Enjoy this discuss where Jonathan talk with Spencer Strong, of Jupiter Equity Partners, about investing in cash-flowing Junior and Big Box Retail. In this episode, we discuss sourcing deals, raising capital, capital expense nightmares, and the opportunity that retail investing provides.

Spencer Strong brings a wealth of experience in real estate, directly involved in over $150M of acquisitions and dispositions across 10 states and retains ownership in over 750,000 square feet of commercial properties. With a B.S. in Finance and a real estate emphasis from BYU's Marriott School of Business, He is a partner on multiple shopping centers as well as a large industrial park that will be a future redevelopment.

Spencer on Linked In:
https://www.linkedin.com/in/spencer-strong/

Takeaways

• Transitioning from brokerage to investing allows for more control and decision-making power.
• Commercial brokers may not invest in real estate due to competition with clients and a focus on transactional deals rather than long-term management.
• Jupiter Equity Partners focuses on stable big box retail properties with credit tenants and long-term leases.
• Underwriting deals conservatively and accounting for significant capex items is crucial for successful investments.
• Building strong investor relationships through transparency and communication is key to raising capital.
• Cold calling property owners and targeting off-market deals can lead to finding opportunities.
• The book 'The Go Giver' by Bob Burg and John David Mann emphasizes the importance of giving back and focusing on providing value to others.

Chapters

00:00
Introduction

01:00
Spencer's Background in Real Estate

03:33
Transitioning from Brokerage to Investing

05:34
Why Commercial Brokers Don't Invest in Real Estate

08:28
Jupiter Equity Partners' Investment Strategy

11:13
Focus on Big Box Retail

13:49
Business Plan for Big Box Retail Assets

16:06
Underwriting and CapEx Strategy

20:53
Dealing with Unexpected CapEx Expenses

22:20
Managing Investor Relations

23:30
Case Study: Milwaukee Retail Property

26:07
Out Parcel Development and Exit Strategy

27:25
Debt Situation and Interest Rates

28:13
Jupiter Equity Partners' Team Composition

30:40
Keys to Scaling the Business

34:10
Rapid Fire Lightning Round

38:00
Connecting with Spencer and Jupiter Equity Partners

38:46
Final Thoughts

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podcast@thesourcecre.com

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*Some or all of the show notes may have been generated using AI tools.