From Landscaping To Real Estate Mogul | Stewart Beal - EP34

In this episode of The Wealth Clock Podcast, Steven Weinstock sits down with Stewart Beal, President of Beal Capital and one of the most experienced multifamily operators in the Midwest.

Stewart began investing in real estate at 19 years old after selling a landscaping business he started as a teenager. Over the past two decades, he has acquired more than 130 apartment complexes, managed over 3,000 units, deployed more than $100 million through multiple funds, and built a vertically integrated real estate platform spanning acquisitions, property management, and syndications.

In this conversation, Stewart breaks down what actually works in real estate over long periods of time, including why most mistakes are solved with patience, how value add investing really plays out operationally, how he structures investor deals, and why cash flow discipline matters more than hype.

Topics covered include:
• Buying and holding real estate through multiple cycles
• House hacking and early investing mistakes
• Value add multifamily strategy across 130 plus acquisitions
• Raising capital and managing investor relationships
• Preferred returns and syndication structures
• Markets he avoids and why
• Lessons learned from the foreclosure crisis
• Why insurance is non negotiable in real estate
• Tenant retention and operational decision making
• Long term thinking versus short term returns
• Balancing family life with a large real estate portfolio

This episode is sponsored by Cable NOI.

Cable NOI helps apartment owners with 20 units or more generate new revenue from bulk cable and internet agreements with providers like Spectrum Charter AT and T and Verizon. There is no wiring no cost no tenant interaction and no risk. Properties can earn per door payments and ongoing revenue share.

To see if your property qualifies visit CableNOI.com

Connect with Stewart Beal:
Website: https://www.bealcapital.com  
Invest with Beal Capital: https://www.bealcapital.com  
Email: sbeale@gobeale.com  
LinkedIn: Stewart Beal  
Facebook: Stewart Beal

Subscribe to The Wealth Clock Podcast for real conversations with operators founders and investors who share what really works.

🎙 About Steven Weinstock
Steven Weinstock is a real estate investor and founder of WeCapital and the Goethals Capital Fund. Since 2001, he has built a diverse portfolio of residential and multifamily assets while helping investors access passive income through strategic real estate opportunities. On this podcast, he shares real-world insights on investing, capital raising, and what it really takes to build and scale in today’s market.

📩 Want to invest or get in touch?
Visit: www.WeCapitalX.com

📱 Connect with Steven:
LinkedIn: www.linkedin.com/in/stevenweinstock1

Instagram: https://www.instagram.com/wecapitalx/
YouTube: https://www.youtube.com/@TheWealthClockPodcast

Transcript

Steven Weinstock (00:01)
welcome back to the Wealth Clock podcast with Steven Weinstock. I'm Steven Weinstock. My background is single family homes, multifamily, and recently private credit debt investing through a fund, mostly in the first position liens on properties in New Jersey, where I am enjoying the non property management aspect of that investment.

We are sponsored today by Cable NOI. Cable NOI will help properties that have 20 units plus get revenue from cable companies, Spectrum, Charter, AT&T, Verizon, etc. There is no wiring. There is no cost. There is no tenant interaction. They will pay you a per door fee, sometimes up to $250 per door, plus a revenue share. There is no cost ever.

All you need is the address and the unit count. They will tell you if you are approved. CableNOI.com.

Today we have the legend, STEWART Beal. He is the president of Beal Capital. He is a serial entrepreneur who began investing in real estate at 19 years old. He has founded multiple companies, managed more than 3,000 units, and helped deploy over $100 million through multiple funds.

Stewart, thank you so much for joining.

Stewart Beal (01:20)
Yeah, thank you so much for having me.

Steven Weinstock (01:21)
Okay, 19 years old. I thought I started young. How did you get into real estate at 19?

Stewart Beal (01:28)
Well, I actually started a company when I was 13 mowing my neighbors’ lawns door to door. When I was 16, I got my driver’s license and we made it an official company. We had as many as 400 customers in Ann Arbor, Michigan. When I was 19, I sold that business for $250,000. I got $50,000 down and $1,500 a month for about 10 years.

I was going to Eastern Michigan University Business School in downtown Ypsilanti. I met a man who owned 11 properties. He wanted to sell one. I evaluated all of them and bought a five unit across from the business school. I moved in and house hacked.

I learned about real estate through reading. In the 90s, there was no internet or crypto. It was real estate and building businesses.

Steven Weinstock (02:50)
How long did you own that first five unit?

Stewart Beal (02:54)
I still own it. I paid $262,000 in 2002. During the foreclosure crisis it dropped to about $75,000. Now it’s worth over $500,000. Real estate comes and goes, but time fixes most mistakes.

Steven Weinstock (03:14)
Most mistakes in real estate are fixed with time. Were your friends landlords too?

Stewart Beal (04:05)
No. Everyone else was focused on college and football games. I was more of a lone wolf.

Steven Weinstock (04:35)
Did people question why you were buying real estate?

Stewart Beal (04:45)
I grew up around educated professionals. My mom was a lawyer, my dad a contractor. I saw hard work and the rewards of it. That mindset pushed me toward entrepreneurship.

Steven Weinstock (06:08)
Were you cash flowing even living in the building?

Stewart Beal (06:19)
Not at first. I had to evict two tenants. The first year was bumpy. But once stabilized, it cash flowed well. I’ve refinanced it multiple times and owned it for 24 years.

Steven Weinstock (07:10)
How long until your second property?

Stewart Beal (08:49)
I bought a former adult bookstore seized by the city. Partnered with investors, combined buildings, built 20 lofts and commercial space. My dad was the contractor and I ran construction.

Steven Weinstock (09:58)
Foreclosure crisis timing?

Stewart Beal (10:01)
2008 to 2009. It hit hard in Michigan. Banks dumped inventory and I had cash.

Steven Weinstock (10:38)
How did you structure early investor deals?

Stewart Beal (10:49)
Everyone owned based on cash invested. I earned fees for management and construction. Later I did syndications with GP and LP structures.

Steven Weinstock (11:44)
Are you buying cash or using debt today?

Stewart Beal (13:03)
I’m buying an office building this week. 66 percent LTV. Rates are high, so we use cash carefully.

Steven Weinstock (14:05)
Were you nervous raising investor money?

Stewart Beal (14:10)
Not really. I had run property management for years. Some investors are great, some are difficult. It’s a numbers game.

Steven Weinstock (16:12)
Have you done ground up development?

Stewart Beal (16:16)
No. I am purely value add. I’ve acquired over 130 apartment complexes, all value add.

Steven Weinstock (16:57)
Do you ever avoid rent increases?

Stewart Beal (17:01)
Yes. Turnover kills profits. Sometimes stability matters more than increases.

Steven Weinstock (18:36)
What markets do you invest in?

Stewart Beal (18:43)
Michigan, Ohio, and passive investments in the Southeast. I like population growth states. I also invest in senior housing.

Steven Weinstock (19:33)
How are syndications structured?

Stewart Beal (19:38)
7 percent preferred return, 70 30 split, acquisition and disposition fees.

Steven Weinstock (20:46)
Any markets you avoid?

Stewart Beal (20:48)
Certain Michigan cities due to crime and courts. New York and Los Angeles are impossible from a return perspective.

Steven Weinstock (23:48)
Biggest mistake you made?

Stewart Beal (23:55)
Not insuring a vacant building. It burned down. Insurance is non negotiable.

Steven Weinstock (25:24)
What do you do for fun?

Stewart Beal (25:27)
Fishing in all 50 states. I’m at 48. I spend time with my daughters.

Steven Weinstock (25:49)
TV or books?

Stewart Beal (25:52)
Netflix and business biographies. The Snowball about Warren Buffett is the best.

Steven Weinstock (26:43)
How can people reach you?

Stewart Beal (26:55)
Facebook and LinkedIn under Stewart Beal. Website is BealCapital.com. Email is sbeale@gobeale.com.

Steven Weinstock (27:36)
Thank you Stewart.