Industrial Insights: Recent Episodes
Justin Smith
Industrial Insights is a podcast that highlights the market dynamics, high level strategies, and in the trenches tactics for tenants and owners of industrial real estate. Each episode is designed to take hard fought wisdom from practitioners and break it down into insights that can drive better commercial real estate decision making. The host, Justin Smith, shares his experiences from 16 years in the business and brings in industry experts to discuss critical aspects of successful industrial projects.
In this episode of the Industrial Insights podcast, Justin Smith interviews Mike Myers from Lully, discussing the inefficiencies in warehouse management systems (WMS) and how Lully aims to improve operational efficiency without requiring significant changes to existing processes. They explore real-world examples of operational improvements, the challenges faced in warehouse operations, and the role of third-party logistics (3PL) providers in the current market. The conversation also touches on insights from the ProMAT conference and the future of warehouse management, including the intersection of AI and logistics.
Key Takeaways
- Lully focuses on improving existing WMS systems without major changes.
- Operational efficiency is key in logistics and warehouse management.
- Real-world examples demonstrate significant improvements in fulfillment times.
- 3PLs face unique challenges due to multiple client rules and requirements.
- The market for integrators in logistics is stable and growing.
- Old buildings will outnumber new ones, necessitating innovative solutions.
- AI is a part of the conversation but not the primary focus for Lully.
- Continuous improvement is essential for adapting to market changes.
- Understanding client needs is crucial for effective warehouse management.
- Collaboration between integrators and logistics providers is vital for success.
Chapters
- 00:00 - Introduction to Lully and Industry Insights
- 01:50 - Understanding Warehouse Management Systems (WMS) Challenges
- 07:40 - Real-World Examples of Operational Improvements
- 12:33 - Navigating Client Relationships and Expectations
- 18:42 - Continuous Improvement and Adaptation in Operations
- 21:31 - Current Trends and Challenges in the 3PL Industry
- 24:22 - Navigating Complex Operations
- 27:03 - Understanding Growth and Adaptation
- 30:00 - Insights from ProMAT Experience
- 32:53 - The Role of Integrators in Operations
- 35:53 - Embracing New Technologies
- 39:10 - The Future of AI in Operations
Episode Resources
Connect with Mike Myers
- https://www.linkedin.com/in/mike-j-myers/
- https://lully.ai/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
In this episode, Justin Smith welcomes Sharon Wellickson and Teresa Collins from the Irvine Children's Fund to discuss the Irvine Junior Games. They explore the history, impact, and structure of the event, which raises funds for childcare scholarships for low-income families. The conversation highlights community involvement, sponsorship, and the resilience of the program during the pandemic. They also touch on the importance of volunteer engagement and inclusivity in sports, culminating in a celebration of youth athletics and community spirit.
Key Takeaways
- The Irvine Junior Games started in 1986 as a fundraising event.
- The event raises approximately $200,000 annually for childcare scholarships.
- Over 1,400 athletes participate in various track and field events.
- Community sponsorships play a crucial role in funding the event.
- The event includes adaptive sports for students with disabilities.
- Volunteers are essential, with over 300 helping on the event day.
- The pandemic posed significant challenges, but the program adapted and survived.
- The event fosters community pride and involvement among families.
- Taco Bell's sponsorship is unique as they donate 100% of profits.
- The parade of athletes is a highlight, celebrating school spirit and community support.
Chapters
- 00:00 - Introduction to the Irvine Children's Fund and Junior Games
- 02:52 - The History and Impact of the Irvine Junior Games
- 05:33 - Athletic Events and Community Involvement
- 08:34 - Sponsorships and Community Support
- 11:17 - The Role of Volunteers and Teachers
- 13:55 - Adapting to Challenges: The Pandemic Experience
- 16:48 - Inclusivity in Sports: Adaptive PE Participation
- 19:34 - The Parade of Athletes and Community Spirit
Episode Resources
Connect with Irvine Children's Fund & Junior Games
- https://irvinechildrensfund.org/irvine-junior-games/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
In this episode of the Industrial Insights podcast, Justin Smith interviews Parth Pethani, the Director of Warehouse Design and Innovation at Prologis. They discuss the evolution of robotics in warehousing, the challenges faced by warehouse operators, and the role of Prologis in providing innovative solutions. Parth shares insights on the maturity curve of warehouse automation, the importance of data analysis, and the emerging trend of Robotics as a Service. The conversation highlights the need for self-education in the industry and the exciting future of warehouse technology.
Key Takeaways
- Robotics is becoming increasingly important in warehouse design.
- The concept of 'robot forward warehousing' is gaining traction.
- Warehouse operations face challenges such as rising rents and labor costs.
- Every warehouse goes through a maturity curve in automation.
- Data analysis is crucial for optimizing warehouse operations.
- Robotics as a Service is a viable business model for many companies.
- Self-education is essential for successful automation transformations.
- Prologis aims to be a growth partner for its clients.
- Emerging technologies are reshaping the future of warehousing.
- The integration of AI and robotics will enhance warehouse efficiency.
Chapters
- Introduction to Robotics in Warehousing
- 05:34 - The Evolution of Warehouse Automation
- 11:05 - Prologis' Role in Warehouse Solutions
- 16:22 - The Intersection of Real Estate and Automation
- 22:56 - The Discovery Process in Automation Solutions
- 29:29 - Robots as a Service: A New Business Model
- 35:56 - Future Innovations in Warehouse Management Systems
Episode Resources
Connect with Parth Pethani
- https://www.linkedin.com/in/parthpethani/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
In this episode of the Industrial Insights Podcast, Justin Smith interviews Rob Jensen, a PhD graduate in supply chain management, about his new venture focused on warehouse optimization. They discuss the importance of reducing overhead costs through efficient picking processes, the role of technology in modern warehouse operations, and the creation of a digital twin for better management. Rob shares insights on the ideal clients for their solutions, the value proposition based on cost savings, and the significance of education and networking in the supply chain industry.
Key Takeaways
- Rob Jensen has a PhD in supply chain management from the University of Arkansas.
- His company focuses on warehouse optimization to reduce overhead costs.
- The picking process in warehouses can be optimized significantly.
- Heuristics can limit efficiency in warehouse management systems.
- Creating a digital twin of a warehouse helps in optimizing pick paths.
- The ideal clients for their solutions are third-party logistics companies.
- Robotics in warehouses come with challenges that need careful consideration.
- Their pricing model is based on the savings they provide to clients.
- Education and networking are crucial in the supply chain industry.
- E-commerce growth is driving demand for third-party logistics services.
Chapters
- 05:28 - Understanding Warehouse Picking and Optimization
- 10:30 - Creating a Digital Twin for Warehouse Optimization
- 15:37 - Value Proposition and Cost Structure
- 20:09 - Conclusion and Future Opportunities
Episode Resources
Connect with Rob Jensen
- https://www.linkedin.com/in/robert-f-jensen/
- rob@miiplan.com
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
In this episode of the Industrial Insights podcast, Justin Smith interviews Neal Perry of Industry Coatings, discussing the intricacies of painting industrial buildings. They explore best practices, the evolution of paint materials, project management in new builds, challenges in color selection, and the importance of preventative maintenance. Neal shares insights on graffiti management, the aesthetic considerations in warehouse painting, and the significance of choosing the right materials for long-term value. The conversation emphasizes the need for due diligence when hiring contractors in the painting industry.
Key Takeaways
- Every job in painting is unique and requires problem-solving.
- Paint materials have evolved significantly due to regulations.
- Project management is crucial in new construction painting.
- Color selection impacts the longevity of paint jobs.
- Seasonal weather has minimal impact on painting schedules in Southern California.
- Repainting requires thorough evaluation and preparation of the building.
- Graffiti management can involve sacrificial and non-sacrificial coatings.
- Preventative maintenance can extend the life of paint and prevent damage.
- Aesthetic improvements in warehouses can enhance tenant appeal.
- Due diligence is essential when hiring contractors to ensure quality work.
Chapters
- 02:35 - The Evolution of Paints and Materials
- 04:54 - Project Management in New Builds
- 09:42 - Design Considerations and Material Choices
- 12:00 - Challenges with Color Longevity
- 13:24 - Seasonal Impacts on Painting Projects
- 14:32 - Understanding Repaints and Common Issues
- 18:44 - Evaluating Building Maintenance and Joint Repairs
- 21:12 - The Importance of Regular Painting and Maintenance
- 22:05 - Addressing Graffiti: Solutions and Challenges
- 24:46 - Preventative Maintenance: Keeping Buildings in Shape
- 27:07 - Aesthetic Considerations in Warehouse Painting
- 29:20 - Choosing the Right Materials for Property Value
- 32:44 - Due Diligence in Hiring Contractors
Episode Resources
Connect with Neal Perry
- https://www.linkedin.com/in/neal-perry-655b1839/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Justin Smith and John Gaglio explore various aspects of real estate investment and development. They discuss the importance of having an investor mindset, the unique challenges and opportunities in different markets, and the significance of collaboration in achieving successful projects. The dialogue emphasizes the need for adaptability and strategic thinking in the ever-evolving landscape of real estate. Key Takeaways
- The investor mindset is crucial for success in real estate.
- Understanding local markets is key to effective investment.
- Collaboration can lead to innovative solutions in development.
- Global perspectives can enhance investment strategies.
- Adaptability is essential in the changing real estate landscape.
- Effective communication fosters better partnerships.
- Preparation is vital for navigating investment challenges.
- Different markets require tailored approaches.
- Continuous learning is important for investors.
- Building relationships is fundamental in real estate
Chapters
- 02:39 - Understanding Power Demand in Modern Buildings
- 05:34 - The State of the Power Grid in Southern California
- 08:36 - Utility Rules and Regulations Explained
- 11:18 - Navigating Electrical Upgrades for Buildings
- 14:24 - The Importance of Upstream Capacity
- 16:58 - Transformers: The Gatekeepers of Power
- 23:43 - Understanding Electrical Load and Utility Coordination
- 28:38 - Cost Dynamics in Electrical Upgrades
- 35:08 - Navigating Utility Relationships for Successful Projects
- 42:41 - The Importance of Communication and Relationships
Episode Resources
Connect with John Gaglio
- https://linkedin.com/in/john-gaglio-569b46236/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Chris Vassilian and Justin Smith discuss the evolving landscape of subleasing in Southern California, highlighting current trends, challenges, and the dynamics between landlords, tenants, and subtenants. They explore the implications of market fluctuations, the importance of financial credit, and the complexities of navigating direct leases versus subleases.
Key Takeaways
- Subleasing is increasingly common in Southern California.
- Market fluctuations have created a unique subleasing environment.
- Subleases often offer flexibility but may lack concessions.
- Racking can enhance the attractiveness of a sublease.
- Landlords may have the right to recapture subleased space.
- Financial credit of the sublessor is a growing concern.
- Subleasing introduces complexities with three parties involved.
- Direct leases can sometimes be cleaner but less efficient.
- Timing is crucial when subleasing to avoid paying rent unnecessarily.
- The current market has many subleases available for consideration.
Episode Resources
Connect with Chris Vassilian
- https://www.linkedin.com/in/chris-vassilian/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
In this episode of the Industrial Insights podcast, Justin Smith interviews David Hickey from Hickey & Associates about the complexities of economic incentives in site selection. They discuss the various factors influencing site decisions, the misconceptions clients often have about incentives, and the importance of compliance and administration in capturing these incentives. David emphasizes the role of utilities in economic development and the current trends in industrial development, particularly in relation to power demand and sustainability. The conversation highlights the need for strategic planning and early engagement in the incentives process to maximize benefits for businesses.
Key Takeaways
- Incentives can strengthen business cases but won't fix bad locations.
- Clients often have unrealistic expectations about incentives.
- Understanding the local business climate is crucial for site selection.
- Compliance is a significant factor in receiving incentives.
- Utilities are becoming key partners in economic development.
- Economic development strategies should focus on retention and expansion.
- The California Compete Tax Credit is a competitive program.
- Many incentives are underutilized due to lack of awareness.
- Timing is critical when considering incentives for projects.
- The demand for power is a growing concern for industrial users.
Chapters
- 02:49 - Understanding Client Mindsets and Expectations
- 05:25 - Navigating Incentives: The Role of Brokers
- 08:18 - The Importance of Compliance in Incentive Programs
- 11:28 - California Competes Tax Credit: A Competitive Process
- 14:25 - Utility Incentives and Economic Development
- 23:07 - Utility Partnerships and Performance Targets
- 24:57 - The Role of Utilities in Site Selection
- 27:29 - Community Engagement and Power Demand
- 30:38 - The Semiconductor Boom and Infrastructure Needs
- 34:25 - Incentives and Economic Development Trends
- 37:09 - Navigating the Fiscal Cliff of Incentives
- 42:03 - Timing in Strategic Decision Making
Episode Resources
Connect with David Hickey
- https://www.linkedin.com/in/davidphickey/
- https://www.hickeyandassociates.com/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
In this episode of the Industrial Insights podcast, Justin Rappel from Pacific Industrial discusses the current state of the industrial real estate market, focusing on acquisitions and development strategies. He shares insights from his transition from brokerage to the principal side, the challenges and opportunities in various markets, and the impact of recent legislation on development. Rappel emphasizes the importance of understanding market dynamics, underwriting strategies, and the significance of building features in attracting tenants. The conversation also touches on the company's investment philosophy and the outlook for the future of industrial real estate.
Key Takeaways
- Justin Rappel transitioned from brokerage to acquisitions manager at Pacific Industrial.
- The industrial real estate market is currently facing supply constraints in various regions.
- Understanding tenant needs is crucial for successful development projects.
- Recent legislation in California is impacting industrial project approvals.
- The disconnect between buyer and seller expectations is a significant challenge.
- Yield on cost is prioritized over IRR in Pacific Industrial's investment strategy.
- Building features must align with long-term tenant needs and market demands.
- Market dynamics are constantly shifting, requiring adaptability in strategies.
- Networking and relationship-building are essential during market downturns.
- There are opportunities for growth and development despite current market challenges.
Chapters
- 02:48 - Transitioning from Brokerage to Principal
- 05:27 - Acquisitions and Development at Pacific Industrial
- 08:24 - Market Insights: Salt Lake and Vegas
- 11:10 - Navigating the Southern California Market
- 13:52 - Current Development Projects
- 16:49 - Legislative Impacts on Development
- 19:45 - Underwriting Strategies and Market Dynamics
- 22:23 - Building Features and Design Considerations
- 28:12 - Future Trends and Market Sentiment
Episode Resources
Connect with Justin Rappel
- https://www.linkedin.com/in/justin-rappel-ab591285/
- https://www.pac-industrial.com/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
In this episode of the Industrial Insights podcast, Justin Smith and Ralph Asher delve into the complexities of supply chain management, discussing current challenges, the role of automation, and the importance of data analytics. They explore how companies can optimize their supply chains through effective modeling and decision-making, while also addressing the implications of nearshoring and the evolving landscape of logistics. Ralph shares insights from his experiences at General Mills and Target, emphasizing the need for collaboration and problem-solving in the industry. The conversation concludes with advice for aspiring supply chain professionals and reflections on recent trends in the field.
Key Takeaways
- The importance of personal growth in professional settings.
- Navigating challenges can lead to unexpected opportunities.
- Building relationships is key to success.
- Reflection on past experiences can guide future decisions.
- Embracing change is essential for development.
- Collaboration can enhance problem-solving capabilities.
- Understanding different perspectives fosters better communication.
- Setting clear goals helps in achieving desired outcomes.
- Learning from failures is crucial for growth.
- Maintaining a positive mindset can influence outcomes.
Chapters
- 02:13 - Current Challenges in Supply Chain Management
- 05:25 - The Role of Automation in Supply Chains
- 08:51 - Understanding Client Needs and Demand
- 10:31 - Data Collection and Analysis in Supply Chain
- 13:22 - Exploring 3PL Options and Cost Structures
- 15:48 - Warehouse Automation and Its Implications
- 18:17 - Modeling Techniques and Best Practices
- 21:00 - The Future of AI in Supply Chain Modeling
- 22:43 - Trends in Data Utilization and Analytics
- 27:37 - Nearshoring and Its Impact on Supply Chains
- 30:12 - Lessons from Experience in Major Corporations
- 33:55 - The Importance of Collaboration and Problem Solving
- 35:57 - Advice for Future Supply Chain Professionals
Resources
Connect with Ralph Asher
- https://www.linkedin.com/in/ralphasher/
- https://datadrivensupplychain.com/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
In this episode of the Industrial Insights podcast, Justin Smith interviews Rob Quarton from Walker & Dunlop, discussing the evolving landscape of commercial real estate financing. They explore the impact of the pandemic on the market, current trends, and the outlook for various asset classes, including industrial, multifamily, and retail. Rob shares insights on innovative financing strategies and the importance of networking through organizations like NAIOP. The conversation emphasizes the need for adaptability and proactive engagement in the real estate sector.
Key Takeaways
- The pandemic caused a significant pause in the real estate market, but recovery is underway.
- Interest rates have a profound impact on real estate financing and investment strategies.
- There is a growing optimism in the market as rates begin to stabilize and decrease.
- Retail and industrial sectors have shown resilience and growth post-pandemic.
- Networking and relationships are crucial for success in real estate transactions.
- Innovative financing strategies are being implemented to navigate current market challenges.
- The importance of understanding asset class performance is key for investors and developers.
- Preparation and proactive engagement can lead to better opportunities in real estate.
- NAIOP provides valuable networking opportunities for professionals in the industry.
- The market is dynamic, and staying informed is essential for making strategic decisions.
Chapters
- 00:00 - Introduction to Commercial Real Estate Financing
- 02:54 - Navigating the Pandemic's Impact on Real Estate
- 05:40 - Current Trends in Real Estate Financing
- 08:58 - Dealing with Challenges in Real Estate Transactions
- 11:33 - Market Activity and Future Outlook
- 14:38 - Strategies for Success in a Volatile Market
- 17:42 - Asset Class Performance: Industrial, Multifamily, and Retail
- 20:24 - The Evolving Office Space Landscape
- 23:32 - Innovative Financing Strategies
- 26:44 - Preparing for Future Opportunities
- 29:21 - Involvement in NAIOP and Networking Opportunities
Episode Resources
Connect with Rob Quarton
- https://www.linkedin.com/in/rquarton/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
In this podcast episode, Chris and Justin discuss various aspects of supply chain logistics, focusing on the concept of blend and extend leases. They explore the reasons behind this leasing strategy, the importance of landlord contributions to building improvements, and strategies for landlords to attract tenants to vacant properties. The conversation highlights the current market dynamics and the need for flexibility in leasing agreements.
Key Takeaways
- The busiest airport for freight in the US is Memphis.
- Blend and extend leases are becoming more common in today's market.
- Landlords may need to contribute to building improvements to attract tenants.
- Vacancy rates are a concern for landlords in the current market.
- Short-term leases can be a strategy for attracting tenants.
- Understanding tenant needs is crucial for successful leasing.
- Landlords are willing to negotiate to maintain occupancy.
- Capital investments in buildings can lead to better lease agreements.
- Market rates are higher than legacy rates for many tenants.
- Creative leasing strategies are necessary in a competitive market.
Chapters
- 01:29 - Exploring the Concept of Blending and Extending Leases
- 03:12 - Factors Influencing the Decision to Blend and Extend
- 05:36 - The Role of Building Improvements in Lease Negotiations
- 06:24 - Strategies for Leasing Buildings in a Competitive Market
In this episode of the Industrial Insights podcast, Justin Smith speaks with Janet Ydavoy from 910 Advisors about the complexities of supply chain management. They discuss the challenges companies face as they scale, the role of third-party logistics (3PLs), and the importance of effective inventory management. Janet shares insights on global supply chain considerations, the impact of technology and automation, and strategies for managing returns. The conversation highlights the need for a cohesive approach to supply chain operations and the emerging trends that will shape the future of the industry.
Key Takeaways
- Supply chain challenges can often be simplified to fundamental issues.
- A cohesive calendar is essential for aligning company operations.
- 3PLs are increasingly being utilized for global distribution needs.
- Effective inventory management is crucial for meeting consumer demand.
- Returns management is becoming a significant concern for retailers.
- Technology integration is key to improving supply chain efficiency.
- Companies must consider global inputs when designing supply chains.
- The transition process in supply chain management can be disruptive.
- Automation in warehouses is essential for optimizing operations.
- Future trends will focus on streamlining supply chain processes.
Chapters
- 00:00 - Introduction to Supply Chain Challenges
- 02:15 - Navigating Supply Chain Complexity
- 04:55 - The Role of 3PLs in Modern Supply Chains
- 07:18 - Inventory Management Strategies
- 09:12 - Global Supply Chain Considerations
- 11:41 - Scenario Planning and Stress Testing
- 13:42 - The Impact of Returns on Supply Chains
- 15:56 - Technology and Automation in Warehousing
- 18:14 - Project Management in Supply Chain Transitions
- 20:53 - Future Trends in Supply Chain Management
Episode Resources
Connect with Janet Ydavoy
- https://www.linkedin.com/in/janet-ydavoy-8333b09/
- https://910advisors.com/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
In this episode of the Industrial Insights podcast, Justin Smith interviews Chelsea Tamuk Levane from Cabot Properties. Chelsea shares her journey from intern to overseeing the West Coast operations at Cabot, discussing the company's growth, market focus, and strategic decisions in the industrial real estate sector. The conversation delves into networking, staying informed about market trends, managing acquisitions, and the challenges of the current leasing environment. Chelsea emphasizes the importance of understanding tenant needs, the intricacies of the bidding process, and the significance of in-house property management. The episode concludes with insights on exit strategies and the future outlook for industrial real estate.
Key Takeaways
- Chelsea Tamuk Levane has been with Cabot Properties for 10 years, starting as an intern.
- Cabot Properties has grown significantly, now operating in multiple international markets.
- Networking through organizations like NAIOP and ULI has been beneficial for Chelsea.
- The focus is on core coastal markets for investment opportunities.
- Staying informed through brokers and market data is crucial for success.
- Managing acquisitions requires strong organization and communication within the team.
- The bidding process has become more competitive, especially in a changing market.
- Underwriting involves both quantitative data and qualitative insights.
- Building attributes are still important despite current market pressures.
- Regular tenant communication helps mitigate surprises during the sale process.
Chapters
00:00 - Introduction to Cabot Properties and Chelsea Tamuk Levane 02:43 - Chelsea's Journey at Cabot Properties 05:37 - Expanding Cabot's Global Presence 08:15 - Market Focus and Strategic Decisions 11:12 - Staying Informed: Market Trends and Data 13:43 - Managing Acquisitions and Relationships 16:23 - Navigating the Bidding Process 19:08 - Underwriting and Deal Evaluation 21:29 - Understanding Market Dynamics 24:08 - The Art of Due Diligence 27:00 - The Papering Process and Challenges 29:40 - Exit Strategies and Market Considerations 32:19 - Value-Add Strategies in Real Estate 35:00 - The Benefits of In-House Property Management 37:35 - Future Trends and Opportunities in Industrial Real Estate Episode Resources
Connect with Chelsea Tamuk Levane
- https://www.linkedin.com/in/chelseactamuk/
- clevane@cabotprop.com
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
In this conversation, Justin and Chris discuss lease reviews and common issues that arise during the process. They highlight the importance of understanding tenant obligations, hold-over clauses, and the responsibility for maintenance and repairs. They also discuss the significance of aligning the lease with the tenant's intended use of the space and negotiating clauses related to relocation and environmental concerns. The conversation concludes with a mention of the benefits of training with an expert in lease contracts and a recommendation for a lease negotiation manual.
Key Takeaways
- Understanding tenant obligations is crucial when reviewing a lease.
- Aligning the lease with the tenant's intended use of the space is important.
- Negotiating clauses related to relocation and environmental concerns can protect the tenant's interests.
- Training with an expert in lease contracts can provide valuable insights.
- Using a lease negotiation manual can be a helpful reference guide.
Episode Resources
Connect with Chris Vassilian
- https://www.linkedin.com/in/chris-vassilian/
- cvassilian@leeirvine.com
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
In this episode of the Industrial Insights podcast, Justin Smith interviews Jesse Gundersheim of CoStar to discuss the Q2 stats for Southern California Industrial. They cover topics such as leasing activity, vacancy rates, deliveries, and the impact of e-commerce on the market. They also touch on the sales market, cap rates, and the correlation between port imports and absorption. Overall, the conversation highlights the current state of the industrial real estate market in Southern California and provides insights into future trends.
Key Takeaways
- Leasing activity in Southern California Industrial is rebounding, with record volume leasing in the Inland Empire in Q2.
- Vacancy rates continue to rise, particularly in LA, which has the worst industrial market fundamentals in the country.
- Construction levels have dropped, but there is still a fair amount of supply in the pipeline, especially in the Inland Empire.
- Amazon is expanding its presence in the market, opening the largest industrial building in the country in Ontario and signing leases for one million square foot buildings in the Inland Empire.
- Port imports are on the rise, indicating strong demand for industrial space, and there is a correlation between port imports and absorption in the market.
- Sales activity has slowed, but there are still opportunities for investment, particularly in longer-term holds.
- Cap rates vary across the counties, with the Inland Empire having the lowest cap rate in the country.
- The market is showing signs of stabilization, with pricing potentially reaching the floor and volume starting to increase.
- The industrial real estate market in Southern California remains strong, driven by strong demand, historical rent growth, and barriers to entry.
Chapters
00:00 - Introduction and Collaboration with CoStar 02:16 - Leasing Activity and Vacancy Rates 06:08 - Construction Levels and Supply Pipeline 15:22 - Amazon's Expansion and Market Impact 19:39 - Correlation Between Port Imports and Absorption 23:05 - Sales Activity and Investment Opportunities 26:21 - Cap Rates and Pricing Trends 28:24 - Stabilization and Future Outlook of the Market Resources
Connect with Jesse Gundersheim
- https://www.linkedin.com/in/jessegundersheim/
- jgundersheim@costar.com
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Michael Bucci, an investor in the industrial asset class, shares his journey and approach to investing in industrial real estate. He focuses on value-add properties for warehousing and distribution, with a preference for multi-tenant spaces. Bucci emphasizes the importance of understanding the market and the needs of the owners when approaching deals. He also discusses the financing process, including bridge loans and long-term loans. Bucci highlights the resilience of the industrial real estate market and the need to adapt to different market cycles. In this conversation, Michael Bucci discusses his experience in real estate acquisitions and the challenges he faced. He talks about how he navigated the market during the COVID-19 pandemic and the strategies he used to educate and negotiate with sellers. Michael also highlights the differences between the Canadian and US real estate markets, including tax advantages and market size. He shares examples of successful deals and explains his future plans for expanding his business. The conversation concludes with a discussion on the potential for condo conversions in the multi-tenant industrial sector.
Key Takeaways
- Understanding the market and the needs of owners is crucial in industrial real estate investing.
- Value-add properties with upside potential are preferred, especially those with low rents, expiring leases, or vacancies.
- Bridge loans are often used to finance value-add acquisitions, with refinancing as a long-term strategy.
- Adapting to different market cycles and structuring deals strategically is key to success in industrial real estate investing. Navigating the real estate market during challenging times requires creativity and flexibility.
- Educating sellers on the current market conditions and the value of their property can help facilitate deals.
- The Canadian and US real estate markets have different tax advantages and market sizes.
- Successful deals can be achieved by finding unique opportunities and leveraging seller financing.
- Condo conversions can be a profitable strategy in the multi-tenant industrial sector.
Chapters
00:00 - Introduction and Background 03:00 - Investing in Industrial Real Estate 07:36 - Finding Value-Add Opportunities 17:40 - Staying on as an Equity Partner 19:25 - Building an Acquisitions Pipeline 22:21 - Catering to Owner Needs 26:25 - Financing Strategies 28:25 - Adapting to Market Cycles 31:06 - Educating Sellers and Negotiating Deals 34:42 - Differences Between the Canadian and US Real Estate Markets 45:42 - Successful Deals and Future Plans 50:49 - The Potential for Condo Conversions in the Multi-Tenant Industrial Sector Resources
Connect with Michael Bucci
- https://www.linkedin.com/in/michael-bucci-real-estate/
- https://investingrealestate.com/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
In this episode, Justin Smith interviews Ralph Asher, an expert in network design and optimization. Ralph shares his background working at Target and General Mills, where he focused on supply chain design. He discusses the challenges and opportunities of network design during mergers and acquisitions, as well as the importance of data management in the process. Ralph also talks about his experience at Target, where he worked on omni-channel and last-mile e-commerce network design. He then shares his transition to independent consulting and the importance of marketing and sales in running a consulting business. Ralph Asher discusses the transition from working in-house to running his own consulting agency and the types of projects his team works on. They specialize in supply chain design, inventory optimization, network design, manufacturing optimization, and data analysis. They work with a wide range of sectors, but the common thread is that their clients want a data-driven approach. Ralph also highlights the importance of data in making supply chain decisions and dispels the misconception that perfect data is necessary. He emphasizes the impact of their projects, such as opening new facilities and changing organizations' approach to inventory optimization. Ralph discusses the handoff process and the role of supply chain project managers in executing the recommendations. He also mentions the increasing trend of using supply chain models for shorter-term decision-making.
Key Takeaways
- Network design and optimization play a crucial role in supply chain decision-making, especially during mergers and acquisitions.
- Data management is a significant challenge when integrating supply chain models from different companies during M&A.
- Omni-channel and last-mile e-commerce network design require innovative approaches and considerations for proximity to customers.
- Transitioning to independent consulting requires a focus on marketing, sales, and business administration in addition to supply chain expertise.
- Professional networks and public speaking engagements are effective sources of business for independent consultants. Transitioning from in-house to running a consulting agency involves working on a wide range of projects for different organizations.
- Supply chain design, inventory optimization, network design, and manufacturing optimization are some of the key projects Ralph's team works on.
- Their clients value a data-driven approach and are willing to provide data for analysis and recommendations.
- Data quality is not a barrier to making supply chain decisions, and even limited data can be used to make strategic insights.
- The impact of their projects includes opening new facilities and changing organizations' approach to inventory optimization.
- Supply chain project managers play a crucial role in executing the recommendations and coordinating with stakeholders.
- Supply chain models can be used for shorter-term decision-making and provide insights for adjusting strategies.
- Ralph emphasizes the importance of professional development for individuals working on supply chain projects.
Connect with Ralph Asher
- https://www.linkedin.com/in/ralphasher/
- https://datadrivensupplychain.com/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Eric Ruehle of West Harbor Capital discusses the company's background and their focus on the industrial real estate market. They specialize in value-add investments in the Southern California region, with a deal size of $10 to $50 million. Ruehle emphasizes the importance of relationships in the industry and the value of high barriers to entry, such as entitlement and zoning challenges. He also discusses the current state of the capital markets and the leasing market, noting that while there are challenges, long-term trends in the industrial sector remain positive.
Key Takeaways
- West Harbor Capital focuses on value-add investments in the industrial real estate market in Southern California.
- Relationships and high barriers to entry are key factors in adding value to properties.
- The capital markets are stabilizing, and there is plenty of equity available for industrial investments.
- Leasing fundamentals are softening in Southern California, but long-term trends remain positive.
- The company is optimistic about the future of the industrial sector, with strong tailwinds from e-commerce, manufacturing growth, and supply-demand imbalances.
Chapters
00:00 - Introduction and Background 01:20 - Founding of West Harbor Capital 03:16 - First Deals and Capital Partnerships 06:24 - Expansion into New Markets 08:01 - Regional and National Approach 09:06 - Favorite Markets and Market Dynamics 13:35 - State of the Capital Markets 15:54 - Leasing Fundamentals and Underwriting 18:09 - Bread and Butter Deals 23:12 - Adding Value and Exit Strategies 29:16 - Optimism for the Future of the Industrial Sector Episode Resources
Connect with Eric Ruehle
- https://www.linkedin.com/in/ericruehle/
- https://www.westharborcap.com/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
In this episode of Industrial Insights, Chris Vasilian discusses tenant representation frequently asked questions. The two main topics covered are the need for office space with a small warehouse component and the decision between lease renewals and relocations. Chris explains the different options for combining office and warehouse space and the considerations for each. He also discusses the factors that influence the decision between renewing a lease or relocating, including cost savings, space optimization, and market conditions. The conversation also touches on topics such as rental rates, free rent concessions, and negotiating operating expenses.
Key Takeaways
- When combining office and warehouse space, options include adding a storage component to an office building, leasing flex space with a high office percentage, or leasing pure office space and using an offsite self-storage facility.
- The decision between lease renewals and relocations depends on factors such as cost savings, space optimization, and market conditions.
- Rent rates have softened in certain cities and size segments, but the extent of the decline varies depending on the location and ownership structure of the building.
- Free rent concessions are common in lease negotiations, but the way they are structured can vary. Some leases add the free months to the end of the term, while others adjust the rent schedule to account for the free months.
- Operating expenses are typically not included in free rent concessions, but it is possible to negotiate for their abatement as well.
Chapters
00:00Combining Office and Warehouse Space 03:17Lease Renewals vs Relocations 06:21Rental Rates and Market Conditions 08:55The Structure of Free Rent Concessions 13:21Negotiating Operating Expenses Episode Resources
Connect with Chris Vassilian
- https://www.linkedin.com/in/chris-vassilian/
- cvassilian@leeirvine.com
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Chinese 3PLs are increasingly leasing space in the Inland Empire, Orange County, and LA County due to the growth of manufacturing in China and the need for storage and distribution in the US. Despite initial concerns about the financial stability of these companies, many have honored their commitments and even received security deposit refunds. Landlords have become more flexible in underwriting credit for these tenants. Tenant representation for Chinese 3PLs often involves providing full client service support and coordinating with various vendors for services such as office design, security, IT, and signage. The language barrier and time zone difference can be overcome through effective communication and daily interaction. Relocating can be challenging and time-consuming, requiring careful coordination and project management.
Key Takeaways
- Chinese 3PLs are leasing space in the Inland Empire, Orange County, and LA County due to the growth of manufacturing in China.
- Despite initial concerns, many Chinese 3PLs have honored their commitments and received security deposit refunds.
- Landlords have become more flexible in underwriting credit for Chinese 3PLs.
- Tenant representation for Chinese 3PLs involves providing full client service support and coordinating with various vendors.
- Effective communication and daily interaction can overcome the language barrier and time zone difference.
- Relocating can be challenging and time-consuming, requiring careful coordination and project management.
Chapters
00:00 - Rise of Chinese 3PLs in Southern California 01:43 - Financial Stability and Lease Terms of Chinese 3PLs 02:21 - Impact of COVID-19 on Chinese 3PLs 05:00 - Full Client Service Support for Chinese 3PLs 06:26 - Overcoming Language Barrier and Time Zone Difference 07:18 - Challenges and Coordination in Relocating for Chinese 3PLs Episode Resources
Connect with Chris Vassilian
- https://www.linkedin.com/in/chris-vassilian/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Rob Guthrie, founder of Guthrie Development, shares his experience in industrial real estate, specifically in condo conversions and value-add strategies. He discusses his background in real estate development and his specialization in small industrial buildings for sale. Rob emphasizes the importance of location and demographics when considering condo conversions and highlights the benefits of owning a small business property. He also talks about the challenges and pitfalls of condo conversions, including market fluctuations and the need for flexibility in financing and leasing options. In this conversation, Rob Guthrie and Justin Smith discuss the real estate industry, specifically focusing on multi-tenant industrial properties. They talk about the target market for these properties, the challenges of attracting institutional investors, and the value-add process for improving older properties. They also touch on design features, dealing with environmental issues, and advice for those interested in entering the industry.
Key Takeaways
- Condo conversions can be a successful strategy in industrial real estate, especially for small business owners who want to own their own space.
- Location and demographics play a crucial role in the success of condo conversions, as buyers often prefer to work close to where they live.
- Condo conversions provide flexibility in terms of leasing and financing options, allowing for income generation even in a slow sales market.
- Pitfalls of condo conversions include market fluctuations, the discretionary nature of the purchase decision, and the need for careful management of timelines and entitlements.
- Private equity investment, including friends and family and country club equity, is common in the industrial real estate market. The target market for multi-tenant industrial properties is younger brokers with experience and knowledge in the industry.
- Attracting institutional investors can be challenging due to their preference for other asset classes.
- The value-add process for improving older properties involves making functional improvements, re-tenanting, and enhancing the exterior appearance.
- Dealing with environmental issues can be time-consuming and costly, so it's important to carefully consider the feasibility of such projects.
- Joint ventures with building owners can be a win-win situation, allowing for shared profits and mitigating risk.
- Having a good listing agent is crucial for finding deals and navigating the real estate market.
- It's important to be patient and leave room for unexpected expenses in real estate projects.
- Soft costs, such as permits and fees, can significantly impact the profitability of a project.
- The real estate industry offers opportunities for those willing to start small and gain experience.
- Aligning interests and forming partnerships can lead to long-term benefits in real estate projects.
Episode Resources
Connect with Rob Guthrie
- https://guthriedevelopment.com/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Chapters
00:00 Introduction and Background 06:38 Condo Conversions and Association Management 08:06 Underwriting and Comparing Lease vs. Buy 09:30 Location and Demographics in Condo Conversions 11:05 Benefits and Challenges of Condo Conversions 19:13 Value-Add Strategies and Successful Projects 25:20 Expanding Territory and Market Insights 26:16 Condo Project Pitfalls and Risk Mitigation 28:03 Lease Options and Financing Solutions 31:23 Private Equity Investment in Industrial Real Estate 32:02 Targeting the Sweet Spot: Young Brokers in the Multi-Tenant Industrial Market 34:22 Challenges in Attracting Institutional Investors to Multi-Tenant Industrial Properties 35:59 The Value-Add Process: Improving Older Properties for Higher Returns 39:13 Dealing with Environmental Issues in Multi-Tenant Industrial Projects 52:27 Joint Ventures: A Win-Win Approach to Real Estate Development 53:52 The Importance of a Good Listing Agent in the Real Estate Market 55:30 Patience and Contingency: Key Factors in Real Estate Projects 56:00 Starting Small: Opportunities for Newcomers in the Real Estate Industry 59:44 Aligning Interests: The Power of Partnerships in Real Estate
In this episode, Justin Smith interviews Michael Schulte of Intralog about setting up a warehouse and the role of brokers in the process. Intralog is a material handling systems integrator that brings data-driven design to customers who may not have access to it. They discuss network optimization, which involves using mathematical optimization to minimize costs and improve service levels in supply chain network design. They also explore the latest trends in warehouse design, including considerations for activity areas such as picking and value-added services. In this conversation, Justin Smith and Michael Schulte discuss the implementation and challenges of warehouse design and optimization. They cover topics such as the importance of communication, the role of data in designing storage solutions, the impact of supply chain network design, and the value of strategic equipment selection. They also touch on the influence of municipalities on warehouse design and the considerations involved in real estate negotiations. Overall, the conversation provides insights into the key factors and best practices for successful warehouse design and optimization.
Takeaways
- Setting up a warehouse requires careful consideration of factors such as customer demand, growth projections, and optimization of processes.
- Network optimization, using mathematical optimization, can help minimize costs and improve service levels in supply chain network design.
- Warehouse design involves determining the size of the footprint, considering activity areas such as picking and value-added services, and balancing time and space constraints.
- Brokers play a valuable role in matching theoretical design concepts to the reality of the market and helping customers make informed decisions. Effective communication is crucial in warehouse design and optimization projects.
- Accurate and clean data is essential for designing storage solutions.
- Strategic equipment selection can lead to cost savings and improved efficiency.
- Considerations such as fire codes and municipal regulations can impact warehouse design.
- Real estate negotiations require careful consideration of the investment in the facility and the potential for future growth.
Episode Resources
Connect with Michael Schulte
- https://www.linkedin.com/in/michaeldschulte/
- https://intralog.io/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
At the most fundamental level, a change of ownership adds another party to the agreement that was not present during the initial negotiations. There are times when nothing changes except for the property manager and life goes on. However, a new landlord is usually a sign of change to come.
If you're an appraiser, tenant, or landlord involved in R&D industrial properties, this video is a must-watch! Unlock the insights that lead to successful appraisals and leasing experiences. Hit the play button now and subscribe to our channel for more industry expertise and advice.
For companies operating ten locations or more, efficient lease administration is essential to keep track of crucial dates, financial details, rights, responsibilities, reconciliations, and option dates. In this video, we explore how lease administration software, a part of the thriving property technology (PropTech) industry, can revolutionize the way you manage leases.
CAM (common area maintenance) reconciliations are a common practice in commercial real estate, but they can lead to surprising expenses for executives. In this eye-opening video, we shed light on the complexities of CAM reconciliations and how they can impact your bottom line.
Moving to a new place can be exciting, and we're here to help you make the most of it. In this video, we'll discuss the crucial steps you can take to enhance your experience and keep things running smoothly.
Surrendering, restoring, and decommissioning your old space involves the process of giving back your leased property to the landlord. In this insightful video, we explore the key aspects you need to consider when returning your former space, ensuring a smooth and hassle-free transition.
Moving machinery, equipment, and delicate lab materials require meticulous planning and preparation to ensure a seamless transition. In this informative video, we delve into the specific concerns and crucial steps you need to take when relocating such sensitive items.
Congratulations on successfully completing your move! As you settle into your new space, it's essential to address several crucial post-move housekeeping items to ensure a seamless transition. In this comprehensive video, we'll guide you through the necessary tasks to take care of after the move, so you can start fresh in your new surroundings.
Moving day can be a stressful and chaotic time, but with the right approach and organization, you can ensure a seamless transition to your new home. In this comprehensive guide, we reveal the key steps to orchestrate a successful move day and guarantee that everything goes according to plan.
As the big day approaches, it's essential to ensure every detail is well-organized to make the transition as smooth as possible. In this video, we'll cover crucial tasks you should focus on at the 30-day mark to ensure a successful move.
We'll discuss a comprehensive 60-day transition plan for businesses preparing to relocate their properties. Moving to a new location can be a complex process, and proper preparation is key to ensuring a seamless transition for both your employees and your operations.
In the process of transitioning to a new space, careful planning is crucial. Beginning 90 days before the move, considerations include securing machinery permits and certifications, bidding and selecting a suitable moving company, and addressing specialized needs for industrial equipment. Inventorying furniture, managing insurance paperwork, obtaining certificates of insurance for property access, and implementing security measures for the new space are also key components of a comprehensive plan.
We explore the essential considerations when upgrading older manufacturing buildings to meet modern distribution needs. In Southern California, a substantial portion of available properties were constructed during the sixties, seventies, and eighties, making it crucial to adapt these structures for distribution purposes effectively.
Join us as we uncover the primary factors involved in converting manufacturing buildings to distribution facilities. The key determinants for a successful conversion include ceiling height, loading capabilities, and property orientation.
In this episode, Justin Smith brings in Greg Hanoian from United Material Handling to delve into the intricacies of material handling, timelines, and considerations for setting up warehouses. Joined by Chris Vassilian, they explore the basics of material handling and its growing importance in client conversations. The discussion covers essential considerations when setting up a new facility, from roof height and slab thickness to forklift configurations. Greg shares insights into the timeline for quoting and installing racking, the permitting process, and the challenges of relocating existing racking.
Highlights:
- Importance of integrating material handling into client conversations for a holistic understanding of their operations and finances.
- Factors influencing the timeline for quoting and installing racking, including roof height, slab thickness, and forklift considerations.
- Challenges and considerations when relocating existing racking, such as code changes, seismic issues, and the potential need for slab tests.
- Insight into the permitting process, lead times for steel, and the impact of high pile storage requirements.
- The significance of early involvement in the pre-con development stage and collaboration between material handling experts, brokers, and clients.
- The complexity of restoring a warehouse after removing racking and the potential downtime involved.
- Real-world scenarios highlighting the importance of communication and proactive problem-solving in the material handling process.
- Considerations when dealing with older buildings, including the lack of CAD files, seismic issues, and the need for core tests.
- Acknowledgment of the collaborative efforts between material handling professionals and industrial real estate experts in achieving successful outcomes for clients.
Episode Resources:
Connect with Greg Hanoian
- https://www.linkedin.com/in/greg-hanoian-4b521110/
- https://www.unitedmh.com/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
We explore the crucial advantages of conducting job walks with general contractors and how they contribute to the overall success and efficiency of construction projects. Gone are the days when contractors simply show up, give a bid, and the project begins. As projects scale up in size and complexity, job walks play a pivotal role in the construction process.
To succeed, it's essential to establish clear cost expectations from the outset. By fixing costs upfront, tenants and landlords can set the foundation for a successful construction journey.
Learn about the critical role of good space planning and architect work in the early stages of a project. A pricing plan, combining architectural drawings and essential features with desirable add-ons, empowers tenants to evaluate contractors based on their ability to meet these requirements within the budget.
Justin Smith welcomes John Haber, Chief Strategy Officer at Transportation Insight Holding Company to discuss the intricate world of supply chain and logistics, shedding light on the challenges faced by executives in the e-commerce and shipping sectors. Drawing from his extensive experience, John shares insights into the evolving landscape, touching on issues such as inventory management, rising shipping costs, and the importance of risk management strategies. The conversation also delves into the often-overlooked nuances of dealing with major carriers like UPS and FedEx, highlighting contractual pitfalls and the need for careful navigation in a dynamic pricing environment.
Highlights:
- Background and Experience: John Haber's journey from corporate finance at UPS to founding a supply chain consulting business.
- Challenges in the Supply Chain: Insights into the challenges faced by executives, including inventory management, shipping costs, and risk management.
- UPS Perspective: Understanding the dynamics of UPS profitability and the shift towards helping shippers optimize their contracts.
- Industry Trends: The impact of global events like the COVID-19 pandemic on supply chain dynamics and the rise of reshoring.
- Top Challenges: Inventory management, rising shipping costs, and the importance of risk management and diversification strategies.
- Inflation and Cost Control: The influence of inflation on pricing within the supply chain and the emphasis on cost control in a slow sales year.
- Modal Optimization: Balancing different shipping modes based on inventory levels and analyzing cost implications.
- Network Optimization: The importance of selecting the right warehouse size and location based on inventory and shipping needs.
- Parcel Shipping: The complexity of outbound parcel shipping and the competition among carriers for last-mile delivery.
- Contractual Considerations: Cautionary advice on carefully reviewing carrier contracts to navigate penalty clauses, minimum commitments, and dynamic pricing.
- Dynamic Pricing: The shift towards dynamic pricing in carrier agreements and the challenges of staying updated.
- Continuous Management: Emphasizing the dynamic and continuous nature of supply chain management, requiring constant attention and adaptation.
Episode Resources:
Connect with John Haber
- https://www.linkedin.com/in/john-haber/
- https://www.transportationinsight.com/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Justin Smith and Grant La Bounty delve into the complexities of consolidation in the industrial real estate market. They discuss the challenges businesses face when managing multiple locations, especially when dealing with different lease expiration dates and landlords. They explore potential win-win scenarios, shedding light on market dynamics and stressing the importance of effective communication in today's evolving economy.
Key Points:
- Managing challenges in multiple industrial locations
- Diverse lease timelines and landlord dynamics
- Necessity of strategic space expansion
- Early engagement for operational efficiency
- Exploring win-win scenarios for tenants and landlords
- Insights into market dynamics and communication strategies.
Discover how cities' increasing understaffing and longer turnaround times have made permit approval a time-consuming challenge. However, there are actionable solutions to overcome these obstacles. One option is to invest in expedited turnaround times, which can fast-track your project. Alternatively, consider hiring a third-party expediter, someone well-versed in the city's processes, to ensure your application is review-ready and free from complications, saving you valuable time.
Private landlords tend to be cautious with their spending, holding onto cash until a tenant is secured. This can mean minimal upfront investment in preparing the space. On the other hand, institutional landlords take a proactive approach by investing in the space upfront, even without a confirmed tenant. This trend of increased institutionalization is beneficial for tenants, as it leads to more renovated and move-in-ready buildings in the market.
Join Justin and Grant as they discuss the current market and the rise of sublease space.
Are you curious about the different conditions of office space found in industrial buildings? In this informative video, we delve into the implications of shell condition and fully renovated spaces. Join us as we explore the spectrum of office space conditions, from pristine Class A constructions to properties that have seen previous occupancy without renovations.
This year's So Cal industrial theme is negative net absorption and lease renewals. What does this mean in the marketplace? Lots of impasses in negotiation. Slower velocity. Deals are still getting done, though! Class A lease rates are holding on by a thread. Great credit is worth an 8-10% discount on rates for many projects. Class B landlords are doing their best to secure new deals and tenant renewals. Signing new tenants increasingly means going for a shorter term, like 3-4 years. A shorter term gives you occupancy, cash flow now, and the soonest mark-to-market opportunity possible when the market stabilizes. Tenants are increasingly trying to delay and decrease rates, of course. 1/2 of tenants are willing to let their property go to market to roll the dice on negotiating lower rates, while the other half talks a good game but still cannot risk their property going to market and the chance of having to move. Moving now is cash out of pocket today. A new higher rental rate is cash out of pocket month by month. Your business's cash flow position will usually dictate the answer to the question. It was fun to play host and have Grant La Bounty expand upon what tenants are experiencing and Chris Vassilian stepping into the shoes of the landlords.
Discover how to choose the right entities for lease contracts, whether you're a sole proprietor, startup, or corporation. CEOs and business owners, understand the importance of assessing whether the parent company or subsidiary should be on the lease. Financial complexities: Learn how corporate parents consolidate subsidiaries and the impact on lease agreements.
Join us as we delve into the complexities of tenant improvements and examine the essential factors tenants must carefully consider during lease negotiations to ensure their requirements are satisfactorily fulfilled.
Are you curious about the various lease contracts used in commercial real estate? Join us as we dive deep into the world of commercial lease agreements and uncover the advantages and disadvantages of two commonly employed contract types: fill-in-the-blank contracts and custom crafted contracts. In this video, we shed light on the importance of the drafting party's leverage, which allows them to establish the initial goalposts for all the essential terms in the contract.
Rent escalations or annual increases are common features in lease agreements, but have you ever wondered how these adjustments are determined? In this informative video, we delve into the factors that influence rent escalations and shed light on the market-based system that governs these decisions.
Considering lease renewal or relocation for your business? In this informative video, we explore the crucial factors you must evaluate before making a decision. Moving to a new building of the same size may seem tempting due to potential rent differentials, but is it truly cost-effective? Join us as we delve into the associated expenses and payback periods involved in relocation.
Lease types in the industrial market can be complex and bewildering. In this informative video, we provide a comprehensive overview of the main lease types encountered, such as gross, modified gross, and triple net leases. Discover the key differences between these lease structures and how they impact tenant responsibilities and expenses.
We discuss if the property is worth the time and effort of both the broker and the client.
Whether it's in the world of real estate or any negotiation scenario, the power dynamic plays a crucial role. Discover how to identify who holds the leverage, who is in charge, and who possesses the ability to walk away. By gaining this clarity, you can set realistic expectations and gauge whether you are needed or if the other party requires your presence.
Join us as we take you behind the scenes and explore the world of off-market opportunities. We'll share the untapped techniques that go beyond the usual property listings. Discover how brokers dive into the hidden realm of off-market properties, unveiling gems that most people overlook.
Uncover the hidden details within lease contracts, such as the window of opportunity for exercising your option. Discover the typical timeframes, ranging from six to nine months or nine to 12 months, where written notice can be given. Dive deeper into the negotiation process, exploring the concepts of fair market rent and pre-negotiated terms. But what if negotiations turn sour?
Unveil the intriguing mechanism of arbitration, a rare gem hidden within lease options. Explore the fascinating concept of baseball arbitration, where both landlord and tenant propose their desired fair market value.
Discover the key steps you must consider, with building a remarkable team topping the list. But wait, there's more! Find out about the crucial mindset required to effectively manage project timelines—flexibility.
Discover the ultimate secret to successfully managing multiple vendors with conflicting interests during a project! In this captivating video, you'll uncover the game-changing strategy of having a designated "quarterback" to orchestrate the entire process. This quarterback, whether it's a specialized architect, an integrator, or a versatile project manager, holds the fundamental understanding of the specific component being developed.
We explore the crucial roles of external employees, consultants, and vendors in shaping the success of a project. Drawing from real-life examples, we discuss the collaboration between asset managers, leasing brokers, contractors, and architects in achieving project goals. Additionally, we delve into the effective management of multiple competing vendors through competitive bidding and the importance of clarity and transparency in the process. Join us as we uncover the key factors that contribute to project success and offer insights for successful project implementation.
Discover the essential qualities that business owners should seek when hiring a broker. In this informative video, we explore the importance of finding the right fit for your assignment, personality, and team. Learn how factors like property size, location, and operational type come into play. Additionally, delve into the significance of a broker's marketing strategy, often overlooked in interviews. Uncover the key elements that make a broker stand out, such as their ability to effectively market your property and connect with potential tenants. Gain insights into assessing industry trends, lease expirations, and targeted outreach to executives. Don't miss out on this valuable advice for distinguishing between good brokers and exceptional ones.
We delve into a crucial aspect often overlooked in building selection: power requirements. Join us as we explore the significance of power and its impact on leasing decisions for commercial spaces. Our experienced industry professional sheds light on the complexities surrounding power needs, debunking common misconceptions and providing valuable insights. Discover why power is vital for various operations, especially in sectors like manufacturing, aerospace, automotive, and life sciences. Learn how monitoring usage and draw can optimize power efficiency and facilitate informed decision-making. Uncover the challenges associated with estimating power needs and the importance of detailed analysis in determining the actual load requirements. Moreover, gain a deeper understanding of the expensive nature of power upgrades, involving public utilities and intricate infrastructure considerations. Join us as we unravel the intricacies of power requirements in building leasing and highlight the significance of assembling the right team for success in the industry.
Highlights
- Introduction to Power Requirements
- Common Misunderstandings
- What is Power Used For?
- Price of Power
- How to Bring in Power
Discover the often overlooked, yet crucial aspect of warehouse design: fire suppression systems. In this eye-opening video, we delve into the significance of implementing an effective fire protection system and its impact on warehouse safety. Join us as we discuss why executives and decision-makers must prioritize fire suppression measures, beyond the obvious safety concerns. Gain valuable insights into the role of county fire authorities, permitting processes, and inspection requirements. Explore the challenges posed by outdated sprinkler systems and the implications they have on high pile storage and product stacking limitations. Uncover the complexities of fire sprinkler system upgrades, including the associated costs and potential disruptions to business operations. Don't miss this insightful discussion on the intricate world of fire suppression in warehouse design.
Highlights
- Introduction to Fire Suppression
- Who's in Charge of Fire Suppression
- Racking Products
- Fire Sprinkler Upgrade
We explore the common mistakes companies make when assessing office space and how to effectively remedy them. Join us as we discuss the challenges of misjudging space requirements and the consequences of having too much or too little office space within industrial properties. Discover real-life experiences and learn about potential solutions, including subleasing excess space and adapting to changing business needs. We also touch upon the evolving trends in office space utilization, considering the impact of remote work and the importance of fostering a flexible workplace culture. Gain valuable insights into making informed facility decisions and building a future-proof workspace. Don't miss this engaging discussion on optimizing office layouts for industrial businesses.
Second Story Office Space - 0:55
New Era of Office Space - 2:30
We explore how the layout of different buildings can impact the functionality and efficiency of a company's operations. Join us as we delve into the factors that businesses should consider when deciding whether to stay in their current building or move to a new one.
We emphasize the importance of understanding future needs and envisioning the ideal workspace. By taking inventory of the existing space and analyzing each component piece, businesses can create a checklist of the most important aspects for their operations. From the total size of the building to the layout of offices, we discuss how each element contributes to the overall productivity and culture of a company.
We also highlight the diverse requirements of different industries, such as the need for laboratory space, research and development areas, or testing facilities. These considerations play a crucial role in filtering the available building options and ensuring that the workspace aligns with specific industry needs.
Join us for valuable insights into building layout and design, as well as practical tips for optimizing your company's operations in line with your workspace. Don't miss this opportunity to enhance your understanding of how the right building layout can positively impact your business.
Components in Moving - 0:40
Taking Inventory - 1:06
Examining Total Size - 2:29
Office Space - 2:50
Furniture System - 4:00
Work Stations - 4:40
Accommodate Office Culture - 5:09
We delve into the common financing challenges that businesses often encounter. Whether you're a business owner or a tenant considering a property transition, understanding these challenges is crucial. Join us as we explore strategies and options to mitigate these obstacles when selling an owned property and purchasing a new one. By taking a moment to assess both the physical condition of the property and the financing considerations early on, you can avoid hurdles halfway through the process of finding your ideal building. We'll emphasize the importance of scenario planning, a powerful tool that allows business owners and executives to envision multiple alternatives, such as leasing or purchasing different space capacities. This planning method helps you compare cash outlays, setup costs, down payments, and long-term investment implications. Join us in this video as we navigate the intricacies of financing challenges faced by businesses and discover effective strategies and options to overcome them. By thinking strategically and proactively, you can make informed decisions that set your business on a successful path for years to come.
Maintenance Improvements - 1:00
Impact of Bank Loans - 2:00
Scenario Planning - 3:00
In this informative video, we delve into the prevalent practice of subleasing in the warehouse leasing business. Discover why subleasing is widely adopted and the types of groups or entities that actively seek out subleasing properties. We explore the dynamics of subleasing contracts, the challenges involved, and the importance of understanding the complexities it brings. Additionally, we discuss the increased significance of subleases in the post-COVID era and how they facilitate business transitions and short-term growth strategies. Join us as we shed light on the duration, costs, and flexibility associated with subleasing agreements. Stay informed about the evolving landscape of warehouse leasing and make better decisions for your business. Subscribe now for more insightful content on the commercial real estate industry!
Classic Sublease - 1:16
Introduction to Three Parties - 1:40
Shifting World of Subleases - 2:43
Length of Subleases - 4:30
Lease Terminations - 7:00
In this thought-provoking video, we explore the powerful concept of "Always Be the buyer" and its application to lease renewal negotiations. Learn how this mindset framing technique, derived from Strategic Coach, can transform your approach as a tenant. Discover the advantages of shifting from a seller's validation-seeking position to a buyer's empowered position. By adopting the buyer's mindset, you gain access to a wide range of options and leverage during lease negotiations.Unlock the true potential of lease renewal negotiations by watching this video. Embrace the buyer's mindset and witness the transformation in your ability to secure the best lease terms and maximize the value of your tenancy. Don't miss out on this opportunity to gain a competitive edge in the commercial real estate market. Subscribe now to our channel for more insightful content on lease negotiations and tenant empowerment.
Always Be The Buyer
Flipping the Script - 00:25
Creating Leverage - 1:30
Creating Alternatives - 2:30
Situational Awareness is the essence of making intelligent decisions in commercial real estate. Join me as I discuss key factors that drive successful strategy. Get ready to gain a competitive edge and navigate the commercial real estate world with confidence!
Justin welcomes Kevin Dollhopf and Gary Yates from Hickey & Associates. They discuss their labor report on the Inland Empire, which is a site selection model that analyzes the costs of real estate, labor, and transportation for companies trying to stay or locate a new facility in the area. The discussion covers the importance of labor to companies and the criteria used to evaluate labor force, unemployment rate, education level, and income. They also discuss how site selection can help balance supply chains in light of new risks such as climate and natural hazards, and how portfolio analytics can assist companies in making decisions about investing in solar power and other ESG initiatives.
Highlights
- Kevin Dollhopf and Gary Yates’ background – 2:15
- Hickey & Associates specializes on site selection, labor analytics and incentives - 3:18
- How does labor have a big impact to users and companies? – 6:30
- The Inland Empire report is a site selection model that analyzes costs of real estate, labor, and transportation for companies looking to stay or locate in the area – 9:31
- Gary discusses the criteria for labor force, unemployment rate, education level, and income – 14:15
- They discuss headwinds and tailwinds, including the freeway network index, which measures the amount of traffic on the freeway miles per capita, and how it affects the market – 20:20
- Mexico has a great labor market with favorable costs and accessibility to western markets, making it attractive to both US and foreign companies looking to grow their supply chains – 23:00
- Kevin emphasizes the importance of how site selection can help balance supply chains in light of new risks such as climate and natural hazards – 27:40
- Portfolio analytics can help companies make decisions about where to invest in solar power and other ESG initiatives – 32:00
Episode Resources
Connect with Kevin Dollhopf
- https://www.linkedin.com/in/kevin-j-dollhopf/
- https://www.hickeyandassociates.com/
Connect with Gary Yates
- https://www.linkedin.com/in/gary-yates/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Justin welcomes Chris Pawlik, Founder and CEO of Energy-Producing Retail Realty (EPR^2). Chris discusses the regulatory framework in California called net energy metering (NEM), which allows residential and commercial customers to generate solar power and feed it back into the grid. He also shares insights on the impact of NEM 3.0 on the commercial real estate industry, along with the concept of energy rights development as a potential solution for solar leases and rooftop leases after NEM 3.0. He highlights how developing energy rights on behalf of property owners can help align the incentives for solar installation with the tenant's interest in reducing their cost of electricity. This approach can also positively impact the value of the property, while addressing concerns of climate change resiliency.
Highlights
- Chris Pawlik’s background and how he connected with Justin – 2:00
- Breaking down NEM 3.0 – 4:00
- Benefits of solar for industrial properties – 9:27
- Solar can increase NOI in the first month of generating power – 14:25
- Investing in solar is becoming more attractive from an ROI perspective – 17:55
- PPAs, PACE and solar leases – 20:15
- Development of energy rights for all types of property owners – 23:29
- The movement of EV trucks and charging hubs – 28:18
- Distributed generation of solar power, can help stretch the capacity of the current transmission and distribution grid – 35:10
- Super forecasters certification – 43:11
Episode Resources
Connect with Chris Pawlik
- https://www.linkedin.com/in/chrispawlik/
- https://www.linkedin.com/company/epr-2/about/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Justin welcomes Josh Duane, Senior Account Executive at Hy-Tek Intralogistics, and they discuss the role of systems integrators in warehouse management. Josh explains that systems integrators deal with various aspects of warehouse management, including software, storage, automation, and robotics that can improve efficiency. He highlights the importance of systems integrators for warehouse operations and the need for increased awareness of their role among business owners, operators, and investors.
Highlights
- Bringing in systems integrators traditionally after a space is found and set up – 2:00
- Who is Hy-Tek Intralogistics - 4:40
- Ways to integrate warehouse automation – 6:15
- Business owners seeking to improve efficiency through warehouse automation – 11:20
- Hy-Tek Intralogistics has a dedicated team that specializes in budgeting to provide quick turnaround assessments to gauge interest – 13:44
- 3PL and smaller plays need some level of automation – 16:25
- How they deal with delays – 19:00
- Ceiling height plays a significant role in warehouse automation – 22:17
- Hy-Tek has in-house teams and outsourced groups that focus on permitting and dealing with jurisdictions – 25:31
- Industries that are starting to invest on automation – 28:40
- The key to success is flexibility and combining different technologies rather than focusing on one specific solution – 29:55
Episode Resources
Connect with Josh Duane
- https://hy-tek.com/
- https://www.linkedin.com/in/josh-duane-24397311/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Justin welcomes Josh Feinberg, the CEO and Co-Founder of Otso. Josh discusses Otso’s underwriting and risk management process. Otso uses technology and multi-year bonds to assess the risk of potential tenants for industrial property and helps building owners make informed decisions. Tenants contribute to the process by providing their banking and payment history, which is used to forecast trends and rate risk.
Highlights
- Josh Feinberg’s background in commercial real estate – 2:00
- Creating Otso to help landlords efficiently assess the credit worthiness of tenants – 4:20
- Automated engine to track tenants’ credit and financial trends – 7:15
- Report of tenant’s credit risk – 11:00
- Using AI to help normalize information – 14:30
- Recommendation of lease security and bond option –17:47
- Otso multi-year bond - 19:26
- Underwriting Report fee and 24-hour turnaround – 29:43
- Two fundamental challenges in commercial real estate – 32:20
- A great time to operationalize your assets – 36:14
Episode Resources
Connect with Josh Feinberg
- https://otso.io/
- https://www.linkedin.com/in/feinbergjosh/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Justin welcomes Matt Hargrove, President and CEO of California Business Properties Association (CBPA). The CBPA acts as an umbrella group for all different commercial real estate groups within California and represent them as one at a state level. Matt delves into his role as a lobbyist in Capitol and his 30 years of experience in government relationships. He also shares bills that directly impact our industry.
Highlights
- CBPA and NAIOP California Council – 2:45
- Matt Hargrove’s background in government relations – 4:30
- CPBA binds all the different companies and different sectors of the industry together – 7:26
- How does lobbying work and how does it directly relate to industrial – 9:45
- Reading through bills and identify which will impact our industry – 16:00
- How legislations can impact the supply chain – 20:00
- Impacts of AB 2840 – 25:00
- Banning dual agency – 27:05
- Energy issues proposals we will see in 2023 – 36:15
- Warehouse bill limits where warehouses can be built – 39:00
- Clean truck rule – 41:00
Episode Resources
Connect with Matt Hargrove
- https://cbpa.com/
- https://www.linkedin.com/in/matthew-hargrove-000b926/
- mhargrove@cbpa.com
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Justin welcomes Tim O’Brien, Founder of Rainmaker U. Tim’s specialty is on personal branding, productivity, business development and coaching professionals. Tim discusses the success of Rainmaker U and the importance of investing in your personal brand.
Highlights
- Background on Rainmaker U – 2:00
- Tim’s Book: The Power of Personal Branding – 5:45
- The impact of self-talk – 8:04
- How he decided on creating Rainmaker U – 9:20
- Creating study groups to blend coaching and networking – 14:25
- Time management is about making choices so you can be as efficient as possible – 21:20
- Blocking off time to focus skills that will grow your business – 25:00
- Development, promotion and visibility of your brand – 30:00
- Grow you network with your top 100 centers of influence – 37:00
- Box System: Cultivating relationships with your top 30 – 40:40
- Using LinkedIn to network and gain business opportunities – 44:45
- What’s next for Rainmaker U and how to get connected with Tim – 47:30
Episode Resources
Connect with Tim O’Brien
- https://rainmaker.webmavens.com/
- tob@thepersonalbrandinggroup.com
- https://www.linkedin.com/in/thepersontosee/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Justin welcomes Matt Anderson, Vice President of Development at Cold Summit Development. Matt delves into cold storage and what it takes to get entitlements and a project approved, but also what makes their project better than what's existing.
Highlights
- Matt Anderson’s background in construction management & real estate development – 2:00
- Joining Cold Summit Development – 5:30
- How they decide which markets to target – 8:00
- Delivering multi-tenant fully spec refrigerated warehouses – 11:10
- Tenant profile: manufacturers, distributors, last mile delivery – 14:00
- Sites available for lease in Dallas, Phoenix, Chicago – 17:20
- Lease rates for cold storage buildings – 19:55
- Integrated a building management system to improve tenant’s efficiency – 22:00
- Capital markets interest in cold storage – 24:50
- Land sites requirements – 27:15
Episode Resources
Connect with Matt Anderson
- https://www.linkedin.com/in/mrandersn21/
- https://www.coldsummit.com/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Justin welcomes Timothy Jemal, CEO of NAIOP SoCal. Timothy discusses the important advocacy work NAIOP SoCal is leading and our duty to educate and advocate on behalf of our community’s interest. He shares government regulations and issues that will be the focus of next year.
Highlights
- Tim’s NAIOP SoCal Podcast– 2:45
- Tim’s background and role as CEO of NAIOP SoCal – 4:45
- The challenges they faced during Covid and how they adapted - 6:00
- Meeting President Biden – 12:53
- What does 2023 look like for NAIOP SoCal – 18:33
- NAIOP SoCal offers student memberships – 25:40
- Tim’s advocacy background – 32:00
- AB 2840 & NAIOP SoCal’s legislative advocacy – 33:25
- Roadblocks enforced on industrial real estate – 37:00
- Armenian advocacy & Global ARM – 40:28
Episode Resources
Connect with Timothy Jemal
- https://www.naiopsocal.org/
- https://www.linkedin.com/in/tim-jemal-4265805/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Justin welcomes Colin Dubel, President of HARBORWEST. Colin talks about everything you need to know about commercial lending and shares his biggest insights about the refinance market in today's increasing interest rate environment.
Highlights
- Colin Dubel’s background and experience – 4:00
- HARBORWEST Commercial Lending services - 7:00
- Interest rates and factors that impact them – 8:45
- Today's market in relation to yesterday's market – 12:30
- Interest rates affect underwriting, equity and down payment – 14:15
- Cross collateralization – 21:00
- Bridge loans will become a more common solution – 25:00
- The pros and cons to bridge loans – 26:30
- Debt yield requirements – 30:00
- Triple net leases – 36:40
- Be overly prepared in today’s market – 39:00
Episode Resources
Connect with Colin Dubel
- https://www.linkedin.com/in/colindubel/
- harborwestcommercial.com
- colin@hwclending.com
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Justin welcomes Jason Miller, Interim Chairperson at Michigan State University for the Supply Chain Program. Jason speaks to Justin and Jay about national statistics and how he goes through looking for insights into the supply chain and logistics industries.
Highlights
- Jason Miller’s background and experience – 2:45
- The supply chain and logistics industry today – 7:40
- Consumer Spending – 12:00
- Safety inventory leading to volatility of demand and lead time – 15:20
- What is impacting the labor market – 20:00
- Trends to look out for that could indicate a recession -33:00
- Dealing with labor and material shortages – 38:00
Episode Resources
Connect with Jason Miller
- https://www.linkedin.com/in/jason-miller-32110325/
Connect with Jay Tanjuan
- Tanjuan@scannellproperties.com
- https://www.linkedin.com/in/jaytanjuan
- scannellproperties.com
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Justin welcomes Chris Skyles, Co-Founder and Chief Growth Office of AnthemIQ. Chris introduces AnthemIQ as an end to end solution to take tenant assignments digital. Justin shares his experience and adoption of AnthemIQ.
Highlights
- Chris Skyles’ background in commercial real estate – 1:15
- The inspiration behind AnthemIQ- 3:20
- AnthemIQ increased productivity in it’s first year – 5:30
- Adoption of AnthemIQ – 8:00
- AnthemIQ makes it easier to update clients in real-time -11:00
- Brokers can use AnthemIQ as a differentiator to win business – 13:00
- The support team of AnthemIQ drives adoption – 14:35
- AnthemIQ is an end to end solution – 17:00
- What's next for AnthemIQ – 20:00
Episode Resources
Connect with Chris Skyles
- https://www.linkedin.com/in/chris-skyles-63145b46
- http://www.anthemIQ.com
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Justin interviews Ben Gordon, founder of Cambridge Capital, Jay Tanjuan of Scannell Properties and Larry Genet of CBRE. They discuss for the demand of industrial real estate and increasing lease rates. Ben Gordon discusses the growth of logistic tech companies in the supply chain and merger & acquisition strategies.
Highlights
- Introduction to Ben, Jay and Larry- 1:00
- Ben Gordon: Ukraine Logistics Coalition - 3:50
- Supply chain in the Ukraine Logistics Coalition – 6:20
- Larry Genet: Supply chain in his space – 9:45
- Demand for space – 10:10
- Leasing in the pre-development phase – 10:40
- Jay Tanjuan: 0.3% vacancy and increasing lease rates in the I.E. – 11:30
- High lease rate throughout all Southern California – 13:00
- How does tech effect the supply chain? - 14:45
- Ben Gordon: How e-commerce growth is creating downstream logistics opportunities – 16:10
- Growth of logistic tech companies – 17:00
- Merger & acquisition activity – 18:10
- Acquisitions to expand a company’s market share – 19:00
- The impact China has on our supply chain – 23:00
- Manufacturing shifting to North America – 24:00
- BGSA Conference – 26:00
Episode Resources
Connect with Ben Gordon
- ben@cambridgecapital.com
- ben@bgsa.com
- https://www.linkedin.com/in/bengordon18/
- https://bgstrategicadvisors.com/
- https://cambridgecapital.com/
Connect with Jay Tanjuan
- Tanjuan@scannellproperties.com
- https://www.linkedin.com/in/jaytanjuan
- scannellproperties.com
Connect with Larry Genet
- Genet@cbre.com
- https://www.linkedin.com/in/larrygenet/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Peter Mork, founder of Capital Partners returns to the Industrial Insights Podcast. Justin and Peter discuss Capital Partners’ second fund and how they entered the Milwaukee market. Peter shares strategies for acquisitions, underwriting and how to scale.
Highlights
- Recap of last podcast appearance – 0:30
- What’s new with Capital Partners - 1:16
- Milwaukee vs Minneapolis – 3:45
- Capital Partners second fund – 10:00
- Strategies for acquisitions – 13:00
- Underwriting – 16:00
- Collaborating with other firms – 21:00
- How Capital Partners operate – 23:20
- Off market deals – 27:00
- How to scale – 30:00
Episode Resources
Connect with Peter Mork
- https://www.capitalpartnersmn.com/
- peter@capitalpartnersmn.com
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Justin welcomes Jordan Kovalsky from Faropoint to discuss growing an industrial platform. Jordan discusses her investment strategies while growing in the Chicago market and what comes next for Faropoint.
Highlights
- A little background on Jordan - 2:00
- Adding value to properties in the Midwest – 2:50
- Chicago being the largest industrial market – 4:00
- Last mile play – 4:30
- Jordan’s role at Faropoint – 7:40
- How rent growth influences lease terms – 8:20
- How Faropoint’s software helps navigate their acquisition pipeline – 11:15
- Asset manager’s direct relationship with tenants – 14:20
- Growing in the Columbus market – 17:25
Episode Resources
Connect with Jordan Kovalsky
- https://faropoint.com/
- https://www.linkedin.com/in/jordankovalsky/
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Justin sits down with Peter Linneman of Linneman Associates to discuss how supply and demand dynamic effect industrial real estate. Peter explains how demand continues to outrun supply and how the upward trend of online sales plays a role. Peter offers a quarterly Linneman Letter that covers the current economy, real estate topics and provides insight based on data.
- Quarterly Linneman Letter – 1:15
- Industrial demand – 7:00
- Supply and demand effecting warehouse space – 8:15
- Demand is exceeding supply in industrial – 14:40
- Demand factor improving by automation – 19:45
- The shift of real estate professionalism – 21:00
- The economy normalizing will take time – 26:00
- Inflation signaling the need of supply – 30:00
- 2022 and 2023 are the years of normalization – 32:00
Episode Resources
Connect with Peter Linneman
- https://www.linnemanassociates.com/
-
https://www.linkedin.com/in/peterlinneman/
-
https://twitter.com/P_Linneman
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- JBSmith@LeeIrvine.com
- https://www.linkedin.com/in/justinbsmith
Justin and Lisa Anderson of LMA Consulting Group discuss how to take control of your supply chain and adapt to the current environment.
Highlights
- End to end supply chain – 1:30
- Implementing SIOP to improve supply chain – 3:15
- Manufacturing and supplies capacity – 8:00
- 3PL and operations planning – 9:45
- Reasons to implement SIOP – 13:30
- Warehouse automation and ERP systems – 19:20
- Forecasting demand systems – 22:45
- How to best service your customer’s needs- 30:00
Episode Resources
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- JBSmith@LeeIrvine.com
- https://www.linkedin.com/in/justinbsmith
Connect with Lisa Anderson
- https://www.lma-consultinggroup.com/
- landerson@lma-consultinggroup.com
We need a game-changing service provider that values innovation and quality service. Most importantly, one that brings automation and not at the expense of the people.
Justin speaks with Mark Manduca, Chief Investment Officer of GXO Logistics, and Jeff Rinkov, CEO of Lee and Associates. They discussed GXO Logistics’ success and challenges in providing cutting-edge logistics solutions. Mark shares the reasons behind GXO's competence in the industry. GXO has worked with multinational companies across the globe, including blue-chip market-leading businesses. Tune in to learn more about the trajectory of warehousing, logistics, and automation in the years to come.
Highlights
- Introducing Mark Manduca - 0:28
- Who is Jeff Rinkov? - 1:26
- How GXO started and what is its competitive advantage? - 2:59
- Supply chain reorientation - 5:10
- How GXO manages and mitigates inflationary pressures - 8:38
- Scale comes in many forms -12:52
- Value-added services - 15:00
- The warehouse automation wave - 15:44
- Warehousing is evolving: multistory game in other markets - 18:13
- Closely knit individuals and equitized culture - 19:17
- GXO acceleration and challenges - 21:38
Episode Resources
Connect with Mark Manduca
- GXO website
Connect with Jeff Rinkov
- Lee and Associates website
Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Justin sits with Steve Graham of Catalina Material Handling to discuss material handling and the Very Narrow Aisle System. Catalina Material Handling is a company that specializes in providing racking, storage, and material handling equipment for a variety of industries. In this episode, they also tackle numerous supply chain issues on material handling, especially on the lead time of manufacturing the materials. According to Steve, he handled clients whose products are frequently out of stock and needed weeks to be replenished.
Tune in to see how the VNA warehousing system poses a lot of advantages when it comes to material handling.
Highlights
- Building lasting relationships with customers - 2:57
- Various clients, projects, and commodity classification - 3:59
- Retro-fitted buildings - 9:00
- Projects for clients with ongoing renovations or having a property for a specific tenant - 10:03
- Different types of building layouts as reference points for the next client - 12:35
- Supply chain issues - 14:43
- Material specification process - 20:16
- The benefit of Very Narrow Aisle System - 22:33
- The rise of e-commerce and its effect on warehousing and material handling - 29:23
- Outgrowing the building before finishing the lease - 34:12
- You cannot suppress progress: striving to be the best partner to every client - 37:10
Episode Resources
- Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
- Connect with Steve Graham
- https://catalinamh.com/
- https://www.linkedin.com/in/stevegraham1717
Due to the pandemic, the lack of supplies caused a supply chain chaos. Prices started to rise and it became harder and harder to purchase different items.
To explain the crisis and how different businesses were able to get over them in the past, Justin welcomes Alan Amling. Together, they speak about turning supply chain disruptions into innovation. Alan also opened about persistent advantages and what are the usual problems between already established companies. He talks about the different ways to make sure that businesses are utilizing their supplies and infrastructures, as well as the future of the supply chain.
Highlights
- How did it all start? - 0:43
- Start ups view the world differently than established companies. - 2:40
- What’s the usual problem with already established companies? - 4:27
- The focus of his research and consulting. - 7:59
- What is a persistent advantage? - 12:30
- Going through the supply chain chaos. - 18:16
- What’s gonna stay with us? - 23:24
- How to make sure that you’re fully utilizing your supplies and infrastructures? - 29:27
- What’s exciting for Alan - 31:51
- Investing large in an old way: What happened to Blockbuster? - 35:23
- Humility is one of the most important qualities of a leader in today’s digital economy. - 36:21
- Where are we at right now? - 39:23
- New process: How can you find an ideal individual to test the product? - 44:46
- Where can people find him and his book Organizational Velocity? - 47:50
Episode Resources
- Connect with Alan Amling
- https://www.alanamling.com/
- Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
How’s your business doing now? During the pandemic, a lot of businesses, across all industries, got affected.
In today’s episode, Justin interviews Jim Tompkins of the Tompkins Ventures. Together, they discussed how to transform your supply chain into a digital supply network.
Highlights
- Life during the pandemic and the new normal: Has he ever experienced something like this before? - 0:40
- Publishing his 31st book. - 4:57
- Marrying two concepts together. - 7:32
- Taking it to the next level. - 11:46
- The answer to resilience. - 15:41
- What it’s all about: Visibility and actionability. - 18:08
- How many people have picked up on it? - 19:56
- Steps to taking action on these items. - 21:01
- The challenge. - 35:51
Episode Resources * Connect with Jim Tompkins * https://www.linkedin.com/in/jimtompkins1 * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Industrial real estate is more than just tall buildings and land: It also includes production and development of the area to build spaces that tenants and property owners will desire.
Justin speaks with Matt Traino of IDS to talk about industrial development. Matt gives updates about the San Diego industrial development. He highlights the challenges and the growth of Otay. He also talks about the importance of focus and keeping your customers centered, especially with the challenges that you might face on a daily basis.
Highlights
- Who is Matt Traino and what is IDS? - 0:23
- Life Science and IDS. - 5:25
- What is GMP? - 6:11
- Other works that Matt Traino spent his time on. - 7:59
- Things that he came across that gave him new experiences. - 11:10
- Time kills all deals. - 14:12
- The growth of Otay. 16:54
- Is the second POE enough to make a bed and grab land? - 21:58
- Turning old school reports into easy-to-understand information using different software. - 25:24
- Is balance coming anytime soon? - 29:49
Episode Resources * Connect with Matt Traino * https://www.idsrealestate.com/ * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
There are different real estate sectors that you can invest in: Residential, commercial, and industrial real estate. While the first two sectors are more popular for investors due to its availability and pricing, there are investors who are earning more and building a stronger portfolio with industrial real estate.
To get more information about navigating the industrial market, Justin welcomes Trace Chalmers and Stewart Toubia of CEG Construction. Together, they talk about the Industrial Market Development Cycle. Trace and Stewart did not only give a glimpse of what the industry is all about, but they also discuss the different opportunities that the sector entails as well as the trends in the industrial market.
Highlights
- Who is Trace Chalmers? - 0:39
- History of CEG. - 2:09
- The difference with other companies: The unique part and their focus. - 8:43
- The spark that got him into the commercial side: Figuring out if he’ll proceed and how many jobs they’ll take. - 13:16
- Is acquisition opening more opportunities for them? - 17:37
- How affected was the business in the last six months? - 21:07
- For the next 90 days, do Trace and Stewart have new opportunities in line? Where are they in the cycle? - 27:43
- Grabbing a good deal at a great rate. - 29:59
- Trends they are seeing. - 33:31
- Is the food-producing business still striving in LA? - 39:40
- Ideal deals to bring to Trace and Stewart. - 42:35
Episode Resources * Connect with Trace Chalmers and Stewart Toubia * https://www.cegconstruction.com/ * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
How profitable is it to be a real estate professional? Is it true that the higher your income and sales, the higher the tax you’ll be paying?
Justin welcomes Yonah not only to talk about his company, Madison SPECS, but also the bonuses and taxes that come with real estate investing. He discussed using depreciation from one property to offset income to the other. They also discuss using passive losses against active income if you’re registered as a Real Estate Professional in your tax return and more about the depreciation recapture tax.
Highlights
- A little background: Madison SPECS? - 1:57
- With the change in the tax code, what are the other things that can have an impact? - 4:51
- Real estate has been mainstream. - 6:53
- Cost segregation: The awareness problem. - 9:00
- Running a feasibility study on a property. - 16:50
- Factoring the years into the holding and repositioning strategies. - 19:47
- What is Year One Bonus and why do we have it? - 24:18
- States which don’t recognize it. - 27:50
- If you write down Real Estate Professional as your profession on your tax return, you’ll have a special designation in the eyes of the IRS. This allows you to use the passive losses against active income. - 28:29
- When you do an exchange, what’s considered personal, and how does it affect your exchange? - 31:00
- The depreciation recapture tax. - 35:00
- Factoring in your tax return. - 36:16
- Where to find Yonah? - 37:33
Episode Resources * Connect with Yonah Weiss * https://www.madisonspecs.com/ * https://www.linkedin.com/in/cost-segregation-yonah-weiss * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
When you have enough capital to spare, there are many business industries you can get your hands on: Retail, e-commerce, manufacturing, and real estate to name a few.
For Brian Malliet, it’s a different story. Brian started small and worked his way up the ladder when he decided to start a business of his own. As he shares his story with Justin, they also discuss the importance of finding the right operator when investing in multi-tenant industries.
Highlights
- The start of Brian Malliet’s career. - 0:33
- Believing in the concept of having your money work for you instead of having to work to get money. - 5:53
- What affected his decision to jump from brokerage to starting on his own? - 8:05
- Where is he now six to seven years after starting a business of his own? - 9:30
- What does raising and working within his network look like? - 12:30
- Into the industry: Are people still dog pilling in the asset class? - 14:19
- Technology is finally in our space and everywhere: Parts that Brian finds useful when it comes to handling his business. - 21:23
- Focusing on a tenant-based business. - 25:44
What’s the rent growth from the past two to three years? - 30:27 - The best time to make adjustments. - 34:20
- What it looks like to continue owning the same assets. - 35:27
- How to contact Brian and his team - 42:30
Episode Resources * Connect with Brian Malliet * https://www.bkmcapitalpartners.com/brian-malliet * https://www.linkedin.com/in/brianmalliet * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Before you jump in and start your own business, do you conduct a network study first?
Justin sits down with Phil Schmidbauer of ODW Logistics to discuss the importance of warehouse and transportation optimization studies. Phil shares the importance of doing a network study or analysis to a business, especially if you’re in the production industry. Phil also shares how he handles consultation: It’s not about the network and charging sky-high fees, but it’s more of the quality and how his clients can benefit more and get their money’s worth.
Highlights
- A little background: Who is Phil Schmidbauer and what’s his role in his company? - 0:20
- What is ODW? - 2:10
- Fundamentals of a network. - 4:03
- Why is it important for a business to get a network study or analysis? - 6:28
- Writing an article about network analysis. - 10:46
- How does he decide on who he wants to work with? - 12:55
- What he’s generally looking for from people? - 19:47
- There is inefficiency in more complex networks: The more nodes you have, the more inefficient you are. - 24:23
- Transportation costs will almost always cost higher than warehouse costs. Focus on how you can optimize your transportation costs first. - 30:30
Episode Resources * Connect with Phil Schmidbauer * https://www.odwlogistics.com/ * https://www.linkedin.com/in/philip-schmidbauer-b4020516 * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
When dealing with real estate, whether it is buying or selling your property, is it a must to get the services of a broker? What’s an ideal property manager like?
Justin welcomes Sam Chanin as they talk about the reality of being a property manager and how it is like to run a third-party property management company. He shares updates about his three companies: Maverick, Proptech, and IREM.
Highlights
- What’s Maverick? - 0:51
- Roles, lessons learned, and experiences that built him to where he is today. - 5:40
- The reality of being a property manager and working with a broker company. - 8:41
- Where are we at the pendulum swing right now between people who want to build and don’t want to build? 11:41
- There’s always going to be a market for third-party property management. - 12:20
- What’s going on with Proptech? - 15:48
- Taking one step further: Letting AI do the budget for you. - 22:18
- How to know which one to delve into to adjust your approach? - 29:00
- What is the Environment for Buying buildings and other real estate properties? - 32:20
- Educating your clients: Not only after the commission but for the investment to be successful for the clients. - 34:48
- When your niche follows out a favor, have you really done yourself a service. - 36:51
- What’s IREM? - 39:59
Episode Resources * Connect with Sam Chanin * https://www.linkedin.com/in/sam-chanin-cpm-14b24230 * https://www.maverickrealtyadvisors.com/leadership/ * https://www.irem.org/ * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
In the middle of the pandemic, people are more challenged when it comes to working in the office and making investments. But is the industrial and real estate markets still a good choice to consider? Justin interviews Jay Tanjuan of the Panattoni Development about finding opportunities in the Southern California Industrial Markets. They did not only speak about the latest market trends, but Jay also shared how he got started.
Highlights
- The similarity between the great recession and the pandemic: The working life in an office is tough. - 1:42
- Starting small: How Jay got started. - 5:00
- How did Jay’s role change over time? - 12:16
- We recognize that achieving scale isn’t going to happen, but if it’s a good enough deal and in the absence of a better one, maybe that one is worth doing. - 19:46
- What’s the dynamic in Orange County? - 20:40
- There are so many segments and categories that you need to think of how to justify the pricing. - 26:58
- Does he think that entitlements and landscapes are changing in the horizon to make it more amenable to projects? - 28:39
- Role in the capital markets when financing deals. - 30:41
- You have to keep going and focus on the good core markets. - 36:09
- The lease rates have surpassed the growth rate of construction costs. - 38:02
- Leasing environment: How does he respond when he hasn't quoted the rate but people want it? When’s the best time to agree to a deal knowing you can’t deliver immediately? - 40:11
- Best ways to reach Jay. - 44:36
Episode Resources * Connect with Jay Tanjuan * jtanjuan@panattoni.com * https://www.linkedin.com/in/jaytanjuan * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Justin spoke with Jonathan Metcalfe of Metcalfe Consulting. They talked about how he underwrites different asset classes and how he started his journey to the principal side of the commercial real estate business.
Highlights
- Jonathan’s background - 1:00
- More services for the clients - 3:20
- The journey to the principal side - 6:19
- Looking at industrial deals - 11:42
- The multifamily space - 22:47
- Having both sides very solid - 38:01
- The best place to reach out Jonathan - 39:51
Episode Resources * Connect with Jonathan Metcalfe * jonathanjmetcalfe@gmail.com * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Do you employ the services of a Personal Chief Financial Officer (CFO), especially if you’re planning for your retirement? Justin interviews Mike Salmon of Moisand Fitzgerald Tamayo. They discuss how Mike’s tax prep business expanded to include financial advisory work, especially geared towards commercial real estate brokers. Mike also explains the difference between Sep IRA and Roth IRA as well as the defined benefit plan and 401k.
Highlights
- How does Mike find people to work with? 0:24
- Depending on your situation and phase of life, we are all ultimately financial buyers. 4:12
- Real estate is a unique industry: If you really love what you’re doing, you can work a long time. - 5:08
- What are some of the requirements that you need to comply with? 10:24
- The most common business deduction question. - 14:47
- What amount of cash flow should you save in the future? - 20:08
- What’s the difference between Sep IRA and Roth IRA? - 23:12
- No one likes budgeting: We call them tax and cash flow plans. - 29:27
- Introducing the defined benefit plan. - 31:36
- Can you buy real estate with the money from the defined benefit plan or 401k? - 37:01
- The defined benefit plan is not only age-dependent, but also salary dependent. - 39:52
- What’s the general ballpark? - 42:47
Episode Resources * Connect with Mike Salmon * www.forCREbrokers.com * https://forcrebrokers.com/#team * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Rob and Justin talk about how the rise of e-commerce is changing the industrial real estate market cycle.
Highlights
- Having a talent in a particular field - 1:45
- His background - 3:13
- How he got started - 7:39
- Is there a cycle for e-commerce? - 11:05
- There’s so much data in a financial cycle - 12:59
- Industrial real estate - 16:50
- Securing the capital - 20:32
- Industrial has slowly evolved - 22:41
- Making improvements to your business - 32:07
- Transacting and creating wealth - 45:27
Episode Resources * Connect with Rob Neal * rob.neal@hagerpacific.com * https://www.hagerpacific.com/team/robert-neal * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Justin interviewed Steve Johanson and David Barron from Starboard Solutions. They discussed methods to redesign a supply chain.
Highlights
- Making a supply chain decision - 1:30
- How to help clients - 5:24
- What are the chest pieces - 7:40
- Being a supply chain leader - 10:16
- Supply chain teams know a lot - 11:06
- Get your company moving - 14:42
- Making changes to supply chain - 15:52
- Using market rates data - 19:37
- The supply chain world - 24:47
- Seeing explosive growth - 27:50
Episode Resources * Connect with Steve Johanson and David Barron * https://www.linkedin.com/in/stephenjohanson/ * https://www.linkedin.com/in/daviddbarron/ * Steve Johanson, steve@starboardcorp.com * David Barron, david@starboardcorp.com * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Justin interviewed Aron Corral, Director of Field Applications & Technical Support at Instacoat Premium Products. They discuss liquid membrane roofing, types of roofs, needs of the tenants, and more.
Highlights
- Roofing and materials - 3:46
- Membranes that you can put on the roof - 5:16
- Types of roofs - 6:34
- Looking at the needs of the tenants - 9:05
- Having membrane failures - 9:54
- Snow as a real problem - 22:25
- Neoprene and silicone - 26:05
- The most common problem that he sees - 27:50
- Taking service to the next level - 30:33
- The silicone surfaces - 32:50
Episode Resources * Connect with Aron Corral * https://www.linkedin.com/in/aron-corral-bba71817b * acorral@instacoat.com * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Justin Smith interviewed John Curtis, CEO of JEC Consulting, to discuss facility design.
Highlights
- Learning about time management - 1:21
- Always continue to learn - 2:59
- Getting clarity of a message - 8:39
- A great partnership - 14:22
- Understanding the business better - 17:31
- Technology is a little scary - 22:38
- High-level technology investment - 40:34
- The best way to reach John - 48:00
Episode Resources * Connect with John Curtis * https://www.linkedin.com/in/john-curtis-0a5660b * jcurtis77777@outlook.com * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Justin interviewed Mark Duclos, President of SIOR. They spoke about the latest market trends.
Highlights
- Moving on - 1:16
- Wanting to keep consistency - 3:30
- The pandemic has been a challenge - 5:45
- His initial reaction to COVID - 7:48
- Excitement for growth - 12:34
Episode Resources * Connect with Mark Duclos * https://www.sior.com/viewprofile?PersonID=28337 * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Grant Labounty interviewed John Gormly, CEO of Oltmans Construction. They spoke about the industrial and commercial construction market.
Highlights
- The company’s history - 0:27
- How he started in the construction field - 1:44
- 60% of their business is the industrial world - 6:57
- Price of goods - 7:40
- Raising the prices of some commodities - 9:44
- What makes a building last longer - 12:28
- When a building becomes more expensive - 14:54
Episode Resources * Connect with John Gormly * https://www.oltmans.com/timeline/john-gormly#:~:text=John%20Gormly%20joins%20Oltmans%20in,of%20the%20Board%20in%202019. * https://www.linkedin.com/in/john-gormly-35259814 * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Justin interviewed John Meek of Ranch Harbor. They discussed how industrial and multi-family real estate operators and syndicators rely on John's team to source limited partner capital, to help underwrite and test business plan assumptions, to co-GP investments, manage assets, and source debt financing.
Highlights
- One of the best ways to find good deals - 0:47
- What he learned on the acquisition side - 2:25
- The broker relationships - 4:10
- What’s ideal? - 4:59
- Looking at future deals - 11:36
- Be transparent as an investor - 19:05
- Their fees - 22:41
Episode Resources * Connect with John Meek * https://www.linkedin.com/in/john-meek-0543741a/ * https://ranchharbor.com/ * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Justin interviewed Will Narduzzi who runs the insurance accounts for Holt Lundsford. They spoke about the ins and outs of landlord insurance policies. Will Narduzzi joined Holt Lunsford Commercial in 2018 and serves as the Insurance Account Executive. Will is responsible for the growth of the risk management and insurance platform which services office, retail, industrial landlords, and tenants throughout the southwest United States.
Highlights
- Property purchase prices - 2:30
- The story of Will - 3:40
- The insurance business - 8:23
- Customer service oriented - 8:42
- Things to improve your property - 11:48
- Misconceptions around information for brokers - 14:06
- Why you pay premium - 15:08
- Avoiding a catastrophic event - 16:46
- People need education - 23:44
- New experiences - 44:00
- Surround yourself with good people - 45:00
Episode Resources * Connect with Will Narduzzi * https://www.holtlunsford.com/about-us/meet-our-experts/will-narduzzi/ * wnarduzzi@holtlunsford.com * jmeek@ranchharbor.com * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Justin interviewed Jason Korengold, Senior Vice President of Acquisitions at Shea Properties. They spoke about the ever-evolving ecosystem of the industrial development marketplace.
Highlights
- Jason’s background - 0:48
- Three great mentors to learn from - 2:22
- The greatest commodity that brokers have - 6:21
- What’s better for the tenant - 20:09
- Regulations in California - 25:07
- Marketing deals for Jason - 27:27
- Developing industrial in southern California - 31:12
- Wanting to educate the industry - 34:51
- Logistics is an essential player in our world - 42:24
- Progress is fundamental - 43:24
Episode Resources * Connect with Jason Korengold * https://sheaproperties.com/ * Jason.Korengold@sheaproperties.com * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Justin interviewed Neil Wahlgren, COO of Mag Capital Group. They spoke about Mag's niche investment strategy centered around long-term, absolute net, sale-leaseback transactions of industrial properties and why they are so attractive to investors.
Highlights
- Raising capital - 5:12
- His main focus in the company - 6:05
- Private equity firms - 10:09
- Commercial real estate broker communities - 13:48
- Categorizing tenants - 21:57
- Looking for consistent growth - 23:43
- Advantages of multifamily - 28:34
Episode Resources * Connect with Neil Wahlgren * https://magcp.com/home/ * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Padhu Raman of Project Verte shares how to overcome the modern-day challenges of running an e-commerce company.
Highlights
- When e-commerce comes to play - 8:02
- Machine learning and artificial intelligence - 10:13
- What’s the inventory challenge? - 10:44
- The technology inside the warehouse - 15:23
- Predictive analytics - 21:03
- Having all data in a centralized platform - 24:57
- The complexity behind the scene - 28:37
- Having execution capabilities - 32:55
- There are different types of centers - 37:51
- Warehouse automations and robotics - 38:45
- Fast shipping and the delivery process - 39:57
- Thinking on what level of automation do you have - 43:34
- Third-party logistics warehouse - 48:31
Episode Resources * Connect with Padmanabhan Raman * praman@projectverte.com * glabounty@leeirvine.com * https://www.linkedin.com/in/padhuraman/ * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Justin interviewed Luke Nelson of RHSB Insurance. They spoke about how to optimize your insurance for your industrial properties, trends in the insurance markets, determining replacement values, and how to deal with claims.
Highlights
- The insurance game - 0:55
- When the expertise comes in - 4:52
- What’s going on in the market - 6:28
- Rates going up - 8:09
- What’s your risk tolerance - 10:47
- What replacement costs are - 14:11
- The demand is the supply - 28:41
- Mitigating the risk - 29:42
- What’s replacement cost value - 31:58
Episode Resources * Connect with Luke Nelson * https://www.linkedin.com/in/luke-nelson-4975ab191 * https://www.rhsb.com/about/people/people-commercial-services-lucas-nelson/ * lnelson@rhsb.com * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * jbsmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Justin interviewed Peter Mork, founder of Capital Partners, about his journey into the principal side of the business and how he has gone about building a successful portfolio of millions of square feet of industrial properties.
Highlights
- His early deals - 5:09
- A fantastic first deal - 8:16
- Warehouse automation - 10:11
- Cash and cash - 19:36
- The ability to control risk - 22:09
- What to do to win a deal - 23:14
- Taxes will affect us more in 2022 - 25:39
- A platform to evaluate real estate - 27:59
- The best time to sell - 31:12
Episode Resources - Connect with Peter Mork
- https://www.capitalpartnersmn.com/
- peter@capitalpartnersmn.com
- Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- jbsmith@leeirvine.com
- https://www.linkedin.com/in/justinbsmith
Justin interviewed Taline about the components of building successful industrial developments.
Highlights
- Being able to learn the southern California industrial market - 3:02
- The type of data that the industry did not have before - 4:13
- The value of being in the field - 4:45
- Having in-house preconstruction - 6:12
- Every deal is so different - 9:37
- Having big deals - 12:32
- The product of UPS - 14:02
- The cost to relocate - 22:20
- Having an education process - 43:48
- Developing eco-friendly - 44:40
- E-commerce trends - 45:31
- What can affect our markets - 47:00
Episode Resources - Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- JBSmith@LeeIrvine.com
- https://www.linkedin.com/in/justinbsmith
- Connect with Taline Agopian
- https://www.conor.com/
- tagopian@conor.com
Justin interviewed Scott Jolly, of Site Consulting Specialists. They spoke about how he helps industrial investors with asphalt, roofing, and HVAC capital expenditure projects across the country.
Highlights
- His industrial experience - 1:25
- His background - 2:40
- Becoming more programmatic - 6:09
- Paying for the materials - 13:46
- His experience as an owner and as a tenant - 15:29
- Data and equipment - 19:10
- Removing or replacing your asphalt - 21:27
- Warehouse automation - 30:27
- Gaining information and making recommendations - 35:27
- Project management and construction management - 39:49
- Protect your assets - 40:51
Episode Resources * Connect with Scott Jolly * https://siteconsultingspecialists.com/ * scott@siteconsulingspecialists.com * https://www.linkedin.com/in/scottgjolly/ * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * JBSmith@leeirvine.com * https://www.linkedin.com/in/justinbsmith
Justin interviewed the Texas A&M Director of Investments who is responsible for finding general partners to invest in the Texas A&M endowment. They discussed what he looks for in an industrial real estate general partner and their interest and focus on small bay industrial.
Highlights
- Real estate is part of what he does - 2:37
- The endowment funds - 4:28
- His industrial portfolio - 9:13
- Having quality operators - 12:43
- The nature of being more local - 17:06
- Executing processes at high levels - 22:04
Episode Resources - https://www.tamu.edu/index.html
- Grant Labounty glabounty@leeirvine.com
- Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- JBSmith@LeeIrvine.com
- https://www.linkedin.com/in/justinbsmith
Justin and Jake talk about how Jake uses his experiences and skill set to help Duke develop new industrial properties throughout Los Angeles, Orange County, and the Inland Empire.
Highlights
- Understanding the tenant’s needs - 4:47
- Industrial buildings - 12:29
- Learning different aspects of real estate - 14:27
- Making decisions on how you’re going to present your space - 15:51
- Investing in syndications - 17:14
- Treat people how you want to be treated - 21:16
- Having great success - 24:18
- Learning from others - 26:11
- Southern California as the best market to be in - 27:22
- Having qualified teams - 32:50
- Demonstrate the ability to perform - 34:31
- Getting a project approved - 39:17
- Data and facts - 43:21
- A multi-tenant scenario - 46:48
Episode Resources - Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- JBSmith@LeeIrvine.com
- https://www.linkedin.com/in/justinbsmith
- Connect with Jake Smith
- https://www.dukerealty.com/
- jake.smith@dukerealty.com
Justin and Lisa discuss the different ways a consulting practice can help executives navigate difficult business challenges and adapt in today's environment.
Highlights
- Finding a consulting mentor - 2:44
- Calling Lisa to help you solve a problem - 4:56
- Customer, profitability and cash flow - 6:33
- When she started her career - 14:03
- Ecommerce has been increasing significantly - 16:21
- Packaging costs - 21:27
- What Amazon allows you to do - 22:54
- Where are your supplies located - 24:43
- The cost of real estate in the different locations - 25:29
- What is the company trying to achieve - 28:44
- The cost of producing in China - 34:34
Episode Resources * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * JBSmith@LeeIrvine.com * https://www.linkedin.com/in/justinbsmith * Connect with Lisa Anderson * https://www.lma-consultinggroup.com/ * landerson@lma-consultinggroup.com
Justin speaks with Rob Boese about why you should consider investing in multi-tenant industrial business parks and about WHSE Partners new project in Madera, CA.
Highlights
- Talking about California - 1:51
- Multi-tenant commercial real estate - 7:31
- How long they have been doing commercial real estate - 8:40
- Always take care of people - 11:10
- Growing up in real estate families - 12:45
- Knowing multi-tenant investing - 14:09
- What industrial tenants look for - 16:15
- The tenant demand is there - 18:29
- Ultimate asset classes - 22:25
- One of the benefits of industrial - 38:23
- The ideal investor profile - 47:45
Episode Resources
- Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- JBSmith@LeeIrvine.com
- https://www.linkedin.com/in/justinbsmith
- Connect with Rob Boese
- rob@whsepartners.com
- erin@whsepartners.com
- https://www.linkedin.com/in/robboese/
- https://whsepartners.com/
Industrial Insights is a podcast that highlights the market dynamics, high level strategies, and in the trenches tactics for tenants and owners of industrial real estate.
Chris Ryder solves problems in storage space, inventory control, and order picking, and throughput. Working with Industrial Engineers, Process Engineers, Lean Leaders, and Warehousing/Distribution Managers, he analyzes data and process flows to specify & recommend automation alternatives to meet business objectives.
Highlights
- Making the supply more local - 3:26
- Everything is customer-specific - 5:31
- The total number of projects he is working on - 8:35
- Improving the workflow and the processes for the people - 10:25
- The cost to relocate equipment - 18:11
- Where the industry is going - 22:30
- Order profiles and product profiles - 29:59
- Profiles and automations - 31:06
- The never-ending automation - 35:09
- Increasing productivity - 35:57
- Developing processes around a building - 37:16
- Something that you need to be aware of - 39:45
- A warehouse control system - 40:22
- What would help you succeed - 44:09
- Looking at your business expenses - 48:40
- Reset your entire warehouse - 51:46
- Getting automation started - 55:53
Episode Resources * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * JBSmith@LeeIrvine.com * https://www.linkedin.com/in/justinbsmith * Connect with Chris Dozier * https://www.linkedin.com/in/chrisdozier1/
In addition to leading the global research team, Melinda focuses on tracking, analyzing, and forecasting global logistics real estate fundamentals and structural industry trends, and translating insights into strategic decision-making for the company. Other areas of specialization include supply chain reconfiguration, location differentiation, and econometric modeling.
Highlights
- Focusing on the market environment - 4:22
- Accelerated by the pandemic - 5:11
- There’s not enough logistics space - 9:43
- Having budget shortage - 16:16
- A big correction for logistics - 19:07
- The demand in supply dynamics - 20:10
- Talking with supply chain consultants - 22:25
- The importance of having automations - 25:14
- Some of the covid changes - 32:29
- Third-party fulfillment - 33:49
- Providing solutions - 37:14
- Knowing and understanding operations - 39:10
Episode Resources * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * JBSmith@LeeIrvine.com * https://www.linkedin.com/in/justinbsmith * Connect with Melinda McLaughlin * https://www.linkedin.com/in/melinda-mclaughlin/
Victor Hoerst is ASRS Sales & Concept Design at Stoecklin Logistics, Inc. For 80 years, the Swiss Stoecklin Group has offered innovative logistic solutions.
Optimization of space, time, and resources is their contribution to your success. As a prime contractor with overall responsibility, Stoecklin Logistics offers complete, ready-to-use systems allowing you to store your products in minimum space, manage them reliably and pick up and transport them as quickly as possible with minimum personnel costs.
Highlights
- Looking to build something new - 3:39
- Investing in automation - 8:22
- The first thing that they do - 11:30
- The economy is a scale - 13:40
- Taller buildings - 22:16
- Trusting in automation - 29:23
- Having experience with Good Manufacturing Practices - 29:05
- Not overbuilding the system - 34:04
- Thinking more strategically - 45:00
- Consider automation when you’re building something new - 48:35
Episode Resources - Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- JBSmith@LeeIrvine.com
- https://www.linkedin.com/in/justinbsmith
- Connect with Victor Hoerst of Stoecklin
- https://www.linkedin.com/in/vichoerst
Kate Lyle is an Architect and Studio Manager of Industrial Cold & Food of Ware Malcomb. Kate leads the growth of the Industrial Cold & Food Studio and manages select projects. She has over 15 years of experience in architecture and specializes in industrial cold and food buildings. Fascinated by the transformation of industrial design in America, Kate is interested in exploring speculative cold buildings, industrial/retail hybrids, and how new technologies inform the built environment.
- Highlights
- Her background - 4:01
- About shipping containers - 7:02
- Cold ready - 10:59
- What creates opportunities - 13:23
- Having processing plans - 16:03
- What could work for your process - 18:18
- Refrigerated trucks - 23:08
- Working to become a specialist in this area - 24:37
- Two ways to build a freezer system - 26:46
- The challenge of automation - 32:06
- Learning really complex automation systems - 33:34
- Having a basic knowledge of different refrigeration systems - 37:49
Episode Resources * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * JBSmith@LeeIrvine.com * https://www.linkedin.com/in/justinbsmith * Connect with Kate Lyle * https://www.waremalcomb.com/leaders/kate-lyle-architect/ * https://www.linkedin.com/in/katelyle
Brian Airth is the Founder + CBDO of PeopleSpace. He utilizes his commercial furniture knowledge to ensure projects are progressing properly and on schedule. Additionally, he manages other furniture manufacturers on pricing, timelines, and discounts. Learn more about finding the right furniture for your office in this episode.
Highlights
- All is challenging with COVID - 2:37
- Being in the industrial world - 7:00
- Providing excellent products at a good price - 8:48
- Finding a building that could work - 10:13
- Having a warehouse - 16:12
- Having a technology program - 25:08
Episode Resources * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * JBSmith@LeeIrvine.com * https://www.linkedin.com/in/justinbsmith * Connect with Brian Airth * https://www.linkedin.com/in/brianairth/ * https://peoplespace.com/leadership
Didi and Justin dive into site selection and how you need to take into account the costs, quality, and risks of a location to make the decision!
- Highlights
- Understanding the requirements for a project - 1:15
- Interacting with brokers - 4:34
- Focused on additional capacities - 7:45
- A period of great changes - 10:19
- Not doing direct marketing - 14:33
- Providing optimizations - 15:23
- Site selection - 18:55
- Doing a network optimization - 20:50
- An expert in location strategy - 23:13
- The costs, quality, and risks of a location - 27:10
- What happens if two locations are the same - 32:09
- What makes the difference in a final location - 35:08
- A non-financial incentive - 40:17
- Getting all the tax information - 52:13
- The challenge of being a site selection consultant - 54:13
- Do benchmark - 57:18
Episode Resources * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * JBSmith@LeeIrvine.com * https://www.linkedin.com/in/justinbsmith
Tripp Milligan is the Account Manager of Ziglift. As a full-service integrator, Ziglift has over 20 years of expertise in managing challenging project timelines. From project inception to managing the production and shipping schedules from multiple countries around the world as well as prioritizing installation best practices and safety, they are able to reduce risk and maintain flexible project timelines.
Their inventory includes both new and used shelving, and pallet racking solutions from top manufacturers such as Interlake Mecalux, Frazier, Advance, and many more. By working with various liquidation companies around the U.S., they are able to offer the largest inventory of used material handling equipment and assorted supplies.
- Highlights
- An existing building vs. a new building - 3:24
- Adjusting the terms - 11:24
- The cost of moving - 13:33
- Having the ability to expand - 14:44
- How to support a customer - 22:50
- The transition period - 26:22
- The timeframe of moving - 27:36
- The need of more industrial buildings these days - 41:25
- Looking for warehousing space - 42:20
- Seeing more automations - 43:21
Episode Resources * Connect with Justin Smith * https://smithcre.com/ * https://www.lee-associates.com/ * JBSmith@LeeIrvine.com * https://www.linkedin.com/in/justinbsmith * Connect with Tripp Milligan * https://www.linkedin.com/in/tripp-milligan-685b103/
Michael Shapiro is a Partner at Relocation Strategies Southern California LLC. Relocation Strategies provides its clients with a one-stop non-biased source responsible for planning and managing all aspects of their office, industrial, medical or institutional relocation.
Their relocation projects range in size from 10 to over 2,000 employees. Types of projects they have managed include corporate office, manufacturing, medical, educational, distribution, banking, and a variety of other industry categories. With more than 22 years of experience, their clients range from private business owners to Fortune 500 companies.
- Highlights
- Moving to the next level as an organization - 3:02
- Manufacturing productivity - 8:06
- What they do - 12:39
- Furniture installation - 13:25
- Making better use of your current space - 21:51
- What they are not - 28:39
- The right vendor for each project - 36:04
- Doing a great job - 59:35
- All about brokers - 1:03:53
Episode Resources - Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- JBSmith@LeeIrvine.com
- https://www.linkedin.com/in/justinbsmith
- Connect with Michael Shapiro
- https://www.linkedin.com/in/michael-shapiro-21532b10
- https://relo-strategies.com/about/
Justin talks with the president at John Barry and Associates, Bob Barry. He’s an experienced president with a demonstrated history of working in the construction industry. Skilled in negotiation, budgeting, sales, entrepreneurship, and acquisitions. He specializes in facility design and analysis, moves planning and coordination, and productivity management.
Highlights
- Selection of specialists - 5:49
- Looking at your power requirements - 10:23
- Budgeting is really important - 14:22
- New processes and procedures - 17:48
- Manufacturing processes - 29:46
- How to keep your customers happy - 32:05
- Starting too late - 33:55
- Better preparation - 37:20
- More proactive these days - 38:10
- Good data builds good decisions and trust - 40:08
- Doing engineering analysis - 45:15
- Improve the tools that you use - 52:55
- What a good consultant does - 54:01
Episode Resources
- Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- JBSmith@LeeIrvine.com
- https://www.linkedin.com/in/justinbsmith
- Connect with Bob Barry
- https://www.linkedin.com/in/bob-barry-44b0588/
Founded in 2003 by the organization's president and project principal, Liz Hattox, Hattox Designs is a firm with 60 years of combined senior staff experience. Their knowledge of commercial real estate, evolving office space standards and green design enable them to deliver integrated, efficient, and cost-effective solutions to achieve their clients' goals.
Highlights
- A better chance to make a deal - 5:06
- Helping build a budget - 9:32
- Furniture vendors - 11:45
- Going from the need to the finished product - 30:00
- Project management and construction management - 30:38
- Project management software companies - 38:50
- Collaborating with the contractors - 42:13
- Having a strong team and great communication - 43:29
- What happens if you have a collaborative contractor? - 43:49
- Being conscious about reducing energy - 48:33
Episode Resources
- Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- JBSmith@LeeIrvine.com
- https://www.linkedin.com/in/justinbsmith
- Connect with Liz Hattox of Hattox Designs
- http://www.hattoxdesign.com/about.html
- http://www.hattoxdesign.com/
- info@hattoxdesign.com
- https://www.linkedin.com/company/hattox-design-group-llc/
Justin dives into racking 101 with material handling expert Freeman Welch of Catalina Material Handling. They talk about distribution buildings, what’s the transverse flue and how some systems work better than others.
Highlights
- Business owners and their expansion - 2:27
- Distribution buildings - 4:45
- Right products and right situations for buildings - 28:05
- Explaining about racking 101 - 33:39
- What's the transverse flue? - 36:19
- Explaining how some systems work - 42:11
- What you have to tell the inspector - 43:00
- Looking for some expertise - 44:45
- Some of the easiest things we can do - 45:33
Episode Resources
- Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- JBSmith@LeeIrvine.com
- https://www.linkedin.com/in/justinbsmith
Working primarily in industrial companies, Justin focuses on business owners and how to help them with their operations and expand their capacity.
Highlights
- Looking for solutions - 1:32
- Properties are too expensive - 3:16
- Supplying car parts - 6:33
- What would save people a lot of time - 20:30
- Some roof concerns - 21:51
Episode Resources
- Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- JBSmith@LeeIrvine.com
- https://www.linkedin.com/in/justinbsmith
Justin gives undergrad students insights into a career as an industrial real estate broker.
Highlights
- His first book - 1:49
- Starting as an intern - 3:58
- Starting to put deals together - 4:56
- The ability to create more opportunities - 6:24
- Tracking opportunities and deals - 12:46
- Independent contractors - 15:31
- It’s great to have a company that supports you - 17:24
- Investing in residential - 22:09
- What happens with the money you make - 24:11
- A book writing school that he went to - 26:42
Episode Resources
- https://ucirealestate.wixsite.com/uci-rea
- Connect with Justin Smith
- https://smithcre.com/
- https://www.lee-associates.com/
- JBSmith@LeeIrvine.com
- https://www.linkedin.com/in/justinbsmith