All Forum Posts by: Leandro Abreu

Unfortunately I can't find the full podcast, neither have the context.  The only asset class he supports is productive farming land.

Investor Jim Rogers said "I would not be buying U.S. Real Estate" in a podcast two days ago. He then adds "The Chinese rush to buy U.S. Real Estate is probably a sign of a top in that market." 

Jim Rogers is a respected macro investor, and he's known for his long term positions. He's right more often then wrong also.

I'd like to ask other BP members what do they think about his opinion, and how can small investors protect themselves against whatever may be around the corner? 

What do you think?

@Azeez K. tudo ótimo. Obrigado. 

Many thanks for your insights.  I could find tons of interesting articles on Curbed about Reynoldstown and some projects that are going on. Very very helpful.  As curiosity, where did you pull the information about the zip code 30316? 

About your interest in my market: 

Brazil has entered into a recession and is now fighting against a political crisis, where congress and president can't agree on fiscal adjustments that must be made to "stop the bleed", Not to mention that currency devalued over 50% in the last 18 months (think of inflation in a recession environment), unemployment rise, and interest rate up at 14.25%, hence credit became scarce and expensive.

In this light, construction industry, that represents 10% of our GDP, is among the ones that are suffering the most: prices going down, growing unsold inventory (24 months in certain zip codes), etc. It's almost a perfect storm.

In terms of returns, I've been able to generate mid 20'% IRR returns as my projects started in 2011/2012. I see many hedge funds providing mez debt at 20%+ returns with significant collateral. Not a bad deal. However, when you put into perspective our Fed interest rate, it's not a huge premium to the level of risk the market offers.

Brazil is a great place for vacation though! 

Given that scenario, I'm looking overseas and expect I can get similar returns (25-30%IRR) in Atlanta.

@Cynthia Calhoun , I wasn't aware of the Belt Line project - thanks for the heads up. Seems it's already resulting in material transformation in certain areas of east Atlanta.

Cynthia, please email me more info about lots you have in and around Cabbage town/Reynoldstown are, or others areas: they must be at a walking distance to the Marta and retail, 1-4 acres, and fully entitled, and zoned for townhomes.

Again, many thanks for you help!

Hello BP Members.

My very first BP post goes to Atlanta BP members.

I’d like to get in touch with local investors and developers that are familiar with Reynoldstown area.

There is a residential development opportunity I’m considering and would like to hear your thoughts on that market.

Although my own research found good aspects to sustain a move forward decision, there is nothing better than locals’ knowledge.

The types of questions I have are:

1.How do you perceive Atlanta home ownership rate outlook compared to the US home ownership rate decline trends?

2.What are the bad things about Reynoldstown area that no one talks about?

3.What are the top 3 things investor should be aware of when investing/developing in Reynoldstown/Atlanta?

4.What’s the 2016 outlook for Atlanta residential sales activity and price growth?

5.How much exposure does the micro region to Fed’s incoming interest rate rise?

6.How attractive the area really is for households profiles with annual incomes greater than $80K?

7.How strong the demand for $500K+ townhomes (such the Axis project at Delkab Ave) really is?

8.What appeal does modern look architecture such the project above has locally compared to traditional architecture such RTown Lane project at Kirkwood ave?

9.What rent rates should the Greystar multifamily project get at Moreland Ave (across the street from Edgewood Retail District)?

10.Who are the top residential 2 brokers in Reynoldstown area that I should talk?

I haven’t been in Atlanta yet, and I’ve been trying to get as much knowledge about the market as possible prior to jumping into a plane. 

I’m based in Brazil, so this is like “out of state investing”.

Looking forward to hear your thoughts.

Many thanks!

L

About myself: I’ve started my career in 2004 as an architect and since 2009 I’ve been focusing on ground up development. I’m currently developing a 224 unit condo project close to Sao Paulo International airport, and a downtown renovation project converting a 80,000sf+ empty building into 201 affordable units.

Personal goal: I’m interested in diversifying my portfolio in the US (and learn about it) and building a long term relationships along the way.