed with first-class materials and craftsmanship. The doors to a safe and comfortable life are here! Choose the option that suits you best and step into your dream home.
Project:
Yeni Eyup 2 is conveniently located, with Istanbul Airport just 26 minutes away, the Mecidiyeköy Metro Line 4 minutes away, and the Tram Stop 5 minutes away, making your life easier with its central location.
Location:
Your home is positioned in a privileged location, providing easy access to the city center, shopping malls, restaurants, schools, and other important places.
Yeni Eyup 2 offers 1+1, 2+1, and 3+1 apartment options designed to meet different needs. Find an option suitable for every lifestyle and open the doors to a comfortable life in your dream home.
https://listingturkey.com/property/yeni-eyup-evleri-2/
BEST FARMLAND FOR SALE | FARM PLOTS NEAR BANGALORE | KANAKAPURA | CHICKKABALP...knox groups real estate
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1. Proprietary & Confidential
JGSEO Lunch & Learn
November 9, 2016
Maury Bronstein, Rice MBA ’97
Louis Krannich, Stanford MBA ‘09
Real Estate Considerations for Business Owners
2. Proprietary & Confidential Page 2
1912 Ventures
• Co-founded in early-2014 with another Rice alum (John S. Wall, Jr.).
• Focus on helping business owners and investors optimize their real estate portfolios.
• Activities include sale-leasebacks, disposition, leasing for growth/expansion,
consolidation of multiple locations, and mergers and acquisitions.
• Clients include companies operating across multiple property sectors: industrial
(distribution and manufacturing), retail, restaurants, office, medical, and apartments.
Maury’s Background
• Rice MBA, ’97. Texas A&M BBA, Management Information Systems ‘93.
• Worked in management consulting first 9 years post-MBA.
• Transitioned into one of the largest commercial real estate consulting firms in the US.
o Ran a national commercial real estate brokerage group.
o Managed a real estate fund comprised of high net worth investors.
Introduction to 1912 Ventures
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Remote Operations Center
• Company founded in 2015
• Provides third-party control room operations to pipeline operators
• Recently leased office space and constructed a custom-built control room. Facility was
commissioned on time and under budget.
Louis’ Background
• Stanford MBA ‘09. Vanderbilt BE, Engineering ’02.
• Spent career in pipeline industry in engineering, operations, finance and business
development.
• Most recently at PG&E and prior to that, El Paso Corporation.
• Relocated from San Francisco to Houston in March 2016 to help build ROC.
Introduction to Remote Operations Center
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1. Commercial Real Estate
2. Considerations for Business Owners
3. Leasing vs. Buying vs. Building
4. Paying for Commercial Real Estate
5. Your Advisory Team
Agenda
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What Makes Real Estate “Commercial?”
Any property you use to grow, expand, or support your business qualifies
as commercial real estate.
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Commercial vs. Residential Real Estate
Buying or leasing commercial real estate takes longer and requires more
research and planning than residential real estate.
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Types of Commercial Real Estate
Today’s discussion will focus on real estate that is needed for operating
your business, not investment real estate.
• Real estate that generates income or is otherwise
intended for investment purposes rather than
being occupied by the owner or an affiliated
business.
• An absentee owner holds title to the property,
but does not occupy it.
Investment
Real Estate
User Real
Estate
• A tenant or occupier of a commercial property
that is needed for operating your business.
• Tenant may also hold title or own that property.
• Many business owners use this as an investment
strategy.
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Case Study: Brewery Relocation & Expansion
Saint Arnold Brewing Company. (Craft Brewing, Manufacturing Facility /
Retail / Restaurant, Purchase)
• Oldest craft brewery in Texas.
Client
• Brewer outgrew its previous leased facilities and was seeking to move into a
larger space it could grow into to house its operations.
• Prepared a lease vs. buy analysis for the company’s owner, allowing him to
make an informed decision that purchasing a building was his best option.
• Represented the the company’s owner in the purchase of its current facilities.
Situation
• Everything is done to the beer at the brewery: brewing, filtering, kegging,
bottling, selling, and drinking.
• 1912 continues to stay involved with the brewer and is serving as the owner’s
advisor to the redevelopment and expansion of the brewery.
Results
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Case Study: Family Office Portfolio Company
Remote Operations Center, LLC. (Energy Industry, Class A Office, Lease)
• Engaged by pipeline operators to remotely
monitor and control pipeline facilities.Client
• This particular search was non-standard due to specific
requirements for a pipeline control room.
• Client needed to operate within the space 24/7 and required
multiple layers of reliability redundancies.
• Start-up organization that needed to move quickly to scale.
• 1912 closely coordinated with Client at onset of engagement
to ensure full understanding of business requirements.
Situation
• Within two weeks, 1912 identified seven suitable spaces and toured them
with Client.
• Lease with Class A building in Houston’s Energy Corridor was signed six
weeks from the date the assignment began.
• New, custom-built control room commissioned in September, on time and
under budget.
Results
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Case Study: Franchised Restaurant Concepts
Various Franchised Concepts. (Restaurant Industry, Class A-B Retail,
Lease)
• 1912 has identified and negotiated spaces all over the greater
Houston area while opening over 30+ stores with 15+ franchisees
across these three concepts.
• 1912’s clients range from new franchisees to experienced operators
who control multiple locations and concepts.
• In all three cases, one assignment led to a deeper relationship with
the franchisor’s corporate office and 1912 being appointed as the
franchisor’s “preferred” broker for the Houston market.
Results
• 1912 serves as the preferred real estate broker in Houston for three
franchised restaurant concepts.Client
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Considerations for Business Owners
1. Know your own goals and limitations.
2. Build your team of advisors.
3. Ensure that your existing business structure is sound and sufficient.
4. Approach the process with not just your present needs in mind, but your
future needs as well.
5. Structure the transaction with your advisors.
6. Conduct the necessary "due diligence" to avoid surprises.
7. Contingency plan for the what ifs.
8. Consider your exit strategy and post-closing goals.
The following considerations are a good starting point when thinking about
owning or leasing property for your business.
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Ownership | Pros & Cons
• Property is an investment
• No rent increases
• Interest on mortgage is tax
deductible
• Annual depreciation is deductible
• If market rises, you benefit
if/when you sell
• Extra space can be leased to others
• Can occupy property as long as
you like
• Can modify your facility without
landlord approval
• You are your own landlord
• More money is required up front
• Credit is more important than
leasing
• Property values could decline
• Ownership carries more legal and
financial risk than leasing
• Ownership can take more time and
energy than leasing
• Lender involvement
• Obligation to repay loan
Pros Cons
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Leasing | Pros & Cons
• No down payment is required
• Credit rating is not as crucial
• Much easier to move (do not have
to sell in the future)
• Rent is a tax deductible expense
• Nothing is lost if market declines
• Carries less risk with more
flexibility
• No obligations of ownership
• Repairs are often handled by
property management
• Rental rates fluctuate with market
conditions
• Offers no ownership at end of
lease term
• Offers no equity buildup
• You may have to move at end of
lease term
• You have nothing to show at end
of lease term
Pros Cons
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Building | Pros & Cons
• Facility can be efficiently designed
and built for your company’s
requirements
• Future growth can be accounted
for at the onset without the need
to move again
• Building and all infrastructure is
brand new
• Options exist to either own or
lease the new building
• Time consuming process
• Your attention may be taken away
from running your business
• Time to occupy the building can be
extensive
• Extra costs include architecture,
engineering, land development,
and others
Pros Cons
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Financing Options
Category SBA 504 SBA 7(a)
Conventional Bank Loan /
Line of Credit
Primarily Finances
• Commercial Real Estate
• Equipment
• Working capital, inventory,
equipment, stock, or any other
business asset and debt to be
refinanced
• Multiple uses
Amount of Financing
Available
• Minimum: $500,000
• Maximum: $20 million
• Minimum: $250,000
• Maximum: $5 million
• Varies
Interest Rate
• 1st Lien: Semi-fixed for first 5
years, then fixed rate is repriced
(no balloon payment due)
• 2nd Lien: Fixed for 20 years
• Predominantly variable; some fixed-
rate options
• Competitive fixed or variable rates.
Usually not assumable.
Loan Term
• Real Estate : 1st Lien of 25 years
• Real Estate: 2nd Lien of20 years
or less
• Equipment: 10 years
• Up to 25 years: Real Estate
• Up to 10 years: Business acquisition,
equipment
• 5 to 7 years: Working capital
• Frequently 5, 7, 10 or 15 years, then
balloons.
Down Payment
• As little as 10% of total project
cost (inclusive of land,
construction / renovations, soft
costs, and closing costs)
• Typically 10-15%
• 20-40% of the appraised value or
purchase price, whichever is less
• Closing and soft costs
Amortization • 20 or 25 years • Fully amortizing • 5-25 years
There are three primary sources of funding for commercial property.
Terms outlined above are for illustrative purposes only
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Your Advisory Team
1. Real estate broker who only works on commercial real estate transactions
2. Attorney who specializes in real estate transactions, preferably commercial transactions
3. Accountant
4. Banker
5. Mortgage Broker
6. Your Business Partners
7. Your Spouse
8. Architect
9. Engineer
10. General Contractor
11. Others
Several advisors will be involved in your acquisition process with the
sheer number depending on your activities.
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Reasons to Hire a Commercial Real Estate Broker
You need to work with a real estate broker who specializes in commercial
real estate transactions, not a realtor or residential real estate agent.
• Market Knowledge
• Professional Network
• Access to Market Data
• Negotiation Experience
• Transaction Experience
• Lender Relationships
• More Property Options
• Buffer between Parties
• Confidentiality
• Potential Cost Savings
• Experience Reviewing
Documents
Key Client Benefits
18. Proprietary & Confidential Page 18
Contact Information
Maury Bronstein
(713) 522-1912
maury.bronstein@1912v.com
www.1912v.com
Louis Krannich
205-478-6012
louis.krannich@pipelineroc.com
www.pipelineroc.com