Private Investor Mandate: Diversified Stocks, Real Estate and Storage
Florida Based Private Investor Mandate Interview
Real estate sponsors and capital raisers who want to understand how a diversified private investor thinks about mandate, assets and timing during a downturn.
Summary
Peter describes himself as a diversified investor. His mix is stocks, real estate and some alternative investments, but not really bonds. He invests as an LP with a friend who specializes in low-rise office space. As a GP, he focuses on storage facilities and last-mile facilities, and sometimes brings in other people's money as limited partners.
The interview was recorded during a virus lockdown. Peter expects a reset in real estate asset prices and says he is watching the sale of a triple net asset because of possible cap rate compression. He sees historic lows in stocks. He ends with two tips, one on the tax side of focusing on real estate and one on borrowing directly from banks.
Five points worth keeping
- Diversify so you can sleep. Peter does not want all his eggs in one basket. He spreads money across stocks, real estate and some alternative investments, and does not really hold bonds.
- Back an expert as an LP. Peter invests with a friend who is strong in low-rise office space. He gives the manager money to run with and calls the returns great.
- Operate where you have skill. As a GP, Peter focuses on storage facilities and last-mile facilities. He sometimes brings in other people's money as limited partners in those strategies.
- Expect resets in a crisis. Peter expects mass unemployment and a reset in asset prices across real estate. One idea he is analyzing is selling a triple net asset backed by top companies, since cap rates could compress.
- Help owners right size assets. Peter says some storage and real estate performance will not be realistic right now. He would like to talk with owners about right sizing an asset, which may involve conversations with the banks that lent the money.
Quotes from the session
"I'm not an all-eggs-in-one-basket kind of investor. I'm more of a stocks, real estate, not really bonds, but stocks and real estate, and then some alternative investments."
"If you're a good borrower, you're a good investor, and you have a track record, you may not need intermediaries to find the money."
From the source
- Peter focuses as a GP on storage facilities and last-mile facilities.
- Peter invests as an LP with a friend who specializes in low-rise office space.
- Peter shares a tax-related tip about focusing time on real estate. Many investors talk to a tax adviser about how this applies to them.
Sources
From Richard C. Wilson's Centimillionaire Strategies YouTube channel: Florida Based Private Investor Mandate Interview. Quotes come from the video captions, lightly edited for readability. Figures are the speakers' own estimates and experience.
General education only. Not legal, tax or investment advice.
Talk to a securities attorney to explore options around lender workout discussions, LP and GP structures and tax professional designation. Do not use AI to write your own legal agreements.
Related questions
- How do I close a funding round?I close a funding round by focusing on investors who fit the opportunity and moving each interested prospect through clear, consistent follow-up.
- What documents do investors request during due diligence?Prepare a clear, organized package covering your operations, investments, compensation, team, and track record.
- How do I raise capital for my business?I raise capital by building a repeatable system for attracting the right investors, establishing credibility, and developing relationships before asking for money.
Questions about this video
What type of investor is Peter?
Peter calls himself a diversified investor. He holds stocks, real estate and some alternative investments, and not really bonds.
What real estate does Peter focus on as a GP?
As a GP, Peter focuses on storage facilities and last-mile facilities. As an LP, he invests with a friend who specializes in low-rise office space.
Put this into practice with the how much to raise calculator. See all investor mandates resources.
