Scaling Up: From Single-Family to Multi-Family Investments

In this conversation, Jesse, Graham, and Colin discuss Colin's transition from residential to commercial real estate. Colin shares his background in real estate, his experience in residential sales, and his decision to focus on commercial real estate. He also talks about his current portfolio, including residential properties and a 23-unit motel conversion. The conversation covers topics such as cold calling, CRM usage, team building, financing, and the process of converting a motel into long-term apartments. Collin Boyer shares his experience in acquiring a commercial property and the potential value it can generate. He discusses the importance of finding tenants before closing on a deal to ensure cash flow from day one. Collin projects that the property, which was purchased for $900,000, could be worth around $2.7 million once fully leased. He contemplates whether to sell, refinance, or hold onto the property for long-term cash flow. Collin also emphasizes the value of taking action and learning along the way, as well as the benefits of building a local community and personal brand through social media.
Takeaways

• Colin started in a construction family but realized he was more interested in selling real estate than building it.
• He began investing in residential properties and decided to supplement his investment income by becoming a residential broker.
• Colin transitioned from residential to commercial real estate after learning about the potential for higher returns and time freedom.
• He uses cold calling and a CRM to prospect for commercial deals, and he emphasizes the importance of follow-up.
• Colin is in the process of converting a motel into long-term apartments, taking advantage of a lack of housing in the area.
• He plans to hire a property management company to handle the day-to-day operations of the property.
• Colin is considering bringing in partners for the deal and is exploring financing options with local banks.
• The commercial financing process is different from residential financing, as it focuses more on the deal's financials rather than the individual's personal finances.
• Colin's closing period for the motel conversion is approximately two and a half months, during which he plans to start advertising the units for rent. Finding tenants before closing on a commercial property can ensure cash flow from day one.
• Commercial real estate is based on income and can generate significant value.
• Consider the options of selling, refinancing, or holding onto a property for long-term cash flow.
• Take action and learn along the way, rather than waiting to know everything before starting.
• Building a local community and personal brand through social media can attract opportunities in the real estate industry.

Chapters

00:00
Introduction and Background

03:04
Transitioning to Commercial Real Estate

07:32
Prospecting for Commercial Deals

09:22
Converting a Motel into Long-Term Apartments

12:37
Building a Team and Using a CRM

18:07
Exploring Financing Options

19:30
Colin's Current Portfolio

23:23
CapEx and Property Management

26:38
Equity Split and Financing Terms

28:23
Closing Period and Advertising Units

31:14
Maximizing Cash Flow: Finding Tenants Before Closing

32:08
The Potential Value of Commercial Real Estate

33:35
Selling vs Holding: Deciding the Future of the Property

40:58
Taking Action and Learning Along the Way

48:20
Building a Local Community and Personal Brand

Hope you enjoy & God Bless!
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