All Forum Posts by: Harrison Jones

I’ve recently had some interesting opportunities come my way that I believe align with your expertise and might benefit from your insights. I’d love to connect and discuss them further if you’re open to it.

Looking forward to hearing from you!

Thank you for your thoughtful feedback—it’s clear that I need to clarify the distinction between my approach and the traditional perception of “cheap rent.” Let me address a few points to better explain the goals and economics behind what I’m trying to achieve.

1. Affordable Housing vs. Cheap Rent:

You’re absolutely right—affordable housing and cheap rent are not the same, and my approach isn’t about simply driving rents down. Instead, it’s about creating a system where housing remains accessible and sustainable over the long term. Here’s how:

• Efficiencies Through Scale: By owning and managing a portfolio of properties, we can control operating costs and avoid the rapid rent hikes caused by liquidation or speculative investors.
• Economic Stability: Affordable housing becomes viable when tenants have steady incomes. Our model invests in workforce development and financial education to help tenants build a stronger financial foundation, ensuring housing remains both affordable and sustainable.

2. Aligning Investors With the Mission:

I understand the skepticism about involving investors in a mission-driven project. However, the structure isn’t about charity—it’s about balancing returns with long-term community impact.

• Returns Through Cash Flow: Our real estate assets will cash flow, generating returns for investors over the first 20-30 years.
• Reinvestment for Sustainability: A portion of the profits will be reinvested into community programs to create a more stable tenant base and reduce turnover.
• Long-Term Value Creation: By focusing on economic development and housing stability, the portfolio grows in value over time, benefiting both the community and investors.

3. Subsidized Housing and Section 8:

You’re right that Section 8 and subsidized housing present economic challenges for landlords, which is why so many avoid it. However, part of our strategy is to build a property management company that specializes in working with subsidized housing programs. This creates a reliable framework for managing these units while aligning incentives with municipalities and other funding sources.

We’ve already implemented financial literacy programs, workforce training, and community-building activities to address the underlying challenges that tenants face. These programs aim to reduce dependency and build a more self-sufficient tenant base while fostering a sense of community.

Thank you for the feedback—it’s clear this discussion has helped me better articulate my goals and address the disconnect between my vision and the typical investor mindset. Let me clarify a few points.

1. The Market Context:

The area I’m working in is not a large metro but a poorer region where issues like food insecurity affect 14–20% of the population. This isn’t about chasing high-growth markets; it’s about addressing systemic issues that impact quality of life and economic stability. Housing is just one part of the equation—our model aims to reduce housing costs by lowering ownership costs over time.

For example, many mom-and-pop landlords keep rents well below market rates (e.g., $600 vs. $1,200) because they aren’t forced into liquidation events that reset property values. Our model builds on this principle by creating a long-term vehicle that avoids rapid turnover and speculative price inflation.

2. Redefining Value Creation:

I understand the skepticism because my approach challenges the traditional real estate investment mindset. Many investors focus on short-term returns and rent growth, but my target investment vehicle is people.

• By focusing on workforce development, education, and community stability, we’re creating a system where tenants and stakeholders benefit over decades.
• The time horizon is long—70+ years—but the goal is to ensure sustainable growth and community value far beyond immediate profits.

3. Addressing Investor Concerns:

I absolutely recognize that investors need returns within a reasonable timeframe. That’s why our syndication model is designed to provide them with profits over the next 30 years while reinvesting in the community to ensure long-term stability. Beyond that point, the returns aren’t just monetary—they’re legacy-driven.

I find it surprising that some investors can’t see the value of this mission. It’s about more than short-term gains; it’s about creating a self-sustaining system that prevents the very liquidation events that drive rents up and communities out.

4. The Mission:

At its core, this isn’t just about housing or investments—it’s about completely rethinking how value is created. By using time as a key asset, we can ensure that:

1. Properties remain affordable and community-focused.
2. Tenants have access to education and workforce opportunities.
3. Investors receive steady returns without destabilizing the market.

To Summarize:
This project isn’t conventional, and I don’t expect everyone to immediately align with the vision. But for those who do, it offers an opportunity to be part of something transformational—creating a model where real estate serves as a tool for building people, communities, and lasting value.

I’d love to hear from others who’ve worked on long-term, mission-driven projects. How did you balance the tension between short-term returns and long-term goals?

Thank you for sharing your perspective—I completely agree with many of your points, and I’d like to clarify how our approach addresses some of the challenges you raised.

I’m currently working with local municipalities, some of which rely on S8 housing programs, and part of my mission is to create an entity that can hedge their risk while also offering a more holistic approach. For example, I’m currently assisting a municipality in purchasing a 200-unit complex that cash flows, ensuring long-term stability for their housing needs.

Our Program’s Unique Approach

Our organization is specifically geared toward the Native American population—a demographic that often faces significant systemic challenges. While statistics for this group aren’t always promising, one thing they deeply value is culture. By leveraging this cultural connection, we aim to create a vehicle that not only provides housing but also builds community and fosters growth.

Here’s how we approach it:

1. Acquiring Labor: The primary role of our units isn’t just to house individuals but to enable them to acquire stable labor opportunities. Once someone moves beyond the survival line, they tend to become more teachable and coachable, making financial education and other developmental programs more impactful.
2. Financial Education: Our organization is designed to provide financial literacy as a core program. For example, one of our first initiatives will be pageants aimed at fundraising and instilling healthy financial habits, bridging the gap between cultural activities and practical education.
3. Sustainable Cash Flow: Real estate remains a key component to fund our programs. With our current deal, we’re projecting around $5,000 in monthly cash flow if it closes as expected. This ensures that the operating costs of the buildings are covered over the long term, allowing the organization to focus on its broader mission.
4. Addressing Consumerism and Ignorance: I completely agree with your concerns about the overtly consumeristic nature of society. Much of the behavior we see stems from a lack of education or awareness. That’s why we’re so committed to bridging this gap through targeted programs that emphasize financial stability and healthy habits.

Why This Matters

This isn’t just about housing or education—it’s about creating a system that fosters sustainable growth. By addressing housing, labor, and financial literacy as interconnected needs, we aim to empower individuals to break cycles of poverty and dependency while preserving and celebrating their cultural heritage.

I’ve recently written a paper on consumerism and its effects, which aligns with much of what you’ve said. I’d love to share it if you’re interested—it might add some context to our approach.

Hi everyone,

I’m working with a cultural heritage organization and have a background in real estate. We’re looking to install a property management firm within the organization as a way to generate steady income and keep operations running. To achieve this, I’m planning to scale rapidly by performing a couple of syndications to acquire a larger portfolio.

I currently have a portfolio of 17 properties, but to justify labor costs and create a sustainable structure, I need to expand quickly. That said, I’ve never carried out a syndication before, so I’m looking to hear from those of you who have.

1. 1) What was your experience with syndication?
2. 2) How did you structure your first deal, and what challenges did you face?
3. 3) Any advice for someone starting out, especially when trying to scale a mission-driven organization like this?

Syndication seems like the most viable way to grow quickly and align with our goals, but I’d love to learn from others who’ve been down this road.

Looking forward to hearing your insights and experiences!

Thank you for your questions—they’ve really made me reflect on the core of why I’m doing this. The truth is, my “why” is simple.

I believe that income is derived from the principle that you earn 10% of the value you create. That idea has completely reframed my mission: to create as much value as possible, as rapidly as possible.

This organization is my vehicle for doing that. Its mission is to improve lives by lowering barriers to opportunity and creating systems that empower people to thrive. Value, to me, means improving other people’s quality of life, and this project allows me to impact as many people as possible in a meaningful way.

Why This Organization?

This organization has a history of creating real, lasting value. Its byproducts include over five churches and numerous community-building activities whose effects are still felt today. It’s uniquely positioned to partner with municipalities and other entities, helping them liquidate assets or solve challenges, which further accelerates its ability to make an impact.

At its core, the organization will focus on:

• Creating Value: Through education, economic development, and cultural enrichment programs.
• Providing Access: Lowering barriers to entry for community members who lack resources or skills.
• Scaling Impact: Working with municipalities and businesses to amplify its reach and effectiveness.

Why Am I Really Doing This?

Honestly, part of it is personal. I want to prove to myself that I can take on something of this scale and succeed. But more importantly, it’s about building something bigger than myself—a system that empowers the community and leaves a legacy of impact.

This project isn’t just about restoring a historic site or running a program—it’s about creating a vehicle for change that allows others to succeed. Whether it’s through job creation, education, or simply providing a starting point for someone’s journey, the goal is to create opportunities that ripple through the community for generations.

Thank you for the feedback—it’s a provocative take, and I appreciate the opportunity to discuss it further.

You’re right in identifying the “race to the bottom” dynamic, and in many ways, isn’t that the essence of capitalism? Competition drives efficiency, innovation, and value creation. However, my aim isn’t to simply drive down prices for the sake of it. Instead, it’s about creating a sustainable model that balances profitability with cultural and societal value.

Capitalism, at its core, thrives when there’s a focus on value creation—not just cutting costs but creating something meaningful and enduring. In this case, the “value” I’m building isn’t just financial; it’s cultural, economic, and community-focused. By leveraging time, scale, and diversified revenue streams, the goal is to create a system that enhances the quality of life while still remaining financially viable.

This isn’t a race to the bottom—it’s a race to a better balance.
A balance where real estate can:

1. Generate sufficient returns to attract investors and sustain itself.
2. Gradually reduce costs for underserved communities through scale and efficiency.
3. Reinvest in local economic initiatives, workforce development, and cultural preservation.

Capitalism can do more than just compete; it can also collaborate and innovate for shared value. My model seeks to harness these principles to align long-term profitability with community impact.

I’d love to hear your thoughts—how would you suggest balancing these goals in a way that doesn’t just compete but also creates lasting value?

Thank you for the great question—it’s a critical point to address. Let me break it down further to clarify the mechanics of the plan.

1. Balancing Rental Prices with Financial Sustainability:
   The goal to drive down rental prices isn’t an immediate or universal adjustment—it’s a phased approach that leverages time, scale, and operational efficiency. Early on, rents would remain market-aligned to ensure the portfolio generates the income needed to cover expenses, pay investors, and reinvest in expansion. Over time, as the portfolio grows and economies of scale reduce per-unit costs (e.g., through streamlined property management, lower maintenance costs, and improved operational systems), we’ll have the flexibility to adjust rents strategically in a way that supports affordability for specific tenant groups, like workforce housing.
2. Generating Income Beyond Rent:
   The portfolio’s income isn’t solely reliant on rents. The plan includes high-yield activities such as property flips and strategic acquisitions to provide liquidity and generate returns. These activities will allow us to both pay back equity partners and reinvest in long-term growth. Additionally, we’re integrating trade-focused businesses (e.g., plumbing companies) into the organization’s ecosystem, creating another revenue stream that complements the housing initiatives.
3. Paying Back Investors:
   Investors will see returns in two phases:
   • Early Phase (5-10 years): Focus on cash flow from rents, property flips, and other high-yield projects to generate liquidity for investor payouts.
   • Long-Term Phase (10+ years): As the endowment scales and stabilizes, surplus income from the portfolio will be used to gradually buy out investor shares. This phased approach ensures that investors see returns while aligning with the organization’s mission.
4. Leveraging Time for Impact:
   Much like how institutionalized farmland uses time and scale to drive efficiencies and reduce costs, this model leverages a long-term horizon to create a self-sustaining cycle. By focusing on steady, incremental progress rather than immediate affordability, we aim to build a foundation that benefits both investors and the community.

Thank you for the thoughtful input—it really helps refine the model.

You’re absolutely right that countless factors impact housing costs—labor, materials, taxes, inflation, interest rates—and no single solution can address everything. Instead of attempting to suppress rents artificially, my approach focuses on a sustainable, market-based strategy with a long-term horizon.

Here’s how I see this working:

1. Leveraging Time, Scale, and Institutionalization:
   Similar to how farmland has been institutionalized, leveraging scale and time can be powerful tools. Large-scale farming operations have used economies of scale to drive down costs, allowing them to sustain operations and feed large populations. In the same way, this model aims to scale housing operations over decades, creating efficiencies and reducing costs. By gradually optimizing operations and reinvesting in infrastructure, the endowment can support more affordable housing options without destabilizing the market or alienating investors.

   Currently, we’re integrating three plumbing companies under our organization’s umbrella. This is both a business move and a workforce development initiative, targeting trades as a critical part of economic growth. By creating pathways into skilled trades, we can pipeline our population into higher-paying, stable careers while building the capacity to support future development. Additionally, I’m actively working with a business broker to identify and acquire more trade-focused businesses to expand our portfolio and capabilities.

2. Investor Alignment:
   I recognize that investors need clear returns, which is why this model focuses on high-yield activities early on, such as property flips and value-add opportunities. These returns would help attract and retain investors while aligning with the broader mission of long-term economic development.
3. Economic Development Through Housing and Trades:
   The vision isn’t just about housing—it’s about building entire ecosystems. By aligning housing with economic development initiatives like job creation, trade education, and support for local businesses, the goal is to foster community growth and stability. This includes funding trade programs that teach financial literacy, work ethic, and specialized skills, which can also directly support future development projects.
4. Workforce and Education:
   Your suggestion of focusing on jobs and trade education aligns perfectly with our vision. By starting with workforce development, we not only create immediate economic benefits but also lay the foundation for long-term growth. The profits from the initial real estate investments and trade businesses would fund future community-focused initiatives, creating a self-sustaining cycle of growth and reinvestment.

hank you for the thoughtful question—it’s a crucial one to address. Let me clarify how the model is designed to work.

The plan balances three key components:

1. Market Stability and Long-Term Focus:
   While the ultimate goal is to drive down rental prices over time, this isn’t an immediate or across-the-board change. The strategy relies on leveraging time and scale. As the portfolio grows, we’ll be able to implement gradual, strategic adjustments to rental rates, particularly for tenants in need, without undermining the overall financial health of the endowment.
2. Phased Returns for Investors:
   Investors will be repaid through a combination of rental income and profits from other high-yield activities, such as property flips, during the early phases of the project. The flips are intended to provide the liquidity needed to both pay back equity partners and reinvest into acquiring more properties for the endowment.
3. Diverse Income Streams:
   The portfolio’s income won’t rely solely on rentals. By scaling and diversifying operations—e.g., through short-term flips, leveraging existing assets (my 17 properties), and potentially engaging in mixed-use developments—the model ensures that there’s sufficient cash flow to meet investor obligations and fund community programs.
4. Gradual Affordability:
   Driving down rental prices is a long-term goal. It’s about using scale and efficiency to reduce operating costs, which, over time, can be passed on to tenants without compromising the endowment’s sustainability. For example, we might use renewable energy initiatives, grants, or government programs to offset costs.T