Neal is the CEO and Founder of UGro and Grocapitus, two prominent commercial real estate investment companies. Leveraging cutting-edge real estate analytics technology, Neal’s companies specialize in sourcing, acquiring, and building large commercial properties across the United States for a network of over 900 investors. With a current portfolio exceeding 4,800 units, Neal’s companies boast an Assets Under Management (AUM) value of over $1 billion upon completion. Known for his expertise in real estate data analytics, Neal has developed a strong following among data-driven investors, with over 10,000 participants completing his free Real Estate Data Analytics course on udemy.com, which has garnered over 1,000 five-star reviews.
Neal tackles the state of the economy and its impact on the real estate industry, specifically on the multifamily sector. He discusses the distress in the multifamily syndication market and the effect on the overall multifamily market status. Neil shares how to navigate the current situation and talks about public facilities corporations, tax-exempt entities, legislation on property taxes, and identifying reliable syndicators for future investments. He also touches on the effects of the economy on airline pilots, the benefits of recessions, the role of AI in the economy, the potential for job losses, interest rates, ultra-cheap BTR (built-to-rent) properties, and the influence of zoning laws and federal mandates on manufactured housing, among others.
Enjoy the show!
Show notes:
[0:00] Intro
[3:00] State of the economy and the real estate industry
[5:13] Why is multifamily in trouble?
[9:59] The multifamily syndication market is in distress, but the multifamily market is not
[11:58] It is a two-faced market
[16:40 What were the indicators that made Neal slow down
[18:25] How to move forward from this situation?
[23:08] Public facilities corporations, tax-exempt entities
[25:38] Legislation in Texas about property taxes
[26:29] Identifying syndicators to invest with in the upcoming market
[29:54] 2022 was a challenging year
[31:48] What does the current economy mean for an airline pilot?
[36:11] Why recessions are a good thing for the economy
[37:28] AI’s effect on the economy
[40:03] What’s exciting about AI?
[46:50] Possibility of job losses
[50:27] Why are interest rates going down?
[52:48] Rate hike cycle
[55:08] Ultra-cheap BTR
[58:55] Manufactured housing, zoning laws, and federal mandates and built-to-rent properties
[1:02:48] Location Magic
[1:05:39] Where to find Neal
[1:07:59] Grocapitus
[1:08:45] Outro
