Higher leverage makes deals look better on paper,  but often weakens cash flow and increases risk.

In this episode of the LSCRE Podcast, Craig McGrouther and I break down why we structure deals with lower leverage for better cash flow and risk management.

We discuss targeting lower loan-to-value, using full-term interest-only debt, and maintaining strong coverage from day one.

We explain why LTV alone doesn’t tell the full story, how amortization can compress cash flow, and why flexibility matters more than headline IRRs.

This episode is about structuring deals that can perform today and survive tomorrow.

Learn more about LSCRE:
www.lscre.com

In this episode of the LSCRE Podcast, Craig McGrouther sits down with Andrew Davis, Partner at Fully Funded, to discuss why integrity has become the most valuable advantage in real estate investing.

Andrew shares insights from raising hundreds of millions in capital, building investor trust at scale, and partnering with best-in-class operators. He explains how discipline, clear incentives, and long-term thinking matter more than chasing the next “great deal” in today’s market.

Learn more about LSCRE:
www.lscre.com

In this episode of the LSCRE Podcast, Craig McGrouther and I break down how market cycles influence smarter capital decisions.

We explore why patience, long-term holds, and strategic underwriting leads to better outcomes than chasing hot deals. Learn how understanding cycles, managing closing costs, and avoiding short-term flips can reduce risk and compound returns over time.

Whether you’re a new investor or seasoned in real estate, this episode offers actionable insights for making disciplined, profitable investment decisions.

Learn more about LSCRE:
www.lscre.com

In this episode of the LSCRE Podcast, Craig McGrouther sits down with Michael Guthrie, who grew his ATM business to over 8,000 machines across the United States before exiting in 2023. He explains how he scaled the business one machine at a time, expanded through affiliates, and created a model that allowed him to generate income while remaining hands-off.

Michael shares how those same principles of calculated risk, smart partnerships, and cash flow management apply to real estate investing, illustrating the lessons top investors learn over time.

Learn more about LSCRE:
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In this episode of the Live LSCRE Podcast, Craig McGrouther and I break down how to maximize value and reduce expenses in multifamily properties.

We dive into contract services, maintenance strategies, and key line items in the P&L that can make or break your NOI. Learn how strategic expense management, property tax exemptions, and smart operational practices can drive strong, risk-adjusted returns.

Whether you’re a new investor or seasoned in multifamily, this episode highlights practical takeaways for building more efficient, profitable real estate portfolios.

Learn more about LSCRE:
www.lscre.com

In this episode of the LSCRE Podcast, Craig McGrouther sits down with Mathew Owens from OCG Properties to explore how the smartest investors approach risk, opportunity, and cash flow.

They discuss how alternative strategies like real estate-backed loans and unique financing structures create consistent returns, and why understanding the numbers is only part of the story. Mathew shares lessons from his investing journey, revealing how disciplined decision-making and long-term planning can protect capital and uncover opportunities others overlook.

Learn more about LSCRE:
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In this episode of the LSCRE Podcast, Craig McGrouther and I break down the most surprising finance trends shaping 2025, covering everything from capital flows to unexpected movements in the debt markets.

We talk through why these trends are emerging now, how they are influencing investor behavior, and what they reveal about the next phase of the real estate cycle. The episode highlights the data points that matter most for evaluating both risk and opportunity in today’s environment.

Learn more about LSCRE:
www.lscre.com

In this episode of the LSCRE Podcast, Craig McGrouther sits down with Alex Zahn from Sunrise Capital Investors to unpack the alternative real estate strategies investors aren’t hearing about.

They dive into unique opportunities in mobile home communities and parking structures, exploring how cash flow, long-term land value, and smart management create compelling returns. Alex shares insights on how this “cash-covered land play” works and why staying in a specialized lane can maximize both performance and investor confidence.

Learn more about LSCRE:
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In this episode of the LSCRE Podcast, Craig McGrouther and I unpack the latest market update and what it tells us about today’s multifamily landscape.

We explore shifting transaction volumes, rising prices, and how debt origination, not just sales activity, is shaping investor decisions. The discussion highlights what data points truly matter for evaluating risk and opportunity in the current environment.

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In this episode of the LSCRE Podcast, Craig McGrouther sits down with Jack Martin to uncover the hidden goldmine in mobile home parks and affordable housing.

They explore the factors driving opportunity in this sector, from rising demand and shifting demographics to innovative strategies that unlock value for investors. Jack shares his perspective on what makes mobile home parks a compelling market, highlighting areas where operators can create impact while generating strong returns.

Learn more about LSCRE:
www.lscre.com 

In this episode of the LSCRE Podcast, Craig McGrouther and I break down how the best real estate deals are actually found - not by chasing hype, but by understanding when the market overreacts.

We discuss why disciplined investors position themselves to act when others pull back, and how reading sentiment shifts can uncover opportunities that most overlook. I also share why staying grounded in fundamentals matters more than ever, even when the noise in the market gets loud.

We wrap up with a candid conversation on investor psychology, market cycles, and what separates those who react emotionally from those who capitalize intelligently.

Learn more about LSCRE:
www.lscre.com

In this episode of the LSCRE Podcast, Craig McGrouther sits down with Ray Hightower to discuss why entrepreneurs are betting on Arizona.

They explore the factors driving Arizona’s growth, from population inflows and business migration to a thriving innovation ecosystem that continues to attract investors and operators. Ray shares his perspective on what makes Arizona a standout market, highlighting the opportunities emerging across technology, real estate, and entrepreneurship.

The conversation also covers how the state’s business-friendly environment and long-term fundamentals are fueling sustained growth and why Arizona represents the next frontier for forward-thinking investors.

Learn more about LSCRE:
www.lscre.com

In this episode of the LSCRE Podcast, Craig McGrouther and I unpack the real story behind rent growth in today’s market.

We break down how new supply, wage trends, and inflation are influencing multifamily performance, and why headline rent growth figures don’t always reflect what’s happening on the ground. I share insights on how investors can separate short-term volatility from sustainable demand and what data points matter most when evaluating a market’s true fundamentals.

The discussion also covers how shifting migration patterns and market saturation are shaping returns across different regions.

Learn more about LSCRE:
www.lscre.com

In this episode of the LSCRE Podcast, Craig McGrouther and Sam Morris uncover how one simple debt decision can completely wipe out investor returns.

They discuss how leverage, loan structure, and interest rate exposure can quickly turn a profitable deal into a loss – and what disciplined operators do differently to protect downside risk. Craig and Sam share insights on aligning financing strategy with investment goals, stress-testing capital stacks, and navigating the current lending environment with precision.

The conversation dives into the real cost of aggressive debt, the trade-offs between flexibility and yield, and how to make smarter financing choices that preserve returns over the long term.

Learn more about LSCRE:
www.lscre.com 

In this episode of the LSCRE Podcast, Craig McGrouther and I dive into how investors can stay competitive and build sustainable portfolios in today’s market environment.

We discuss why many investors are being forced to rethink their capital structures, how to protect returns without taking on excessive leverage, and the principles of disciplined underwriting that separate strong operators from overextended ones. I share insights from institutional investors on navigating higher interest rates, preserving liquidity, and maintaining flexibility while still pursuing growth.

The conversation also explores current trends in capital markets, the balance between risk and reward, and how to identify opportunities that perform even when leverage works against you. Craig and I outline the playbook for thriving through smart, steady execution rather than chasing aggressive leverage.

Learn more about LSCRE:
www.lscre.com

In this episode, Craig McGrouther sits down with Sam Silverman to discuss the critical challenge facing fund managers today in building sustainable revenue while waiting years for equity deals to pay out.

Sam introduces KUDO Capital's private credit fund, which targets 16% annual returns through business funding investments that fully amortize in 4 to 12 months. With a fully aligned fee structure where the GP takes zero unless investors hit their full return, the fund provides both current pay and liquidity after a one year lockup. Craig and Sam also explore current multifamily market conditions, discussing recession indicators, the widening rent versus own gap, and why building a balanced portfolio is essential for long term success in today's challenging environment.

Learn more about LSCRE:
www.lscre.com 

In this episode of the LSCRE Podcast, Craig McGrouther and I tackle whether alpha is dead in multifamily real estate.

I explain how institutionalization has compressed returns across the board, but opportunities still exist through vertical integration, market expertise, and innovative strategies. We break down what true vertical integration actually means and how these "one percenters" create the actual value add that generates alpha in today's competitive market.

The discussion also covers the disconnect between official job reports and economic reality, with persistent data revisions revealing a weaker labor market than reported. Craig and I explore the three critical components of real estate value, including land, structure, and finishes, explaining why location is the only appreciating asset and should be the primary focus for long-term investors seeking stable returns and strong exit liquidity.

Learn more about LSCRE:
www.lscre.com 

In this episode, Craig McGrouther sits down with Joe Downs, CEO of Belrose Group, who shares his journey from financial advisor to bar owner to self-storage operator. After multiple career reinventions, Joe discovered that 80% of self-storage facilities are owned by mom & pop operators – creating a massive opportunity for professional operators who can bring modern technology, dynamic pricing, and professional management to an outdated industry.

Joe explains his investment thesis for self-storage, including why he focuses on the Southeast, and the surprising data showing millennials use storage 3x more than Gen X. He breaks down how to evaluate markets using supply-per-capita metrics, why median household income matters, and how to avoid oversupplied markets. Whether you're looking to diversify beyond multifamily or curious about alternative commercial real estate, this episode reveals the opportunities in an often-overlooked asset class.

Learn more about LSCRE:
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In this episode, Craig McGrouther sits down with Gino Barbaro of Jake and Gino, who shares his 20-year journey from running a restaurant to owning 1,800+ multifamily units. After spending 18 months finding their first 25-unit deal for $675K (now worth $2.5M), Gino explains how he worked full-time while building his portfolio – dedicating 15-20 hours weekly to real estate until 2015.

He emphasizes the importance of limiting downside risk and following foundational principles: "buy right, manage right, finance right." Gino warns against rosy rent projections in today's market, noting that properties advertising $1,500 rents with concessions really rent for $1,400. His key insight: in periods of stagnant rent growth and rising expenses, investors need 5-7 year horizons, not the 24-36 month exits that spoiled the market during 2020-2022's "sugar high."

Learn more about LSCRE:
www.lscre.com 

In this episode, Craig McGrouther sits down with Casey Stratton, who shares his journey from corporate layoffs during the GFC to building a real estate portfolio using the 1% rule – buying duplexes for $100K that rented for $1K/month. Now focused on Eastern Washington's Tri-Cities (one of the top 20 fastest-growing MSAs), Casey discusses how they're navigating today's 0.75% reality by pursuing true off-market deals and pivoting to development.

After securing a 33-unit property from an 86-year-old seller below market rents, they're launching their first ground-up development of 140 units. Casey reveals how Washington's new rent control (7% + CPI cap) changes the value-add playbook, requiring 2+ years just to reach market rents.

His key insight: sub-50 unit deals remain inefficient enough for arbitrage opportunities while institutional capital chases larger assets.

Learn more about LSCRE:
www.lscre.com 

In this episode, Craig Mcgrouther sits down with Axel Ragnarsson of Aligned Real Estate Partners, who's carved out a unique niche buying 5-20 unit properties direct from sellers in Southern New Hampshire. Since 2016, Axel has built a 525-unit portfolio by maintaining long-term follow-up with sellers, often nurturing relationships for 12-18 months before closing. 

He explains how 75% of his deals bypass brokers entirely, capturing inefficiencies in the $1-5M deal range where 15-20% discounts are still possible. With New Hampshire being the only Northeast state with positive population growth and minimal new supply, Axel's market has avoided the operational distress plaguing sunbelt markets. 

Learn more about LSCRE:
www.lscre.com 

In this post-LSC Summit episode recorded in NYC, Craig McGrouther and I reflect on another successful investor event and dive deep into current market opportunities. We share behind-the-scenes insight on why our summit is designed to break even, the power of curated in-person networking, and the culture of accessibility that sets our events apart.

We break down why 1970s-80s vintage multifamily is becoming the sweet spot – institutional capital is chasing 2000s and newer assets while retail syndicators who dominated older stock have retreated after losses.

I explain how concessions persist in Class A despite predictions they'd burn off, while the "Goldilocks" 2005-vintage market is now overpriced.

The key insight: older assets in prime locations offer the best risk-adjusted returns if you have the operational expertise to handle deferred maintenance. We also dissect why traditional value-add strategies often fail when brokers pitch replacing perfectly good countertops.

Our contrarian view: the best time to spend CapEx is when nobody else wants to.

Learn more about LSCRE:
www.lscre.com 

In this episode, Craig McGrouther sits down with Andrew McNair, founder of SWAN Capital, who shares his remarkable journey from saving $62K working at McDonald's and Denny's as a teenager to losing it all in the stock market at 19. After reading Rich Dad Poor Dad at 14, Andrew worked for free at a wealth management firm while maintaining jobs, eventually building a portfolio of 54 rental properties by age 30.

The stress of hands-on management led him to pivot toward syndications through Cygnet, targeting geographic diversification across multifamily, storage, medical office, and flex industrial. Now managing $20M+ annually for retirees, Andrew emphasizes the importance of having "skin in the game". All SWAN employees invest 100% of their retirement funds in their own portfolios.

His key insight: business owners need both active and passive real estate exposure to truly understand what they're solving for.

Learn more about LSCRE:
www.lscre.com 

In this episode of the LSCRE podcast, Craig McGrouther, Sam Morris, and I tackle the "hackneyed" concept of value-add investing and why it's been reduced to a one-trick pony of kitchen renovations. We explain how value-add became overused to the point of losing meaning, with sponsors pitching newer construction as "value-add opportunities".

We explore alternative value-add strategies: operational improvements, financial restructuring, and amenity additions like in-unit washers that can generate $50/month on a $1,200 investment. Rob shares his contrarian view that many value-add success stories from 2015-2022 were simply riding a bull market, not brilliant execution. 

Learn more about LSCRE:
www.lscre.com 

In this episode, Craig McGrouther sits down with Marcin Drozdz of M1 Capital, who shares his 20-year journey from buying his first property at 19 to raising $300M for Ken McElroy during the 2008 crisis. Marcin reveals how he bought medical amd dental plazas for 20-30 cents on the dollar during the GFC, targeting insurance-backed tenants that remained recession-proof.

He breaks down the "3 P's" of fund raising: People, Process, then Property – inverting the typical syndication approach. Recently closing a Houston deal at $77K/door with discretionary capital, Marcin explains why having "money in the bank" creates massive negotiating leverage.

Looking ahead, he warns of potential credit tightening that could force a pure equity environment, fundamentally changing how deals get done. His contrarian take: we may be heading into stagflation where assets collapse in real value while appearing to rise on paper.

Learn more about LSCRE:
www.lscre.com