All Forum Posts by: Douglas Dowell

I believe that the only prerequisite is the deal and execution competence.  If you can source great deals and execute you can be a green alien with a cereal box diploma and be successful.

Joint venture s are a great way to overcome objections of lack of x, y, or z.

College accounting, finance, marketing, business law and economics are great.  Marketing trumps it all perhaps.

Overall, I value my law degree and undergraduate very much but there are alot of realtors without college that crush it.

I agree rates will go up a skosh but wth so much EU uncertainty and issues in China I see a moderate increase.   Just my take.

BTW for those interested the Urban Land Institute publishes a groovy consensus forecast.

http://uli.org/wp-content/uploads/ULI-Documents/2015-Spring-ULI-Consensus-Forecast.pdf?utm_source=reportspage&utm_medium=view&utm_campaign=smreport15

I think that's the right way to frame it @Jonathan Twombly a cyclical issue versus a bubble.   I guess the real question what is the difference and how should we respond?

I believe the response is build if it make sense but have high equity and solid exit strategy lined out assuming the cycle turns in the middle of the project. 

If you not interested or willing to take the risk of construction then it might be good to be very selective on what value add deals you buy and what markets you play in.   It seems to me that the 24 hour cities recovered very quickly.  

Secondary and Tertiary markets seem to finally turning around a bit.  Probably better bets for new construction and value add deals.

I think the talk of bubble is offbase.

Robert Schiller one of the few who warned of the subprime crises defines bubbles:

"I define a bubble as a social epidemic that involves extravagant expectations for the future. Today, there is certainly a social and psychological phenomenon of people observing past price increases and thinking that they might keep going."

The reason I think the current housing market is NOT a bubble is that is driven by supply factors.   My theory is that new land developments have slow to return to the marketplace in response to the demand preferences of millennials and boomers both choosing to rent versus purchase.  As rents continue to escalate I believe the land developers will be enitced to return to the game because some the rent sticker shock will exceed lifestyle presences at some price point.

Schillers definition contains an element of subjectivity.   However if  you look to data to support your bubble or no bubble I believe it is largely fundamental driven not IRRATIONAL EXHUBERANCE.

Paging @John Jackson clean up in Texas Isle.

I was a lawyer in a prior life and I would say the main difference is dispute resolution.   The tax accountant excels at planning and can assist in audit defense.  If you want to litigate in court that is sole providence of the tax lawyer.

From a planning standpoint they each have their strengths.  I would say CPA would overall be cheaper.   The Tax Lawyer/CPA is a powerful combination but priced accordingly.

I think there is a 24 months window or so for this opportunity.  I think in most markets its probably a good call but act fast.  The entitlement process may push you into some rocky waters.  I would be conservative with leverage but overall....I am looking to do a similar project in addition to Spec Homes.

If assumption is the mother of all chaos...I can only imagine what ambiguity can do.  I concur with @Bill S. 100%.  

Hello Mark,

I have not utilized either program but I would recommend talking to Kymn Harp at

(312) 456-0378.  He is a world class dirt lawyer and I think either knows what you need or knows who knows.

TIF and EB5 seem like an intriguing combination but a lot of spinning plates as well.  I am one for higher velocity dirt ready projects at this point.  If it works the project will be a show stopper but the politics involved seem to involve a virtuous level of patience.

Look forward to hearing how the project proceeds. 

Take a look at making the yield by Sal Buscemi.  Great read and I think might give you a robust overview of the lender side.