.jpg)
Own the Outcome with Tyler Deveraux
Own the Outcome dives deep into the real stories of resilience and triumph that arise from the depths of failure. Join Tyler Deveraux on a journey of inspiration, growth, and authentic conversation. Within every stumble lies a valuable lesson, a chance for transformation, and a path towards success. Each episode features compelling stories from a diverse range of guests, from entrepreneurs and artists to everyday heroes—all sharing one thing in common: their ability to turn adversity into an opportunity for growth. Because in the end, it's not about avoiding failure; it's about owning the outcome.
Own the Outcome with Tyler Deveraux
F**k Comfort... Seek Growth with Patrick and Mychele Bisson
On this episode, we step into RV park investments as we listen to the compelling journey of Patrick and Mychele Bisson. Departing from their traditional careers and embracing entrepreneurship, Patrick and Mychele share their transformative path towards financial freedom and family-focused living. As they dove into their first RV park acquisition, they share their triumphs and trials, infused with real-life lessons and empowering strategies specifically applicable to the real estate market.
Learn why the RV park sector is often overlooked yet ripe with opportunities, thanks to its increasing demand around the nation. I found so much value in this episode... and I guarantee you will too!
Be sure to subscribe, share the episode, and leave us a review to help connect us with more like-minded individuals eager to build their portfolio.
Check out their Investment Company
Thank you for listening to today's episode. If this podcast has brought a smile to your face or sparked some new ideas, I'd love to hear from you! Leaving a review would mean the world to me. Appreciate you!
Connect with Tyler on Instagram: @tyler_deveraux
Interested in multifamily investing? Attend one of our events!
All right, aloha and welcome to the Own the Outcome podcast. My name is Tyler Devereaux, and today we got Patrick and Michelle Bisson. Yes, killed it. My last name is French. It's Devereaux. I should be able to know that. Yes, devereaux, yes, see why. There you go, baby, damn, see snobby, you gotta see snobby. You got to say snobby, I love it. I'm so pumped to interview y'all. Y'all came through the program. Todd was the presenter at your event. Right, he was, yeah, yeah, love Todd, I love Todd, full of energy. And you guys worked with Judd, right, yep, yep, we did. Actually are pretty good friends with james mccabe too. Okay, yeah, I love james. So, about a year, a little over a year ago. But, man, you've been diving deep into rv parks and today this is what we're going to talk about rv parks and what, how, the process of it, and why you guys chose that lane, how that all came about. So let's dive into some of this. So I want to backtrack a little bit. Yeah, take me back to october of 2023, correct? Yes, that's the body.
Speaker 4:Yeah yeah, so we, we attended the first session in colorado yeah, the day session yeah. And then, uh, we're like, hey, this is, this is something we need to learn more about multi-family and understanding how that works. And then we said, okay, let's go for the next session, which was in denver, and we met a lot of good people then, yeah, but I think we need to backtrack, because at that point he had decided to leave his W-2.
Speaker 3:And so he left his high-paying W-2 job. And we had already been investing in real estate for a couple of years, but it was single-family homes, so we were doing short-term rentals and long-term rentals and we had just gotten to a point where we had built our first mini resort. And so we built a mini resort in Scottsdale so we could golf. And at that point he was like you know what? I think this is the time, like I think it's time for me to leave my job and like let's go down this road and, you know, jump fully into the rabbit hole.
Speaker 1:And so Was that nerve wracking, or were you guys like ready for that?
Speaker 4:We were, I mean nerve wracking. It was more about it's the fear of letting go, but then the excitement of the unknown. So I was like in between and I, you know, I had a pretty good job, paid really well and big expense account.
Speaker 3:You had to travel around the world. Yeah, not to be at every major party because it was in spirits.
Speaker 4:So it was a different mindset, right. It was, uh, like, okay, we're gonna turn to something that we're gonna work for us and that, to me, that's that was the biggest thing is like every hour, every minute, every second I'm putting into, this is for us and that that right there. Okay, now judging our time and making sure that we don't overdo it, because it's easy, you work from home.
Speaker 3:Yeah.
Speaker 4:Like you have to have hours, and that's been the biggest challenge for us, has been for me especially is, like you know, 6 o'clock comes around and you're still on the computer. It's like no, I need to shut it down. So calendar management has been the biggest thing. It was challenged but but yes, it was. It was an experience and I still live it. I'm still excited about it. Like, yeah, leaving, you know, they call it the rat race or the W2 job, like it's. It's totally different. Yeah, I'm reporting to me and her and reporting to Michelle mostly, but it's sweet now, but it's for us, it's for the family, right?
Speaker 1:So I love how you said that, though, like every moment that you put in, it's for you.
Speaker 3:Yeah.
Speaker 1:It's awesome.
Speaker 3:Yeah, and it's a big deal. I mean, it definitely is one of the biggest things that we've had to overcome this last year is learning when to turn off, and I'm really good at that because it's always been I've always been very structured, but we also have children and so it's always been. I've got to be done by now to make dinner and make sure that the kids are taken care of, and I've got to spend time with them and he's always had a job that's made him work unpredictable hours and so for him it's a little harder. But I'll walk into his office around five 30. I'm like you're done right.
Speaker 1:Yeah, that's good though it is just read something or watched something on Eminem and they said, the Eminem, eminem, when he'd go in the, in the recording studio which they would record crazy hours, he would not. He would leave at five every time. Yeah, they'd be like, whoa, you're leaving. He's like, yeah, I treat this like a job, you know, because if not, you're, you are right. Like and listen. I am definitely guilty of this because I got, especially when you know you're building it for you. I have no problem with grinding like zero, like I'll put in the work and you need some of that put in the hours. Yeah, 100, but you also need. What you realize is, if you, if you, you know, have to fit it into 12 hours, you will. If you need to fit it into eight, you will yeah, but it's also planning right.
Speaker 4:So, planning your time, planning for what you, what you can chew on during the week, and that's you know. Again, we're very good at doing that. But also we have a lot of external coming at us as you're like, hey, I got this, I got that, I get that. So now I'm using, you know, all the tools in the book, like calendly, one calendar, and I'm blocking off time. Yes, I, you know, I used to stack him, but now it's like literally block, block, block. So on the way down here, instead of being on the call for the entire road an hour long, right coming down, I was a 15-minute call. I say, hey, get a go, it's done, you get your 15 minutes, we talk Most of the times. Conversation can be done faster, for sure. So we've learned a lot on that side.
Speaker 3:And we learned no is a powerful word.
Speaker 1:Yes, needed us so okay, so part of that is knowing what you actually want and what I love. We were talking off camera and you guys are like that October conversation of okay, we need to double our door count. It's October, you need to double your door count by the end of the year, and it's like the immediate place, media place people go like how how in the hell do I do that?
Speaker 3:Well, and that's actually so. He literally told his boss that he was no longer reporting back and literally hung up. The Zoom was like I don't have a job anymore. And I was like, oh okay, let's okay, so we're doing this. But you know, it's just the shock of it.
Speaker 4:And so, finally, he turned and he goes, so we need to double our doors in the next, I think it was 90 days at that point, and I was like at the end of the year Okay, yeah, All right, let's do this.
Speaker 3:So how are we going to do that?
Speaker 1:And how long did it take Sorry, how long did it take to get the doors that you had at that point?
Speaker 3:It was. We started at the end, in August of 2020. Okay, so we were at three and a half four years.
Speaker 1:And now you're going to double that in the span of 90 days In the span.
Speaker 4:We had 17 doors at that point, yeah, and so we got to be 34. Let's go Love it.
Speaker 3:And so, of course, so our first thought was is how do we do that in bulk? And you know, obviously there's multifamily, there's mobile home parks, there's storage units, and so we started really looking at all of those different things and trying to figure out exactly which one would fit in our box. And so we were kind of exploring them all and then, randomly, somebody sent us an RV park and so with the RV park, we really were like, oh, I've never been in an RV park, have you ever been to an RV park? And we didn't know what they were.
Speaker 4:Yeah, yeah, yeah. And then we talked about where is that? So she goes Branson. And I said it's in Branson. She goes oh, I know Branson. There's like 10 million people that go there every year. I'm like okay, let's start looking at it. And we started doing the seller needed to close by the end of the year because he really doesn't like to deal with a CPA, and so on. He goes hi, this is my last year and I want to get rid of it and I'm like okay. So we did everything we could and we got to a really good situation where we brought in an investor, the investor introduced us to a really good situation where we brought in an investor, the investor introduced to a bank and we were able to, in 51 days, total close on that commercial deal yeah, and how many pads is that?
Speaker 3:it was. It started off with 68 pads and we just expanded it to 80. However, the unique thing about this park was that when we walked into it, it was more like a junkyard and only 31 of the pads were being utilized. But out of the 31 pads that were being utilized, there was probably about 25 of them, because one guy had taken up about six pads, himself Just hoarding and as we learned.
Speaker 3:So when we started going into the park because we kind of started visiting the park without letting anybody know that we were going to buy it we just wanted to kind of see how it rang yeah, get a full, absolutely yeah. We just we didn't know anything about it. We really didn't. Um, we weren't familiar with rv park. So the first day we drove in I literally looked around and I looked at him and I was like we're going home, this is not we're driving the park and people looking at us and it was like we're going home.
Speaker 4:This is not. We're driving to park and people looking at us, and it was like they weren't too sure.
Speaker 3:And so at one point we pulled around a corner and there was this trailer that was sitting there and this guy's on a phone and he pops his head out and looks at us and I looked at him and I was like that's the resident drug dealer. And he looked at me. He goes how do you know that? And I was like I guarantee you that that's who he is and he's selling out of that trailer.
Speaker 1:And so we okay, so you have a mask.
Speaker 3:Then, michelle, I can spot him till a mile away you know, I have children, I'm potential and so um but you spotted it immediately oh, I knew exactly what was going on and so as we started talking to some of the people, we realized that he was actually and one of the guys in our first multifamily. The three-day workshop had mentioned that he had told them, told his new tenants in his apartment building that the canine unit was going to come train on the facility. So I used that same tactic oh lovely, in the middle of the night, the guy up and left and took everything.
Speaker 4:That's amazing. That night we had three guests they're not renters, but they're guests and they all left. Now we brought in, like roll-off after roll-off, to clean the park, and now that I was retired I had time, so I actually went and I wanted to learn more about it, so I said I'm going to park myself on the park.
Speaker 2:What is up y'all Listen. If this podcast has brought joy or value at some point as you're listening to it, we would love it if you would be so kind as to leave us a review down below. That is how we keep this thing moving and finding individuals just like you to pour value into. Now let's get back to the show.
Speaker 4:So bought a part model. Didn't want to live in an RV, but I lived on site for three months, january through March. I was working it, fixing pipes, and really I did the work. Yeah, I learned to learn. I didn't know anything about it. So if somebody was going to quote me on, oh, I want to put like 12 new pads. I knew exactly after my three months. Trust me, I knew the cost of pike, the cost of every bit, the electric and what we needed and how we needed, and you know whatever right. So that really propels us to the next level in terms of understanding what the parks were and what needed to be done if we wanted more. And then we went to the second fairly quick. Three months later we made an offer on a second park in Missouri also Okay, so that was good.
Speaker 3:I do think, though, that, like I'm thankful that the first park that we got was so hard, yeah.
Speaker 3:Like it really did teach us a lot about what we could handle and how to handle things and how to pivot, and that it's not an easy thing, like everybody always talks about how easy everything is and oh, you know, like I built this portfolio and everything's great it was not easy, but I was really thankful that we had that because our second park was so easy. We'll never buy a park that easy ever again. But that one was so simple that she seller, financed it to us 100% and actually stayed on and is our manager. So we pay her salary and really straight.
Speaker 3:Yep.
Speaker 1:Sorry, oh no, that's great. This is the second deal. So the second deal 100% seller finance stays on as an employee still and then stays in as an owner of the deal so she, yeah.
Speaker 4:So what we did is we did an LLC purchase for that one, because she had a lot of loans like three small loans that are part of it and we're like we could buy this creatively and not put any money down and I could work with you. When do you want to retire? She goes, well, I could probably give you three years, perfect. So we crafted a deal that made sense for her and that was making her very comfortable. The park would support that right. The NOI would support the salary and the loan. She was already paying the loans out of it. So what we did is we set it up for her and then she took a month-long vacation to start because she hadn't been on vacation in 10 years. So that's that. That was amazing for Dan to go on vacation.
Speaker 1:So, dude, this is what I. So I talk about what, why, how, a ton and what is like what do you want? Why is that important? And then the how will come, like people get stuck in the how before they truly identify what they want and why they want it. This is a perfect example of this Like, going in, you guys knew what you wanted, you knew why you wanted it, and then you'd figure out how to do it. Like there's only so many hows when you truly are clear on what you want. Yeah, but it's the same thing when you're negotiating. It's like you go in and you figure out how did you figure out what this lady wanted?
Speaker 3:You talk to her.
Speaker 1:Ask questions.
Speaker 3:We had questions with her, we walked, looked at her vision and then we built up a rapport with her where it was just a very simple conversation. So at one point when we let, uh, when we were talking right after the first meeting with her, he was telling me about the conversation cause he had actually got a loan. And, um, when he got up, he called me up and he was like telling me about the conversation. I was like she doesn't want to leave. I said she wants out of the thing, but she wants to leave her job. She doesn't, cause she, she doesn't want to leave. I said she wants out of the thing, but she wants to leave her job. She doesn't.
Speaker 3:Because she was also a full-time commercial lender. Okay, yep. So she was doing both and the park was suffering, and so she built the park from scratch. She wanted the park to succeed, she was afraid of leaving her job, she wanted to be in the park, and so I was like why don't we just craft a deal and have her stay on? And so he went back and restructured the whole deal for her.
Speaker 4:And was she pumped? Yeah, oh, she was. I mean her and her husband. Her husband had a stroke three years ago so he wasn't willing to do more of the work, right, but she wanted to stay on. Now she can see her grandchildren at leisure, I mean a park. It's work, but you can still manage, right?
Speaker 4:Yeah, the interesting thing is that today right, it's been it's been eight months since we closed with her, but we kept it. You know, uh, basically, it's on, it's on a relationship and it's a. It's a contract that we made with their lawyer and then we're all set right. But in terms of the bank, we basically are assuming all the loans. Well, the interesting part is that now she goes if, what would it look like if we were to end this, like if I was to retire sooner, right, so now we have an opportunity, because now we have time in front of us that we could say, okay, well, let's go and refinance it, because now we've been the owners at a higher percentage than she is and therefore, uh, we can just go to the bank and let's refinance.
Speaker 3:The nli will support it, yeah, and she's actually done a really good job. She's increased the revenues at the park consistently, so she's been there, so yeah so a lot of uh.
Speaker 4:So the this channel, right, these people mom and pop running it, they're running it old school, they don't have a lot of improvements that they put in over the years because they're satisfied with what they got. But if you want to force appreciate the property and you want to put in more, getting more revenues out of it, well, you got to raise the guest fee. This is again, it's not renters. So you have guest fee, daily fee, monthly fees and you got to put better amenities, the Wi-Fi. All these young couples that are traveling right now in RVs and living in RV parks, they want Wi-Fi. That's it, yeah, like, give me water, sewer, electric Wi-Fi yes, and they don't even bother you, they have everything they need. So we're providing amenities and that's more of an RV park. And then we also pivoted into RV resorts, which now they offer water slides and a lot of services and restaurants on site and all that.
Speaker 1:So that's part number three, four and five all have that, so you did Five parks, four or five in year one.
Speaker 4:We're four in year one. We're going to close. We went under LOI.
Speaker 3:We closed on four in one year, but we actually put under contract five. Our fifth one is in Alaska and we didn't want to carry it through the winter, so we contracted to close in March.
Speaker 1:And you guys are closing that and, as you told me, that off camera, which is the biggest park in all of Alaska.
Speaker 3:It is the largest park in all of Alaska.
Speaker 4:It is the largest park in all of Alaska 172 pads, 19 cabins and five glamping tents and that is also a niche within the parks glamping because all the youngsters you know I'm saying youngsters, I'm not that old, but you know people in their 30s they want to explore. They've probably never they've been camping, camping with their parents, but now they are taking their kids and they wanted the glamping right. So they want they want experiences.
Speaker 3:They want like true experiences that you can't really get anywhere else. Yep, and so it's just been. It's been a lot of fun because it's like you can get as creative as you want in a park and you can actually just keep adding different revenue streams. So we have like one that's got a full barn grill on it and that does a few million dollars a year. We've got a full marina. We're doing boat rentals. We're actually taking out some of the boat slips and putting in because that particular park. They come in from the lake of the Ozarks, they park in, they order from the restaurant and then they take off. So each one has like $160 160 tabs. So we were like, well, why are we charging for them to park their boat here?
Speaker 4:just make those into boat slips and keep the restaurant going changing the location of of the marina, which is tied into the rv park, and then we're expanding that rv part. But we purchased that park in particular. It's uh 84 and a half acres that was reoned commercial on Lake of the Ozark. Okay, you can't find that anywhere, but we got it. We helped the current owner, we partnered with him. I say we're coming in and we brought in some capital. We started a fund so we're able to support the acquisitions now and support ourselves, and then we'll package it up and then refinance and then eventually own 100% of it. Yeah, I love it. That's how we're kind of setting ourselves up for success in that way.
Speaker 1:What I love, man, is you guys once again talking off camera. You guys are very clear on what you want and then you were like doing it like you. You found out about creative financing through pace.
Speaker 3:Then you come through our program, I think right after paces yeah, we literally did them within a couple weeks with each other.
Speaker 1:Okay, cool yeah and then you find about the commercial sign and syndication. And then you even structured your first rv park with an acquisition fee. Absolutely, yes, yeah, okay, yeah, that was huge, yeah, yeah, that was a big one.
Speaker 3:We were like we actually couldn't believe that we walked away from the closing table with no money down and walked away with $70,000. Like what happened.
Speaker 1:So think about that. You doubled your more than doubled your door count. Yep. You zero money out of your pocket.
Speaker 3:Yep, and we raised the CapEx in all that too.
Speaker 1:Zero money out of pocket, CapEx included, and 70 grand check at close.
Speaker 4:Out of that 70 grand. We paid the scout, the person that bought us the deal. We paid the connector. There was a person that bought us the investor. There was a small way, yes, sir.
Speaker 3:And we went to dinner.
Speaker 4:But, yeah, to dinner, yes, and we went to dinner. But these we went, you know, and then we went to there. But we, you know, these are things that pursuit costs is my favorite word right now Like when you're going after something, you have to spend money to make money. Sure, right, but we didn't have a lot of money, so we would fly on points, because I traveled so much in my career, but we went to Springfield from Denver to go see the park and stayed at the Marriott because I had a lot of points. I'm like, let's go, we're using this. We were down to the bottom right, like to start, and we met, I mean, Tom, our first investor. He's like gold, he's phenomenal.
Speaker 3:We have a lot of sponsors at a three-day event because we didn't know anything about them. And he actually, when you were saying, you know the howl come? We literally go into this. We're buying this $1.8 million park which we actually negotiated down from three. So we're going into this $1.8 million park and we're like, how are we? Okay, now we've got to figure out where the money comes from. Yeah. And that's when we were like okay, well, let's then the.
Speaker 4:The other part too is you don't know until you ask. So we said can you seller finance 30 percent? Guess what stake? Six months later I'm talking to the same seller. He came and visit and he goes oh yeah, it's great deal we made. Like I would have done more. I'm like, oh, oh, I didn't know that you could have done more. Yeah, I could have done the. Oh, I didn't know that you could have done more. Yeah, I could have done the whole thing. I didn't need the money. Oh, dude, you could have seller financed $1.8 million.
Speaker 3:But we didn't know.
Speaker 4:Yeah, and we didn't ask Great learning lesson.
Speaker 1:So now it was. Oh, you know.
Speaker 3:So, we brought in. So then we brought in our private money partner and he was like well, I can do a portion of it. And then from there he was like but I will actually sponsor you with the bank. And so we were like okay, well, that's great. So we go to the bank and the bank actually ended up giving us 80%, which is kind of unheard of for that asset, because they only usually do 60. And so, but because he had such a good relationship with the bank, they were like we'll give you 80. So we ended up with actually the entire amount plus a cap yeah, because he did 30, they still did 30.
Speaker 1:That's amazing.
Speaker 3:That's amazing, so weird so how it came about yes if it just kind of worked. It was, and actually on top of that we made the 70 000 at the closing table and then we walked into the park. The seller walked up to us and handed us a bag is 30 grand from the january uh, january uh payments for all the guest fees that he had collected.
Speaker 1:Yeah, that's yours, because you guys closed. End of December, right? Yeah, december 28th.
Speaker 3:So people started paying for the first.
Speaker 1:Okay, so it was trued up at close, but they'd already paid for that was just for the month of December, so then he'd already had checks for the month of January.
Speaker 4:Yeah, it was all cash also and he didn't want to declare it Like it was all cash also and he didn't want to declare it Like there was something there Probably no need to talk about that, but at the end of the day it was all out. But it was all cash that he was carrying. He was like I didn't trust you know, he didn't trust the people to give it to us and I'm like, okay, well, but that was a good start, right.
Speaker 3:That was. Another thing, though, is like going in. We learned that, um a lot of these mom and pops, they don't, they're not doing certain things that are upgrading their systems, like putting in online booking systems, putting in websites, putting in all the things that because they're too ingrained in what they already have and, like the the, the pain of change for them is almost too much. Yep that, and I think they're afraid to grow bigger because they're so busy they haven't learned to streamline their processes that they're almost like, no, we're good.
Speaker 1:Yeah.
Speaker 3:Don't make us get any bigger.
Speaker 4:So in multifamily you're putting often you're going to change the property manager, right? Sure, because you want to put your own people, you want to force appreciate it, all these things that we learned right. But in a park park it's similar, like so there's the bomb and pop, they're leaving. So now who is going to do it? So we have work campers. We have managers that are coming in, but work campers are people that actually live on site. They care about your park and they'll help you. So we had handymans that are work campers. We have front office people that are work campers and so they work for their spot and they're getting a little bit of money so they could go and enjoy a show or whatever like in branson.
Speaker 4:So yeah yeah, it's very, um, it's like a family that, so it's it's more in-person contact and that's what you love about it too, like the first part, I mean mean I was there. She would come and visit on the weekends and then stay and then be with the guests at a campfire, you know, while we're digging trenches for us to put in your suit.
Speaker 3:Put in all the back systems.
Speaker 1:Yes, sure, but you enjoyed it, but it was a connection. But I remember I heard like because you mentioned you can skim by this, but it was your first deal was three million something. You negotiated it down to 1.8. Okay, but you did that, if I remember right, is because you did that, because you got in with the broker or something correct?
Speaker 3:yeah, so actually that one wasn't with the broker. That one, um, we somebody brought it to us. It was like a connector, and then when we decided to go and negotiate it, one of his stipulations was he wanted to close before the end of the year. And so we were like, in order for that to happen, these things need to happen. So one we need to lower the price because it's not worth what you're telling us. It is the hensessions. He had completely overblown the price and it wasn't worth what he was trying to tell us. It was worth because it wasn't making that kind of money, because everything in that is based on like the capex and the noi, it's not based on, yeah, the land, it's a pro forma and stuff.
Speaker 4:yes, exact, never buy on pro forma. Yeah, never, ever buy on pro forma. You could create pro forma to show investors or lenders, to show the lenders for sure, but we did, uh, that deal. We ended up. The price was right at 1.8. And we got it appraised with the bank and then we had a future appraisal and that future appraisal was 3.2 million. That's awesome, because the park was not in good shape, yeah, but they see the potential. So the appraiser said if you do all these things and you do them in order that you're telling me you're going to do them, then I would give you a $3.2 million tag. So the same thing happened with every other property that we bought is like what is the current price and what is the future?
Speaker 1:price. So that's what I was going to ask you how do you underwrite these deals, like, what's your process and I know that's a deep question to ask, but high level how do you underwrite the deals? How do you know? First off, yeah, this is a fit.
Speaker 4:I'm down to a 20 minute deal. From deal being fed to me to the back of the napkin, I've got a 20 minute. I'm really.
Speaker 3:I call it dirty underwriting, okay. I call it quick and dirty, okay, yeah it's dirty, so, but I'm at that point.
Speaker 4:But we we did as we created our fund, we hired pat o'brien. So I'm patrick and he's pat and uh, so pat o'brien has a great experience in multifamily and a short-term rental and he's an amazing guys with numbers. So he has the master template and he's going to spend about four hours on a deal to get through. But I do the first step. You come to me with a deal and I'll say show me the P&L. What's the NOI? I'm using my formula as 10 cap. I will not buy under 10 cap. Is there a deal that will be? Yes, maybe, but it has to be a gold money.
Speaker 1:So what is your buy? If I were to ask you what your buy box is, what's your buy box?
Speaker 4:Yeah, so the buy box right now is 50 pads and above, right Like a 50 unit multifamily, right, 50 pads and above. The cap rate needs to be above 10. And the NOI needs to be 250 and above. And why the 250 is that I need to put a manager in place. So that manager is $40,000. The handyman is $20,000. So that's my cost. The average cost ratio on an RV park, based on the revenue or gross revenue, is 50% expense ratio and therefore that's what our buy box looked like.
Speaker 4:Now, in terms of regionality, we are trying to stay in the southern United States. I call it below the freeze line. All right, so people are coming down from Iowa to Branson because that's right below the freeze line. Does it get cold? Absolutely, but you get maybe a few weeks of the year that will do that. But we're trying to run parks all year. We haven't ventured into Texas yet because there's to me right now there's a lot of parks and they're newer. So we were looking for mom and pop. So that's also part of the buy box and the opportunity is already kind of known.
Speaker 4:Yes.
Speaker 3:And that way it makes it easier, because then we just have to increase the guest flow instead of invent the crust and it says whenever somebody says, oh, I've got this great park, it's got 30 paths, but you could build another 100.
Speaker 4:I don't want it. Yeah, because building another is going to cost me a couple million dollars In time. Average pad price right now is $10,000 per pad to put water, sewer, electric and putting a 10 by 8 landing area in concrete. Other than that it's gravel, but the connection, the sewer and everything else. Now the other thing that I do like is city water and city sewer, because that is less trouble than septic tank, but it's not septic will not stop me from buying a property.
Speaker 4:But when I look at this, I literally have 10, 20 minutes that I will take all that information. I'll say I want to look at it. The other thing I do is I go to Google and I look at the reviews. It's amazing what you'll learn from a property from Google. I think it's the same in multifamily, oh for sure. When I did my fast track in Dallas, we talked about that. Look at the current property manager, look at what they're doing. Well, it's the same for an RV park. You, there's a lot of opportunities that people like you can see what's going on and there's opportunities to get better at it.
Speaker 3:You know like I also think that that's a really good way to kind of evaluate whether it's a good park, to kind of go in and renegotiate on some of the terms, because if you see that they're consistently going getting worse, as the reviews is, that's good too, you like?
Speaker 3:look at it, you're like, okay, well, they either don't have the money for this or they're tired so good and so that makes it really simple to say, okay, they want out in some way, shape or form because they can't upgrade it or they're still tired to do it, and so that gives us an opportunity to walk in and say listen, we know that you've got these things going on. Um one of the days we actually somebody called us, a broker called us to talk about a deal while we were traveling. We were in Branson and we had a group with us because we were there at Camp Grand Owner Expo. And the guy starts telling us and he had already looked at the reviews and he goes well, what about the gang shooting that happened last week? And the guy was like what are you talking about? He's like it was in the reviews.
Speaker 3:And the guy's like oh, I didn't know about that. And he was like, well, you need to go back and look at it.
Speaker 4:So the broker called right.
Speaker 3:We can't do anything about a gang.
Speaker 4:Yeah, the broker called with the park. Great deal on paper, but when you start looking at the reviews it was a shooting. Yeah, and it's not the first time. And that's child guests are scared and like it will never stay there again. Okay, that's what he only wants to sell, maybe, but again there's going to be all kinds of trouble everywhere. Yeah, multi-family uh, mobile home parts sure, storage units have that. Everybody's got their own issues. But what does it cost?
Speaker 1:to solve it. How do you solve how?
Speaker 3:are we going to solve that? I mean, we've also had like a park that you know, when we went in and started looking at it they had a bunch of deals on it and we actually pulled out before we went in because we found out as we were talking to him. We were like walking to the park and we were just like so if you had all the money in the world, what would you do with this? And the first thing needed like a million dollars worth of septic tank work.
Speaker 4:He needed three. So he had like a lot of pads and he needed three new septic system installed because they were 20 years old. And that was not even part of the conversation and they wanted a high price. So when we started negotiating with him and went down that route, we ended up backing out of the deal. There was no deal to be made because we would have been negative. You're negative.
Speaker 1:So good, I asked that. I literally asked that same question. My question is if you had a magic wand, what would you do? That's how I say it, which is such a great question, though, but, man, you have purpose when you're going in. Just the better the questions, the better the answers, the better the result. Right, you're like you're asking the whole way through. I love it. How can I structure the deal? How can I get it done? What's their pain points? What's going on?
Speaker 4:It's your experience? I think we're. It's amazing. We pinch ourselves sometimes. It's been a year yeah, nearly been a year in RVs. We're talking to RV owners. We're going to Camp Ground Expo. We're talking with them and, yes, we're buying parks, tell everybody. And we're getting deals coming at us and there's a few deals that we'll wholesale. Some people want the smaller parks and it actually works well. Some people actually say I want to live on it, I want to run it, buy it and live on it Great, well, we'll satisfy that too. So, yes, it's really that side of it. But we're at the point where we know what we're doing and that's why we created our fund so that we could have investors come with us in our journey and really like buy more parks for 2025 and beyond.
Speaker 1:I love it. Your fund's, a 25 million dollar fund yep.
Speaker 1:You guys want, uh, five new, five new projects this year yep and this is why I wanted to have you guys on, because I remember I think you hit me up on on ig or we were chatting at first up. I remember the first time we met was peak partnership. You guys were right front row. I remember chatting with you one of the days I can't remember what day, but just and todd had already told me about y'all and you guys were all in. Like you just tell you, you can tell, like you can tell people who are like trying to I hope I figured this out and others who are like no, I'm gonna figure it out. Yeah, like I don't have a plan b, like this is what I'm doing, period, she's more like the the ready fire aim.
Speaker 4:Yeah, oh yeah, and I'm more of the aim, aim ready. I'm slower.
Speaker 3:Together we work out well. We build the parachute as we jump out of the plane.
Speaker 1:There we go.
Speaker 3:I think that's probably the best way because, honestly, at the end of the day, I think that you can only do so much when we're sitting in a seminar and we're learning, and it's great. Sure do so much. When we're sitting in a seminar. We're learning, and it's great, you know, but you learn the most? When you're actually hands-on and you're doing it, and so when you jump in and you're doing it, you'd be amazed how many people are ready to help. Yeah. Yeah.
Speaker 3:I've got to see that you're taking action. It's not the oh hey, I think I'm going to do this, so you're going to be around to help, right? They just say, yeah, of course, and then you're going to wait for me for the next year because I'm probably going to, you know, putz around. But if I'm like jumping in, I'm like, hey, I've got this problem, can you help me? You're going to be like, yeah, let's do this.
Speaker 4:Yes, and that's just Did you see why we're here?
Speaker 1:Yes it's happening, but it is, it's diving in, it's just like it is. There is.
Speaker 4:And it's hard. By the way, a lot of people say, like my husband doesn't work with me or my wife doesn't work with me, like we have people that come to us and say how do you do it? But it's, you've got to be patient and you also have to shut it off, like we talked at the beginning, and then spend some time. So that was our biggest learning of all the learnings was let's shut it down so we can spend more time together, so we could just love on each other and be happy in our moment. Right, the work will wait and it'll get there it's gonna get done but it's gonna, you know, and then we're adding more people.
Speaker 4:So that's the other thing. Yes, I'm not.
Speaker 3:I think that that is the next thing. That was like when we were talking about what our buy boxes, and one of the big things is knowing how to place management. Um, one of the biggest things that we've always learned is that we can't do everything, and the more we can delegate, the better off we are, because we want to be owners of our properties. We don't want to be in our properties working them, and so, as long as we are consistently making sure that we understand how our properties work, we know exactly who we need to place where we need to place them, what they need to be able to do, and we've been able to pick up the right people and sell them on the same vision, and so they've taken ownership of it and they are working with us, and so, like, even one of my best friends runs one of my largest parks, but the reason why that happened was she had never planned on working in an RV park, but she had. Her family lives about two hours away from there.
Speaker 3:Her father recently had a stroke a couple years ago.
Speaker 3:Her husband's father recently passed away last year, and so when we saw this park, I was like, you know, this would actually be a really great way to get them back there and that would make it really easy for them to go home.
Speaker 3:And so when we started negotiating at the park, I actually went to her and I said, hey, I think I've got something for you and you can say no, but I know that you really, really want to go back home. I know that it's been hard for you guys to travel back and forth with everything that's been going on. You're really worried about your family and you kind of want to be closer to your sisters, and so I was like, would you take this park on for me and get you back home? And she was like, let's try it, let's do it, let's see if it works. That's amazing. And so they've been able to go back and she gets to go and have lunch with their sisters on Sunday and gets to see her mother-in-law during the week, and they're happy as clams and I'm happy that I got to do that for her Totally.
Speaker 1:I mean, you just think of the buy-in, massive buy-in man, because it's bigger than a job. It's way bigger than that. There's a bigger connection there. It's so beautiful.
Speaker 4:It's a repositioning of the park and they're doing amazing. They've never done it. I mean their background, they're good with people, so you know it's really. We're blessed with that one.
Speaker 3:Yeah, Honestly, I feel like all of our managers we've been really blessed with. They've been. They're real go-getters. They really get our vision. They're really happy to be part of something bigger.
Speaker 1:But, dude, it's because you guys know how to paint a vision. You know how to paint the vision. I think one of the biggest parts of leadership and attracting high quality talent is being paint the vision. This is what we're doing, this is why we're doing it, this is how we're going to do it. Right, but it's like you guys know how to paint the vision, so, of course, people buy in. It's not like it's not magic, it's like you nobody wants to do. It's very hard to get people to buy into something if you have no idea why you're doing it. When you know how to paint a vision as a leader, that's key a vivid vision, and he is adamant about it.
Speaker 1:He's like no, I am doing my vivid vision and I'm like okay so let's talk about what's something like that looks like, because I've the from the vivid vision book right yeah, so cameron yeah, great book.
Speaker 4:Yeah, so the way I've interpreted and done it is you gotta seclude yourself. You get into a place where it's so quiet that and pen and paper and my handwriting is awful, but I sketch a lot but you create your. You create your vision of where you're going to be, as if you read an article the way it's a newspaper article about yourself three years from now, yep. And then you could share that vision with your team, which, well, your spouse, I mean she. She bought it into it, right, because I'm putting it out there. What do you think of this? But then you share it with your team, you share it with your bank, you share it with your people, you share it with your broker, you share it. And this is what I'm doing.
Speaker 4:And guess what happens? People buy into this because they see the vision. It's better than just a vision, it's a vivid vision and it's a small book I hate reading and I read that book three times back to back to back, just to get it. I didn't take notes. And then my first vision was four years ago. Three or four years ago I had a because we were doing the single family, and then we did one. Remember that vision was like let's have 12 part, 12 long-term rental. That was it.
Speaker 3:Yeah, we did it within that first year and a half. Well, actually that kind of came about in a different way too, because we had somebody come over for dinner one night and she was a good friend of mine and they had up and moved to Tennessee during COVID. And I was like, how did you just up and move to Tennessee, like you've got two kids in a private college? You like just up and left and she was like, oh, we've been investing in real estate for years and I had no idea.
Speaker 3:And so he was like, oh, we should do that. And I heard we're now investors. So I went out and bought a house the next day. I love it, literally, like two days later you were on the golf course and I kept calling him and he was like are you okay? And I was like, hey, we bought a house. It'll be fine, we'll talk about it later tonight.
Speaker 4:But that was I mean. At that time the interest rates were like a three and a half, two and a half percent. That happened crazy right. And we had some disposable income that we were like let's do something with it. But now it's like people with 401ks you can invest your 401k into real estate and I didn't know that, but you learn all these things. So, self-directed IRA into properties, yes, but our vision.
Speaker 4:Going back to the vision piece, I think what's the to me? It just gives me a road map and that way I could check the box and if'm totally wrong which, knock on wood, I haven't been so far, but I kind of maneuver. But if you look at my original newspaper article which I you print, you know the way you want it, she's keep it and then read it again after year one and you'll be like, oh man, I got to do another one, literally because your, your goal, is like see, I'm, I'm pretty sure you're setting up your vision, your goals, but by doing this, it in, it involves everything. It involves your family, your, where you're going to be, you know your health, yeah, which is something that I've been struggling because of travel and everything else. But you know I keep watching guys like you with guns and everything. I'm like I gotta, I gotta, gotta keep doing that.
Speaker 4:You look like you're doing pretty good bro, I've tried, thank you yeah but the whole vision to me is the roadmap and it helps everybody else understand and that's what they can get on board. That's what you're saying is like creating that who you know, that that direction, that people will say, hey, hey, I can buy into that.
Speaker 1:Yes, I love that you redo it every year, because you know I do this, by the way, and I love this, but, by you know, even hearing you say it, I need to share it with my team more. I don't share it with my team enough, so I need to share it with my team more.
Speaker 4:Yeah, there could be a vivid vision for just personal, but a vivid vision for just personal. But then you could have one for your enterprise. Yes, For everything you do and you've got so much going on.
Speaker 3:I do. We like sit down and we actually plan out, like okay, as a couple, this is what we want to work on this year. This is what we want to do for our business. This is what our family needs to look like. Like these are the things that we need to do for that to do for that Bird night too.
Speaker 4:But you're setting goals too right. So this vision that I'm really like almost done with it right now it's three years from now we have 50 parks. I love it. I mean, it's BHAG, it's a big goal.
Speaker 1:So let's talk, give me some, let's speak this out into existence, tell me some of the stuff that's on that list, three years from now, right now, on the vision for within three years.
Speaker 4:We have 50 parks, uh, we're doing a hundred million dollars in in revenues and we're literally employing I think I put like 70 people that we have. Yeah, each park is taken care of. Uh, we've uh we've rolled some parks. We've had more. We bought a portfolio from our biggest competitor, so that's kind of the vision I have right now.
Speaker 4:There's a lot of companies, there's a few other companies, there's massive ones that are running mobile home, and RV parks are part of that. There's one in particular that I've been modeling myself after. I didn't even know they existed until I started getting Instagram feed from that and I'm like, hey, this is what, wait a second, that's what we're doing, and they're bigger than us, so I'm thinking that at some point they're gonna wanna roll their parks and that's part of my vision. I am the people with us, uh, the kids you know, like you know, or 17 year old is going to college. I mean, this is a big change for us in the house, like we're going to be nt masters, like my kids are a little bit older, uh, her, I always wanted 25, but she works for us okay cool.
Speaker 4:That's the other thing. Part of that is that she's learning more and taking more, so that's part of the vision is who is there, what their roles are, and it's hard to put together Like you're really putting a goal out there. You're guessing, but you're putting things based on what you know now for three years from now.
Speaker 3:I think you're strategically planning, yeah.
Speaker 4:And Pat O'Brien, I like the end verbiage. You know Our CFO. Like he said he's had in my vision three years from now, he's got five people working for him. Yeah, he has to.
Speaker 3:Well, and I think that that's the thing too is that for us, like you know, it's not just about us. Like we want to take everybody else with us, like we've built up this team and they're all great people, and like I told him I was like next year we're spending Christmas in Cabo, like we're taking all the families, like we're getting to a point where we'll just we're taking everybody.
Speaker 1:I love it.
Speaker 3:And so.
Speaker 1:We're maybe at our beach also in Florida.
Speaker 3:Yeah, we could do that too, we just but this is another huge part of the vision. The vision, your vision, for your, especially your corporation, has to be big enough to encompass everyone's dreams, you know, and that is, it's a big deal, it's a big responsibility too, like that was kind of one of the things. Like I work with a mind coach. I think you might know her actually, rosie Noel.
Speaker 1:I do know that name Rosie Noel, Rosie, yeah she does Clifton Strikes. Oh, yeah, or Rosie.
Speaker 3:Yes, my gosh she's awesome yes of course I work with Rosie and I was talking to wrap my brain around how far we've come in those last year and how much your mindset has to shift. And now we're being placed in these positions of being RV experts or being looked at for different positions and different things, and it's like I want my entire team to be in that light. I don't want it to be about just us, I want it to be everybody.
Speaker 3:Whatever people will fall off, though that Mallory vision will, but it's the responsibility of it that I was like.
Speaker 1:I'm trying to wrap my brain around the fact that I'm responsible for all these people and I feel personally responsible for all these people and their families but you, but what you just said is so, because it is like that's probably one of my biggest learning lessons is creating this vision and having these people like that I just love and care about, like you just want to be with them forever, and then realizing that that's might not just be the case. Sometimes it's actually detrimental on both sides. Yeah, for that to happen, yeah, and so yeah, to be okay with.
Speaker 4:So every time I, every time I do the vision, I think, think about it. I always put like character X, he doesn't exist yet he or she will come into play to do this. And then I know that unfortunately, some people will fall off. You just feel it. I mean, I've been in a relationship with a builder back in Chicago and I've helped him get him to a certain point and it's fading away. It's not. Even this year is the last year that we're in business together. Like you know, I was healthy, I was silent and just you know, healthy Things happen.
Speaker 4:Just the roads go separate ways. It's not like a railroad track. All the time there is an extra lane out there. Oh yeah, so unfortunately that happens, and then you could try all you want to convince somebody to do the right thing, and sometimes it doesn't work. So you can't just be held back, or else you know you're never going to move forward.
Speaker 3:Yeah, but I think that goes back to just everybody, though, Like you know, you're never going to move forward. Yeah, but I think that goes back to just everybody, though, Like you know, you can't be responsible for somebody else to an extent, Like you have to be responsible for what you want, and I've got to be responsible for what I want, and I can come along on the mission with you and we can help each other. But as soon as you stop taking responsibility for your part and your commitment to it, then we've got to part ways.
Speaker 1:Yeah, a hundred percent. I literally just recorded a video yesterday I swear on my life, right before my flight that I said I just had a conversation that led to this where the video would have posted at some point. But it was like, listen, there's this generation of people out there that just think that it's somebody else's job to make them successful. It's not my job, it's not anybody else's job. It's like, not my job, it's not anybody else's job. It's it like if. But I I literally said in there I'm like if, that's you who thinks that?
Speaker 1:girl like it's the truth it's not me, it's not, it's you.
Speaker 3:You purely a tool yeah, I give you so many tools, I can do so much to help you, but there comes a point where you're becoming a detriment to me yeah, and I can't claim into that.
Speaker 1:So it's like you know, now I'm just facilitating you, not doing anything yeah, and I and I'm not going to, you know, ruin and, you know, jeopardize my health and my life if you aren't going to care about yours.
Speaker 3:Yes, and that's the hardest part, like we, we're actually getting into a point where we're starting to do workshops and we're starting to teach people how we do what we're doing. And one of the big things was this next year we wanted to build out a platform so that we could, like you know, just do some things where we teach people how to do what we're doing. Yes, but then the conversation of mentorship came up and I was like I don't want to hold anybody's hand, like I can give you all the tools and I can be here to ask a question, but after a certain point you've got to take responsibility, you've got to run with it. And you've got to run with it because what we did, that's what I mean.
Speaker 1:When I met you guys at peak Literally I know I knew, Like you just know, First off, you guys, once again right up front so I see you as I'm speaking the whole time because you literally were like boom, right there, we were Yell with some, but man, it's like even after chatting with you, there was no, there was no doubt. It was like you guys were full tilt.
Speaker 4:There wasn't this ounce of like and we appreciate and you, you're one of the enabler that got us to where we're at, so we appreciate everything we're having.
Speaker 3:We're truly blessed with timing, people and really like all the people that we've met in your circle, like they're amazing, like we talk to james all the time, like we can call him up and he gives us advice and he's fantastic and just you know, we met some amazing people that have just been so helpful yeah um and just, you know, always willing to give information and help us out.
Speaker 1:So and you guys are no different. You guys are the exact same way, which I love, yeah, so okay. So I want to do this if you were talking about vision. Okay, if you were to, because I want to have you on on here, because, after chatting with you guys a little bit on IG as well, it's like I'm very curious about it, I'm very interested in it. So, if you had a little elevator pitch on RV parks, why somebody should invest in an RV park? Okay, give it to me.
Speaker 3:Do you want to take it or let me do it?
Speaker 1:You guys are each going to do one and I'm going to judge which one's best. You're not there.
Speaker 4:Here we're back in claws. So, all right, rv park. Um, it's the right time for rv parks. Um, they are like I said before. Mom and pops are running they. They are retiring baby boomers. Most of them are pushing close to their 70s now. Their kids don't want it, their kids just want the money or whatever. Um, they the the number of parks. There's over 12,500 parks in the us. 90 percent are run by mom and pop. So there's a definitely a need for investors to come in and acquire them. You say 90 percent, yeah, 90 percent, yeah. So those are stats from the RV campground and everything. The other side of it is they make money from day one cash flow, if that's what you're looking for, cash flow is day one. Now passing investors invest in a fund works for that. Then the other piece, too, is appreciation. It doesn't take much to take a park from a C to a C+. It takes less effort to do that than a multifamily.
Speaker 3:They also get better tax depreciation.
Speaker 4:Sure Than multifamily.
Speaker 1:Yeah.
Speaker 4:Damn, I didn't know that In the year one you could get a huge depreciation on year one. So it's concrete pads, it's electric, so all of that you can write off in the first year. Yeah, I'm just telling you. That alone is attractive. I think that we're going to show you some numbers that you'll be able to Minimum of attachments.
Speaker 3:Super simple, Really easy to value add. I can add multiple businesses onto one park. I mean we have one that's doing like golf cart rentals.
Speaker 1:We have a full arcane, did it have those income streams when you bought it or did you add some of those?
Speaker 3:So those actually were on it when we got in there because we just bought it. But we're actually adding more because with that particular park, like those golf carts, they make $100,000 a year just on it. There's only 20 of them and they're booked out all year long. So we're adding actually 20 more, so we're increasing it by $100,000. We're putting in glamping tents, which will be super, super easy to do.
Speaker 4:That's part two of what I want to say is that there's a new generation of campers and they don't necessarily have their big rigs and their hiccup truck.
Speaker 1:Listen, when I go camp, we go glamping. That's what we do.
Speaker 3:Because, you want to be experienced.
Speaker 4:That's exactly right, and cabins is not a big deal, yeah.
Speaker 3:They're virtually recession-proof. Yeah, osha is another thing, because I can switch the model of a park with a flip Like I can literally say okay, you know what Things are, can charge them a monthly fee and charge back the electricity, or things are better, I can flip it back. Now I'm charging you nightly inside there's guest free.
Speaker 4:That's powerful. They're all guest fees. They're not renters. There's no rent of functions, so there's no eviction. If somebody doesn't satisfy, like the, the criteria of the park, I'm sorry you have to go and literally the police will be there to escort that. We don't want that, but.
Speaker 3:But they have to leave within two hours and if they don't, the sheriff will actually come and haul them out and it's actually considered an abandoned vehicle, not a house.
Speaker 1:Oh, really yeah. So there's, all these.
Speaker 4:And then the other side of that is affordable housing is real in the US, real. There's not a lot of land next to lakes or next to beautiful scenery where you could get an affordable house. So that's something that with the 98 acres in Virginia or the 84 and a half acres in Missouri by the lake that we can create a community. So that's the next step into all of our parks is to appreciate them. We could put a community separate from the RV, but it still functions the same way. How do the returns?
Speaker 1:stack up Just like the IRRs compared to like what's your target.
Speaker 4:IRR yeah, so IRR, we're north of 25 right now in our target IRR. The cash on cash is high teens because the money that goes in, I mean we're cash flowing right away. So when, in the case of the fund, we're offering a pref and then we're offering a 70-30 split, well, when we're looking at that at the end of the five-year period, the five-year hold, the properties will have increased value, the property will be making more revenues and we have an asset that's cash flowing the entire time. So we're giving back money. So it's a two and a half X, like in five years.
Speaker 3:But then when we add other things, like on one of our parts, we're getting rid of it at a liquor store because you have to go 10 miles down the road to hit the nearest grocery store and liquor store, which, if they're there, that's the license. So he wants to leave the lake? No, so the license is already there. We have a restaurant that's probably going to increase our revenues by half a million to 100%.
Speaker 1:Yeah.
Speaker 4:And then the bank is buying into that. So it's already part of our refi before the FAT. Because at this point, for that one in particular, we're asking the bank to give us the loan to build that structure. But we asking the bank to give us the loan to build that structure, well, we could put a bardonium attached to the building.
Speaker 3:I mean the we're Allison and Ben's center. There we're adding the gall burial.
Speaker 4:Yeah, the technology, the materials and everything is helping to repositioning those poles.
Speaker 1:So here's what I'll tell you my biggest takeaway. Okay, there's a lot of us, because all those points are, but I'm telling you my biggest takeaway. Okay, there's a lot of, because all those points are usual, yeah, but but I'm telling you my biggest takeaway. I think it'd be a huge takeaway for everyone. I know it'd be a huge takeaway for everyone listening, I guarantee you this is a clip because I want people to watch this, which is I. It's less about you. It's less about me believing what you're saying. I believe that you believe what you're saying and I believe that's true influence. Like, true influence is listen, I believe that you believe it, and which then, in turn, you think about that. That makes me believe it yeah, true to the core.
Speaker 3:Yes, it is true, the core.
Speaker 1:It's like. You know, I watched trump the other day and they were asking him about. What were they asking about? I can't remember something like that. What you think that the fed will listen to you or something. It was about the rates. Do you think fed will listen to you? And he's like was about the rates, do you think?
Speaker 1:Fed will listen to you and he's like, yes, yeah, like well, why? He's like because they will. It's like there was like there was not even an ounce of doubt in his body that they're going to listen. It's like I watched that and I was like damn, but that's how I felt. You guys, I believe that partners, whatever it is.
Speaker 3:Well, I do think we do. I mean, we fully believe in our asset class, we fully believe that it can do what it does. We've seen it doing what it does and coming in pretty much the sky's the limit. I mean, one of the biggest differences between multifamily and us is one we can change our structure at the drop of a hat, we can take advantage of dynamic pricing and we have an unlimited resource of ways that we can add value to that part. Like there's nothing that stops us from doing everything when you're limited in a lot of other classes.
Speaker 1:Yeah, and get creative with it. Yeah, you guys are very creative with your structures and how you buy and all of that stuff. We've learned all of that from your. Pace is great and that stuff. I mean, dude pace is so creative with how he structures, so creative, yeah, yeah, and then adding value different ways, right, like we talk a lot about that kind of stuff, but it's like that's why I love people I can learn from anybody. Like you said, it would be one little thing you know.
Speaker 3:Well, I think that that was the big thing when we came in, and that's why we did both of them at the same time is because, one, we wanted to learn how to do things creatively and structure different deals because we were capped out. On the other side, we wanted to go into bigger assets, yeah, and so it was like if we could find a way to combine the two, we would be golden.
Speaker 1:That's what's been unique about your journey is that's exactly what you've done, which is why people want to know what you've done.
Speaker 3:Yeah, but I do think that that comes from strategically knowing what we wanted from each of yours.
Speaker 4:I agree with that. We look at the curriculum and then we just say, okay, let's utilize that so yeah and take action.
Speaker 1:Yeah, you guys are absolutely the epitome of it's. Like you know, the vision, the visualization part, isn't that is powerful, but what's truly powerful is the manifestation of the visualization that comes from action. It's the action. It's not a secret, but in order to, you know, actually have the manifestation of the vision, you got to take massive action on a vision that's clear. And when you do that well, confidence goes to the roof, because now it's not just I think this, it's no, I saw this, I did this, I'm doing this and that's why I'm going to do this.
Speaker 3:I think that that's like. One of the things, though, is that when you start doing it and you start building that confidence like we started, our first investment was a $325,000 single home family home, and it consistently kept growing, and I remember at one point I turned to him and I said you know, we kept growing and we bought our first beach house, which was our second beach house, but it was $1.6 million, and I told him when we were buying the park I was like you realize that this is the same price as our beach house and it's going to make four times the amount of money. Yeah.
Speaker 4:Like we visioned two weeks this entire time. So good. I literally put that beach house on the market that week just to test to see if we can sell it, and uh then we said oh, it's too, it's perfect. The other one yeah, we actually sold the other one, yeah, but it's a perfect beach house it's. We were just there. It's calm, it's a place where you could do your village vision, yes, and enjoy that, but then but yeah.
Speaker 3:So going into this, like buying that first park, I remember us, you know, we were two days before closing. We were like we're never going to close this, Like how are we going to do this? And we were freaking out because we didn't think we would do it. We walked to the closing table, closed that park and they were like, well, that was easy, let's do another one. The fear is off right.
Speaker 4:Yes, but the one thing, you saw a clip that you were on stage and you're talking about the bison.
Speaker 3:Yeah, yeah, yeah, yes, so people, call them buffalo in general, but buffalo are not native to America. The bison are Bison. Buffalo are native to Asia.
Speaker 1:I literally just thought it was the same thing. Nope, they're different.
Speaker 4:Interesting.
Speaker 3:Bigger and stronger.
Speaker 4:Interesting. So the bison, right, buffalo. But they go into the storm, right? Yes, they want to go through that storm, so it goes past, and then they're first there, right? And that's where all the fruit of the storm is Exactly, yeah, exactly. So when we named our company, we looked at that. We had the vision, so we were a peak conference and so we were talking about Colorado mountains you know, with Casey.
Speaker 4:We're doing an Everest challenge, like looking at that, so it's everything. So we said, okay, I did, I totally did. Yep, so bison peak ventures is what we ended up with, and that was like it's not chat GPT, it was just us putting our mind together and say what would our company look like? And if you look at our logo, it's a bison and he's going to the right. He's going the right direction and the mountains are there and it's circled, which means that we are capturing that moment and we're taking people on our journey let's go, that's awesome marketing, so that's awesome.
Speaker 4:That's I mean I just love that's awesome. Marketing so that's awesome. That's I mean I just love it, I'm passionate about that. But that's what people need to understand is like there's things you do for a reason and there are things that you need to do to get to there. That's it.
Speaker 1:Thank you guys so much for sharing your story and your whole journey that you guys are on right now and my gosh, it's amazing. I love it. I'm so excited for this one to air. There's so much value. Hey, I'm gosh and I will weave this in. We'll do a cut in or something on the episode, but if you guys don't already follow them, we'll put all your links and everything in there linked to the company, linked to your socials. But you guys, was it 50? 50 and 5. 50 and 5. Let's go.
Speaker 3:I guess I better get to work.
Speaker 1:Any last bit of advice you would give a new listener or a new investor just starting out.
Speaker 3:I think for me, I think, it would be more on the lines of you know, as long as you have the vision, you know exactly what you're going after and you stay focused. The how comes, it always comes, but you have to actually take action and you have to follow your path and you can't be distracted for me it's jump like do you get it, john? Or have your wife push you obviously, because this is really.
Speaker 4:I mean, it's, it's. I could have pulled the plug on my former job three years ago. Didn't do it. I was come, you know, they're comfortable. Yeah, um, I enjoyed it, right. And then it got to a point where I was like every morning I would be rolling my eyes, like, really, like we have to do this again. So, jump right. So I pulled the plug. The circumstances were right. I said, okay, I'm out and that's it. So from that moment on then that became my. My definition, right as we talked at the beginning, is like what I need to do to to keep us afloat, right. So that's to me, that's more of the, you know, taking care of the family, taking care of our business and then going from there. But if I don't jump, I don't do it. Now I'm getting close to the point where I'm cashing up to her and there's some things that she goes oh really, we're doing this, yeah, setting up goals and everything that surprised me. So the 50 and 5, I didn't share that with her. No, that was new.
Speaker 1:But it is so good, though, and once you start building out a team, that stuff makes it a lot more feasible, for sure.
Speaker 3:Well, I think that that is also. The other thing is that, as you start building the confidence and you start realizing, you start realizing how to place people. Like that doesn't seem so outrageous to me, like if you would have told me that a year ago. Told me that a year ago, like even last year, he was like five parts. I was like are you kidding? We're closing one? Yeah, and we hit the five. And so now when he says 50 and five, I'm like okay, cool, let's do that.
Speaker 4:Lossable, it's not out of. You know, it's still an end in a possibility.
Speaker 1:I got to tell you what's interesting with what you just said, so I'm going to share it, which is right in line with the comfort piece.
Speaker 4:So get comfortable.
Speaker 3:You've got to be comfortable being uncomfortable. I think I said that to somebody yesterday.
Speaker 1:It's this one. Okay, I said what if you're falling into the devil's greatest traps without even realizing it? Believe it or not, comfort is one of the devil's greatest tools. Comfort prevents you from taking action and comfort prevents you from changing and growing. Fuck, comfort, seek growth. Absolutely, that's what it is. That's what it is. That's it. That's going to be the name of the episode. F comfort seek growth. I absolutely agree with that's what he is. That's it. That's the name of the episode.
Speaker 3:F-Comfort-Less-Eat-Your-Own. I absolutely agree with that.
Speaker 1:Hey, thank you. Yeah, that's it. Thank you all so much for being on. You guys are amazing. I'm so excited to see your journey. Thank you for sharing it with everybody. Hey, go share this episode. I know that you found value from this thing there's. Go build your portfolio, take action and jump. Live always Aloha as well. Peace.