Becoming Part of the Team with Josh Eitingon and Lee Ancona

Episode 66 of the Diary of an Apartment Investor Podcast with Josh Eitingon and Lee Ancona, hosted by Brian Briscoe. Transcript by – please forgive any errors.

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Brian Briscoe 0:00

With that said, we got Josh on the line here. What would you like to ask him?

Lee Ancona 0:03

What is the best way to find an experienced GP JV partner that will allow me to be part of their team.

Josh Eitingon 0:10

I think the key part of the equation, really for you making money, you need to be able to show value whether it's you being the boots on the ground, because you're in this market where you know, your partner may be interested or your brain the value from project management type experience, and you're putting it all together and quarterbacking it. It's not going to satisfy your goal of ultimately being able to make this a business unless you're able to bring value get paid for that value, and take an active role in the deal.

Brian Briscoe 0:49

Welcome to the Diary of an Apartment Investor Podcast with your host Brian Briscoe. In this podcast we bring some of the top professionals in the apartment investment field to discuss various aspects of the apartment investing journey, with the sole purpose of educating listeners to make wise investment decisions. The Diary of an Apartment Investor podcast is sponsored by Four Oaks Capital, bringing you high yield returns through apartment complex investing. This is journal entry number 66. And one of our Ask the Expert episodes. Today we have my mentor Josh Eitingon as the experienced investor and another marine Lee Ancona as our aspiring investor. Keep listening for tips on raising capital and finding experienced partners. And now the show Welcome to the diode apartment investor podcast. I'm your host Brian Briscoe four oaks capital very excited for today's show. It's one of our Ask the Expert episodes, we got two amazing guys on the line right now with us. A guy with a tonne of experience and my personal mentor just hiding in a very motivated energetic aspiring investor, Lee Ancona. So first Josh is a co founder of DSC properties, which is a value oriented boutique real estate investment firm providing commercial acquisition and asset management services for their clients. They have an impressive performance history, which combined acquisitions, asset management and development skill sets. And the team targets assets with significant physical and operational opportunities. Whereas upside can be quantified without reliance on the markets appreciation dx. These teams take a very active asset management approach working closely on their operational teams to drive performance on an ongoing basis. Wow, that's impressive. Josh that said, welcome to the show. Thank you. It's good to be here. Excited to be here with you all. Yeah. Hey, thanks a lot. Appreciate your time. And it's been a while since we talked last. So this is this is going to be fun. Why don't you do us a favour and tell us your background and history kind of up until you decided that you wanted to set out on your own with this apartment investing career?

Josh Eitingon 2:39

Sure, sure. I'd love to. So my background, I started probably the way you and maybe a lot of your listeners started reading. Rich Dad Poor Dad, I read ABCs of real estate investing. I was doing that. I remember it. I was in college, working in the summer, I was like at a beach. And in my free time I was reading real estate books. But really that that's what hooked me. It just made fundamental sense. So when I left college, and I didn't have a real estate degree, I worked for a software company. I was there for four or five years. And while I was there, I did a lot of networking on the real estate side ultimately met a property manager who is actually out of Cincinnati and he helped source my first deal, which was a 20 unit distressed asset. And I think it's 2011, which we bought as a short sale working with the bank. And that was really my jumping into my taste. I really got into it pretty entrepreneurially. But I did that I was hooked on real estate, I just committed to real estate. I actually ended up leaving that software job. I think I was there for five years and left that cut myself in half to work as a real estate analyst. Then worked my way up as an acquisitions guy ultimately was leading an acquisitions team. And we were focused on mostly 15 to $30 million value add multifamily deals in the southeast. I did I was there for four or five years. I was fortunate in that I was able to keep growing the personal side. Yeah. Can you make to do a deal or so a year and then after four or five years with that firm, I started DFC hold my partner out of the corporate world. He has a little more of a traditional real estate background. And we co founded and started DMC and we've done about $60 million worth of acquisitions predominantly multifamily, but he has the heavy construction background. So we've done a couple of ground up projects and like small retail, neighbourhood and shopping centre deals, but really 98% of what we're focused on doing is value add multifamily in the southeast. Nice.

Brian Briscoe 4:56

Now one follow up question on that. So you left your software job. Took a lower paying job in the real estate industry. Now we did that. Did you have your eyes on going out a loan later on? Was this kind of like preparation for your end state? Or was this just because you like the fulfilled better?

Josh Eitingon 5:12

At the time, I didn't know. I think after I was there for even a year or two, I knew that was the ultimate step. But I took that leap. It was really just, I really like real estate. I know, there's a lot that I need to learn still. What's the best way to do this? Yeah. And that was my I don't know that I could do that with a family like now. But I think that at the time, I felt like the downside was fairly limited.

Brian Briscoe 5:40

Yeah. You know, and you said, you read Rich Dad, Poor Dad. And that's one of the things that, you know, Rich Dad, I think always said is when you take a job, take it to learn, you know, and that's that's exactly what you did. You know, you you wanted to potentially get into business, you took the job and learned a whole lot. Now, how has that experience helped you now, with DMC?

Josh Eitingon 6:01

You know, it's funny, I learned a lot of direct, I learned how to underwrite I have bought the more obvious things from companies sort of how to rate the asset management side, all I learned from them. But I think my boss, who I consider my mentor really was, was he really, really good at and he was really good at the relationship side of the business, he would always say that the business, motivating people is really what's going to allow you to be successful, whether it's broker relationship on a relationship, property manager relationship or investor, the investor side, obviously, I really tried to just borrow what he did well on that side and carry that over to DSC, whatever ways possible.

Brian Briscoe 6:53

Nice. Now think I know the answer to this, but I mean, you're working for a big multifamily company, and you're doing multifamily on the side, did that ever create any issues with your with your company?

Josh Eitingon 7:03

Well, I guess it was the catalyst for the end. Ultimately, yeah. And I think there was a deal that I wanted to do. And, yeah, we always had a pretty open relationship there. But that that deal, when I brought that to my boss, it sort of triggered a larger conversation. We were not we never were competing in deal size or anything like that. But obviously, it was a time factor and raising money there was overlap there. So it was bound to be a conflict at some point. You know, it was one of the perks of, I think, the big salary cut that I was able to have some flexibility.

Brian Briscoe 7:42

Yeah, that's a good point. I think a lot of people who have full time jobs are going to realise that at one point, we're talking pre pre interview, or pre pre recording, I'm active duty Marine Corps. And when I, when I decided to throw my hat in the real estate business, I also made the same decision that I would have to retire as soon as, as soon as I'm eligible, just because of the time factor. And I think you probably saw the same thing I am where you had to dedicate more and more time to your, you know, what was then a side hustle, then to your W two job.

Josh Eitingon 8:15

It's a natural step. I mean, you know, firsthand, and I, when you are involved in some of the first deals you're doing, it's like, it's it's a lot to do both at once. It's really, I don't know what the number of deals that you can do reasonably, is, but it's a natural step that I think happens. I think the important thing on that side, and perhaps something I didn't do that well, early on is, you know, large deal will be as much time as a small deal. So you've got to push yourself in size so that it's it's worth it once your time. Now that it's allowed you to cover whatever your income maybe an appropriately sized deals,

Brian Briscoe 8:57

you know, and that that point you just made, I think is something that really drove me to multifamily. And I'm going to hit it again, you say a large deal takes up just as much time as a small deal. You know, so you might as well go big is in a way is what you're looking at. But you know I've said this many times before you know you can do 100 single family homes or 100 unit apartment the difficulty doesn't scale with with number of doors like it does with single family. But well, let's let's let me ask you kind of a slightly different go into slightly different direction. Let's focus more on your your why and your motivation. I mean, you talked earlier about some of the reasons you did it. But let's go more on the motivation level. You know, why do you do apartments? You know, I

Josh Eitingon 9:42

think it's for the overall goal of just Flexibility. Family Safety, I know all of us talking cuz I have families. So, you know, being able to provide for our kids, whatever, whatever that may be better than we had growing up. I think is an Driver, I'm someone that no matter what, no matter how successful or unsuccessful I am, I'm going to always work a lot. Because I can't get away from it. But the flexibility even the flexibility that I have today is just, it's very valuable to me. And it's something I'm going to continue chasing. And it's really one of the goals with me taking the leap to going out on our own ultimately. Okay.

Brian Briscoe 10:24

Well, let's talk a little bit more about that flexibility. Can you just explain what what that means to you, as far as family wise, as far as career? Yeah,

Josh Eitingon 10:33

I think it's being able to drop my daughter off, even at a daycare, pick her up. Let's do that. And in the past, when I go into the city, there's no way I'd be probably leaving without seeing her and getting home in a lot of cases without seeing her. So, you know, it's really tough to quantify that, even if it's another hour or two a day that I'm getting to spend that time, which I think I'm very fortunate. A lot of people don't have that, that opportunity to do that.

Brian Briscoe 11:00

Yeah. Yeah, I think that's big, too. I mean, just just being able to tell a work, I work at the Pentagon, you know that but, you know, we're teleworking a couple of days a week, and this is my my lunch break right now. So just the flexibility that I've gotten from teleworking, and being able to do that stuff just kind of gives me a big taste of what life's gonna be, like Pokemon record for me. And once once multifamily is paying all the bills, so yeah, I appreciate that. That's, that's, that's good, good points on there. So let's do this. Next, let's look at some of the deals or projects, you know, focus on one or more or your general philosophy, but give us an idea of some things that you've done, Josh?

Josh Eitingon 11:39

Sure, this is what I this year, which has been a weird year. And we could talk to that in any detail on at some point, but um, I guess we had too few more significant events happen. One, we, we sold a deal that was bought about six years ago, but really a homerun deal. It was a 62 unit project, actually right outside of Cincinnati and Northern Kentucky. I think it would ended up being net to invest or like a 350% return and like a 30 plus percent IRR. So it was just an awesome deal. It was funded by just a husband and wife team, we're now working with to do a 1031 with them. That was one and then we close on a deal in April. I know we were talking about gussto before this, but for you to deal on a gosta heavy repossession project, which we're super excited about we even through the last five months, which have been difficult months, we've had a lot of success, we've been moving rents a lot. And it's 140 units, we're spending like $1.5 million. So really swinging the hammer this one and creating some value.

Brian Briscoe 12:50

Now, with that said, I mean you obviously close after kind of the world changed because of COVID. How did you adapt? I mean, number one, how did you adapt? And number two? How is the renovation process been going on? Yeah.

Josh Eitingon 13:04

Great question. I could, it was a stressful time for me. I'm not really greying yet, but my hairline higher by the day. Yeah, back in April, was when we did close. Fortunately, all of our investors stayed on board, we had one that backed off their investment amount a little bit, but much of our information on change, we knew the tenant base had to change. I mean, we bought the property rents in the mid five hundreds, we're now renting two bedrooms at 899. So, you know, it was likely not going to be a tenant base, second stomach that increase you know, we just we set expectations that we just had to move more gradually over that first year. Basically change our underwriting said we're going to flatline rent growth for the next 18 months. And really just assume that we're going to hit what's in place today. And it's going to take some time, we've had some challenges for sure eviction moratorium has slowed us down, but it really had minimal impact on our overall plan thus far. I think part of that the market that it's not like there's a huge amount of at least right now, even though this plan projects hasn't been too many units coming online to impact this overall leasing. But you know, knock on wood, we've been lucky with that one, I think given you know, what a real issue throughout the country.

Brian Briscoe 14:31

Yeah, yeah. And I I don't know, I've I've found that certain areas getting hit a lot worse than others. But we don't have any assets in Georgia yet. But I know South Carolina for example, which is just you know, right across the river from Augusta is very landlord friendly. So a lot of the a lot of the things that are affecting other areas aren't so much affecting what we see in South Carolina. And number two, I think the southeast is just doing better in general than other areas of the country.

Josh Eitingon 14:58

Yeah, I think I read And don't quote me on this BLS a BLS statistic that I just read I. So San Francisco, New York Metro unemployment sets about percent in both of those cities across the southeast broadly, which I think it lumps in Texas, as well as a few other states, in addition to some of the states that were in there in the 60s. So it really is. It's a different story state by state and city by city. Yep, yep. Yep.

Brian Briscoe 15:31

Well, good enough. Anything else you want to talk about current deals or things you have done?

Josh Eitingon 15:35

No, I, you know, I we've done it's probably about seven units, we definitely play in a space that is well below the institutional radar, even though it's perhaps not the most efficient, like a 250 300 unit deal. We do think there's more value buying the five to 15 or $20 million deals. And then I think that segues into what's next to your point? Yeah, we actually, as of last week, have an accepted offer on 160 unit property in Atlanta that we're really excited about. It's a loan assumption, which you're about to get into right. But great location, just really excited about it, it expands our current team in Georgia, that's there. And that's what's next, it's a $16 million deal, we'll be raising six and a half million dollars for it. And something where I think the basis is, is strong, and our underwriting strat much of our strategy circles around just an attractive stepping in basis, because I think that ultimately is your safety net in a lot of cases.

Brian Briscoe 16:40

Yeah, yeah. So So this is an example of buy low, and hopefully, you know, sell high in a couple years. Now, with your underwriting, I assume you're doing same thing, flatlining, rent growth over how long do you guys choose to do it?

Josh Eitingon 16:52

So in this case, 12 months, pro rank growth, market level, and we're also increasing, they've done it really is a strong location, like median income, radius, so the properties over $100,000, median home prices of like $400,000, yeah, and really well over the last five months, sort of collection and collections. And that I think, speaks to the tenant base. But we're doing that we're taking up bad debt. And we're also increasing vacancy. You know, most of those really, when you look at the life of the deal, increasing bad debt or vacancy for a year or longer doesn't have a major impact. But flatlining. rent growth for the next 12 months really is meaningful when you're comparing to someone that might underwrite and throw in 2%, or even one and a half percent in that. Yeah, True. True.

Brian Briscoe 17:44

And you mentioned a study, I read something online about two weeks ago, saying Atlanta was one of the few cities that still had year over year rent growth, even throughout COVID. So flatlining in Atlanta, you know, is obviously conservative, but I think, you know, if this study is accurate, you could actually through your Yeah, I'll be I'll be posting that everywhere. Yeah. Yeah, I'll look for it. I'll look for it. So I saw it on LinkedIn. And it's probably, you know, several miles down my feed right now, but I'll see if I can dig it up. All right. Well, that's it. Let's Let's introduce our next guest, we got Leon Cota. He's an active duty marine stationed in Okinawa, Japan, married with two kids and one on the way. He's a MBA student at the University of Redlands, while active duty and looking to begin his multifamily investing career. So that said, Lee, welcome to the show.

Lee Ancona 18:33

Thanks, Brian, for having me on. It's definitely much appreciated. And Josh, thank you for the opportunity to ask questions and listen to your story. Definitely inspiring.

Brian Briscoe 18:42

All right. Hey, Lee, why don't you let's do the same thing we do with Josh, give us your background and history up until you decided to actively pursue apartment investing.

Lee Ancona 18:50

Okay, yeah. So I started on the real estate journey back in 2009. buying my first single family home using the VA loan to the military offers I bought it in Phoenix, Arizona area, for my in laws are from so it just made sense to have, you know, local boots on the ground in hindsight now. So it was a very good deal. It's just as the market was at the peak of trying to recover. So I got out a very good deal. And I held on to it for about eight years. About my second single family home the following year 2010 in Southern California, and Twentynine Palms are the marine bases. And I held on to that one for about eight years as well. And I just realised the the scalability between the two single family homes and the tenants moving out the nightmarish evictions, the trash property, it was just one bad story over another. I went with a property management that was cheaper rather than the quality. It was every rookie mistake that you can think of and it just put a bad taste in my wife's eyes, mind everybody that was involved with the deal. So the single family home was kind of out of the picture from that point forward, and just travelling multiple deployments over, you know, in the Middle East as kind of derailed some of those plans. But I think we're coming into the last four and a half years of my active duty time. And this is it's time to start looking into the multifamily realm now.

Brian Briscoe 20:17

Yeah, that resonates a lot with me. I mean, if you take where I was, and just rewind two years, and that's basically you, I mean, I got my first VA loan in 2007, where my in laws lit, it was actually my in laws house, you know, and then the next year, I bought my mind. So Cal investment property, held both of those for about the same time, and then my four and a half year to retirement marketing, I decided to go all in an apartment. So anyway, very, very, very coincidental, right there. There's a lot of a lot of parallels. So let's, let's look at your motivation. What's your motivation? What's your big burning? Why for doing this,

Lee Ancona 20:52

I would say the burning desire and the why it's almost it's twofold, you know, it's one to create the freedom and time through consistent action taking along my journey, and that is achievable by visualising the end state of the goal, and visualising what attain a life really is for my family, my children, and how that really plays out my mind. I mean, once I'm able to envision that I work the plan backwards, and I'm able to create small steps of that freedom and opportunity for us. And the second part of that is to really want to create and build youth sports complex for underprivileged communities. I really believe that kids learn and grow from being a part of something that's greater than themselves, just like, you know, part of the reason why some of us join the Marine Corps, you and I, it creates an opportunity for the youth and underprivileged communities to play sports, which will allow them to, you know, learn responsibility, team work, ethic, grit hustle, just much more than what they're currently privileged to are offered in their community, another outlet rather than being a statistic. And I feel that we have a real desire to help change that and achieve some goals through the youth.

Brian Briscoe 22:05

Nice. Do you have a targeted location for that?

Lee Ancona 22:08

I grew up in Northern California. So the Oakland East Bay Area, that would be a primary spot be the first would be the Oakland East Bay Area.

Brian Briscoe 22:16

Nice, nice. So So end of the day, I mean, obviously, you talked about your family, some flexibility, like Josh talked about, but the next big wave for you is to be able to give back in the form of, you know, recreational activities in your area. Nice. I appreciate them. And that's I think, you know, just just the fact that you want to give back speaks, speaks volumes towards your character, and what your what your motivations are. With that said, we got Josh on the line here, what would you like to ask him?

Lee Ancona 22:48

All right. Thanks, Josh. So the first question I have is, what have you found to be the best deal sourcing method currently that you were any of your students find the most success in currently in a state of COVID? And the pandemic right now?

Josh Eitingon 23:06

Well, I'm going to preface that with I think it depends. We've seen just over the past, not even now, just over the past few years, we've tried a lot we've tried cold calling we've tried. We've tried, sorry, we've tried direct mail to different owners. And we've had some level of success on both, but in both cases, but in both cases, really, for just smaller deals. We have not had much success with large rock writers, investment groups, or even owners, like individual mom and pop owners that own a larger deal, really getting anywhere with some of those direct outreach methods. That's not to say they don't work. In fact, I know they do work. And but we just never really were able to break into it. Some of our best deals have come through property managers, I can tell you, the two of us that we've done, I'd say we're through property managers where we had a relationship, they knew what we were looking for. And in both of those cases, they were just long term honours that very mom and pop type operators. And we were able to get a foot in the door because they were the local presence, that sort of better spoke the language of that owner. And were able to to refer us as the buyer ultimately, there and then, you know, I, and then brokers. Most of very few, maybe one or two of our deals that we've done have been marketed. Most of them have been off market broker relationship driven deals where it's just been spending the time grabbing that coffee bot here with that broker that you could just be a face in front of them. You're probably never going to be the only one call that deal. But you just want to be on that shortlist ultimately,

Brian Briscoe 24:56

yeah, yeah, we we put a lot of effort into brokers. too, and one of my partners is very good at that. And I think the goal like he said, is to be on that shortlist. We've had several incidences where a broker has called us and said, hey, I've got this deal just came down the pipes Get ready. I don't know how many people that call goes out, too. But I think that's the ultimate goal is to be on that shortlist.

Josh Eitingon 25:22

And it's always what came first the chicken or the egg. Right? I know, you can say it's true. In your case, getting that first deal done, really gives you some traction to be able to, to just run and build off that and you're and then you became you become real. I mean, it's it's a challenge. Getting that first meaningful deal done, because you don't have a track record to really site and that broker or owners just relying on on you and and whatever confidence you're able to project basically. Yeah,

Brian Briscoe 25:54

yeah, absolutely true. Absolutely true.

Lee Ancona 25:56

Yeah. You mentioned a good point in there was building relationships. And I'm a big true fan. And you know, I have a little act and believe, like trust BLT, just establishing the rapport through someone and you know, it's a numbers game, the more people you can sit down and talk with and mutually have a conversation about something more than just yourself, you know, just having a natural conversation and seeing how you can provide value bring something to them. So I appreciate that. Another question I have is, so I have friends and family with money to invest. And I have a desire to be a GP or a JV partner, what is the best way to find an experienced GP, JV partner that will allow me to be part of their team?

Josh Eitingon 26:37

Well, I think you're already on the right track, it sounds like you're involved in a few different networks and groups where there are people that are excelling at your level or at levels above. I think the key part of the equation, really, for you making money, which I know everyone wants to do this, and but there's money driven. There, we want, you know, you want to make money when you're doing deals, the bills, you need to be able to show value, you know, if that's your piece to the equation that's going on. So whether it's you being the boots on the ground, because you're in this market where you know, your partner may be interested or your brain the value from, you know, it could be like project management type experience, and you're putting it all together and quarterbacking it, maybe you're the lead underwriter that's underwriting, you know, 10 deals a week and really providing that value to the team. It's got to be that meaningful value as part of it. Maybe you're the one that's flying throughout the country that's finding the deal. Otherwise, if you're just jumping in and you have a few family members, Jory, you could get I think a lot of people might find a way to work with you. But I don't think it's going to it's not going to satisfy your goal of ultimately being able to make this a business unless you're able to bring value get paid for that value, and really take an active role in the deal.

Lee Ancona 28:12

Okay, awesome. Yeah, no, that makes sense. It's, we need we need to pay the bills, for sure. Yeah, thank you for that. All right. You mentioned earlier that a smaller deal is similar in time, and sweat equity to the bigger deals, and you recommend going on a bigger getting a bigger deal, if possible. What are your thoughts on newer investors j being a deal?

Josh Eitingon 28:38

Yeah, and take you know, the bigger deal is, since it's relative to everyone, your deal, you know, it could be a 200 unit deal and a bigger unit deal for me, it could be 100 units. So it's really just the sentiment of continuing to push yourself out of your comfort zone. I think more than anything else, I think the JV approach is a is a good way for anyone to get started or are moving. I think a lot of ways Brian could probably speak to this question better than I can because he really from day one, partnered with a group of people that just aligned had sort of, I'd say pretty clear goals and expectations for everyone's role, and ran with her as much of what I was doing. I was really quarterbacking everything and touching everything. And I brought on a partner sort of later on my business. But Brian, I think you're not the shift version of the question. That's fine.

Brian Briscoe 29:38

Yeah. So I mean, we, yeah, I get three partners. And you know, it was it was almost magical how that came together. But I think what you really need to do and Josh mentioned this earlier, is if you want to make this a business, you've got to get that first deal under your belt. And I think it has to be big enough to get broker's attentions, you know, so If you're trying to do large multifamily, a four Plex is not the way to go. So if you can JV with three or four other people where you're pooling your resources, and you can tackle something that's maybe you know, a 20, or 30, or a 40 unit, I think that is a wonderful starting point. Because, you know, you don't have to worry about the raising money aspect, the syndication aspect, which can't can be complicated. But, you know, I would just say, you need to make sure you're getting something that's large enough to get the broker's attention, you know, so our first deal was a 55 unit, $4 million purchase, which was large enough to get broker's attentions, you know, and to get it good as a track record. So, you know, whether whether you JV or syndicate your first deal, you know, it is up to you and how big you go is up to you. But I would just say it needs to be big enough that it establishes a track record for you, you know, and we're that we're that breakeven point is, you know, it's somewhere between four and 50.

Josh Eitingon 31:02

I think one other perhaps cautionary just comment right now, it's an extremely competitive environment on multicounty side, no question, it's likely going to stay competitive for the foreseeable future, there is a lot of noise in the JV space in the sort of raising money space. So there's a lot for you to combat and deal with, I think that any ability for you to partner up meaning like partner with someone that has done this at a another level already will offer additional credibility for you to be accepted. That's possible, I think it's a good idea just to help just build the foundation better for you. With that, or with Yeah,

Brian Briscoe 31:50

now I agree, I had, I had two options going in two very viable options going in, you know, one of them was partner with somebody who's more experienced, I have somebody offered to bring me on to the team. And then I had the other option of do the paid coaching, you know, which, which is the direction I ended up going. But, you know, I think, you know, end of the day, you know, if you can, if you can latch on to somebody with more experience it makes, makes life a lot easier. And oh, by the way, I was very much relying on Josh's experience a lot when I was calling brokers, you know, because they asked me about my experience. And I would say, well, personally, I don't have a lot of experience, but my mentor has this, that and the other day, my mentor is walking me through these and everything else, you know, so I think being able to rely on somebody else's experience is, is absolutely crucial. Whether it's, you know, a paid paid for mentorship or whether it's, it's something else, it's I don't, I don't know, if I've been able to do it to the scale that we did without that.

Lee Ancona 32:52

And that makes sense, the credibility pieces, the name of the game, the more you can prove yourself, the more brokers know that they can trust you, and at the end of the day closing get paid. So what they're trying to, you know, accomplish.

Brian Briscoe 33:05

And leave, we got time for one more question. So,

Lee Ancona 33:07

all right, this is right up your alley, Josh, what should a new investor know about asset management? And the second part of that question is when trying to fulfil that portion of the team or bringing value to an experienced operator?

Josh Eitingon 33:21

Well, okay, so I think it's tough for someone that does not have direct asset management experience, check the asset management box for an experienced operator, you know, you're sort of putting something you're putting a roll together that that would be difficult for you to satisfy at a level above the experience operator? That's to answer the question. I think the most important thing with asset management is just the proactive component of it. If you sit back and wait, you're going to be receiving financials that are a month and a half behind. Whatever time you're out, you're already 45 days behind an issue that may be able to identify that whereas if we can we you are correctly monitoring availability, ensuring those units are ready when they're going to be ready when the marketing is started. For those units, any up hit coming, notices to vacate any delinquent tenants ensuring that filings on those tenants have started immediately and not just waiting two weeks, just because they're waiting two weeks, and ensuring everything week to week is moving. I think that's the key piece of asset management that you are being proactive in every step that that you take on that side. I think that's really, really critical. And it touches on every component of asset management, whether it's a capital plan, you're not going to be able to snap your your fingers and have a BIM built in. You know, you have to be as proactive as possible to move those pieces and all of that ties in to the overall business plan and ultimately Success.

Brian Briscoe 35:02

Yeah, all agree. I mean, we've been in the asset management business for just over a year now. And what he talked about is basically a lot of the things that we have on our key, our KPI or key performance indicator list that we're talking about on a weekly basis. And incidentally, Josh, thanks for the KPI spreadsheet that you gave us because it's really good. Anyway. So on a weekly basis, we're talking over these key indicators. And I think Josh made made a great point, you don't wait until your income statement comes in, you know, which is, you know, 1515 to 20 days after the the month period is ended, to find out that you've gotten a tonne of vacancies. So weekly calls and a very well thought out key performance indicator discussion every week, and then just make sure you're, you're pushing your agenda. That's what we found to be helpful in the last year. Obviously, Josh has a lot more experience in it. So that's my two cents. All right. Well, we're running out of time. So you know, thank you, to you, too, for for coming on the show today. very much appreciate your time. And one more question for each of you, Josh, you're gonna go first, how can listeners learn more about you or contact you?

Josh Eitingon 36:12

Or so we'd love to connect, whether it be from just an advice perspective, I really am happy to give a few minutes and give some advice that regardless of your experience level, in DSC properties, comm slash scheduler, you can directly book some time on my calendar. And then also, on the investment side, like I mentioned earlier, we do have this Atlanta project coming up, we'd love to connect to discuss that we do only work with accredited investors at this point, again, happy to just share, connect, whether it's not this deal. We'd love to get you our pipeline and give access to some of our upcoming projects. All right,

Brian Briscoe 36:49

and we'll have that information to contact you in the show notes. So if you're listening to this and you want to contact Josh, just tap your screen swipe up and get those show notes. All right, Lee, same question for you. How can people learn more about you or possibly get in contact with you?

Lee Ancona 37:03

Some things Brian for having me on and Josh, I appreciate it. All the questions to be answered as well. So there's two ways to get a hold of me one on LinkedIn just at Lee and Kona, a n c o na, and email is Li at True North equity group. And true is Tru North equity group calm

Brian Briscoe 37:25

Alright, and we'll also have that in the show notes too. So you know, once again, guys, thank you so much for coming on the show. This has been a pleasure. And that's that.

Thank you for listening to the divergent apartment investor podcast today brought to you by four oaks capital. If you'd like to know more about how to invest in apartment buildings or want to be a guest on our show, visit our website at four oaks capital comm slash podcasts or email us directly. If you're still listening, you obviously like the show. So pull out your phone app, subscribe, and leave us a five star rating on your favourite podcast app. And we'll see you again next week.

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