Speaker 1 (00:00):
Hey, welcome back to the K-Cup, episode 37. Today we have special guest Dale Mayew. He’s a, a local CRE professional. And, uh, he’s gonna give us the lowdown on the, on the local real estate market, and, uh, tell us, you know, what’s going on here in Denim Springs in the surrounding areas. So, thanks for being here, Dale. We really appreciate it. Appreciate you taking the time outta your, your schedule and, uh, coming to share some insights with us in the, you know, the commercial real estate world.
Speaker 2 (00:35):
Thanks for having me.
Speaker 1 (00:36):
You bet. So, uh, I guess we’re just gonna jump right in here. Uh, why don’t you give us a little bit about yourself. Tell us a little bit about your story, you know, how you came into the, you know, the commercial real estate world and all that. And, uh, just tell us Yeah. Tell us about it.
Speaker 2 (00:51):
So, um, well, it’s a, um, it’s, it might be a long story, but we’ll, we’ll try to shorten it, uh, somewhat. I’m always That’s all right. I’ve always been entrepreneurial type, wanting to be my own boss and do my own thing. Um, back in the day, I, I mean, I’ve had the good jobs. I, I used to work for Coca-Cola, I worked for Coca-Cola pretty much outta high school, and, uh, worked for UUPS and <inaudible>. Mm-hmm <affirmative>. So those good corporate jobs. Yeah.
Speaker 2 (01:19):
But never was happy, just not, you know, I didn’t want somebody to tell me when to come in, when to go home and that kind of stuff, so, yeah. Um, and during high school and my, uh, coming up years, I, I would always, you know, cut grass or wash cars or do whatever to make a book. Yeah. And, and, uh, so always wanted to be my own boss. So I, I su I founded, uh, Acadian Signs, started my sign company, and, uh, went full-time in 98. And, um, did that was moderately successful, I guess you could say. Mm-hmm <affirmative>. Um, for, uh, 15 plus years. And, uh, sold a signed company, started another company in Thoe Parish called Tji Trade. It’s an organized barter um, economy. And I, I broker for a couple hundred companies in Tang Bajo Parish Steel today. I still have that, that company, but, okay.
Speaker 2 (02:12):
Um, through that, you know, uh, you guys are familiar with BNI, I’m sure. Mm-hmm <affirmative>. So B and I has been a big part of, of my business, I guess, success. And, um, so I, I was in A BNI here in Denim Business boomers for, uh, those years in the sign company mm-hmm <affirmative>. And so when I, when I started the company in Tbo Parish, uh, tan Trade, I knew I had to find A BNI group there. Um, and so I called an old friend and said, Hey, do we be BNI in TBO Parish? And she said, you know, we just, we’re, we’re just now trying to organize one mm-hmm <affirmative>. So that was, yeah,
Speaker 1 (02:53):
That’s good. Good timing. Let’s do it. Yeah.
Speaker 2 (02:55):
So, um, we, I was a charter member there that b and i chapter in, in, uh, Hammond and called Trade Winds Chapter. And so through that I met, um, Stacey Levin. Stacey Levin’s, a real estate, uh, residential real estate agent there with Keller Williams. And, uh, we hit it all became good friends, and she was in the BNIs and BNI, we saw each other all the time. And one day it was, it just hit me like a ton of bricks. I wonder if I could do real estate, you know? And she said, yeah, you’d be great at it. You should do it <laugh>. So that’s kind of how that started. I don’t know why I never thought about that prior to, to that, you know, with my side company, I, I worked with all the agents. I did all of Dr. Horton stuff. I did all the DSLD stuff.
Speaker 2 (03:43):
Yeah. Uh, just, I was in that, in that space really. Mm-hmm <affirmative>. But it never, never dawned on me that, that, um, and so I, uh, went to, went, you know, did the online courses and finished up the, the, uh, the course and took the test. And, um, that’s, that’s how I got into, to real estate. Well, I did residential and commercial, uh, in the beginning, sold a few houses, whatever, but realized right away that I didn’t want to do residential <laugh>. And so I, I made the switch pretty early on, about six months in probably that I don’t, I don’t want to do residential. Yeah. So I strictly do commercial. Yeah. And I love it. I, I like connecting people. And, um, it’s been, it’s been great. Yeah. That was about seven, I guess about seven years ago. Yeah.
Speaker 1 (04:31):
They, they say there’s kind of a, you know, kind of a, a, a curve or, uh, you know, a a period of kinda, I guess a dip that you kind of go through with commercial. Uh, but how, how did you weather that?
Speaker 2 (04:42):
It’s a different animal. It really is. And I, you know, having, um, having the other business, I guess to, to kind of keep me
Speaker 1 (04:50):
Good to bridge that
Speaker 2 (04:51):
And, uh, yeah. Um, I would say it’s very difficult to just jump right into commercial without anything to sustain you along the way. Yeah. Because there are, they can be few and far between deals. Yeah. You know, uh, although the shovels are bigger, <laugh>, but there Yeah. They can be far, you know, few and far between. So, yeah. Uh, having the other business and having sold my sign company helped me to, like you say, bridge that gap and be able to just kind of jump in, but Gotcha. Fortunately for me, with the sign company, I, I had a lot of contacts. Yeah. And in the That’s great. In the real estate world, your database is really
Speaker 1 (05:28):
Yeah. It matters.
Speaker 2 (05:29):
What what matters. Yeah. For sure. And so, fortunately I had a, yeah. A good database to start with, and so, so at least kind of called back through my, through my people. Yeah. Yeah.
Speaker 3 (05:39):
All those years of building contacts didn’t That’s right. Un was, wasn’t wasted if you That’s right.
Speaker 1 (05:42):
Paid off. Yeah. Yes. Good deal. So, so what’s your day to day look like now?
Speaker 2 (05:48):
Uh, <laugh> That’s a good question. Um, my day to day. So I, uh, I obviously have things that I need to do, do with Tan Trade and, and brokering those deals. And so, uh, I guess I have those hats just, you know, they just kind of come on and off mm-hmm <affirmative>. Throughout the day. But, um, today I was lead Jenning, so, uh, this morning at my office was, uh, doing phone calls and, and on the phone all morning, uh, back and forth. But we have, you know, I have several deals that are, that are ongoing mm-hmm. Now that we’re working. And, and, um, I do things a little bit different. I don’t wanna get ahead of your, your
Speaker 1 (06:28):
No, you’re fine. Yes. But we wanna find
Speaker 2 (06:30):
Out, it’s a little bit different, uh, non-typical, if you want to call it that, Uhhuh <affirmative>, uh, when it comes to doing real estate Uhhuh, I do more off market deals ah, than I do on market. You’ll,
Speaker 1 (06:42):
Ah, it’s kind of like the residential equivalent of a pocket listing type thing. That’s right.
Speaker 2 (06:46):
Huh? That’s right. Wow. And, uh, you know, I’ll have a client that comes come to me and say, you know, I need X, Y, z such and such square, square footage in this area. Or, um, Hey, I, I ran by address, whatever, uh, can you check on that? You know? Mm. Um, I love doing those deals. Yeah. I love connecting people and just bulldogging those and finding the, the owners and, and bringing the, firing the cellar together, making a deal happen.
Speaker 1 (07:12):
Yeah. That sounds like that’d be a lot more kind of intriguing instead of just doing the, the old, uh, cookie cutter type of lead gen and then, you know, calling these leads at probably 10 other agents have been calling and <laugh>.
Speaker 2 (07:24):
Well, there’s, you know, there’s something to be said about if it’s, if it’s on the platforms already, it’s a lot of people’s been looking at it. Oh, yeah. Right. Lot eyes. It’s been scrubbed by a bunch of different people, <laugh>. Yeah. You still can make some things happen, and we do. Yeah. But, um, yeah,
Speaker 1 (07:39):
Probably not quite as enjoyable though. This is a deal like that. Yeah. Yeah. That’s pretty awesome. So
Speaker 3 (07:43):
I, I was gonna ask a question like, you know, what is your lead inning look like? If there’s some trade secrets you share, that’s fine too. But it sounds like, it sounds like basically you’re getting, you know, leads from some of your contacts that you, that you work with from time to time, and then you’re going to basically drum up these properties just so research and owners doing that kind of thing.
Speaker 2 (08:01):
Yeah. Um, some of that, there’s some of that. The, the, what I was doing this morning, I, I do have quite a bit of, quite a few listings, uh, some bland listings. We had some commercial buildings, uh, listed. We have, um, we have a car wash listed in, in Walker, and, um, some multifamily, some, uh, RV parks and just a variety of listings. Right. Yeah. So, uh, and those are all on the platforms. We, we belong to all the platforms, LoopNet, crec, um, CoStar, um, L-A-C-D-B, all those major platforms mm-hmm <affirmative>. And so anytime somebody goes through looking for properties, they’ll click on it. When they click on it, I get a notification that they, that they clicked on it, clicked on it. And so, um, so my admin will put together a list of all the people that’s clicked on those. And so we, we just go through and we literally call each one of ’em mm-hmm <affirmative>.
Speaker 2 (08:51):
Yeah. And say, Hey, you know, I see you inquired about a listing that we have. Yeah. How can we answer some questions or, sure. Get your level of interest on this property. And Yeah. And a lot of times it’s just, you know, going through the motions and they don’t answer, you leave a message, you, you know, but then we follow up, lead, follow up, right? Yeah. The next week we call ’em back and, and, um, but a lot of times we will, uh, we’ll get an answer. Mm-hmm <affirmative>. And, and it may not be that property, but it’s an investor that’s looking Yeah. And he’s looking for multiple properties or, you know, all across the board. And, and so we wound up, we wound up, um, in a lot of cases acquiring additional contacts in our database Yeah, yeah. From other investors through those listening leads.
Speaker 1 (09:33):
Yeah. See, and you said that, that the, the investor word, you know, that’s, that’s a demographic that as a contractor, we want to, we want to find That’s right. But it’s, it’s crazy how, uh, they do remain insulated to a degree. Like, like they reach out to commercial realtors, but it’s hard for commercial contractors mm-hmm <affirmative>. To, you know, just interface with a, an investor, right? Like they’re, they’re not as, uh, I guess available. Mm-hmm <affirmative>. So, well,
Speaker 2 (10:01):
You don’t see ’em in the, in the spotlight necessarily.
Speaker 1 (10:04):
No. No. Yeah. They move in different circles and they’re, and they’re usually pretty private, so just to hear you say that they call you, you know, kind of make, we get, you know, <laugh>, we’re already, uh, what do you, what do you wanna call it? Uh, not jealous, but, uh, <laugh>
Speaker 2 (10:20):
Well, there is, there is
Speaker 1 (10:21):
A, we smitten by that idea, you know? Yeah.
Speaker 2 (10:23):
Yeah. And, and we’ve made a, a lot of really good contacts.
Speaker 1 (10:27):
Yeah. Envious, I guess was the word I was looking for. <laugh> Yeah. In
Speaker 2 (10:30):
The investor Yeah. World or in
Speaker 1 (10:33):
Investor. Yeah. That’s great sector,
Speaker 2 (10:34):
Uh, where, um,
Speaker 1 (10:35):
Those are great contacts. Yeah.
Speaker 2 (10:37):
They do.
Speaker 3 (10:38):
I mean, I know one thing that we see a lot of times investors already have a builder group, or there may be even a builder already. Yeah. Uh, but we’ve still come in contact with enough that don’t have a builder or, or, you know, maybe their builder’s super busy or whatever. So looking to connect with those kind of people to something that, that we’re always trying to do, you know? Yeah.
Speaker 1 (10:58):
Trying to crack the code on that. Get ’em to call us. That’s right. Yeah. Maybe we need to open up a commercial real estate wing. You go the company there. Or maybe that might
Speaker 3 (11:07):
Have a guy on our podcast or something like that. That’s right.
Speaker 1 (11:10):
Yeah. Maybe that’ll work.
Speaker 2 (11:12):
We can work that out for sure.
Speaker 1 (11:13):
All right. Cool. Uh, I do, you know, you just hearing about you doing your day to day, it did bring pop into my mind and I didn’t have it on my outline, but I just wanted to pick your brain real quick ’cause everyone’s talking about it. How about ai, has, has AI touched your business at all yet? Or real estate, particularly in the commercial sector? Is, or is it going to, like, are you anticipating it becoming more of a thing for y’all?
Speaker 2 (11:36):
Yeah, that’s a good question. We don’t, we probably don’t have time for all <laugh>, because there’s a lot to be said about that. Yeah. Um, I do use, uh, AI in, uh, and I’m, I’m finding myself probably, um, using it more and more as time goes on. Yeah. It’s, it’s
Speaker 1 (11:53):
Just, I think everybody
Speaker 2 (11:54):
Is, it’s here and it’s gonna be Oh, yeah. Here and you might as well Yeah. Learn it or get left behind.
Speaker 1 (11:59):
Exactly. Yeah. And
Speaker 2 (12:00):
So I will use it to help me in some of my descriptions in listing properties. Oh, okay. I’ll use it to, um, uh, I’ve used it for some research in, in traffic counts or data that I need in a certain area. Mm-hmm <affirmative>. Um, I’ve used it to find,
Speaker 1 (12:16):
Find investors. <laugh>. Yeah.
Speaker 2 (12:18):
<laugh>, you laugh, but that’s exactly right. Okay. Absolutely. All right. Um, I’ve used it to find out what people’s portfolio looks like. Uhhuh, <affirmative>, um, that’s it’s public knowledge. It’s out there. Sure. It’s just,
Speaker 1 (12:28):
You know, are they an accredited investor? Yeah.
Speaker 2 (12:31):
I’ve used it to find, uh, property owners. I have a lot of, a lot of investors that look for specific properties, you know? Mm-hmm <affirmative>. I want mobile home parks, I want RV parks. Mm-hmm <affirmative>. I want storage facilities, you know? Yeah. And, uh, so I’ve used it in, in a lot of different ways. Yeah. It’s been helpful. Um, I think it’s kind of scary ’cause mm-hmm <affirmative>. Of how much it does know, um, <laugh> Yeah. That’s, that’s on one hand. On the other hand, I, you know, I, I would love to have a bot follow me around. Sure.
Speaker 1 (13:01):
Help. Yeah. Personal assistant bot
Speaker 2 (13:02):
Help me remember stuff that I don’t remember. Right. Yeah. Like, um, I don’t know how many times I have, uh, been talking about a particular property, and then later on I’ll think, well, so and so could maybe use that property, or So and so might be interested in that property, and Yeah. And, you know, so you miss some things that you Yeah. Remember, uh, absolutely. Where AI could help you in in that regard.
Speaker 1 (13:24):
Absolutely. Yeah.
Speaker 2 (13:24):
It’s, it’s here.
Speaker 1 (13:26):
Good deal. It’s good to hear that you’re, you know, you’re taking it in and you’re utilizing it because like you said, you’re either gonna use it or get left behind. So that’s pretty cool. Um, all right. Well, let’s, let’s, uh, let’s move on a little bit. Uh, so kind of give us a lowdown. What’s the current state of, of, you know, your estimation of the real estate market? You know, you can do denim springs, greater Baton Rouge area, however you want to, you know. Yeah. Disperse it there.
Speaker 2 (13:54):
That’s a, that’s probably a loaded question. I guess if you asked 6, 7, 8 different people, you’re gonna get 6, 7, 8 different answers. Sure. Yeah. Um, but just from what I can gather, um, I think Baton Rouge metropolitan area, and I say that as, you know, Lafayette to Hammond, to New Orleans, whatever mm-hmm <affirmative>. This whole area. Yeah. Um, I think we’ve come out of 25 into 26 really strong, uh, in all of the sectors. Mm-hmm <affirmative>. You know, uh, industrial, probably industrial’s, probably my favorite. Um, I, I, I do quite a bit of industrial Uhhuh <affirmative>, and, um, and it’s super strong. Yeah. Continues to be the vacancy rates are, or the vacancies, or the availabilities is kind of low mm-hmm <affirmative>. Due to, due to some demand of specialized industrial and whatnot. But, um, the, uh, uh, office, I don’t do a whole lot of office, but I, you know, I think offices, well, it had a, had a really good year in 25.
Speaker 2 (14:56):
Yeah. Better than probably in the last 10 years. Yeah. So, um, and then retail continues to do well. Uh, I think the rates, the, the lease rates have increased mm-hmm <affirmative>. Year over year, somewhat. Yeah. And then, um, you know, multifamily, I do a lot of multifamily. I, I’ve got some stuff working in Texas that I’m doing, and, uh, multifamily continues to climb as well. Yeah. So, I think overall, well, I know that, you know, as far as East Baton Rouge, uh, market, uh, had a really good year in 25, but, but even in 26, it’s just, it’s, it’s coming out the gate strong. Yeah. And on a personal note, I, I have, you know, I had a pretty good year in, in 25. Um, I had a better year in 24. We did, um, I don’t know, close to $40 million, I guess I did. Yeah. Nice. In, uh, in 24, 25 was not quite as right at 20 million, I think. But I’ve already done in 26 this year more than I’ve done last year. Nice.
Speaker 1 (16:03):
So
Speaker 2 (16:04):
First quarter that says a lot, <laugh>. Yeah.
Speaker 1 (16:06):
Yeah. That’s a good start.
Speaker 2 (16:07):
It’s, I’m super excited about this year. That’s
Speaker 1 (16:09):
A really good start. That’s a good deal. You can catch your breath and kind of slow things down. Well, getting that leverage.
Speaker 2 (16:14):
There’s no time to slow down. Yeah.
Speaker 1 (16:16):
<laugh>, I just mean time slows down when you’re in that driving position, you know? Yeah, yeah. You’re not as, uh, anxious, I guess. That’s right. It’s a little more control.
Speaker 3 (16:24):
So I’m curious, what, uh, what do you classify as industrial?
Speaker 2 (16:28):
Um, warehouse, uh, distribution, cold storage. Um, these, um, there’s a lot of these, you know, warehouse with a little bit of office mm-hmm <affirmative>. Um, similar to what you have here, you know? Okay. Would be, uh, I would say,
Speaker 3 (16:42):
Uh, that’s what I assumed. I just wanted to make sure I was thinking.
Speaker 1 (16:45):
Yeah. I’m glad you clarified that. ’cause it’s not, I think of something behind a fence out in Geiser when you say industrial, but it could be something. No, I don totally different. I don’t
Speaker 2 (16:54):
Think it, I, I mean, I think it could be anywhere from a 3,500 square feet office warehouse to, you know, I, I have a 70,000 square foot in, in Hammond listed, it’s under contract, but, um, and then, uh, last year we did a, uh, 200,000 square foot. So it’s, yeah. I think it could run all of that. All of the above. Yeah. Yeah.
Speaker 1 (17:17):
Nice, nice. Yeah. Some of the, some of the commercial guys I’ve talked to this year so far, they were, they were kind of indicating that the office stuff was hot. Like people were coming back into office space. Mm-hmm <affirmative>. You know, pretty readily. They said that the, on the retail side, some of the retail stuff, they were seeing movement, but, but like smaller units, like people are combining their business with, you know, a little brick and mortar and, uh, online. So they weren’t, you know, like having these bigger back offices to store, you know mm-hmm <affirmative>. Uh, whatever you call it, inventory, you know, things like that. So,
Speaker 2 (17:52):
So, you know, I, that’s why I said earlier, it’s a loaded question. Oh, yeah. I don’t, I don’t really, I don’t know, and maybe I’m wrong for this, but I don’t, I don’t necessarily pay attention to all of the market analysts and Yeah. And the, the, all those, all those guys, I, I just don’t, I, and it’s not that I have anything against them. Yeah. I think that they’re needful and, and whatnot, but at the end of the day, I have clients that have needs. Yes. And my job is to go out and find those needs.
Speaker 1 (18:22):
Exactly. Yeah.
Speaker 2 (18:23):
They’re gonna need some industrial, they’re gonna need an office, they need medical, whatever it is. Yeah. I’m just gonna go do it. And, and if I find what they need, they’re gonna buy it. Yeah. Or they’re gonna lease it. Yeah. And it doesn’t matter what the market is. Right. Exactly. It really does. It just, it’s, they have a need, let’s go fill that need. Yeah. And it doesn’t matter what the market says. Yeah. It’s, they, this is what they have. Right.
Speaker 3 (18:42):
That’s what I was gonna say. You almost have your little niche. Like, you, you already kinda, you know what you’re doing and, and you know your clients. So it’s like, okay, I know what the market says, but that’s not so important here.
Speaker 2 (18:53):
Yeah. I mean, you,
Speaker 1 (18:54):
You, you’re gonna do what you gotta do. If the
Speaker 2 (18:56):
Market was in the tank,
Speaker 1 (18:57):
No matter what the market’s
Speaker 2 (18:58):
Doing in Baton Rouge. Yeah. And, and some company from Nebraska needed warehouse a hundred thousand square feet in the I 12 I 55 corridor, they’re gonna buy it. Oh, yeah. They need it. They, that’s, they need it here. It doesn’t matter what the market’s doing here, that’s needed. So I’m not,
Speaker 1 (19:16):
That’s what terms the market.
Speaker 2 (19:17):
I’m not down playing the market.
Speaker 1 (19:18):
No, no. I totally get what analyst
Speaker 2 (19:20):
In and those, what’s the market doing here right now? Yeah. What do we need to, you know, I I’m No, no problem with that. I’m just saying at the end of the day, it’s
Speaker 1 (19:28):
Doesn’t really matter. Not gonna affect what you’re doing. Doesn’t matter. It’s, it’s
Speaker 2 (19:30):
What the clients need.
Speaker 1 (19:32):
I agree. A hundred percent. I mean, you gotta do what you’re gonna do, play run your own game. For sure. So, uh, all right. So, uh, um, you pretty much covered the, what your view of the market is and where you’re seeing the most activity, and that, that’s great. Uh, as far as the deal process goes, kind of, can you walk us through kind of like a typical, uh, what a typical commercial real estate or industrial deal looks like, and like, length of time usually to get one close, things like that. Just kind of give us a, a typical deal if there is such a thing as typical. So
Speaker 2 (20:05):
There is not <laugh>, there is not such a thing as a typical deal. You know, every deal in the real estate world is different. Yeah. Literally. And, um, I have, you know, just quickly, I’ve had deals, I’ve had multimillion dollar deals, uh, that I’ve gotten done in a matter of days.
Speaker 1 (20:23):
That’s crazy. Yeah. Literally.
Speaker 2 (20:25):
And I’ve had less than million dollar deals take I, I’m, I’m doing in one right now, a little industrial over in Covington that is, uh, it’s, it’s been since, uh, I think it was no September or November Wow. When we put it under contract. Wow. And we are still probably a month out before we close. Wow. And it’s a little bitty deal, Uhhuh, but <affirmative>, but it’s an SBA loan, and those SBA loans take forever. You’re dealing with the government, you’re dealing, working on their time schedule. And so it’s a little bitty deal, but it’s taken a long time. And we’ve had, they’ve had hurdles along the way. It’s just, um, it’s sort of ridiculous. But, um, yeah. And then we’ve, I’ve done a multi-family deal, uh, where we, it was, um, I think it was six and a half million dollars in over in Gonzalez that that took us 10 days to close Mm.
Speaker 2 (21:16):
Start to finish, huh. So they, there’s, there’s no real rhythm or rhyme to the deal. Yeah. But from our perspective, yeah. You know, we, when we get the buyer and the seller to the, to the table and they agree to a deal and we get it under contract Yeah. There’s, there is a process, you know, you got Yeah. You know, your due diligence period, your, you know, so much time to get a deposit in. And we do nest commercial. Um, I admin, uh, put together what we call a flowchart, which, which helps the, uh, the buyer and the seller keep up with the deal. Yeah. Right? So we know what’s the next vital date. Yes. What’s the next critical date, right? That’s correct. You have so many days to get your deposit in mm-hmm <affirmative>. You got so many days of due diligence. Okay. And we send these reports out that say, okay, you’re coming up on the end of your due diligence, you got, you know mm-hmm <affirmative>. You, you got this much time to get this done or whatever. And so we try to, um, we try to keep that going mm-hmm <affirmative>. And keep that flow chart, um, on, on track for them.
Speaker 1 (22:13):
Yeah. Is there a way that that’s automated where they get like text messages, reminders, or
Speaker 2 (22:18):
Anything like that? Not text messages, but we, we’ll send an email out every month and, uh, or, or even before that mm-hmm <affirmative>. Should the, the days, you know, be tighter or whatever. Yeah. But, um, we, we make sure that they have time and they see their, their timeline, what has to happen.
Speaker 1 (22:35):
So on the multifamily stuff, have, do you have any insight into where the demand is in multifamily? Like, is it, uh, like new investors getting in with like two and four door units? Or are you seeing the big stuff still? Like some of these, you know, builders around here, DSLD and, uh, Alvarez and different ones have been building a lot of like, multi-unit developments?
Speaker 2 (22:57):
Yeah. So, um, there again, I, I, it’s kind of all the above. I’m, I’m working with a group outta Texas that, that, um, in the one to 200 units mm-hmm <affirmative>. Um, and then, uh, I just spoke with a, with a buyer investment group, um, also outta Texas that doesn’t wanna look at anything under 240 units. Wow. Um, and then I talked to a guy yesterday that only wants a fourplex, nothing more than a fourplex, so mm-hmm <affirmative>. Um, there again, it kind of goes all over the board, I guess. Yeah. But, um, I just, I try to, you know, whatever that, whatever that client is looking for is mm-hmm <affirmative>. Is, is I’m gonna try to bulldog for
Speaker 1 (23:38):
’em. Yeah. That’s the one to, that’s the one to hunt. Yeah.
Speaker 2 (23:40):
So new, new and old, I, you know, the, the clients will tell me, Hey, we want, we want A and B properties, we want nothing more than five years old, nothing, nothing less than, you know, uh, 10% or nothing more than 10% vacancy or mm-hmm <affirmative>. Or 8% vacancy, whatever. Yeah. Um, and then, and then I have people that say, yeah, we want the, we want the bad ones. We want the ones that’s in trouble. We want the ones that’s, you know, um, 60% vacant and Yeah. You know, has some value add.
Speaker 1 (24:10):
Gotcha.
Speaker 3 (24:11):
So, I got a question. Yeah, go ahead. In those, uh, just trying to figure out a little bit about how it works. You know, those companies that are calling you, are they calling like other commercial realtors telling them the same thing and whoever can bring this deal to us, that’s, that’s who we looking to work with? Or, or is it, or is it people that you know that you feel that they’re, they’re, they’re, they’re feeling like, you know, you have everything that they need and, and they’re going to leave it up to you to go find those
Speaker 1 (24:34):
Fire fires or liars <laugh>. Yeah.
Speaker 2 (24:36):
I wish it was like that. You know, when I, I had, I had to learn some stuff, uh, getting into the commercial real estate world. Um, I had an idea, and I still have this idea, I wish, I wish this could work, but it, unfortunately, I don’t, I don’t think it will. But, um, I would, I would love the opportunity to just have, let’s just call it, I don’t know, 25 or 50 clients that I’m loyal to book mm-hmm <affirmative>. They’re loyal to Yeah. They’re gonna buy multiple deals a year. Yeah. I’m just, I’m going to, you know, I’m gonna be right there with ’em. I’m gonna Yeah. Unfortunately, that’s just not Yeah. The way the world works. Yeah. Um,
Speaker 3 (25:15):
I mean, I think I can agree even on our side, I mean, because we feel like the same thing, but, but obviously it don’t work like that. Yeah. They just,
Speaker 2 (25:21):
If they only knew how loyal I would be to them and how, how diligent I would work for ’em, you know? Yeah. I, I think I, I, I think I get it, but that’s just not the way it works. Right. And that’s fine. I’m not, you know, I always do my best to respect and I don’t wanna step on anybody’s toes. Yeah. But in terms of, you know, if, if you’ve got an, a real estate agent that you’re working with, you’re comfortable with, that’s fine. But at the end of the day, they’ll all tell you, well, yeah, I’ve got a guy that I work with, but if you bring me a deal, hey, it’s your deal. You know? Mm-hmm <affirmative>. So nobody’s really loyal No. Necessarily to one particular person. Yeah. Right. Um, and I don’t know where that was going. You had a question specifically about that, but I think it was, it’s, it’s that,
Speaker 1 (26:02):
Well, he was asking you like, if those, these people that are reaching out to you, if, do you feel like they’re, they’re gonna be with you and Yeah. I’m, they think that you’re the, you got what they need and they’re not looking at a bunch of other realtors
Speaker 3 (26:13):
And stuff. Yeah. I was kinda asking if they’re like an exclusive partner, you know, that you’ve already done
Speaker 1 (26:17):
Some deals, you pretty much shot that in a foot.
Speaker 2 (26:18):
Yeah. Wish. Yeah. I wish there was, but there’s not. Yeah. If I bring a deal to the table, obviously I’m protected. Right? Yeah. Um, but, and, and there’s been some, some sketchy deals that, that I’ve, you know, been involved in that, like
Speaker 1 (26:35):
Some wholesale deals that changed right at the closing table.
Speaker 2 (26:37):
Yeah. They’re, <laugh> got the, the short end of the stick, you might say. Oh, wow. Yeah. Um, nothing real drastic. Mm-hmm <affirmative>. Thank the Lord yet. Yeah. Uh, but I, but I’ve been messed up on a deal or two <laugh>. Yeah, yeah. And I’m sure all the, I’m sure all the agents have been, that’s just right. It is what it is, but, um, you, you live and learn. Right,
Speaker 1 (26:59):
Right. You bet. Once bit twice shy. Yeah. So, uh, a little bit of insight from you on the, uh, the multi-unit stuff. Again, when, when you’re getting these calls from investors looking for stuff, would you say the majority of ’em are looking for stuff that’s already built? It may need, you know, it may need Reno or not, you know, I mean, it is, you kind of mentioned that they’re looking for like a really low vacancy rate, so I’m thinking it’s probably stuff that’s not really ready for a Reno necessarily, but would you say it’s more people looking for that kind of stuff and less, less people wanting to actually go and buy land and build multi-units and hold it? Like, do those guys typically build and, and, and then
Speaker 2 (27:44):
They, they they
Speaker 1 (27:45):
Liquidate it typically, yeah. Get rid of it, and then it’s the person that buys it is the one that buys and holds. That’s right.
Speaker 2 (27:51):
Okay. So that happens more times than not. Yeah. I, I, I
Speaker 1 (27:54):
See. I think that’s, I think our, I think our, our perspective is like, when we’re looking for, you know, investor developers, we’re thinking, we’re gonna find somebody out there that’s gonna, you know, they’re gonna want to build a multi-unit or something like that, and they’re gonna buy it and buy the land, buy and have us build it and all that. But you’re, you’re pretty much telling us that someone that’s gonna do that, they’re, they’re gonna want to get that thing on market fast and Yeah. And get rid of it. The next one, dispose of it and go to the next
Speaker 2 (28:21):
One. Yeah. Um, I, I, you know, stoa group does that, Lee, um, not Lee, but, um, Ryan and those guys, uh, um, they’ll build it, get it leased up to a certain percentage or whatever, and then, and then sell it off to Yeah. To a private equity group or
Speaker 1 (28:37):
Yeah.
Speaker 2 (28:38):
Or REIT or whatever. Um, I would say more times than not, it’s people that are looking for already built stuff. Yeah. The, but I do have some clients that are looking for the land to build those. And, and even STO group, if I, you know, I’ve pitched a few pieces of land to them too, and, um, uh, so yeah. But more times than not, it’s people that want it already built. Yeah. And established.
Speaker 1 (29:02):
So would you say then, as a gc, if you’re wanting to get into this kind of development stuff, instead of looking for the client, you kind of need to be the client, you kind of like to find a way to break into that development stuff and maybe do your first commercial development and kind of scale up to something Yeah. Larger like that.
Speaker 2 (29:19):
That’s what if, if you guys are wanting to get into the larger multifamily, then yeah, I would find a land deal, build it, stabilize it, sell it, and do another one, and so on.
Speaker 1 (29:29):
Yeah. That’s, yeah. So now that we got you on digital record, I got another question for you, <laugh>. We can cut this out if you want, but I’m curious, like when, when I was a, a contractor back in the day, many, many moons ago, and, uh, I was also a real estate broker, had my own brokerage and all that in Colorado. But I, I would do deals with, you know, other investors and other realtors that would, they, you know, they would go and buy lots in subdivisions, and a lot of times they would just give me a, you know, a, uh, deed of trust or whatever. Yeah. And I take that to the bank, get my, uh, construction loan, build the spec home on it, and then I just, whatever their markup was, like the, you know, they bought it for 40. They’d say, look, when you, when you build the house and sell it, I want 50 for it. Yeah. You know, and they’d just give me the paper and I’d go do it. Does that happen in Yes. In commercial? Yes, it does hear that. Yes. See, that’s, that’s where I think might be some opportunity. Something like that.
Speaker 2 (30:23):
Yeah. You find somebody with deep pockets that mm-hmm <affirmative>. That, that there, there has, I think there has to be a, you know, a relationship, a chemistry. Yeah. There’s to be some sort of, some trust. Trust and mm-hmm <affirmative>. Um, you build a relationship. I don’t think you just walk up to somebody and say, I’m a bill doing, you got money unless you feel
Speaker 1 (30:41):
Together. Not quite that easy.
Speaker 2 (30:43):
But that’s why I think it’s important to, to, well, to do this kind of stuff and to network and to,
Speaker 1 (30:48):
Yeah. Build trust.
Speaker 2 (30:49):
Go to these conferences and go to these seminars and, and find those people. Just rub elbows and of course, um, praying along the way and having God orchestrate. Sure, yeah. Your steps.
Speaker 1 (31:00):
Right.
Speaker 2 (31:01):
Absolutely. Teaching for all the right people. You bet. Uh, so, but yes, that happens. Yes. Okay. I would say a lot.
Speaker 1 (31:08):
Yeah. Yeah. That kind of helps with perspective. I mean, I think it kind of clarifies our perspective a little bit. Yes. So, cool. All right. Well, let’s, let’s go ahead and move on. Uh, we’re picking your brain dry here, Jim <laugh>, there won’t be nothing. Not much
Speaker 3 (31:21):
Left. He’s a sharp guy. He ain’t
Speaker 2 (31:22):
Much left
Speaker 3 (31:23):
<laugh>. See, I’m saying the opposite. I’m saying he’s got a lot left up there,
Speaker 1 (31:26):
<laugh>.
Speaker 2 (31:27):
Um,
Speaker 1 (31:28):
So what are some of the biggest challenges that you would say that right, currently right now with the way the market is, uh, good or bad, whatever it is, uh, just as clients come to you, what would you say the most common challenge that they’re facing? Is it, like, for example, it seems to me like the banks have been, even though I know the rates have come down a little bit, it seems like they ain’t been real, uh, you know, enthusiastic about lending money mm-hmm <affirmative>. And, uh, so what would you say is, you know, the challenges that you’re facing really just to get these deals pulled together for most people, unless they’re dealing with cash. Yeah. You know, deep pocket stuff.
Speaker 2 (32:02):
Yeah. And, and there’s a variety of different ways, I guess, or, or, um, issues that we, 10 31 money, I’ve done some 10 31 deals, and those are easy and, you know, pretty, pretty easy to get through. Yeah. But yeah, the bank, um, the banks seem to be sometimes volatile on what they lend on. Mm-hmm <affirmative>. You know, they can, the, the board says, Hey, we want to do more storage this week and next week it’s okay, we don’t want to do any more storage. We got no storage. We wanna do mobile home parks, or we want Yeah. And so you don’t know what they’re thinking. You don’t know how they’re gonna lend, and yeah. So yeah, sometimes we have to go through several, uh, institutions in order to get the deal done or whatever, but Yeah. Um, other than that, I don’t, you know, I don’t, I I, I had thought about that when you, when you had sent me the, um, the list of, of things we were gonna talk about, and I, I tried to really come up with a good answer.
Speaker 2 (32:56):
I don’t, you know, other than the, the typical challenges along the way, maybe some stuff through due diligence or, or whatnot. Yeah. Um, I don’t, I don’t know that we have a ton of challenges, um, you know, other than what you just mentioned, the bank maybe, and some due diligence and mm-hmm <affirmative>. Um, I guess it depends on the deal. If they’re, if we’re doing, if we’re wrapping in a, you know, construction deal with land, and maybe that’s, uh, some difficulties in, in putting all of that together and making that come to come together. But, um, yeah, not a, not a, I can’t, I can’t think of a ton of challenges right now that that would stop the deal.
Speaker 1 (33:38):
Yeah. Would you say that you’re dealing more with private equity then than actual banks in these deals? Or, or is it 50 50? I mean, what, what, what percentage would you say are, is private money or groups, you know, investment groups, um, which I guess it’s still technically private money <laugh>, you
Speaker 2 (33:55):
Know, now that you’re saying it that way. I guess just looking back on the deals that we’ve done, uh, most of the deals that we’ve done recently have been private money.
Speaker 1 (34:03):
Yeah. It seems like there’s a lot of that out there.
Speaker 2 (34:04):
There’s not a lot of challenges with that.
Speaker 1 (34:06):
Yeah. It’s just,
Speaker 2 (34:06):
It is what it did. You find the, find the property, they
Speaker 1 (34:09):
Can make it happen.
Speaker 2 (34:10):
Right. And, uh, other than the one I mentioned earlier, the SBA loan, that’s been a challenge in getting that done. So, but there again, that’s the bank that’s, you know, banking challenges. Yeah. I guess banking challenges is where it’s at, right.
Speaker 3 (34:24):
Yeah. Now do you, do you actually, uh, do you, is how do, or do you spend any time like connecting, you know, your buyers with lenders and that kind of thing? Or do they use it? I do. You do? Yeah. I,
Speaker 2 (34:34):
I’ve tried to build a little, um, database of, of lenders that I work with. I have specific lenders that I would send to for mobile home parks. Mm-hmm <affirmative>. Or Army parks. Mm-hmm <affirmative>. I have specific lenders that I would send to for land or, or, um,
Speaker 1 (34:49):
I’d love to get that list. Yeah.
Speaker 3 (34:50):
<laugh>. Well, I mean, I know that you’ve spent some time, you know? Yeah, I
Speaker 1 (34:53):
Do. I go to lunch with the field two
Speaker 3 (34:54):
Lenders and, and, and they, they do tell you like, we like to do this, we like to do that. Right. It sounds like you kind of utilize the same, same thing, like, you know, you know, some lenders who like to do specific mm-hmm <affirmative>.
Speaker 1 (35:05):
Whatever product is hot, they just sell it snot out of it until they, they, until they get overwhelmed too. Too much leverage. Yeah. And so they start, they cut that off and they open up another tap and say, okay, we need some leverage over here. So Yeah. It’s, it’s a game. I mean, it’s, it’s, it’s business, but it’s a game. Yeah. And
Speaker 2 (35:20):
I don’t, I don’t claim to know all the ins and outs of it. We’re, you know, um, I’m learning Yeah. Along the way.
Speaker 1 (35:27):
Yeah, you bet.
Speaker 3 (35:28):
Well, we say that here too. Uh, <laugh> never, I never stop
Speaker 1 (35:31):
Learning.
Speaker 3 (35:31):
I’ve never worked for a general contractor or anything, so we just, we’re figuring it out every day.
Speaker 1 (35:36):
That’s right.
Speaker 2 (35:37):
On the
Speaker 1 (35:38):
Fly. But, uh, okay. Well, cool. So, so like I said, probably not a lot of bank issues then if you’re dealing with a lot of private investors, so that’s good. All right. So here’s the big, the loaded question here. <laugh>, uh, oh. So what, what would you say contractors could do better? Like in deals that you’re involved in and you’re dealing with a contractor in the deal, what, what would you say that they could do better to be a better partner, better collaborator, uh, to make, to either make a deal happen, or even maybe create opportunity for more deals because, uh, behaving in a certain way,
Speaker 2 (36:15):
Uh, you know, I don’t know if I have a a magic answer for you, but Yeah. Exposure and just getting out there and, and being in front of people and building those relationships. Yeah. I think so that when the need does arise, they think of you. Exactly.
Speaker 1 (36:30):
Right.
Speaker 2 (36:30):
Um, you, you can’t help what prices are for materials. Mm-hmm <affirmative>. They’re going up and everybody hates that. Yeah. Nobody likes to pay that much money to have a building built, you know? Yeah. And nobody, you know, but, but if you’ve had the exposure and you’ve built those relationships, they know that you’re doing the best you can for ’em, and that you’re gonna give ’em the best price and, and put the best
Speaker 1 (36:51):
Product as good as they could get out there on the open market.
Speaker 2 (36:54):
Yeah. Yeah. So I think exposure and, and trying to, uh, trying to get ahead. Right. Yeah. So, so, uh, go into these, uh, seminars or conferences where you meet those guys that are, you, you, you need to be in their mind before they need you. Exactly
Speaker 1 (37:10):
Right.
Speaker 2 (37:10):
That’s right. If you’re in their mind before they need you, then they’re gonna think about you when they do. And Yeah. And it’s touching them once a, you know, once a month or, or whatever, you know, who’s your, who’s your ideal client? Who do you wanna, who do you wanna work for then, then just yeah. Touch ’em every month. Right?
Speaker 3 (37:25):
Yeah. Yeah. So, Dale, I, I know you’re pretty familiar with, uh, with construction costs and stuff. You, you’ve been around construction a lot, but I mean, is it beneficial for you at all to have a contractor, you know, like us, uh, or whoever I say us, ’cause you’re here with us today mm-hmm <affirmative>. That, you know, that could throw, throw together some good budgets. A hundred percent. If, if you have, you know, a client that’s, that’s looking for a new build or, or even a renovation, uh, I mean, that’s something that we try to do. Yes. Yeah. Uh, I know you and I recently had an opportunity to do a little bit of that. That’s right. Uh, lucky for you, you close a deal without me, but that was, that was still a big win for you. Yeah. <laugh>, uh, no, just serious. Is that, is that something that you find beneficial? Absolutely. Uh, because that’s something that we we’re kind of trying to put out there that we’re willing to help, you know, some commercial realtors with, but so just curious to get your feedback on that.
Speaker 2 (38:12):
Yeah. Yeah. Incidentally, um, that particular deal, uh, I had two buyers looking at that building at the same time. Um, they both needed it. They both wanted it. Uh, and one of ’em, one out over the other one, the other one is now looking at land to build. Right. Wow. So yes. Having someone like you that, that, um, takes me to lunch once a month or something, <laugh> that steak,
Speaker 3 (38:38):
Steak lunch
Speaker 2 (38:39):
On my mind. Yes, of course. You know, when a client comes in, Hey, I’m looking to build, uh, find me some land. Yeah. Well, I, I, I’ve got a, I got a contractor. Yeah.
Speaker 1 (38:48):
And this is steak week a hundred,
Speaker 2 (38:51):
A hundred percent. Yes. Yeah.
Speaker 3 (38:53):
Cool. That’s good. I mean, I’m glad to hear that because it’s something that, I mean, we felt like that’s beneficial. We feel like that we can contribute in that way. Yeah. Uh, so just curious to what, what your thoughts were on
Speaker 1 (39:02):
That, just making sure we’re not, you know, striking at the wind. Yeah.
Speaker 2 (39:06):
They, uh, no, I get it. Well, you’re gonna get a chance. Yeah. You know, at the end of the day, that’s, you know, they usually get three and Right. <laugh>, I can’t, I can’t crunch the numbers for you, but Yeah,
Speaker 3 (39:17):
For sure. Even in those, even in these type opportunities, I mean, we do a lot of public bids, so, I mean, we’re used to bidding against 15. Yeah. Yeah. Uh, so I mean, you know, automatically three bidders feels like a win <laugh>. It does. Yeah. But, but, but usually in these type of situations too, you, you actually have an opportunity to, you know, to sell your value. I mean, you can kinda show ’em Exactly. You know, if you are a little more expensive or whatever, you can explain to ’em why it, it can make sense, you know? Yes. So, yeah, those opportunities are always, always nice. So
Speaker 2 (39:45):
Keeper’s not always better. Right. Yeah,
Speaker 1 (39:46):
That’s for sure. You
Speaker 2 (39:47):
Put a better product in, you’re gonna be better quality. Yeah.
Speaker 1 (39:51):
Yeah. Yeah. Yeah. I mean, and you’re pretty good about that. Like, he knows what his numbers are and what we have to have and, and how these guys take jobs, you know, at under costs. We’ll never know. But, you know, we, we just refuse to do that for the most part. You
Speaker 2 (40:06):
May very well find out in six, six months where they
Speaker 3 (40:08):
Are. Right. Mean, you know, you alluded to it earlier. Exactly. You don’t really care what the market says. Yeah. You do what, you know, you do what you need to do. Exactly. Honestly, I mean, we have, we find ourself in that situation a lot. Sure. Because the market says these jobs.
Speaker 1 (40:20):
Yeah.
Speaker 3 (40:21):
You know, I don’t know if the market says it, but they go for Yeah. Way below what they feel like they should. Yes. Uh, so we, we end up kind of finding our ourself in the same, or way
Speaker 1 (40:29):
Less than what they should. Yeah. We’re not gonna go down and Well,
Speaker 2 (40:32):
That’s what I mean. They’re, they’re, you’re gonna see those guys six months Yeah. Crawling back or doing some add-ons or doing some change orders, so they struggling to try to figure out where they’re gonna make their money. Yeah,
Speaker 1 (40:42):
Yeah. It’s a,
Speaker 2 (40:44):
It’s change orders. They, they, you know, you know how that is in your business. Change orders can be a nightmare, right? Mm-hmm <affirmative>. Um, but, but, uh, more times than not, that’s what they depend on and well, we’ll, we will undercut it right here and we’ll get some change orders from the end. Yeah. That’s, that’s terrible. I, I don’t,
Speaker 1 (41:00):
It’s crazy that someone’s, that that happens brazen. I mean, you just, you gotta be bold to do that. I would, I would never risk that. Yeah. Hang my hat on. Change orders to make a living <laugh> anyway.
Speaker 3 (41:12):
Yeah. It’s a scary place
Speaker 1 (41:12):
To be. Yeah, it’s Alright. Cool. Well man, I’m outta questions. Interrogation is over <laugh>. Well, it’s been great talking to you, man. You, you’re a wealth of information. We obviously need to do this again. Um, I appreciate it. You know, we’ll be, uh, looking for that, uh, that list of, uh, commercial bankers, you know, in our inbox and stuff. <laugh>. Yes. And any other nuggets. Uh, you know,
Speaker 2 (41:37):
I’m happy to have, go however I can and, uh, make myself available. And, and
Speaker 1 (41:42):
So if people want to reach out to you, where, where can they find you at? I don’t think you have an actual, do you have a physical office? I do,
Speaker 2 (41:49):
I do have an office. Are
Speaker 1 (41:50):
You ever
Speaker 2 (41:50):
There? A big shop next to my house. You’ve been to
Speaker 1 (41:52):
Oh,
Speaker 2 (41:53):
Okay. The shop. Yeah. Yeah. I got you. I have an office in Dham here, uh, near Ju Road, and then I have an office in Hammond. Huh. Um, so I’m back and forth in those two offices, but, uh, no, this is pretty much my office right now.
Speaker 1 (42:05):
<laugh>. Yeah. Your mobile office?
Speaker 2 (42:06):
6 0 3 0 6 1 0. That’s my cell. 2, 2 5. Yeah. But, um,
Speaker 3 (42:11):
His office address is 2,500 Denali <laugh>.
Speaker 1 (42:15):
That’s right. 2,500 Denali. That’s right. So you’re from Alaska. Yeah. <laugh>. All right. So, so again, so tell the people who you are and what company you work with, what your brokerage name and everything, just so they know where to find you.
Speaker 2 (42:29):
Yep. Thanks. You, uh, Dale Myu, uh, nest Commercial Group. We’re, uh, um, (225) 603-0610 is my cell phone. Nice. Um, happy to, to try to help however we can. I have an office in denim, an office in Hammond. Okay. Um, it’s just myself, my admin, Stephanie Davis and, uh, my son just recently got his license and he’s wanting to join the team, but he’s trying to work out that transition. Yeah. And
Speaker 3 (42:54):
He’s that law you was asking about.
Speaker 2 (42:56):
That’s right. Yeah. He wants to do commercial real estate too, but, so, um, and uh, yeah, we’re, I don’t, I don’t have a website. Uh, I hang my license with Keller Williams. Okay. Um, a website. Uh, you know, I, I guess maybe I could get a website. I dunno,
Speaker 1 (43:13):
<laugh>
Speaker 2 (43:14):
Mike would help. Maybe not, I don’t know. But, uh, at the end of the day, just, uh, reach out. I’m, I’m available and Okay. Happy to help.
Speaker 1 (43:21):
Alright, good deal. Well put your contact info in the show notes so that anyone checks out this episode. They can find you in there too. So thank you. Thank you. So any, any closing shots there, John? Yeah.
Speaker 3 (43:32):
No. Appreciate you coming on Dale. Yeah. Uh, great guy. Yeah, we, uh, look forward to continuing to do some stuff with you. Thanks for coming on. Yeah. Really, really good show. Lot of great information.
Speaker 1 (43:43):
Yeah. We appreciate it, man. Thank you so much.
Speaker 2 (43:45):
Thank y’all. All
Speaker 1 (43:46):
Right, let’s go. That’s a wrap. <laugh>.