Here's what I've got for you this week.

1. The Unintended Consequences of General Solicitation
   ​The 2012 JOBS Act legalization of advertising and marketing for sponsors has created an unintended consequence for investors that I discuss below.
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2. Podcast Episode 705: From Wakeboarding to Real Estate​
   My podcast guest this week is Austin Hair, a former professional wakeboarder turned real estate investor, who discusses his transition from one extreme sport to another. :)
   ​
3. LinkedIn Mastermind
   ​The next LinkedIn Mastermind starts next Tuesday. If you are serious about scaling your business, please join me. I guarantee you'll get great results - starting during the Mastermind - or I'll refund the enrollment, no questions asked.
   ​
   ​For more information and to enroll here.​
   ​
   Use coupon code FEB23 - before Feb 23rd - for $100 off enrollment - we start Feb 24.

Plus, a reminder of the other two main initiatives this year:

• Investors:​
  I am getting increasingly active in finding personal real estate investment opportunities.
  ​Follow my journey here.​
  ​
• Sponsors and Capital Allocators:
  Join the waitlist to get the exact system our clients have used to raise nearly $1bn in equity capital.
  ​Join the waitlist here.​

As always, please do not hesitate to email me directly if you have any questions.
​
Best,
Adam

***

Sell, Buy, or Hold

I’m preparing to sell a small property in Los Angeles and will likely be looking for an upleg in a 1031 exchange.

But an unexpected challenge has emerged - choice overload - a direct result of the JOBS Act of 2012, which allowed real estate sponsors to market their offerings publicly.

Before this shift, investing in private real estate deals required personal connections. Now, with marketplaces like CrowdStreet, RealtyMogul, EquityMultiple, and Caltier, along with investor groups, newsletters, sponsors, and independent capital raisers, there are countless opportunities to consider.

Add to that today’s uncertain macroeconomic landscape - tariffs, government restructuring, geopolitical tensions - and the result is that it is increasingly becoming difficult to make a reasoned decision.

What I’m Looking for in My 1031 Upleg:

1. Accretive Cap Rate – A going-in cap rate that exceeds the cost of debt.
2. Low Leverage – Ideally 50% or less.
3. Strong Asset Class Tailwinds – Sectors positioned for long-term growth despite economic uncertainty:
   • Senior living & anything tied to the aging U.S. population
   • Healthcare & medical office buildings
   • Multifamily (housing shortage)
   • Build-to-rent (housing shortage)
4. Path of Progress Markets – Key factors I’m watching:
   • Metro Size: Secondary cities (300K+ population) with stable growth, avoiding stagnation in mature markets and volatility in small towns.
   • Population Growth: Rising household formation signals strong demand.
   • Job Growth & Diversity: Strong, diverse job markets in resilient sectors like healthcare and tech.
   • Rent Affordability: Markets where rent aligns with incomes for sustainable growth.
5. Current Yield – Income-producing from day one.
6. Long-Term Growth – Light value-add potential.
7. Conservative Underwriting – Solid downside protection and a long-term hold mindset - can the deal weather future worst case scenarios?

Where Is the Market Headed?

I hear wildly different perspectives, from optimism to deep pessimism. Are we heading for a boom, a crash - or both, with a crash following a short-lived run-up?

I recently spoke with a highly successful investor who’s cautious about moving too quickly. He sees increasing bid/ask spread capitulation and expects more opportunities to emerge throughout the year.

But 1031 exchanges come with strict deadlines - 45 days to identify replacement properties and 180 days to close. So as my sale progresses, I’m intensifying my search for upleg opportunities.

• Sponsors: If you have deals that match these criteria, let me know.
  ​
• Investors: If you’d like to join me in seeking recession-resilient, cash-flowing investments with long-term upside, complete this form, and I’ll be in touch.
  ​
  Thanks,
  Adam

Podcast/YouTube Show:

Meet Austin Hair
​​
What do wakeboarding and real estate investing have in common?
​
They have Austin Hair in common - a former professional wakeboarder turned Managing Partner at Leaders Real Estate.
​
Austin raises capital for healthcare real estate acquisitions and shared his journey from extreme sports to commercial real estate.
​
Here’s a preview of what we discussed:
​
​The ‘Capital Allocator’ Model ​
​
* Austin discusses how the model works and how it varies.
* He explains three roles in a fund: fund manager, sponsor/operator, and capital raiser.
​
​Austin targets deals where ​
​
* GP economics are split equally (one-third each) or pro-rata.
* He focuses on acquisitions in the $14-$15 million range, that
* require $5 million in equity, and
* he typically raises $500,000–$1,000,000 per deal.
​
​What Austin Looks for in Sponsors ️​
​
* Minimum of 5+ years and 5+ deals of experience.
* Skeptical of first-time sponsors
* Doesn't trust deals projecting unrealistic IRRs (70%+).
* Prefers deals with IRRs of 15-18%.
​
​Why Healthcare Real Estate? ​
​
Austin likes dental practices, citing their low tenant default rates as a safer investment option.
​
We also talk about the challenges of raising capital and Austin reveals the most effective he has found to connect with investors.
​​
Quote:

"Just because you can find a deal doesn't mean you can raise capital, but if you can raise the capital, then you can definitely find a deal."

Austin Hair, Leaders Real Estate

​
​Link to the full episode here >>​

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