From Flipper to our first passive deal ($28mm first deal!)

[Steven Libman]

We started 8 years ago wholesaling. Then Flipping. Then both. We now run one of the largest wholesaling operations in NJ. Profitable? Sure. Fun? Yes. Active? VERY. We got into real estate to have financial freedom and the truth is, flipping and wholesaling is a great job. Even after hiring a COO, its still not passive. The dirty little secret about residential investing is this: it's a lot of work, and it pays you once. I knew rentals was the way to go, but NJ price per door and cap rates seemed like a hurdle i didn't want to clear. Multifamily seemed out of reach without any assets already under management, and the deals we were seeing weren't really good. A mentor once told me "the moneys not in the deal, the moneys in the money". So we found an expert operator and offered to bring money to the table, and it *clicked*. Our first deal was a 14mm ground up construction project of a self storage facility which we pro forma to exit at near 30mm! Since then we have closed on a student housing complex, another development and are under contract on another 30mm in projects.... We will go from 0-50mm AUM in 9 months. And it will pay us every single month. :)

[Steven Libman]

@Michael Bishop we began syndicating for experiences sponsors; sorry if I wasn’t clear!