Master the Cycles
As certain as tides rise, cycles are inevitable. The biggest paydays in real estate are making the most of them. Each is its own opportunity. When markets are down, preserving capital is the game. Repositioning assets in ways not possible in up markets, like restructuring loans and killing debt -- you'd be surprised how reasonable bankers can be when the lights go out. Then, bank REPOs -- our favorite food group in downtimes. Some of Heatley Capital's best performers came from the 2008 crash. When markets are up, sell like crazy and look for products that can weather the storm when the market turns again. The most needful of products in 2018 are medical, assisted living, memory care and independent senior housing.
Diversify
Raw land, residential, self-storage, garden/medical office, retail, hotels, multifamily, we’ve been there and back in the last 30 years. In 2010, it was “used,” as in built, leased, cash flowing. Fun, but seasons change. So does our menu. For 2014, fixer-uppers in student housing and medical office were screaming buys. No more. Listen to the market: for 2018 it’s ground-up development in student and senior housing, medical and assisted living/memory care. Follow the needful. Make change-ups your friend.
Relationships
Takes deep water to launch a big ship. Our deep water is relationships: developers, bankers, investment advisors, high net worth individuals, builders, engineers, land planners, brokers -- 30 years of nurturing that network is how Heatley Capital gets off-market grabs go-it-alone buyers never see.