I think this is kind of an inane game, because the definition of the “game” and an “inning” are so vague. But I think it’s the 7th inning, for what that’s worth. Here’s a piece with the views of a lot of people richer than I am (and who love talking their own books). For … Continue reading “What inning are we in in the multifamily cycle”
Author: Moses Kagan
Real estate and the personal brand premium
Have been doing some thinking recently about why people pay the rents that they do. More specifically, I’m interested in understanding why someone would happily pay $2,000 for a 1 bed in Silver Lake, but refuse to pay $1,500 for the same apartment in, say, Mid City. Obviously, there are a bunch of “hard” factors, … Continue reading “Real estate and the personal brand premium”
Here we go again
We recently started work on another project, this one an eight unit deal in East Hollywood, right near some other projects we’ve done. It’s an interesting project: The front four units are going to be huge 3 beds and the back four (which were built later) will be reasonable sized 1/1s. We’ve got some parking … Continue reading “Here we go again”
A pretty large appraisal discrepancy
Apologies for the lack of posts these last couple of days. Today, I got word that an appraisal hit at the contract on price ($850,000) on a deal one of our agents is working on. That wouldn’t be such a big deal, except that another appraiser for a different bank recently appraised the exact same … Continue reading “A pretty large appraisal discrepancy”
The benefits of being a good acquirer
Last week, we removed contingencies on the acquisition of a 16 unit building in an A area. The price is far from a steal, but it’s fair and, more importantly, works for us. The deal was never on the MLS or Loopnet. We didn’t win a bidding war. Instead, a broker with whom both buyer and … Continue reading “The benefits of being a good acquirer”
A real broker line
When discussing a deal with me today, a very good broker I know said the following, about a deal a client had in escrow at $1.1MM: “Well, it was listed at $1.3MM.” I don’t want to pick on this broker, because he’s good, but this is a bullshit broker line. As a buyer, you should not … Continue reading “A real broker line”
It’s starting again (again)
Late last week, we started on yet another apartment renovation project. This one is six units in Highland Park. Unlike some of the other projects upon which we’re working, this building has pretty good bones. Am really excite to see how it comes out.
807 N Madison is leased up
We just finished leasing up the front structure at 807 N Madison, our most recently completed renovation project. Leasing the 10 units took us something like 31 days. We began construction in mid September of 2014, so the entire process took approx. 300 days (a little longer than we would like, due to some unanticipated … Continue reading “807 N Madison is leased up”
Another lovely piece of art
Our local artists graced us with yet another of their masterpieces yesterday. You have to be a real genius to destroy your own neighborhood, huh?
Thinking about expected value with Elon Musk
Just started reading the Elon Musk biography and am feeling inspired. In case you don’t know of him: Musk started and sold Zip2 and then PayPal, then started Tesla, SpaceX, and SolarCity. The latter three ventures push the boundaries of what is possible with technology in electric cars, space exploration and renewable energy, respectively. From a … Continue reading “Thinking about expected value with Elon Musk”