Survive Till 29? (What’s Next for Real Estate), ep. 433

Is ‘Survive Till 25’ Still Relevant, or Is It Time to Brace for 2029? In this episode of Ready to Scale, Jeannette Friedrich sits down with Mac Shelton, Founding Partner of Sweetbay Capital and First Lieutenant in the North Carolina National Guard. Together, they dissect the current multifamily real estate landscape amidst shifting economic conditions, rising interest rates, and the looming impact of new tariffs.

Key Takeaways:

-Market Outlook: Insights into why the "Survive Till 25" mindset may need to extend further due to prolonged market challenges, including interest rates and economic cycles.

-Interest Rate Realities: Understanding the Fed's position on interest rates and why expecting a return to pre-2022 levels without a recession is unrealistic.

-Value-Add Strategies in 2024: How value-add multifamily strategies have evolved, with a focus on disciplined acquisitions and realistic exit expectations.

-Impact of Tariffs: Exploration of how new tariffs on China, Canada, and Mexico could influence real estate costs, inflation, and Federal Reserve policy.

-Asset Valuation: Why smart buyers focus on pro forma NOI rather than current NOI, and how operational efficiencies may not always translate into higher exit values.

-Multifamily Fundamentals: Despite market volatility, strong demand and positive absorption trends continue to support long-term confidence in multifamily investments.

-Personal Insights: Mac shares lessons from his career shift from private equity to multifamily investing and offers practical advice for navigating today’s market.

Tune in to gain a grounded perspective on market dynamics, strategic adjustments, and the opportunities that arise even in challenging times. Are you REady2Scale Your Multifamily Investments?

Learn more about growing your wealth, strengthening your portfolio, and scaling to the next level at www.bluelake-capital.com.

To reach Ellie & the Blue Lake team, email them at [email protected] or complete our investor form at www.bluelake-capital.com/new-investor-form and they'll connect with you.

Timestamps 00:00 Introduction and Episode Overview 00:21 Meet Mac Shelton: Background and Career Journey 04:14 Market Challenges and Economic Outlook 07:26 Value Add Strategies in Current Market Conditions 13:18 Impact of Tariffs on Real Estate 18:15 Lightning Round and Closing Thoughts

Credits Producer: Blue Lake Capital Strategist: Syed Mahmood Editor: Emma Walker Opening music: Pomplamoose

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