6/27/10: Cashing In on the Changing Retail Market

Retail real estate across the country has been mauled by the recent bear market. Many large retail centers are vacant and dilapidated, while many more are under performing.  What’s next for retail?  More importantly, what’s the opportunity?  To find out, The Real Estate Guys™ call on a big deal hunter who has over 30 years and billions of dollars of experience!

On safari in the studio for this broadcast:

  • Driving the jeep in his khaki’s and bush jacket, host Robert Helms
  • Pushing the jeep in his leopard skin loin cloth, co-host Russell Gray
  • Riding shotgun and snacking on frikkadels, the Godfather of Real Estate, Bob Helms
  • Big deal hunter, special guest Tom Morris

When you enter the jungle of real estate investing to hunt for opportunity, you never know what challenges will cross your path.  Many obstacles and dangers can be avoided.  Others must be met head on.  Of course, when you’re hunting, your objective is to locate the prey and subdue it.  In other words, there’s risk involved.

Shooting fish in a barrel or hunting rabbits is one level of risk…and one level of reward.  Going after the big opportunities often entails a higher level of risk and requires a higher level of skill and experience.  That’s why most investors are well-advised to start small.  It’s also a really good idea to be mentored by more experienced hunters before taking on the big game.

So you can imagine how excited we were when we first met Tom Morris.  He’s been hunting big time real estate opportunity for over 30 years and after billions of dollars of deals, he’s telling us that now is one of the greatest times ever to be a real estate investor. Really?  Okay, we’re listening!

Although he’s very experienced in all types of real estate, Tom’s love is retail.  We’re talking BIG TIME retail – as in shopping malls and retail centers with hundreds of thousands of square feet (on the small side)!  Tom’s been involved in mall projects with millions of square feet and hundreds of retail tenants in a single project.  Wow!  THAT’S big game.  Of course, if a big deal turns on you it can devour you very quickly, so you better know what you’re doing!  Fortunately, Tom tells us there are many things you can do to mitigate risk.

We start quizzing Tom about the state of retail in the wake of the Great Recession. What are the problems?  What are the causes?  Where are the opportunities?  We were SHOCKED to hear how BIG the discounts are on distressed retail assets.  It’s AMAZING how, with relatively little money, you can acquire assets with HUGE UPSIDE potential. (Sorry for all the caps.  We’re just EXCITED!).

BUT…(and it’s a big but), you better have a plan.  And you better have connections.  And you better be able to think outside the big box.  If you do, then there’s BIG money to be made!

Tom shares with us some of the creative strategies he’s currently employing to acquire and re-hab distressed retail properties.  Even if you don’t have plans to be a mall mogul, the principles Tom employs are applicable to other types of real estate.  Besides, any time someone with 30 years and billions of dollars of experience wants to share their wisdom, we think it’s a really smart idea to listen. Our attentiveness is rewarded when Tom reveals the single most important component of his success and the #1 investment of his career.

Not everyone is able to chit chat with a big time investor.  Tom doesn’t do seminars, write books or sell boot camps.  He’s just out in the real world doing the real thing.  That’s why you have The Real Estate Guys™!  Our mission is to hunt down big brains, powerful ideas and great resources that help you succeed.  Your job is to listen, learn and take action.  Plus, we really appreciate it when you tell all your friends about The Real Estate Guys™.  Enjoy!