Editorial Articles

Entity Funding – Investors and ...

Commercial property investors, and their unique cousin, the developer, often get to (or start at) a point where real estate investment halts without the infusion of additional risk capital. It’s that dynamic, at least partially, which creates the market that we serve. Typically, we do so by engaging on single projects with qualified operators to

What Free Optionality Brings to Real ...

I’ve come to understand that a principled commitment to some vital business concepts provides substantial leverage and a competitive edge. Optionality, and its special relative free optionality, is one such concept. Here, I endeavor to define the terms, bring them into relief with real world examples, and illustrate some applications of free optionality within real

New Strategic Focus And Implications ...

At times, there are changes in our great nation’s strategic planning that can have massive implications for the local economy that go largely unnoticed until they play out. At a recent economic forecast by the Institute of Real Estate Management, Terry Magee, a former senior officer of the United States Navy who subsequently held high

Metacognition: Key to Success in Real ...

After eighteen plus years in the real estate development and capital markets, I have seen both massive successes and failures on the part of real estate developers. As a person who has a degree in medieval history and has never lost a passion for historical studies (yes, I am a history nerd), I naturally developed

Affordable Housing: Good intentions But ...

With Fident’s relocation to a downtown San Diego office, I find myself driving by the high-rise affordable housing project Ten Fifty B every day. This 23-story, LEED Gold, concrete, glass, and steel tower is really something. The architecture is good and it offers some of the best views of the city, the Pacific, Balboa Park,

Maquiladoras: Subsidizing San Diego’s ...

At an estimated population of nearly five million, the San Diego-Tijuana MSA is one of the United States largest bi-national conurbations. Accounting for approximately 40% of the USA/Mexico border population, it is one of the nation’s most populous and productive cross-border partnerships. In 2014 the region generated an estimated GDP of $230 billion, stacking an additional

Finding an Advantage in Real Estate ...

The Setup A few years ago I read a comment describing how real estate, unlike the stock market, is built on asymmetry. Asymmetry in local expertise, operational knowledge by market or product type, access to capital, and sometimes pricing knowledge for assets (not just what was paid, but why). Arbitrage in financial markets has become

Construction Lending Has Slowed. What ...

Developers, like all entrepreneurs, are great problem solvers. Problems of all varieties occur, and while efficient access to accretive debt financing won’t rate as one of Donald Rumsfeld’s “unknown, unknowns,” the recent challenges associated with securing a construction loan have had, and will continue to have, significant impacts on the developer. What Happened? As we

San Diego’s Smart Growth ...

San Diego is known to many as America’s Finest City, beloved for its endless miles of scenic coastline, amazing weather, top-notch restaurants, and friendly, laid-back attitude. It’s become a top destination for both homebuyers and businesses, and the region’s population is expected to increase by about 33% by 2050. However, the already-strained infrastructure currently in

Learn. Bring Your Entrepreneurial ...

If you want to achieve, become a world-class learner. That’s the tweet-sized heart of this blog. I grew up in a loving home of modest means. Creating a better reality for my future self became something of a mandate. Like my mom’s best friend used to say, “Money doesn’t suck, the lack of money sucks.”