In this episode of the Seek Go Create podcast, Jason Yarusi, a multifamily real estate investor and founder of Yarusi Holdings, provides valuable insights into the multifamily market and investment opportunities. Yarusi shares his experience and expertise, emphasizing the importance of self-discovery and aligning one's passions with their career path. He discusses the concept of finding one's why and overcoming fear to pursue personal growth and success. Yarusi also addresses common misconceptions about investing in real estate, encouraging listeners to take informed action rather than waiting for the perfect time. He offers valuable advice for passive investors interested in the multifamily sector, explaining the long-term commitment required and the importance of aligning investments with specific goals. Overall, this conversation offers valuable insights into the multifamily real estate market and inspires listeners to embrace personal growth and pursue a life aligned with their purpose.

"Seek what you want, go after what you need, and then create the outcome." - Jason Yarusi

Access all show and episode resources HERE

About Our Guest:

Jason Yarusi is a real estate whiz and proficient syndicator. Known for his collaborative work with the love of his life, Pili, Jason has lent his expertise to the formation of Yarusi Holdings. From humble beginnings, they've triumphantly grown their portfolio to an impressive count of over 2000 units since 2016. Chatting casually amid juggling responsibilities of a $300 million commercial real estate portfolio and a bustling household, Jason seamlessly integrates his roles as a devoted husband, father of three and philanthropist in all his ventures.

Reasons to Listen:

• Delve into cunning strategies that can shape your real estate investment journey.
• Learn about assembling a rock-solid team and its overall contribution towards real estate success.
• Understand how constantly reassessing and remodelling your goals can lead to long-term accomplishments.
• Gain insight into mitigating fear and embracing calculated risk-taking in the scope of real estate.
• Gauge the distinctive advantages and vast opportunities in the multifamily real estate spectrum.

Episode Highlights:

00:00:00 - Starting with Two and Three Families,

Jason and his wife started investing in two and three-family homes instead of single-family homes, which worked well but was not scalable. They began looking for other options.

00:03:09 - Transitioning to Commercial Real Estate,

After helping Jason's father with his construction business, they realized they needed a way to regain control of their time. They started flipping homes and doing small rentals before discovering the potential of large multifamily buildings.

00:06:52 - Investing in Louisville, Kentucky,

Jason and his wife focused on the Louisville market, where they found B and C grade garden-style buildings with a high demand for workforce housing. They built a team in the area and purchased several hundred units.

00:09:38 - Relocating to Tennessee,

In 2020, Jason and his wife decided to leave New Jersey and moved to Murfreesboro, Tennessee. COVID-19 accelerated their timeline, and they saw it as an opportunity to explore new markets and have a fresh start.

00:10:06 - Making Change and Taking Action,

Sometimes external circumstances like COVID-19 give us the permission and motivation to make important changes. Jason emphasizes the importance of taking action and not just having a plan.

00:11:32 - Setting New Goals,

Jason discusses the importance of setting new goals that will benefit his family as they grow. He reflects on his past goal-setting strategies and how they have evolved over time.

00:12:35 - The Importance of Taking Action,

Jason and Tim discuss the importance of taking action and not just setting goals for the future. They highlight the Nike advertisement that emphasizes the need to take action today instead of pushing things off until tomorrow.

00:14:11 - Breaking Habits and Overcoming Fear,

Jason talks about the difficulty of breaking habits and the fear that often prevents people from trying new things. He encourages listeners to bet on themselves and take risks, reminding them that failure is a necessary part of growth.

00:17:12 - Redefining Success,

Tim and Jason discuss the concept of redefining success throughout different stages of life. They reflect on how their own definitions of success have evolved over time and how external events can often force us to reassess our goals.

00:18:20 - Lessons Learned from Challenges,

Jason shares personal stories of challenges he has faced, including working with family and a life-threatening accident. He highlights how these challenges have taught him valuable lessons and shaped his journey towards success.

00:22:37 - Growing Up in a Quiet Family,

Jason shares that his family was very quiet and peaceful, unlike the chaotic dinner scenes in Saturday Night Fever. This influenced his decision not to join the family business at a young age.

00:23:37 - Making the Choice to Help,

Jason and his brother made the decision to join their father's business to provide support. Despite not having much knowledge about construction, they were determined to figure things out and overcome the challenges they faced.

00:24:29 - Appreciating the Tough Times,

Jason reflects on how the tough times they experienced while working in the family business helped them appreciate their current success. He emphasizes the importance of facing challenges head-on and finding a way out.

00:25:31 - Skills and Lessons from the Restaurant Industry,

Jason discusses how his experience in the restaurant industry taught him valuable skills in optimizing businesses and understanding people. He emphasizes the importance of working as a team and making decisions that benefit the entire team, rather than just oneself.

00:32:07 - Importance of Teamwork in Real Estate,

Jason highlights the significance of teamwork in real estate, particularly in multifamily syndications. He explains how relying on a team and empowering others can lead to success and growth in the business. He contrasts this with the individualistic approach often seen in single-family home investments.

00:34:52 - Impact and Empowerment,

Jason discusses the importance of having an impact on others to make a bigger impact overall. He shares an example of empowering a contractor to make a decision that led to the desired result. By giving people the opportunity to contribute and empowering them, they can achieve greater outcomes.

00:36:34 - Problem Solving and Goal Achievement,

Jason emphasizes the importance of helping others see the next step towards achieving a goal. He explains that goals are not accomplished in one leap, but through a series of steps. By helping others overcome obstacles and guiding them towards the next step, they can make progress and achieve bigger outcomes.

00:39:39 - Multifamily Real Estate,

Jason differentiates between residential and commercial properties in real estate. He explains that single-family homes have one tenant and one income stream, while multifamily properties can have multiple units and income streams, leading to greater profitability. He also discusses the benefits of investing in larger properties and how syndication allows investors to participate in these opportunities.

00:42:37 - Barriers to Multifamily Investing,

Jason addresses the perceived barriers to multifamily investing, including the perception that it is bigger and scarier than single-family investing. He highlights the housing shortage and the increasing demand for affordable housing, which creates opportunities for investors in the multifamily space.

00:45:18 - Multifamily vs Single Family,

Jason explains the current dynamics of the real estate market and compares the single family and multifamily housing markets.

00:46:57 - The Current Real Estate Market,

The guest discusses the current state of the real estate market, mentioning that while it may be hard to find money, it is easier to find deals. The guest also emphasizes the importance of understanding specific market conditions and trends when making investment decisions.

00:47:48 - Market Variations and Recessions,

The guest explains that recessions impact different markets at different times and highlights the importance of considering factors like job growth and population influx when evaluating a market's resilience to a recession.

00:48:22 - Evaluating Market Impact,

The guest discusses the impact of new developments in certain areas of Nashville and emphasizes the need to assess how these developments will affect the local market. He also mentions the unpredictability of interest rates and advises making decisions based on current conditions.

00:50:01 - Investing in Challenging Markets,

The guest addresses the perception of certain markets being challenging to invest in, using New York City and California as examples. He suggests that while these markets may have their own challenges, they still offer opportunities for investors who understand the market dynamics.

00:52:30 - Taking Action in Real Estate,

The guest encourages listeners to take action in real estate investing and emphasizes that there is never a perfect time to start. He advises against waiting for market fluctuations and instead urges investors to gain knowledge and make informed decisions based on their goals.

00:58:05 - Conclusion,

Tim Winders reminds listeners about the new episodes released every Monday on YouTube and podcast platforms, and encourages them to continue being true to themselves.

Key Lessons:

1. Embrace Failure: Failure is not something to be feared, but rather a necessary part of growth and learning. Embrace failure as an opportunity to learn and improve.

2. Break Ingrained Habits: Breaking ingrained habits can be difficult, but it is necessary for personal growth. Look for opportunities to step out of your comfort zone and take risks to push yourself forward.

3. Face Challenges: Facing challenges head-on is essential for personal growth. Embrace difficult situations and use them as opportunities for growth and self-improvement.

4. Align Decisions with Personal Growth: Make decisions in various aspects of life, such as family, finance, fitness, and faith, that align with your personal growth and goals.

5. Systematic Approach to Business: Have a clear and systematic approach to business. Build teams that align with your goals, understand and empower people, and delegate tasks to push the business plan forward.

6. Multifamily Properties Offer Diversification and Cash Flow: Investing in larger multifamily properties provides diversification and higher cash flow potential compared to single-family homes. Consider investing in larger properties to maximize returns.

7. Empower Others: Delegate and empower others to make decisions in your business. By giving people the opportunity to solve problems and asking the right questions, they will find the right result.

8. Analyze Specific Markets: Analyze specific markets and their potential for economic recovery. Consider factors like population growth, job opportunities, and the demand for housing.

9. Multifamily Properties Outperform Other Asset Classes: Multifamily properties have historically outperformed other asset classes like stocks, bonds, office buildings, retail, and storage. Consider investing in multifamily properties for long-term growth and stability.

10. Prioritize What Truly Matters: Reflect on what truly matters in life and prioritize accordingly. Make decisions that align with your values and long-term goals.

These lessons offer valuable insights into personal growth, real estate investing, and making impactful decisions for both personal and professional success.

Resources & Action Steps:

• Visit the website of Yarusi Holdings to learn more about their real estate syndication and investment services.
• Check out the training programs offered by Yarusi Holdings to gain knowledge and insights into multi-family investing.
• Listen to Jason's Podcast - The Multifamily Live Podcast which provides actionable content and tools to build and strengthen your multifamily business.
• Consider investing in Yarusi Holdings' multi-family real estate projects to diversify your investment portfolio and potentially earn passive income.
• Explore the possibility of joining a private fund managed by Yarusi Holdings to participate in commercial real estate opportunities.
• Connect with Jason Yarusi on social media platforms like LinkedIn to stay updated on his latest insights and real estate ventures.
• Take action and don't wait for the perfect time to start your real estate journey, as time is a limited resource and waiting may only delay your progress.

Thank you for listening to Seek Go Create!

Our podcast is dedicated to empowering Christian leaders, entrepreneurs, and individuals looking to redefine success in their personal and professional lives. Through in-depth interviews, personal anecdotes, and expert advice, we offer valuable insights and actionable strategies for achieving your goals and living a life of purpose and fulfillment.

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Additionally, please share this episode or what you’ve learned today with your friends, family, and colleagues on your favorite social media platform. By sharing our podcast, you can help us reach more people who are looking to align their faith with their work and lead with purpose.

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Thank you for listening to Seek Go Create!

So instead of buying single family homes, we started buying

two families and three families.

And that really worked.

However it worked, except the point, it wasn't largely scalable, right?

You having a, a bunch 50 duplexes around town, it just seemed

like a logistical nightmare.

So we were buying a couple of them.

We just kept asking that question, what else is there?

Hello everyone.

Welcome to Seek Go Create Tim Winders your host here.

This is gonna be a great day.

I get to talk real estate and business and some fun things, related to that.

This is the place where we challenge conventional definitions of success

and explore stories of transformation related leadership, business and

ministry and think we're gonna be heavy in business and real estate today.

So we have the pleasure of interviewing Jason Yarusi, their

real estate syndicator and investor.

He works with his wife, Pili, and they're the founder of Yarusi Holdings currently.

They're a multi investment firm and they've acquired, I think

these are the numbers that I've got over 2000 units since 2016.

So a lot going on there.

They've got a strategic approach we're gonna talk about.

They've got some training that they do.

There's a lot of cool things that we're gonna discuss.

Jason, welcome to Seek, Go Create.

Thank you.

Excited to be here.

I'm excited that you're here too, Jason.

Let's, let's get started.

Pretend we meet and have just met, and I ask you what you do, what do you

tell people when they ask what you do?

for most importantly Father of three and husband.

And that stands paramount because everything leads to that decision.

But I'm a private fund manager for over just about 300 million

of commercial real estate.

I love the father and I'm with you.

I like to kinda give the, the foundational things, of who I am spiritually, and

now I'm a grandfather too, by the way, so that I add that in and that's the

coolest job ever, just so you know.

tell me a little bit about the family before we get rolling, because

I'm going to really dig into the private fund manager and things.

And so I want the listener to know that we're gonna do a deep dive into

multifamily investing and really do some 1 0 1 and maybe even a little more advanced

here because most folks know I've got a little bit of a background in real estate.

So I love talking it and seeing how it fits in with the economy

and how it fits in with us.

Us.

But, tell me about the, tell me about the kids and, and

Pili and the wife and all that.

I've had a very non-traditional path

to where we stand today.

However, one thing that's been paramount is, is my wife Pili, right?

We met in 2003.

It took me about a decade to get her to look my way before we became a

couple, as so the easiest route forward.

And on that point, we were each making our own decisions, some good

and some bad, but we found our way.

And with that, we started going in a direction that was

serving to us at that time.

And we decided a moment that, Pili got pregnant with our first kiddo.

And, uh, we have three now, eight, six, and four, Luke, Lily and Leo.

And that started to set the stage of a lot of the genesis, what led

us into commercial real estate.

We were looking for a way to really get back and control our day.

And many go through a day with a day controlling them, and then they

get to the end of the day and say, oh, I'm never gonna do this again.

Just to, and they wake up, they find themself in traffic the next day rushing

out the door, not prepared, right?

And that's the evolution.

You look back a decade or two from now and you say, man, what just happened?

And we had that in our mind that everything we were doing was transactional

basis, I had open restaurants, I had opened, I had sold a brewery,

I had an open bars, I had run bars.

I had done a number of different things.

And then Hurricane Sandy happened on the East coast, decimated East Coast.

My dad had just retired, but he had this very unique business

that lips and move homes, right?

So you think about that, no, most people don't know it until all of

a sudden it's flooding everywhere.

And then they do know it.

However, he would do 6, 8, 10 projects a year, right?

Maybe for foundation issues or just moving something for historical

reasons, or setback issues and flooding.

So his business goes from, a couple calls a month to a

thousand calls a day every day.

Just him, my mom, a couple employees and my brother n Pili working with me and for

me in the city here and myself, we said, okay, this is a very interesting time.

Let's go help dad.

So we basically picked up, moved outta New York City, moved over to New Jersey,

and spent the next couple years really.

Helping dad.

We did about almost 3000 projects.

it was very crazy and very busy.

So you're looking at that six to eight to 3000.

it was quite a jump in, in just what we were doing.

However, the business itself, why it was very helpful and very solved.

A lot of problems for people trying to get them back in their homes.

Here it's, it was very risky, right?

you're lifting a home, right?

There's a ton of things that could always go wrong.

So there wasn't something you could scale and put other people in and

say, Hey, go try this outcome.

Do this right?

Because you're really, they say in the industry, you're about a

25 cent fitting from destruction.

And that's just the truth.

So it was highly involved to the point that everybody had to be active.

And with this, bringing a family in, I'd seen my dad work very hard

his whole life and really, if you have something at a point, the

job needs to take till midnight.

from a safety reason, you gotta take till midnight, right?

So the day was driving you and so we had just come off.

Really a restaurant where you're working for tips, you're always wor,

you're always a point of transactions.

The point of what can we do to chart start really with the journey

to get back some of our time.

So we thought we did what was logical.

Pili pregnant, went and got a real estate license.

We started flipping homes and new these old big projects and we found we're still

helping dad in the construction business.

Lo and behold, we start having less time, right?

We're so busy, we're doing all these things.

We're gonna run Home Depot.

You're just doing thing after thing to get to that next stage.

And we said, okay, this is doing good, but it's not really

meeting all the needs right now.

We're into that format two years down the road, Pili now having our second child.

She meets someone at a real estate event who's doing rentals out of state.

And that was that kind of light bulb, oh that's interesting, right?

Because we have had a big managerial background.

We've done a lot of things putting together teams and.

We could keep ourself involved.

It's like a thousand miles away.

I couldn't drive out there.

If I needed something from Home Depot, I had to solve the problem.

So instead of buying single family homes, we started buying

two families and three families.

And that really worked.

However it worked, except the point, it wasn't largely scalable, right?

You having a, a bunch 50 duplexes around town, it just seemed

like a logistical nightmare.

So we were buying a couple of them.

We just kept asking that question, what else is there?

And I was listening to a great podcast, just like this came upon someone buying

large multifamily, and that was that light bulb where I was like, man, I

didn't even know that was an option.

I didn't even just understand it.

So we started really unpacking that.

That was the full circle of everything we were looking for all together.

But it was just that question of, seek what you want, go after what you

need, and then create the outcome.

Found people doing it.

How are you doing this?

Followed their model, used something called syndication where we basically

pulled resources from investors and brought our first building a 94 unit, just

right at through 2016, right into 2017.

And that was the evolution to we're coming on the upside, actually,

again, ourselves almost to about 3000 units that we've purchased today.

Wow.

That's good.

and you, that's a great job of giving a synopsis of the timeline and the story.

So really the, the multifamily aspect of your career started in 16 ish.

Is that about right?

Yeah.

If you include the small ones, 2000 late 14 into 15, however, that was us

understanding that and then saying this really works and trying to say, okay,

like how do you, can you do this bigger?

And I know you mentioned, you were in Jersey,

but aren't you Nashville now?

Did you go to another market?

So we first started out, we actually didn't buy our

rentals even around New Jersey, right?

It was all the flips and all the other activity, wholesales, Airbnbs, all there.

We ended up, our first rentals were in Indiana.

Then we sold those off and we started picturing.

Just learning how to really dive in the markets.

And so we came upon Louisville, Kentucky.

My sister was the only family member who lived outta state.

She lived in Louisville, right?

And she had been there 10 plus years.

And like we knew the market and we started understanding what were all the drivers

that bring people to the market, right?

So from a job side, you have, u p s, ge, Humana, Churchill Downs, the Yum Center.

you have of course, it's been a minute, Amazon facility.

All these different reasons why workforce housing and continue to

resist, continue to consist there.

we invested just in a certain region, the south side and the south

central submarkets, a lot of B and C garden style buildings, right?

That you can't really replace today.

They had no new inventory coming on, very low vacancy in the area.

And we really focused on building a team just in that area.

So we didn't go shotgun approach.

We just said, okay, we're gonna focus in that area.

So we stayed there.

Almost two and a half years.

Brought a couple, maybe four or 500 units there before we

started going into other markets.

So we were still in New Jersey at that time.

We started now really understanding our model, building out our business

plan, having proof of concept, and then now replicating that in other markets.

And then in, right at the end of 2020, we ended up deciding that

we were gonna leave New Jersey and just try somewhere else out, right?

there's a ton of the world out there, let's go see what's out.

Plus with, the kids, they're still young and they're in their schooling, but

then really with Covid, they're kind of there, kind of not, they didn't,

they didn't know what we were doing.

We didn't know what we were doing.

It was the perfect time.

So we looked at a bunch of markets.

We had just brought a 93 unit here in Murfreesboro, Tennessee, where we are

today, and we're like, let's just go.

Pili my wife, she'd never even been in Tennessee.

I of course have been there because of our property.

So I was like, worst that happens.

We moved back.

Just move somewhere else.

that was our, really our downfall.

So we moved here.

It's been tremendous.

It's been fantastic.

So we love it, and that's been a carry forward to where we stand today.

Yeah, I think there seems like a lot of people that,

in that 2020 timeframe made some, it's not even drastic to me.

Remember, I'm a guy that's been a nomad for 10 years.

So as moving around is not a big deal.

But, with the covid thing, it's like, you know what, this seems like

a good time to make a shift, pivot, change, whatever word you want to use.

And, I, I think sometimes we need a nudge like that.

do you think y'all would've moved had it not been for something like Covid?

we would've, cuz we said we're gonna move.

However, it accelerated that timeline and it makes, it you, most of us make change.

We need permission and that's the hardest thing to get.

And sometimes we have to find ourself up.

Many times there's something outside of us that garners us the permission

to do it, whether good or bad.

And on that part, You use that permission, right?

But you have to really act in that.

So we had the plan right where we would be today, cuz we're two years

from where that plan is, right?

But many times we forecast these plans out with the point, like, I, I

was sitting there in the barber the other day and the guy's I'm gonna

start a business in five years.

He's talking to the barber, right?

And he is like in five years, right?

he's I got, kids are teenager, young kids.

I just want him to get a little bit older and I'll start it.

And my mind is thinking like it do, you don't get more time

back in five years, right?

And ideally it gets harder and harder.

Like the guy look to be like close, maybe like in his forties,

mid forties to fifties like that.

You're just gonna have less and less energy.

although you can set up these plans for the future, really,

they're gonna evolve so much.

To tell you, a decade ago, I'm doing what I am today.

I'd be like, I don't even know what you're talking about.

I'm in the, I'm in the restaurant, I'm in this world, I'm over here.

I don't even hear you.

So me setting these future plans, I keep myself on the direction.

But you're gonna pivot.

You're gonna pivot accordingly for things that one may just

happen, or just life events.

But two, your goals change, right?

We set goals that are sometimes we think is where our vision goes.

However, the goal becomes, or at least our, we'll say our light, right?

Our lighthouse for where we're heading.

However, we'll be like, okay, I see I'm on that path.

I, those goals are fine now, but I have new goals, I have bigger goals,

I have more goals that are gonna benefit now, my kids as they grow.

And that's really how I continue to look forward at where we're going here,

is that I can think of where I want to be in the future, but if I was to use

that mentality five years ago, I, it wouldn't have gotten me to the decisions

that have made us to where we are today.

I've kind of come to this realization and I look back on life.

I turned 60 here in a couple months, so maybe I'm considering and looking

at things in a different way cuz I've always been hard charger type A I find

myself relaxing a little bit more, which I think is a good thing, by the way.

I think I've needed that.

But I think back to some of the goal setting that I did, I.

In, 90 or 88 when I came outta Georgia Tech.

and if I were to read it, it was like 21 pages and it's

I'm gonna do this, and this.

And it was highly controlled, highly, a little bit maniacal, truthfully.

And so I've actually loosened a little bit, but I wanna circle

back to your barber because I think there's a good learning tip there.

I think what you and I are picking up on from the five year thing, cuz some

people say what's wrong with having a goal of five years from now is because five

years for him and for many people, it's so far in the future, it doesn't cause

him to do anything activity-wise today.

Would that, is that what you're, is that what you're referring to?

so spot on.

I actually saw a Nike advertisement, right?

Nike doesn't sell shoes.

They sell the emotion, right?

and then the Nike advertisements said yesterday.

You said today.

And we always will say something about the future of where it is.

However, when it comes, we say tomorrow, right?

I'm sure, myself included, we've said, you know what?

I'll do it tomorrow and then tomorrow never comes.

And then here we are a decade later, man, being like, I'm just not happy where I am.

And you've been telling yourself to do something here, and you get

more stuck in your ways right now.

It, like you said, it is, it's easy to push off these things

and say something in the future.

Cause there's no real downside to it, right?

I'm saying this thing and sounds good on paper, right?

But there's no activity.

However, the lessons come from trying, right?

failure has to happen.

Or, we wouldn't be standing here talking, we wouldn't be standing

here walking like nothing.

Nothing would've happened in our life without failure.

But the more ingrained we get, right?

I think, what is it?

It's, the kids are, they're born scared of like loud noises, right?

and like the fear of falling or something like that.

But that's it.

Like everything else is learned, right?

A learned behavior.

So as you go forward through life, we learned all these reasons

that we shouldn't do something.

But most of it is just either the people we surround ourselves with

or just the energy we take in.

And that starts setting a stage for where we are.

It just hard to break those habits.

Compared to the condition of the time.

I look at my grandma and she just wants to stay where she, but she

went through the Great Depression.

She went through all these things, right?

Like for her to say, grandma, let's go try.

she has been in survival mode for a long time, right?

And that was just how she grew through apart, nothing, six kids.

just and then she had a rage, five daughters including my mom, right?

Who without a husband who was killed in war, right?

She's been in that mode for the whole time.

So if I say, my grandma tell you, I got a great idea, she could go try

this real big of she can comprehend two different sides of the story, right?

So we have to say, the harder and the longer we go into this part, the

harder it is to break our habits.

But that's really the first part.

If you don't like where you're going, doing the same thing is not gonna

curate some different result tomorrow.

And so you have to say, okay, I can break something today and

what's the worst thing happens?

You just.

Stop it and go back to do what you're doing.

Like usually the downfall is, we assume the downfall is us stepping out of a 10

story building, but most of the time it's just stepping off the curb Like we're

trying something, we're not, there's not some big jump here and everybody's

gonna, our family's gonna disown us.

It's I'm gonna step off the curb right oh, I'm gonna, I'm gonna go do my own thing

In business, you quit your job, what's the worst happens You go get another job.

like it, there's a lot of that out there that you can look at the future

and set the stage where you want to go, but you have to bet on yourself first.

Yeah.

I love that term bet on yourself.

I want people to remember that bet on yourself.

But I wanna tie a couple things together that I heard while you were just,

talking about that, and I love when we could bring grandma stories into,

seek go create, because those are the lessons that we all should learn from.

But I, here's what I heard when you were saying that we all have our own journey.

Everybody's going through this journey.

And Jason, one of the things we do here is we don't shy away.

In fact, we even lean into our tagline, which is redefining success.

Because my guess is if I did a interview with you 10 years ago and we discussed

success, we would've had a, I'm sure your personality and some things would

be similar, but there would be some.

Different results type things related to success.

And then if we went back to 2003 before you even met Pili, it would've

been even different then because you wouldn't probably me mentioning kids

or wife or any of that kind of stuff.

So I do think that we have to kinda redefine success as we go.

And I've got this theory, so I'm just gonna kinda mention

it and then you could respond.

I think that some people sit down and they literally can define what

that success is gonna look like.

I'm going to, in 2016, start a real estate company and then, five years

later we're gonna have 3000 units, we're gonna be moving to Nashville, et cetera.

I'm being a little bit snarky with that.

You could probably tell, but then I also think that there are times that

external events, sometimes catalytic events, sometimes they really

force us to make course corrections or redefine what success means.

Now when I bring that up, I really love some stories.

Are there any of any times you could think back on, and you've worked

with family, you've gone through things that you've had to go through.

A Ooh, I'm being read.

My success is being redefined right now.

Now sometimes we don't know it till later.

I'm that way.

I didn't recognize it till five years later I say, Ooh, this is where, from my

spiritual standpoint, God was moving me into direction, but I was fighting it.

But now, man, I'm excited about it.

So anything come to mind when I bring that up?

Y a lot because what builds you today really is

the challenges you face, right?

If you've gotten to the point you've had no challenges, you're probably

not going to where you want to be.

Or there's more that you're meant to accomplish, right?

So I can speak to anything like a family business is not for a faint of heart.

You put a bunch of Italians in the same room, right?

It's even less.

And my dad had been a solo shop for many years to come in there and say, Hey,

we could just do this easier, right?

Had do this easier in this way.

Way.

It's hey, you just keep trying to walk through the wall.

We just use the door.

But we're still, because we've done it so long, we're still

walking through the wall.

And so we had, a very tur part.

And there's probably, when I was in high school to college, probably

a decade, my dad like didn't see him and he didn't talk to me.

And it was just his point.

And what evolved is, it's hard to see that lesson to see where he didn't, it wasn't

like he hated him or any, it was just, He was trying to do something that was

very difficult and he, that's his moment.

He was trying to figure it out because I'm at that same age now where I'm that

same side the side with kids and just, it helps teach me a lesson that like

the kids are there, they're evolved, they're around, they understand that,

They understand, they feel it too.

So fast forward, we had a very tough time working together.

We were all there for the common goal and everybody meant for the same thing.

And it was just continued to be very difficult.

And we actually helped my dad to get to retire, which we thought would never

come based on what he was doing there.

And now, over the course of last year, it was just like, yeah, my dad, not

emotional, he gave a hug the other day when he came to visit the kids.

And just it was like, very.

Very shocking moment, right?

It was just something that like, just never been part of it, right?

I come from the other side, purely huge family, hundreds of family members.

I just, you go to a wide there's and very like the family gets together

and I wasn't really in that, right?

So having that come full circle has been a great surprise.

But it was a lesson learned about the path we were both on, right?

Because you can be on side by side path, heading in the right

direction, but sometimes you're all flying until you connect, right?

And it serves a lot to even where I was in, in New York City, right?

I was working at a very popular busy bar, right?

I was running the bars, doing a lot of things and I'm just not happy.

So I was very angry in this part here and just my place cuz it, but it's sometimes

when you're in a difficult moment.

You get more and more angry cuz you don't know how exactly how to get out.

But the get out is really just stop doing.

And so that point here was, yeah, I was at three, four in the

morning riding home on my bike.

I didn't go the way with the friends cause I was just like, whatever.

I was like just angry at the moment, right?

You find out why, who knows, right?

Don't remember why.

But at that moment, riding across New York City, over hit right on Second Avenue.

I'm all the way on the West Side highway if anybody knows there.

So about 10 avenues that I've driven over, hit it hard, it's in the dark.

All lo and behold, these lights come on, carves out, takes me, I flip on

the hood of the car, I go flying.

Next thing you know it's dark and I just wake up.

Some kids are yelling and I think French pull me outta the road.

I, my, my arms outta my socket, all these different things.

And that car ends up driving off and, save me from that traffic.

But it was that moment, it was like in, I gotta do something right?

And it was that moment because as quick as it comes, as quick as it

goes, And not to say it, my biggest driver was that I need to get back to

work because that's how I make money.

I had rent coming up.

And so you look at that point, I find myself with a cast and these other things,

I'm back in this crazy bar, working in this crazy bar two days later, right?

All cast up after this like cat equipment event.

However, it gave me that first thing, like pause.

And sometimes, and I'm not to say you have to go through that event to get

to a pause, but we get so stuck in our day managing from a restaurant, like

you're carrying all these plates, right?

But you find out you're carrying all these plates and and only three

of 'em have food on it, right?

and that's where you need to part and what's the worst that happens?

okay, you have to think about these plates I'm carrying, right?

what happens if I just drop 'em all?

you're gonna find out what's most important, so today to talk to

today, like we're in summer now, but say the kids are at school, right?

I gotta pick 'em up from school.

So if I had all these plates and I just drop not picking up the

kids from school, there's gonna be something of a consequence, right?

But on the other side, right?

If things get delayed and I can't call and say hi to my buddy, I can drop that

for today cuz it was more important I get to, I have to get to the kids, right?

Because that's paramount.

And when we look at our decisions, we think every decision is on

that same plane of importance.

But most of the time there's really two or three that have

to happen and the rest can fall.

And if you can make sure those two or three decisions are helping you, whether

it's, something driving you forward.

So think of any level, right?

Family, finances, fitness, faith, you can put it wherever you want to be

that is gonna help you understand how to be your better version of yourself.

the neat thing about that is that we don't wish for events like,

being on a bike, getting hit by a car, but yet, 20 years later or however many

years later, you're on a podcast, some guy in an RV's asking you questions.

That's one of the things you draw from

Sure.

that has given you the catalyst or decision making skill,

whatever, to be where you are today.

And I think that's the cool.

Serendipities of life.

I don't even know if that's the right term, but, and when you brought up,

when you mentioned growing up in an Italian family and being in business

together, being in a construction business together, the first thought that I had,

the thought, and you mentioned y'all were, not probably peaceful and quiet.

My dad was a very quiet man.

We grew up in the south and we would like just sit around very quiet.

I envisioned the scene from Saturday Night Fever where Tony, I think is

sitting at the dinner table with a cloth around him and he's got his hair fixed

up to go to the disco, and it is just like an all out war at the dinner table.

So that wasn't your family, was it?

That wasn't the way y'all worked.

family businesses and if you are thinking about working with

friends and family, is that, especially if you say you've worked in maybe a nine

to five or some kind of W two chop, I.

There's, it's a very difficult thing to not bring work home, esp.

And if you work from home, it's another thing.

But in, and in other part, if your partner is your wife or your

friend, it's hard to have that break cuz it's not a clean divide.

I don't like clock out at five and go home.

So it, it's never easy.

And I would see it, most of why I didn't help and go into the business when I

was young was just for that reason.

it just came back and just the feeling, the experience wasn't welcoming

or something to be involved with.

And however we made the choice, my brother was working for me, he's a

decade younger than me in the city.

We were doing kinds of like really busy cool things and fun things at the time.

And we were like, We gotta go help dad.

And that was just a choice we made.

And we just dropped.

Just said, Hey, listen, thank you everyone, we're here to support.

Just moved out there.

Not to say that I, my brother's very knowledgeable in the construction space.

he can do all kinds.

He's moved 500 ton buildings like he is out there.

I would do really the office, the sales side to say that I knew anything,

what I was coming into, right?

And I, I didn't, but I knew we're gonna go help.

And then that kind of gave us the empowerment to say, okay, we'll figure

this out and everything will be okay.

And it was tough for the time, but when you look back, those tough times are

what you need for when you need them.

It just, you have to find your way out of them that can get

you to where you want to be.

And sometimes those tough times help us appreciate

where we're at right now.

Also, I wanna ask, I wanna transition and start, discussing some

multifamily, some real estate things.

But I wanna transition with this question because I, someone might

be listening in here going, oh, restaurant business, the family

business that had some construction.

Now we're doing multifamily, we're doing fund management, things like that.

Those seem to not mesh well, however, Because I work with leadership

teams, executives, and all that.

What I found is that things fit together for reasons.

And so what I'd love to ask as we move into the real estate discussion is what

are some of the skills, lessons learned, tips, things you bring, we brought forward

from the restaurant indu industry, which is very unique and odd industry in itself.

That was a very niche specific industry that your dad and your

family was in and then bringing it in.

Now to, you're dealing with investors, you're teaching training people,

you're working with multifamily.

What are some skill sets that you brought forward or that was

healthy for you to bring forward?

and that, that's a fantastic question, Because, and

when you frame it like that, right?

it was over the evolution of over two decades to get to that stage, right?

I had a finance degree, funny enough, outta school.

I chose to go into the arts from there into restaurants and bars, right?

However, you'll learn how to optimize businesses, right?

I learned very quickly.

I had a 12 seat restaurant, and the outside bar you get have

5,000 people on a Saturday, right?

However, it's the same model.

Same thing, people are gonna show up.

You have to give 'em good service.

You have to meet supply and demand, right?

You have to have balance of what's going to be something of

a driver to keep people there.

So you have to market accordingly, right?

However, on the small restaurant dinner's only five to eight, five

to seven, six to eight, right?

So there's only so many times I'm gonna turn 12 seats with the

other side of it right there.

Potentially there's more risk by still have the same building and the

same fixed assets, the same cost, and I can have the opportunity to grow

into the space or really maximize the value and it can turn a lot more

tickets and do a lot more revenue.

So that led us a lot into what we look for construction.

We really we're setting, set the stage is that to get to the volume

of doing six to eight deals a year and where my dad was doing the

start to doing hundreds in a year.

From that part, we had to get very, even with the battles, internal

battles, we had to get very efficient with the model and really optimize

teams to be able to do that.

And as we transition into the real estate spaces, that same thing, right?

You have to have a way that you can work in a systematic way where

it can be clean and clear based on what you're going after, right?

our Louisville, right?

We did this apartment buildings, so 75 to 150 units BC assets, right?

Garden style apartment buildings built between 1970 and 2010, anywhere between

about three and $7 million on a purchase price in the south side of Louisville.

That's all we did for the first couple years.

That was it.

That was our business model.

We're still in similar business models, just really in a different spaces now,

but we got very clear on our approach.

So we could be systematic with how we could evolve, where we had to

look at that and say, okay, if that's our approach, is there two of these

buildings or is thousands of these?

There was dozens, hundreds of these buildings there in those areas.

So we were able to grow into that space, and then we were able to

build teams both internally, right?

Who knew our message, and from the external property managers,

brokers, bankers, right?

That we knew fit that model.

So we were under able to understand that.

But on the other part is say, what can you take away from a beneficial stage is

that sometimes if you're in one spot, you just talk to like kind people to yourself.

And I have worked with, worked for and owned restaurants and had employees.

Of every different landscape, every different nationality in

the restaurant, every different language, every different skill set,

every different education level.

So you start to understand just really the people's ability of how

to empower them in the right way.

And then also understand how to talk to people efficiently where

it can benefit on both parties.

And if you're on with common goal, right?

Lots of times you're just making sure we're all in the right seat, right?

As we hear a lot out there to get to that goal and putting people around you.

So that's really helped me understand people where I would be making

decisions that in the past, as I was growing to this, that I knew

was right, but for me, right?

So I knew this was restaurant, but I know how to do this right?

And have to learn how to make decisions for the team where the team can be

empowered to help the path forward.

And if I'm out there doing a hundred percent of the things, And

because I know I can do 'em best, and you hear this a lot, is that

there's a hundred things to do.

I get six done, there's 94 that are at zero.

But if I can empower a team together, even if they get 'em done at a seven

or eight or nine, as long as they're not crucial tasks here, but there's

something that will push the business plan forward that is beneficial overall

to you and other success around you.

I love, there's a theme I've been picking up on you, you talk

team quite a bit and as you were just saying that, I was sitting here thinking,

number one, in a restaurant business, you are never gonna be a solo person.

maybe, but it's very rare.

where we're at here up in South Dakota now, there'll be

a few food trucks that show up.

It's rare that there's just one person in a food truck.

There's usually a couple of people even in food trucks,

cuz you just need extra people.

So you're forced to it.

And then I had this thought, I'll bring this up and then

we're gonna keep moving along.

Is that there was never gonna be a time when you were working with your

dad that you were the guy in charge.

Am I correct?

You know what it is?

Is that.

Definitely correct.

I ran and made all decisions.

They did the work.

However, it was just gonna drive down that my dad had his

vision of where he was going.

Just like I said, back to my grandma, is that he would do it, either

it was in part, but he knew best.

And sometimes it worked and sometimes it didn't.

However, this is how he had done it.

And for us to come in there and say, don't do it that way.

It could be an, you could take it as anyway, an insult or other,

but it was a hard envisionment.

But on the other side of it, he, a very unique business.

And here's where we had to be careful on our analysis, is that he had over

almost five decades of experience dealing with very unique things.

These were not, we would deal with brick homes, concrete homes, stucco

homes, wood frame homes built in the 17 hundreds, homes built in, yesterday.

All different building styles, all depart.

And no one would know it better.

The engineers would have issues.

They'd be calling my dad because of just unique space.

And one day to the next we could be on such a unique product.

And one day we're moving a house, say we're moving, we were

moving a missal at one point.

It was like just like very things outside the box that if I was just looking

the outside, like it's impossible.

And my dad would notice solution even if it didn't make logical sense.

And where we would win is that, no, I was never gonna lead the pack.

Cuz that knowledge, it's very hard to take in, especially

in today with the where it is.

And there's nothing you could Google to know these little inherent traits

here and breaking that mold, even when sometimes more efficient.

It was say, we have to look at the risk side.

But no, I was never gonna lead that charge.

Which at this point, right?

we were all leading in our same path and where you had to come

together is understandable.

we all won the same thing.

And that's where sometimes you fall in conflict and you forget to realize that.

the thing that I'm observing just in our talk and in the things I

did with research is that many times when people go into real estate, they're

usually single family home minded, and the reason they're single family home minded,

there is a lot of single family homes.

They may live in one, so they're familiar with it, but I think they're single family

home minded, primarily because they think they could do it all by themselves and

they don't need to count on other people.

And many times you can.

We actually were able to scale, we were doing three to five single family

homes a month when we were at our heyday, cuz we put a team together.

But I think the skill that I love hearing from you, and I'm hope the listeners

picking up on, is it's you, while you are super bright, talented, hard

worker, all that kinda stuff, I don't pick up on anything that you're saying.

I'm the boss in the hot sauce.

I'm the man with the plan or anything like that.

Everything is about team, which is important with.

The way you ended up going with multifamily syndications

and things like that.

Because I know with single family homes, a lot of people, they just try to, use

the financing funding all on their own.

They never wanna reach out and allow other people to participate.

And so is that one thing, if I'm wrong, you could tell me, is that

one thing that kinda helps you?

Cuz I think y'all started doing a few single family homes, right?

And then moved quickly into multi and then now multi.

Tell me if my observation might be good or bad there.

No, it's spot on.

It's great to do single family homes and I have a lot of friends that

do fantastic with it and some do it all themself and and God west,

like that's their choice, right?

And their reason.

However, if your anticipation is to break free of this and have that

business accomplish, it's the similar goals without you, it's gonna be a hard

lesson learned somewhere around there.

But if that's what you wanna do, you like it, you don't see yourself ever stopping

from doing your own fine, fantastic.

That's a win for you.

However, if you're looking to be able to maybe grow the business or do other

points, if you are gonna be the sticking point on every little thing here, I

have a friend that says it very well.

He's like, he's you can't see the label cause you're stuck inside the jar, right?

And so it's hard for you to see what's missing here because

if you just step away, right?

So like a good thing here if if you're like, man, that's me.

Write out to 10 your friends, 10 of your other people and say, listen, I'm

doing a little experiment right now.

And I would love and just be candid with me.

Tell me three things I do well and tell me three things I don't do well.

And you will see very quickly, the responses, maybe get two or

three, but I still have one, I did this over maybe a decade ago.

And a friend, to me she was like, you are magnificent.

I'm pushing forward, but sometimes you're trying to move all the

mountains at the same time.

And on that part it meant I was doing all the work and it was like everybody

else is sitting there watching, I'm doing all the work, right?

Cause I can get it done.

But at some part, like it's gonna level off.

I'm gonna fall and when things break I can't, be, put my finger in all the

holes in the wall where the leaks are here because I've now set my stage

where everything just falls upon me and I'm not helping other people.

So in, in totality of that question there is that if your goal forward

is to have a bigger impact, then you have to have an impact on others.

For you to be able to do that, you need of course to discipline yourself

here so you are doing what you say.

But the more you can step back, like for instance, like we, we managed

a couple hundred units, right?

We had some in town and, and the office just having a super difficult time.

I'm trying to find these like silly brackets, like just not a big deal.

They were really focused on it, really trying to hard, it

came in can you just help us?

I was like, sure.

Just call up to the guy.

I was like, listen, dude, like this over here.

I understand you can't find this thing.

If we order it today, it's gonna be July 15th.

What can you do today to fix this and make this work today?

He's oh, I'll just do this.

I was like, thank you.

Go do it.

And it was that point here where he just was trying to do what he thought we

wanted and we weren't empowering him, the contractor, to just make the decision for

what he knew how to do, because he was trying to do what was by the book to do.

Although the other part had no impact to buy the book or not.

It was the result we needed today.

And the team.

Just seeing that, I didn't solve it.

Anything done apart.

It's just something I've come up in a part is that if you give people the

opportunity to give you the result, and you ask them the right question, many

times, because they don't feel empowered to do so, you empower them, they'll

find the result and you knew the result.

Great.

Thank you.

I haven't heard about it again.

So it's solved out there in the universe, right?

But that's where, as a leader, as someone who manages a team, you can come in there,

you don't have to drive the decision, but when someone gets stuck, you can help

them see that next step to the result.

Cause we usually look at the goal and forget that the goal is not accomplished.

Leap.

it's a step.

And if we think about, okay, how can I help them for this step?

Get over the speed bump, right?

Just to that next part.

Then they're higher up the hill and then they're making bigger

decisions to get the bigger outcomes.

that's the problem solving skills that you got from your dad.

It sounds like your dad was a problem solver and sounds like

you're now doing that with a team.

Jason, I wanna shift a little bit because I'm, I think maybe we need to

do some quick definitions before we have the conversations that we're gonna go

in, in this direction, because there's some people out there when we use terms

like private fund manager or single family, or even, multifamily or, even

mobile homes, land, all these things.

All these terms in real estate.

And so I wanna do it real quick because I know we've got some

experienced people listening in.

but for the person that might be listening going, what is, what

do they mean by multifamily?

What do they mean by private fund?

Give a few definitions, likes, like you would to one of your kids for some of

the terms we've been throwing around here for someone that might be in third

grade going, let me explain this to you.

So do that quickly and then I wanna get some tips and some ideas on

how someone might get started or participate in some of the things

you're doing before we finish up here.

Fantastic.

So typically a one unit, so a single family house or a house

that, or a building that has two units or three units or four units.

it's deemed residential, right?

So it's residential in nature, and then past five and up, if it's an apartment

community or just five units and above, even though it's still residence living

in a building, it's term commercial.

We found that.

Buying a single family house, great model, right?

However, it's one tenant, right?

It's one person, it's one income streamer, it's one flip, it's one thing, it's

one roof is now just that one tenant's income to get to that one part here.

If that tenant doesn't pay right?

And then on that part, it's your income is now coming back to you.

So the other people, the banks, other things can be driven by you

and your ability to afford it.

The larger, the building that you can actually afford to be able to

take on more ability to improve it.

Cuz now I have a hundred units, right?

And two vacancies.

I'm 98% occupied.

One unit, one vacancy, I'm zero.

Four units, two units now, and two units vacant.

I'm 50%, right?

A hundred units, 10 vacants, 90% occupied.

So my ability to have the rent, afford to pay the expenses and pay the

mortgage each every month and still provide cashflow goes up exponentially.

Plus small decisions I make for those buildings can have massive impact, right?

So I'll give you an example.

Single family home, right?

I come in there and I replace the toilet and I say, okay, now the

house costs 300,000 hours more.

There's not a buyer.

There's not a buyer, right?

You're not.

So unless you've done something else there, not a buyer.

However, a hundred units, you replace the toilets, cuts the water bill down by 10%.

You go in there and fix all the leaks, your water bill now decreases by 20%.

The overall value because of what you created for the cashflow, for the

income on the property, may make that building and has made that building

$300,000 more valuable, right?

So you can have different impacts on larger properties with more smaller, minor

things that speak to the service of the building and the income and the expenses.

What I do, Is that knowing that instead of focusing on maybe a building, we buy in

house two unit, 10 unit 15 unit 20 unit, where it's just me and my capital and then

I have to do something and refinance it.

I open up the opportunity to investors, both credit investors and at points,

people that are in my network, friends and family that could be sophisticated to be

able to come in there and invest alongside of us to help with the down payment,

the closing costs, the fees and the construction budget to buy the buildings.

That allows us to buy these a hundred unit buildings where, because of the

size and the scope, it affords us more ability to get more profit and more

cash flow that can benefit others.

So we buy this building, it gets more efficient.

Landscape for us.

We're able to get more income, drive more help on the expenses,

improve the building, and then have investors who will invest with us

that don't have to do anything.

they can invest with us.

They'll get their updates, they'll get their K one s at the end of the year.

They'll have every part answered and they're solely investing with us without

having to do anything from finding a deal, sourcing a deal, underwriting a

deal, doing the due diligence, building the team, understanding how to structure

it, find the bank, closing on the thing, working with the property manager.

They do not have to do any of those responsibilities, but they get

all of the benefits that you can find from commercial real estate,

And I think what you just did, you.

I have defined syndication without a lot of legal ease, which is very good.

Thank you, by the way.

Correct.

Yeah.

Syndication that it's a scary word because it just is a very odd word and

you could syndicate, radio stations, you can syndicate golf course, you

could syndicate anything out there.

However, we use the model to buy apartment buildings.

right, and when you introduced yourself at the beginning,

when I asked you what you do, you meant, you went through the family things and

you said you're a private fund manager.

And what that basically you, that's another, you actually gave

a definition of that just now too.

Do you want to tie in anything together with that here?

sure.

So what we do is we raise friend, raise family money or money from our network,

or money from our new friends and family that most of the time are accredited,

meaning they make a certain amount of money each year for the last two years,

whether they're single or married, or they have a net worth without their

home, not including their home of over a million dollars or a few other things

that could make them accredit in there.

Those investors are deemed, likely to have the inherent knowledge

to be able to invest in these.

So they invest with us because they're able to understand and make

a good decision on the investment.

And then we use that to buy these big properties.

And that thing is we offer a Reg D offering, which, is

something written in the tax code.

It's something that the s e c has put forth here to do a security.

And the security is not a registered security, it's a 5 0 6 B or 5 0 6 C.

And that offering allows us to offer this to the network so they can get

the benefits that are sometimes hard to find if they were trying to go to a

bigger company or do it by themselves.

So tell me why.

I've been around real estate circles too, and like I mentioned earlier,

there are a lot of people that.

There are a lot of people that are interested in real estate.

I'm sure you've run across this.

A lot of people like to talk about real estate.

Some people then step in and take some action, whatever that action might mean.

Get some training, get some education, or just start.

And we've already said a lot of people do that with single family homes.

And in a little while we'll talk more about how people

can participate passively.

But I think what I wanted to ask now is what prevents, what is the either real

or perceived barriers that people have that keep them away from multifamily?

and I really do want us to speak candidly.

listen, I know you're a big proponent of multifamily, but

let's talk some real pros and cons.

What is it that keeps people away from multifamily?

And maybe a couple things to address that

Sure.

Bigger and scarier, right?

so the it that's simply put right there.

Single family house, you touched on it earlier.

There's a lot more approachable because people are used to that.

Most are living in the house, right?

They understand that, right?

So they seem and deem that to be safe, right?

But again, if you're doing a flip, there's no income until it's done.

And you have to hope the market's in your favor and the buying

potential is there and right.

So if you found that a year ago and you were flipping something,

it takes seven or eight months.

You may have been on the other side of that investment here with multifamily,

we have a housing shortage, right?

We've had this housing shortage for a long time.

Developers got burned in 2007.

They haven't been able to keep up with really building.

And even if they do want to build, because they know we need it today,

there is not the ability to get product on at an affordable rate.

There's not the labor pool, there's not the supply chain

solved in a piece of puzzle.

And it's very costly.

So it's prohibitive.

So we need housing, we're gonna.

we need 60 million units built this decade.

We're gonna get about 11 million short, 11 million, right?

Maybe this year we might hit that threshold.

We're still gonna fall about 5 million units short, right?

So that's deemed that we need more affordable housing.

So what that does is that means that it's gonna put more downward pressure

on the stock that already exists.

So those units are going to stay in favor for longer.

Now, couple that back with a single family space.

Hey, I've been a renter for a decade.

I'm gonna go buy a house.

a year and a half ago you could have a $500, a $1,500 mortgage payment.

Get a house that's worth $350,000, where today that same mortgage pay

payment get you a house that's $230,000.

Now, the difficulty there is that sounds great.

Okay, I'll just go for a less expensive house.

However, there was no 350,000 hour house available.

And if you got it, you were one of 30, so the other 29 didn't get that house.

Now, all those houses have not come off their mile marks, 35% of value.

They're still up there because there's not enough housing.

So that buyer today can't get into the buyer pool.

So they're gonna stay renters for longer.

They're not gonna move as much because it's costly to move, right?

So they're gonna stay on this, on part of a multifamily side to

stay in their apartment building for long to stay renters for long.

Now, multifamily versus single family.

Single family, one renter, or not one flip or not.

Whereas multifamily, right?

There's many different reasons.

You can get cashflow, you can get the appreciation, both basically.

Hopefully you're in the right market, but also based on the improvements

you make to the property, you can get depreciation benefits, tax benefits,

debt pay down, and the diversification with the economy is a scale.

So it's a hard, asset class to beat and that's why comparatively it's outperformed

the stock market and the bond market on a rolling 10 year average going back, right?

It's also outperformed everything.

Right?

Office, easy one.

Now, when it used to be the state grade A asset, right?

Retail, storage, it's outperformed and it's gonna continue to outperform.

Cause there's all these drivers that push people to the space.

So I want to, in just a little while, I'll ask maybe how

somebody can get started and I think actually you have some resources

and all that might be good for that.

But I think what I'd like to do now, the thing when I first saw your info

that I'm like going, I love talking to people that have what I call boots

on the ground, that we could learn about what the economy is really doing.

And someone who has 3000 plus units, that means you're dealing with 3000

plus people, probably multiple markets.

What I would love to do at this stage here is do a, let's go,

not micro, but let's go macro.

With what's happening in the economy.

there's a lot of articles, I'm, I get, I've got tags for all these

real estate articles, economic articles, things like that.

And I just had something recently that showed a foreclosure for a

multifamily, which I haven't seen in a while, which just tells me

that none of that stuff scares me.

But that's okay, we're having some shifts that are going on.

Maybe just in general, what are you seeing with the economy?

And I may dig a little bit more, but what are you seeing?

What's good, what's concerning and what can you share about that?

So we're always on two sides, right?

It's either hard to find deals or hard to find money, right?

It was very hard to find deals about a, two years ago for

the years proceeding, right?

Very easy to find money.

Everybody wanted money in there.

Now, it's very hard to find money, and that's both on capital, right?

And on banks, regardless of track record, just based on where they

feel their risk is associated with.

But it's easier to find deals.

However, the deals are still at elevated prices.

the core thing to look at here is that recession doesn't speak

to the entire country, right?

It's not oh, the news says we're in a recession.

everybody's in recession.

You're in, Dakota's, you're in a recession.

Oh, I'm in Tennessee.

I must be in the recession.

My grandma's in New Jersey.

She must be in a recession.

The markets are exposed at different times.

You have to look at what's going to.

Either harden or soften the blow of what a recession can have

and where potentially they are.

So if you look at certain markets, like in Nashville, you have to think

about all the people coming here, the reasons they're coming here, the jobs

you're coming here, where compared to maybe Illinois, where you're seeing

a lot of people leave the, the state, or you'll see in housing values to pre

deteriorate, that's gonna be more exposed to an economic, uh, a recovery, right?

And some of these mo areas that have really had a high value.

Now, within that market, you're gonna have different areas that are exposed, right?

25,000 units coming on in Nashville.

it's not coming on just.

Completely spread out evenly.

It's coming out in certain sectors of Nashville.

So you have to see, okay, if we're in that area, what's gonna

be the impact to that area here?

And then rates on the other side of it.

No one really could predict that they go up there.

But if that point that the elevation of what that rise would be for

how long is something that's, I don't have the crystal ball.

So I had to say, okay, this is what's in front of me today.

How do I sustain what's in front of me today with the forecast

that if it didn't change, what's the right decision for today?

Now if I can make that decision with a good buying decision for

today, then if rates go the other way, okay, cool, then they decrease.

I can take value and get value out of that.

But if they stay elevated, I'm making choices with long fixed term debt.

debt that's gonna allow me to weather the storm for the near future.

and I agree with you, and some people wanna paint

this, especially the media.

They want to either say economy, good, economy, bad.

they, I think they're looking for headlines, truthfully, is what it appears.

and I love that you brought it up, that it is at the local level.

Because a place like Nashville, people are flocking there, they're wanting housing,

they're wanting to go out to restaurants, and the economy is booming there.

I just read an article about Los Angeles and Los Angeles

a little bit different story.

Housing is horrible there.

It's a challenge.

But because of what's going on, I don't know if you and I would

ever say, Hey, let's go in and let's get some units there.

I think if we could, we would, but it's too tough to do so I.

gotta be your belief in the market, right?

like New York City, like all New York City's dead.

It's like really?

For New York City to die, you really gotta think, you gotta think about it like new

people are moving outta New York City.

There's always an evolution of people that want to come to the city.

You have everything, right?

So people are getting outta college.

That's where the best jobs are.

People from outta the country.

And they're not saying, Hey, let me go to Topeka, Kansas.

They're like, I'm gonna go to New York City.

And so they're gonna always have that part.

So if you two, three years ago were like, Hey, New York City's fine.

It needs a break right now.

But I'm gonna come in and buy some apartment communities.

I mean, rent's at its highest point there, right?

For a reason.

Because people are gonna come back there.

So if you look at that, you but California other way, maybe they

don't see their way outta that avenue.

Who knows?

It hasn't ever been a market for me, but people win in that market too.

It's just not the market for me.

I mean that people need housing there, but it, there's also

other, there's political situations and other things going on there too.

Something that almost always comes up and I'm gonna laugh when I

even ask this question because.

It.

It's something that kind of annoys me, but I'm gonna ask it anyway

to maybe annoy you a little bit.

That takes a lot.

You'll be

Yeah.

yeah.

No, I could tell, but when someone says something like, I don't think

it's a good time to get started or invest, or, get some training,

get some whatever the thing is.

This is going back to your barber, that we talked about earlier.

When someone says something like that, what goes through Jason's mind?

There's always the best time and there's never the best time.

And that's always the piece of the puzzle.

Yeah, yesterday would've been the best day.

But today's better than the next day.

It comes up.

And if you're waiting for some event, we are not well-informed enough

to know when that event occurs.

So if you're waiting for the market to bottom out, here's the evolution.

Market rises is too hot, right?

Oh, now the market's on a decline.

So I'm not buying cuz it's, it is too hard to buy deals and the prices are too high.

Now we're on a decline.

Oh, I'm just gonna wait till it hits the bottom.

Don't realize it hits the bottom.

Now we're on the way back up and now it's it's too hard to buy deals.

It's too hot and they're too high.

And story continues.

So that part is, it's better to be involved today to be able to make

good decision for the future, just so at least you can be informed.

Because if you are waiting for some event, how are you gonna know and

what's gonna be that through line?

So if you're gonna wait for it to bottom out, what is gonna

tell you now is the time.

Not your gut, not this other part, not watching Fox News or watching C N B C.

Like what is gonna tell you today that you're gonna go buy and how are

you know it's gonna be for you, the timing in the market to what st type,

type of investing to do Yes, sure.

You can always wait.

That's how we've gotten to where we are today.

However, if you want a different outcome, you have to take action today

to understand the right questions, to be asking to get the right

answers when you need those answers.

Yeah, I love the analogy.

I think when's the best time to plant in a tree 20 years ago, second best time today.

that's good.

Hey, Jason, if someone is intrigued, they're really interested, or they

just want more info about multifamily and what it might mean for them, or

how to get started or what next steps to take, what, where can they go?

give a few tips or resources if you've got 'em, that people can check out.

Yeah.

Yeah, we have a ton.

And we'd be happy to, whether we can be a jump off or somewhere a point

of reference, we'd be happy to.

there's of course a million great podcasts I can offer and talk a lot with

multifamily, you just want multifamily.

That's what we do.

YarusiHoldings.com, YarusiHoldings.com.

We have the Multifamily Live podcast and we host and run the Multi-family

mastermind called Seven Figure Multifamily, helping Investors either buy

their first apartment deal small or large, or by their next bigger deal, right?

And we've done that for a number of years now, so we'd be happy to talk

to you, answer any questions that a listener pool can get value from

to keep pushing them forward there.

But in that front, we're gonna stay in that multi-family space,

not too veer, too far off here.

Yeah, I actually did, I did some power listening on that Multifamily

Live podcast and I think, gosh, a thousand episodes or something like that.

Did I read that right?

Do y'all have like

We've done a couple.

Yeah.

We call the early ones the dark days, but in that front

we've done a couple there for

But the cool thing is a lot of 'em are bite-sized, 15, 20 minutes

and things like that, which, for the guy here that does the one hour interviews,

I'm like going, man, I love these short tidbits, man, this is really good.

so alright, we'll make sure we include those links and, and I do want to make

sure that I ask this question because I do think there are people that are

listening in that are thinking, what if I wanted to be a passive investor?

What would I need to do?

And I think you mentioned Yarusi holdings, but give someone a little

bit of, so that we're not wasting people's time and all of that.

What do you look for there?

You mentioned accredited, and I think most people should know what that means.

Can they invest out of a self-directed, a, a self-funded 401k or something like

that, IRA, to give a little bit of what you're looking for so that people would

understand if they might be a match.

so we want to be a value to investors.

So if you're looking to either just get exposure to real estate or really just

diversify away from stocks and bonds, or you're just very busy making a lot of

active income, we could be a good spot for you to help you with additional cash

flow or some tax benefits or depreciation.

We're looking for investors that are like-minded with us, have the same vision.

We're typically doing investments that are five to seven years.

These are not quick flips here.

They have some form of cashflow and some form of profit D ends, and they're

looking to be able to get their exposure into the commercial real estate space.

However, they don't have time.

Nor do they want the to do the work.

you can come learn about the space.

We have a ton of stuff on the platform.

I just talk about to see potentially if this could be a good fit for you.

This wouldn't be for someone who's, working paycheck to paycheck or just

that capital needs to be more available.

These aren't liquid ev investments here, but you're looking to get

additional value from the money that you're making or putting aside right

now that's in your investment bucket.

But we will work with you to make sure that we align right and that

the goal is identified, right?

If we're doing at the multifamily development, it's

not gonna be a cashflow place.

So if you're looking to get cashflow to cover your expenses,

we wanna make sure you know that.

So you can choose to go with into maybe an apartment community that's

existing with us that's gonna have underlying cashflow from day one, right?

So we want to help you partition your investments to meet your goals.

All right, so that's good.

do they go to Yarusi Holdings If they're interested in

yeah, they'll go to Yarusi Holdings, your CR Investor portal.

You'll see the projects that we've worked on the past, the projects we

have now currently under operation there and they're welcome to email.

Go to us, it's, I'm easy, Jason at University Holdings info and we'll be

able to get back to you, either myself or my team to talk to you with more.

perfect.

We'll make sure we include all the links and everything so that people

can click through and find you.

Hey Jason.

Cool conversation.

I love, I love talking this stuff.

We are seek, go create those three words.

I'm gonna give you one of those that you can choose that

resonates more than the other two.

and tell me why.

That's my final question.

Seek, go or create.

Sure.

you have to seek to go to create, right?

You have to understand that you don't, you're not where you are to

get where you want to go, right?

So you're gonna seek that next stage outside of where you are.

Cause you, we go all day and many times we're not where we want.

And we're creating the outcome based on where we're going here.

That's not solidified because we haven't sought what we want and

it's not the outcome we want.

So you have to seek to get to that new level of where you want to go.

Very good Jason.

Thank you and I appreciate this conversation.

Listen, if you've been listening in, one of the things I encourage you to do is

jump over to the Multifamily Live podcast.

You're, you're probably on a podcast player.

You may be on YouTube or a clip here.

Jump over to Multifamily Live, subscribe, listen to, you could listen in the course

of an hour or two, probably do about seven episodes is what I was able to do.

So go check that out and obviously if you're interested in getting some

more resources, some training, just to kinda see if this might be something

for you, go to, go to the website that was mentioned and obviously if you're

interested in some of the investing that they mentioned, check that out.

I appreciate Jason.

If you know someone that might be interested in this, share this episode.

I believe that sharing episodes is the best way that people

get exposed to podcasts.

So Jason, thank you.

I appreciate the conversation.

I remind, I wanna remind everyone, we have new episodes every Monday.

We're on YouTube and all the podcast players.

Until next time, continue being all that you were created to be.