Which area to specialize in?
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[{"id": "dfwzx1q", "text": "55+ Mobile Home Parks.\n\nThey print money.", "replies": [{"id": "dfxn3m8", "text": "But do you really want to be the landlord of a trailer park? ", "replies": [{"id": "dfxo8ez", "text": "My 9% cap rate says yes. \n\nBut that's why you go 55+. ", "replies": [{"id": "dfxoxyk", "text": "I have 18 cap in offices but I guess that's a unicorn. ", "replies": [{"id": "dfxp2j3", "text": "I don't believe you", "replies": [{"id": "dfxpywx", "text": "Ok that's fine. ", "replies": [], "depth": 6}, {"id": "dgemibo", "text": "Purchased an office condo in Tennessee last year for 200k. Put about 70k into it. Got it leased out NNN for 4065 a month. That's an 18 cap. ", "replies": [], "depth": 6}], "depth": 5}], "depth": 4}, {"id": "dfxvjw6", "text": "9% cap seems pretty poor for mobile homes.", "replies": [{"id": "dfxw6nd", "text": "Seriously? \n\nCap rate: net operating income / purchase price. \n\n9% is through the roof. Here in the Seattle market most properties are selling at 4% to 6%.", "replies": [{"id": "dfyczht", "text": "That's because most properties aren't mobile home parks. 9% is garbage for a mobile home park unless it's sitting on prime urban core land, which mobile home parks usually aren't ", "replies": [], "depth": 6}], "depth": 5}], "depth": 4}], "depth": 3}, {"id": "dgem4xh", "text": "There's a big difference between a trailer park and an age restricted Manufactured Housing Community. A good operator can do very well with either, but if you've ever seen some of the nice MHCs , maybe you'd change your mind. Plus, the cash flow with minimal maintenance and low turnover is nice.", "replies": [], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "dfx2k91", "text": "Marcus &amp; Millichap?\n\n1. I chose by analyzing the market and finding out which location and asset class would yield me the most revenue if I obtained a 25% market share.\n\n2. Do something you really enjoy... as you will be spending a lot of time looking at such properties.", "replies": [{"id": "dfx2tdh", "text": "Yup, Marcus &amp; Millichap. Which did you end up choosing? I am guessing you are in the United States (Ill be joining a Canadian office) but am not fully sold on the company. I am still interviewing at other firms as Marcus &amp; Millichap offers no base and a 50/50 split. Do they pay for incidentals? Do they give me leads or listings?", "replies": [{"id": "dfxvlf8", "text": "No... I would go elsewhere if you can.", "replies": [], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "dfx59an", "text": "I'd recommend retail, that's the field I specialize in and love it. In my opinion it gives you a better sense of land use and what really makes a property a good piece of real estate, which in turn makes you more well rounded.  \n\nAn apartment is an apartment and you have to deal with people's homes and residents. An office is an office, boring and filled with attorneys and accountants. A warehouse a warehouse, full of equipment and storage. These classes could essentially be plunked down anywhere and be marginally successful. \n\nRetail is a different animal. You have to take into account, the corner, the area, the demos, the side of the street, the building materials, tenant mix, tenant voids. Retail is probably a little harder, but I find it more fun. We are all consumers. \n", "replies": [{"id": "dfz51zb", "text": "Depends on your market. Where I live and work (San Francisco), office space is becoming increasingly creative to accommodate the abundant tech tenants. Most major cities are seeing an uptick in creative office space, and not just for tech tenants, but also traditional firms (attorneys, financial services, consulting, etc). People want to like the place they work. This makes the company more attractive, recruit better talent, and make more money. It also means higher rent. ", "replies": [], "depth": 2}], "depth": 1}, {"id": "dfx8vyu", "text": "I am with a boutique firm in Miami's Urban Core.  I feel fortunate to be working with people that get business from personal connections and word of mouth.  We also have a good connection with the community and it's needs, and that's why we control the market we are in.  Another advantage of being in a boutique firm is that everybody works as a team vs big firms where even your colleagues can be your competition.\n\nI focus on retail and creative offices (basically repurposed warehouses) and it's a lot of fun, they're very dynamic specialties.  \n", "replies": [{"id": "dg37r33", "text": "Mind if I ask you some advice on a somewhat related market?\n\nI'm looking to sell about a hundred luxury villas in an international community, they go for about $525,000 each. We're just gearing up for sales and Miami is one of the markets we're interested in targeting.\n\nDo you happen to know anyone in Miami who is well versed in luxury home sales overseas, particularly with a focus on using foreign real estate for tax advantages/getting around FATCA, who I could reach out to?\n\nThanks for your time!", "replies": [], "depth": 2}], "depth": 1}, {"id": "dfxgczq", "text": "I'm on the RE development side. Had an agent I really liked. Called his office one day and they said he retired...guy was only like 50. Called him on his cell and he explained that he put a major pharmaceutical company in a new headquarters and also sold their old building in one big transaction. Commission was $8M. This guy has always been an elephant hunter but this was the biggest by far. If you're in the right market this can be huge. I would never do multi-family. ", "replies": [{"id": "dfxvne1", "text": "Lol I doubt it ... $8M commission would be a sale of an $800 million building.", "replies": [{"id": "dfy85bn", "text": "What are you talking about? Who works on a 1% commission? The majority of the commission was not on the sale of their old headquarters but on the lease up of the new place. 300k sq. ft at let's say $15/ft nnn with a 50 year initial term. At 4% that's $9M right there. ", "replies": [{"id": "dfycxud", "text": "Wtf? No company is doing a 50year lease. Brokers are lucky to get 2% these days gross, and then House takes half, so they get 1%", "replies": [{"id": "dfyotcv", "text": "Okay, it's clear you are either not in this industry or you have very little experience. It's great to use this forum to ask questions, but spouting uninformed opinions adds nothing to the conversation. 50 yr leases happen all the time. There are even 99 year leases. Also I don't know any agent that works for 2%. This is a large multinational singing a lease on their US headquarters. The TI budget is likely in the tens of millions. No one is going to do that deal without a long term lock up. ", "replies": [{"id": "dgduxy6", "text": "50 years is definitely outside the norm, unless you're referring to a ground lease, which is typically where you see a 99 year term. ", "replies": [], "depth": 6}], "depth": 5}], "depth": 4}], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "dfxqb3a", "text": "Industrial. I think those things will grow massively for new retail distribution centers, more amazon centers, grocers, data centers and manufacturing. ", "replies": [], "depth": 1}, {"id": "dfxy4x8", "text": "There's no right or wrong answer. Do whatever interests you and consume yourself with it so you become an expert.", "replies": [], "depth": 1}, {"id": "dfxz83n", "text": "why not to be 'Jack of All Trades'", "replies": [{"id": "dfy6mue", "text": "Because then you're master of none ", "replies": [{"id": "dgdv63d", "text": "I get the point you're trying to make, but the actual quote is, \"A jack of all trades is a master of none, but oftentimes better than a master of one.\"\n", "replies": [], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "dfzbjr7", "text": "Depends in part on your market, in some markets industrial is super hot, in others office or retail. Ideally you'd get a sampling and understand which owners you can relate to most because those owners are the ones you'd connect with and have the most potential to do business with. If you think it's cool to understand how retailers think, go retail. If you think it's need to understand distribution or people manufacturing cool things, go industrial. If you think creative work spaces or optimizing space for workers is cool then go office... Which type of scenarios sound most interesting? Compelling?", "replies": [], "depth": 1}]