BiggerPockets Podcast 253: Recession-Resistant Investing & the Benefits of Buying Shopping Centers with David Puchi
Most of the guests here on the BiggerPockets Podcast have focused on residential properties—but there is a whole different world to explore in the commercial real estate space. That's why we're thrilled to bring you this powerful interview with an investor who's truly crushing the commercial real estate industry! Our guest today is David Puchi, an investor who owns more than 50 neighborhood shopping centers (“strip malls”) throughout the United States. David tells how he built this massive portfolio and why he believes it is one of the best real estate niches to be a part of. This show will open your eyes to an exciting world you never knew existed.
Want more articles like this?
Create an account today to get BiggerPocket's best blog articles delivered to your inboxSign up for free
Click here to listen on iTunes.
Listen to the Podcast Here
Watch the Podcast Here
Help Us Out!
Help us reach new listeners on iTunes by leaving us a rating and review! It takes just 30 seconds and instructions can be found here. Thanks! We really appreciate it!
This Show Sponsored By
Check out SimpliSafe Security’s DIY home security systems; an affordable, wireless, cellular, and customizable system that doesn’t require a contract!
Try it today with a discount: simplisafepockets.com
Fire Round Sponsor
A huge thanks as well to our sponsor FreshBooks.
FreshBooks customers spend less time on paperwork, freeing up 2 days per month to focus on the work they love. What would you do with that extra time?
Learn more by visiting FreshBooks.
In This Episode We Cover:
- How David started real estate investing
- Why he brought a bank guarantor partner into his deal
- How he turned a shopping mall around
- What the “Amazon proofing strategy” is
- What he looks for in commercial properties
- The challenges of this strategy
- Who to hire to start investing in shopping centers
- What synergy is in reference to tenants
- How one tenant can affect the whole center
- A passive way to invest in triple net properties
- Tips on how to finance these deals
- Where he finds his deals
- How to analyze a neighborhood for shopping malls
- Tips for performing due diligence for this kind of deal
- The metrics you should study to figure out the health of a tenant
- Where he sees his business in the future
- And SO much more!
Links from the Show
- BiggerPockets Forums
- BiggerPockets Marketplace
- BiggerPockets Podcast 250: Grant Cardone on Multifamily Investing and Why You Should Never Buy a House!
Books Mentioned in this Show
- The Book on Rental Property Investing by Brandon Turner
Fire Round Questions
- I am planning to build a 10~12K sqft strip with 6 units, which type of business will be well fit?
- What is protocol for charging and collecting overdue rent?
- How to lease retail store to franchise
- How to determine value of a commercial property w/ no list price?
- Adding appreciation to a commercial property
- Are current tenants a big factor in the sellability?
- "Having reasonable leverage makes more sense than over leverage." (Tweet This!)
- “Basic property management experience is a great launching pad in owning commercial properties.” (Tweet This!)
- “You can’t rely on the market to force appreciation.” (Tweet This!)