I am a huge proponent of specialization. I focus on Portland multifamily assets ranging from 8 to 80 units. Have I worked on leasing, single family homes, larger commercial properties or deals in other states? Sure! Probably will again, too! But I feel that Robert Redford got it right when he said to Paul Newman: “Keep thinkin’ Butch…and go with what you’re good at!” Similarly, I feel we owe a debt of gratitude to our doctors because they are models of specialization. There’s so much to know that docs must specialize in order to competently provide critical services.
I was reminded of this recently when an investor told me that one of his partners was insisting that his nephew get the listing on a Portland multifamily complex. I’m not a great loser, but I know in life if you don’t strike out occaisionaly you’re not getting enough trips to the batter’s box. What I find amazing is that the nephew has no business experience, no real estate experience, no relevant sphere of influence…but he did get his license last month and some business new cards.
Be aware that in Portland there are many commercial brokers that haven’t sold an asset yet this year. To move product requires knowing Cap Rate trends…but I jokingly suggest this respective agent thinks a Cap Rate is the maximum value an adjustable mortgage can reset to. He does not have an awareness of full recourse clauses, understand terms such as: “jointly and severally” has no idea of the minimum hold time for capital gains versus ordinary gains, or that a reverse exchange is not a football play. In short, this new agent is exposing his relatives and unaware principal broker to huge risks and not delivering all of the available upside. Vegas odds are he is a matter of months from being mentioned in the paper. Once again…the case is made for specialization!
When you’re ready to work with an investment specialist…contact Rick Bean at 503.577.1034 or: rick@rosecitycre.com.