STRENGTH IN NETWORKS
The Next World-Class Opportunity Is Closer Than You Think
The world is full of opportunities; you just need to know where to look and what connections to make. That’s where we come in. In commercial real estate, I still see brand- new opportunities from sources I’ve been working with for 20-plus years, and there’s a reason for that. These are opportunities and deals sourced by world-class operators and family offices. These are people who have been operating for generations. They know precisely what they are doing. Real estate is in their DNA. At any given time, a family office has at least $100 million in assets under management (AUM). These families are patient, passive investors who know what they want, and they will make decisions quickly when the right opportunity presents itself.
Members of the family office are at the top of their game and have solid backgrounds in investment and money management. They’re genuinely world-class, and they want to maintain this status. They are tightknit and form business relationships on pedigree; if something is out of place, a deal will not happen. These families are also interested in deals not available to the masses. This, too, is a belief of mine: The more widely an investment is made available to the masses, the less desirable and more speculative it becomes. Our firm operates with this belief in mind as we work with family offices. We operate in a space not many investors have access to. I’m talking about those opportunities not available to the masses. How do we source these kinds of deals? It circles back to the network we’ve built up over the decades. You cannot underestimate the power of a strong network. I’ve said this in the past: People who have failed at making investments in the past (whether those investments are venture capital, private equity, or real estate) had to learn the hard way that it’s the strength of your network that provides the most value to you as an investor.
deal, from our real estate deals to private equity investments, gets a background check. We don’t want to waste your time or money. When you bring this all together, you are left with an impressive deal flow, often paired with favorable terms. You get the benefits of our established network as you invest alongside these family offices. You also get their networks. That’s more capital and more relationships, which means more opportunity for growth. But more than that, there’s mitigated risk. I believe in the conservative approach. It’s not about playing high risk/high reward. You want to know that your investment is protected. My own portfolio looks something like this: 15 percent venture capital and private equity, 50 percent real estate, and the remaining 35 percent in equities, physical gold, and cash. Should the markets crash in the next 24 hours (they won’t), real estate income is protected and insured, while venture capital and private equity investments don’t usually correlate with publicly traded markets. These companies are illiquid. The conservative approach often requires patience, but many of the family offices appreciate working with other patient investors. And many of the companies we vet are interested in money from patient investors who have been successful as entrepreneurs. They want to work with people who have seen the world and know what they want. This is who we work with: people who know what they want and are in search of that next world-class opportunity.
Networks aren’t just about finding opportunities or a flow of deals. They are crucial when it comes to performing due diligence on these entities. It’s risk
management 101. And we do that due diligence. By the time a deal reaches any of our clients, it’s been thoroughly vetted. Every single
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