Adam Carswell, along with co-host Charles Wessel, brings on special guestRobert Beardsley, Founder & Principal at Lone Star Capital, to discuss how to create an internal deal memo for real estate properties.

In this episode, Rob talks about:

• The importance of a pitch deck to capture investor interest
• Key factors to emphasize in the business plan of a pitch deck
• The death of conservative underwriting and importance of defensible underwriting
• How to structure risk factors so to not scare off investors
• The “waterfall method” for structuring investor repayment

Adam would like to give a huge thanks to Rob for coming on the Dream Chasers platform and sharing his knowledge and experience putting together effective pitch decks for investors.

Watch the video replay here:https://www.youtube.com/watch?v=E3u6gWKKck8

Contact Rob Beardsley:

https://lonestarcapgroup.com/ | https://www.linkedin.com/in/rob-beardsley/

Timestamped Shownotes:

03:20 – Host Adam Carswell introduces special guest Rob Beardsley, Founder & Principal at Lone Star Capital

06:08 – Why should investors create a sample pitch deck before a full pitch deck for a real estate deal?

07:34 – Why is the location of real estate so influential in the success of the property?

09:06 – Why is the seller story and property background so important to a real estate deal?

11:25 – Why do investors want to know where a company is at in the process of their business plan and what they seek from an investment?

12:33 – What key factors should you emphasize in your company’s business plan?

16:10 – Why should you use defensible underwriting when providing comparables?

17:49 – How should risk factors be structured to not lose investor interest?

20:43 – How important is property tax consulting when assessing property locations?

24:24 – Why is conservative underwriting dead?

25:50 – How does the value-add component of a real estate deal affect the going-in cap rate and exit cap rate?

26:32 – What inspired Rob to write his book on underwriting, “The Definitive Guide to Underwriting Multifamily”?

28:24 – When should you share non-underwritten upsides of a deal to investors?

30:54 – What is Rob's “waterfall method” of paying investors?

32:33 – Why is Lone Star Capital looking to set up a fund rather than preferred equity deals?

34:12 – How is Rob currently investing his own money?

36:30 – What did Rob do to raise capital in order to build his brand company?

Sponsored by:

• Liberty Real Estate Fund (https://libertyfund.io/)
• RaiseMasters (https://5millionin30days.com/rm-application)