Multifamily #Trust30: Greatness

I like what Tom Peters has to say about it, “reward failure.”…

Moving past the halfway point with day 16 of the #trust30 challenge –

Greatness appeals to the future. If I can be firm enough to-day to do right, and scorn eyes, I must have done so much right before as to defend me now. Be it how it will, do right now. Always scorn appearances, and you always may. – Ralph Waldo Emerson

Trusting intuition and making decisions based on it is the most important activity of the creative artist and entrepreneur. If you are facing (and fearing) a difficult life decision, ask yourself these three questions:

1) “What are the costs of inaction?”….

2) “What kind of person do I want to be?”

3) “In the event of failure, could I generate an alternative positive outcome?”

Multifamily greatness

We recently purchased a property from a lending institution who had in turn taken it back from a previous ownership interest. When completing the due diligence phase of our process we discovered roughly 40 units in various stages of disrepair. Units we classify as down. Down to mean not habitable absent some major rehab.

It spoke loudly to the point of the first question – inaction. Banks are not property managers. And, in lieu of spending $25 to $30k to replace the roofs, they left them alone. Result of that inaction? Several hundred thousands of value wiped away.

Greatness starts with forecasting the consequence of in-actions. In this case, it would suffice to say that some back of the napkin math would have yielded an ROI that would have driven a decision to replace the roofs.

What kind of company do we want to be

At Mills Properties, we ask that question a lot. As of late it has been in the area of branding, marketing, digital footprint and the such. We have been slow in moving toward what we want to achieve part and parcel because of near 50% growth in community and unit count over the past four years. And, in part not having a real plan.

Fast forward to today. We have taken the time to craft a 40+ page branding/marketing plan that includes everything from font types and size for all thing forward facing to big ticket strategies to dominate the St. Louis Apartments on and off-line space. It lays it all out and captures how everything from curb appeal to lease contract signing ladders up into an overarching message for the neighborhoods and communities we serve. And, in advance our striving to make a splash nationally at some point.

It all starts with asking the right questions.

Multifamily failure

I think the best way to overcome failure is understand that it going to happen from time to time. In fact, I like what Tom Peters has to say about it, “reward

Crash and Learn

failure.” If you are not failing, you are not trying, you are not learning and thus you are not growing. Equity Residential cements this in their 10 ways to be a winner – one being ‘take educated risks.’ The expectation is that you gather every piece of information you can to include the counsel of others before you pull the trigger. And, if you fail, you simply have a group postmortem where you examine the facts and the various action points to see what could have been done better.

Off for a float trip

It’s Saturday, it’s raining and we are headed out for camping and a float trip. Should be loads of fun. I say that with lots of hope in mind.

Your hoping you have an amazing weekend contributor,

M

Author: Mike Brewer

Out to put a dent in the multifamily universe. Love compelling conversation...