JC 019: $400 million dollars of development in 18 months with Tom Charek
Accelerate your success with a team who complements your strengths
Tom Charek offers his clients the knockout combination of his experience as a large-scale commercial builder and his training as an engineer. Tom is no stranger to large-scale projects and completed $400 million dollars of development in 18 months with the Geis Companies in Cleveland, Ohio.
Tom combines his experience on the construction and project management side of a deal with his knowledge of business structure and finance to deliver a total package to his clients who invest in a range of development from apartment buildings to hotels to office buildings. Tom will tell you if a deal is bad early on so that you don’t waste time and money and you can keep moving forward.
The three questions that you must ask when evaluating a development opportunity are:
1) is the land good?
2) is the city good?
3) is it easy to build?
Tom entered the real estate investing game when he was looking to own his first home. He fixed and flipped his way to success by purchasing and renovating a tri-plex, collecting the rent, managing the property and exiting for a profit. A few years of hard work and hustle will pay off if you are willing to make sacrifices and self-manage your investment properties.
Many investors hold onto properties for too long. Tom recommends selling an investment property after you renovate so that you maximize the improvement value and you do not have to spend time, effort and money a second time. Trends change so plan your exit and renovations accordingly.
Tom encourages investors to study their local market and determine where for the same rental rate you can purchase or build for the lowest cost.
5 Key Points
- Say “yes” to opportunity
- Know the rental rates for your product type. You want to invest / build where rental rates are high and costs are lower
- When starting out, self managing your investment properties will keep you accountable
- Maximize the improvement value of your investment buy not holding it for any longer than three years after you renovate
- Surround yourself with a team of people who complement your strengths
Favorite athlete: Kevin Love – NBA player
Bringing Out the Best in People by Aubrey Daniels
The 7 Habits of Highly Effective People by Stephen Covey
Tom trains for success by reading for 2 hours daily. Reading and gaining more knowledge is the key to gaining the advantage in business / life.
Thank you Tom for taking some time out to share your business insights with us.
You may connect with Tom Charek direct on LinkedIn or you can reach Tom at Pride One Construction http://www.prideoneconstruction.com and “like” Pride One of Facebook, https://www.facebook.com/prideoneconstruction
Listen to all the episodes of The Real Estate Locker Room Show and sign up for my FREE monthly newsletter at http://www.johncarneyonline.com
© John Carney 2017
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