AI Live - Land Shark Mastermind

Did you see that last thing inside your messages? The one? Yeah, for the CW.

Yeah.

Have you seen that before? No. When I sent it to you before? No. Okay, it's a— I think it's a pretty good group.

Do you want me to share the office space one? Do you want me to?

Yeah, let's do that. Let's start out the show with that. I'm gonna pull up one of the deals I got going.

You're probably driven by this Building near Central and Camelback many times. It's remained vacant.

Are you able to share your screen?

Hold on. Okay, you see my screen? You've probably driven by this building near Central and Camelback many times. It's remained vacant for I'm ABC 15 reporter Eleni Dao. Soon this space will turn into an apartment complex. We're taking a look at the long road it took to take from this place being an office space to apartments. Nearly a decade, that's how long this building sat empty in Uptown Phoenix.

And then through starting and stopping construction and, you know, financing, whatever, that's just how it sat.

Now this former office space is luxury apartments.

Exciting time for Phoenix. You know, and all the neighbors and for Uptown that has had this kind of, like I said, an eyesore sitting here, and now it's going to be one of the nicest properties that exists in Phoenix.

TK Stratton is the CEO of Cannell Capital. His company took over the building in December and finished what others couldn't.

We had to come in and figure it out, where the trades left off and what engineering was left to do, all of those things.

Turning an office building into a home is tricky work. Seeing it go from different life cycles, from when it was starting to go through construction and all the concrete was removed, all the windows removed, to now and finally seeing it furnished, it's really exciting. From studio apartments to 3-bedroom penthouses with views to match.

Because the glass runs all the way from that side, wraps all the way around through both of the other bedrooms, so you can see almost all of Phoenix with unobstructed views.

Rent ranges from $1,700 to $10,000 a month, topped off with a rooftop pool and more. You've probably driven by this building near Central and Camelback many times. It's remained vacant for years. I maybe see— that's really cool.

So yeah, I mean, we've been talking about it, like, because of the fact that there's a significant amount of surplus office space, right?

Right.

So, and the reason why my brain goes to this is a previous knowledge of real estate, like when I was down in Florida. And we were building in Florida for medical office. We were building medical offices out of the multifamily floor plan we had. We used to have— we had a quadplex floor plan that was 8,000 square foot under roof. And it gave 2,000 square foot to each quad total, right?

Yeah.

And we deserve— we turn those and design those into 6,000 square footers. That we put into medical, turned into medical office. We did 6,000 square foot under roof and turned them into 1,500 square foot units apiece. That way, um, we could rent them out to doctors, or a doctor would buy the whole thing and then triple net the other 3 units.

Right.

You know, and so those are the deals that we were, we were doing on that. So Yeah, it's good. It's good times. Good times.

So we have Holly here with us.

Hi, Paulie. How we doing?

Holly.

Holly. Hi, Tommy.

Hi, Catherine.

Holly or Holly? I don't know. I'm hearing—

Can you see it on your screen?

Holly, what's going on?

Yeah, we meet up all the time on Eddie's Bash Bro on Friday nights.

Absolutely. I love it. So, uh, well, welcome in. Millions of dollars to make it.

You've probably driven by this building near Central and Camelback many times. It's remained vacant.

What are you doing? Turn it off.

I'm trying.

It's destroying my—

The cock leg takes over. I need to shut my computer down. Everything's spinning.

You gotta restart, make me a host, or what's up?

I think I'll be okay, but right after this, I'll have to restart.

Perfect. So, all right. So we're gonna run some deals today. It's 10 after. Catherine, do you already have a deal ready to go?

No, because we were playing with TikTok. Give me a minute and I will.

No worries. No worries. If anybody else has a deal ready to go, this is what we want you to do. I'm gonna share my screen so you all can see what to do. We're gonna, and in order to share a deal over here on deal on on the Deal Hunter podcast, the the deal room here, we're going to be going over to our favorite our favorite website. Let me see if I can get it up here. It is not free estimates, although that is a that is one of our favorites. You're gonna go to landsharkdealhunter.com. Landsharkdealhunter.com brings you to the website to learn all about how to use Deal Hunter, but we're not gonna use the website to do that today. We're gonna do it— I'm already in that thing. We're gonna do it right here inside of our podcast. So go here later to learn how to do this, maybe get your own, watch a demo, become an affiliate. You can become an affiliate. You go over here, you tell people about it and get them to join the affiliate waitlist, because in December this becomes a paid version, and we're going to give it away to a certain amount of people if they're on the waitlist. So after December, if you're not on the waitlist, you're not getting it for free. You gotta have to pay for it, and it sucks, I know, but it is what it is. Not our rules, it's ChatGPT's. But for now, you can go to run it, run a deal. And go to open Deal Hunter, and boom, you're inside of Deal Hunter. Now, I don't—I do not like to operate my Deal Hunter from inside of a inside of a chat window. I use the—I like to use the the web. I like to use the the the desktop app. Okay, the app works in a different way. Not going to say better, just going to say in a different way than the actual. Um, the one that you put, uh, on, on a browser. In a browser, you can do repetitive work. I like to tell you that I'll use it inside of repetitive work, but to do my laboratory work, like digging, digging into real estate using Deal Hunter, um, I like to, uh, I like to make sure that I'm, uh, I'm connected to the desktop app. So inside of here, you can do Multiple ways to run a deal in here. One of the ways that's common for people is to go in and grab grab an address because they drove by a place, and when they drove by the place, they seen it, and they were like, "Oh, this is a this is a nice property." Whatever they can get the address, and they can put the address in there if they do. If they do, um, excuse me, if they do email blasts, like if you're like me and you get email blasts on a daily basis, uh, with, uh, with properties, and I'll show you real quick here what that looks like. Here's my Outlook, right? Matt Justice, Jason Turner, Hoffer Group. Let's just grab Hoffer real quick. Look at that address right there. I'm just going to grab it. I'm not even going to grab the words address correction. I'm just going to grab— come on, get off. Dismiss. Excuse me. I'm going to grab the address just like that. Click copy. Go to Deal Hunter. Ctrl+V, paste it right in there. Shift+Enter, Enter. And there's 3 magic words: run This deal. When you put in run this deal, it, it's get— you're giving it a command to perform a 27, 27-segment assessment of the property. This is going to do underwriting from 27 different pinpoints. When you do that, let it cook. While it's cooking, be like, hey Tommy, over in the chat you're gonna put, I got a deal. I want to run a deal. If you put into the chat, I got a deal, I want to run a deal, follow all those steps right there and have it ready to go. And if you're, if you're sitting at a computer, share your screen when, when we call on you. Share your screen and we'll run the deal. Get about 5 minutes to run the deal, see if it's a go or no-go, but we'll take it apart, figure it out. And see what to do from from there with it. I have a deal that I ran yesterday on a phone call about a company who who is looking to do investments with us, and so Deal Hunter has a little brother called Due Diligence AI, aka Guido AI, and so. This is basically Deal Hunter for due diligence on, on companies and people. And so this is a similar tool to Deal Hunter. So I'll go through this, but if anybody's got a deal— and who do we got in here today? I know we got Holly. Holly, if you got a deal, put it in Deal Hunter.

My deal finally came through.

Say again?

My deal finally came through.

Catherine's ready to go, so, um, we'll, we'll start running deals and run these till about 10 till. So real quickly, um, this is a real estate company called Greenwood Commercial Real Estate Group out of Atlanta, Georgia. Um, we wanted to find out about what their, um, presence was inside of the fact that we want to do some, uh, Opportunity Zone work with these guys. So in an executive result summary, it's that they have Identity confidence is high. Their counterparty risk is moderate, and recommendations is to proceed with caution. They have been operating a business, a real commercial real estate business now for, for a while, and one of their most notable was a $2 million commercial real estate contract with the Denver International Airport. So what did they put there? I can go look. I can look in and the resource is right there. And so that's one of the most amazing parts about this is, you know, being able to figure out all these cool things. So what did they do? They approved a contract for them to come in for 3 years plus 2 1-year extensions to basically be the brokerage services for DIA. Um, and, and be able to rent out space for people inside of there. So if you want to advertise or have a, have a space inside of, inside of the Denver International Airport, just got to give these guys a call. They'll get you in there. Started in 2024, so they're still full swing in their deal. But, uh, due diligence, my Guido was the one that went and found it. They also have a $625,000 Uh, non-commission compensation transaction, uh, for the Philadelphia Housing Authority. Um, so they could be inside of looking for opportunity zones. This could be a viable source. Some of the other things that we identified is that the, uh, there is a Greenwood Commercial Real Estate located in, uh, Atlanta, Georgia. There's a history that it was launched in 2021. Um, here we are in 2026. Um, so 5 years. James Pitt is in Atlanta. Jerry is in Washington. Like, these are all the, the principals, I would imagine. Um, and so moving through that, uh, shows that there's, uh, almost 30 years of real estate experience on, on report with a variety of different Other commercial real estate entities: JLL, Grubb and Ellis, Johnson and Control, Johnson Controls Global. So all those guys are you know top dogs. And then Brian, this is their spin on him. Then you got Alec. You got brokerage and professional footprint, institutional government track records verified, Denver Airport verified, Philadelphia Housing Authority. So maybe you know if these guys want to get into opportunity zones, they're they're laying the groundwork for it right there. So material claims requiring clarification. It says they have $14 billion in leases and sales transactions since 2021. They got $5,500—

Is this the GPT that you made?

Yeah. Yeah, you wouldn't get this with a regular prompt from GPT.

Gotcha.

So you could be like, oh, do it, do it. It'll be like, I'm sorry, that would violate our terms of service. I figured out how to make mine go Blackhawk. Wow. Yeah, I built it like I built it to freaking know what color underwear somebody's thinking about wearing. So I don't like getting screwed. So this is one of the things that keeps that from happening. So litigation and adverse record shows that there's no material findings located, uh, um, but there was a, uh, appellate record that exists against James Pitts, which is The lead guy. So there's a possible match, but no attribute. Uh, as far as UCC filings and judgments and liens, that's all right there. Regulatory, uh, professional disciplinary review, not their reputation review. This is a little bit important inside of the fact that, like, we need to know, do they have a bad reputation, good reputation? What's up? So, red flags. Um, exact legal entity was verified. So, um, it's positive, positive. Must clear up this Georgia entity status. Important for authority and JV ownership structure. What's that look like? Partial verification of licensing claims. Um, request, uh, attribution and that, like, show us the receipts for 14 billion and 5,500 clients. Like, let's see that. Positive but not exhaustive would be the bankruptcy or adverse public findings that we, you know, there was no material file findings located, but we didn't do a deep, deep dive. So, but, you know, the issue with James on record, like, that's the only thing we got to really do. And so we would deep dive James next. So what I like, the biggest risks, required documents to finish vetting transactions, protections. Counterparty risk rating is important to me because what I'm looking at there is, um, what, what I would need to do to get a full positive operating possibility. You know, I, I don't want anything to get in the way, so it gives me a very strong breakdown of that stuff. So hopefully you guys find that of value. This is a paid version, there's no free version of this. Um, just like a background check that costs $35, these cost $3,500. You get this tool, you can use it for everybody. So people, uh, people, documents, um, businesses, due diligence. AI is a beast, 100% a beast. So, Catherine, what have you got now?

So I have, uh, it's A little house.

So if you've already got yours, this is what it looks like if you did run this deal. So go ahead and, and get yours ready to go. I'll do mine after Catherine, and then anybody else ready to go, we'll get them going.

Um, Rachel joined us.

Amazing. Good morning, Rachel.

Do that. Okay, so this is in Mayer, Arizona. Okay, so they're asking $179,000. They're selling— they're saying the ARV is $290,000. It's a 3/2 house, 1,100 square feet, built in '91. Property tax $809. Last documented sale— I love that it's now giving this to me because it knows I Keep asking.

It learned that, right?

It learned that in 2018. Confirm sales filter currently estimates the property around $275,000. Well, Zillow, see, it's already doing exactly what it knows I want. It's giving me my high-level information that I'm Automatically going to—

right off the bat, right off the bat.

Yeah. So that's super important that it knows me and it knows what I want to know. Um, okay, so that's my thing. So, uh, that is— so right now it says it's between $275,000 and $268,000. They are— so they're asking $179,000. ARV is $290,000.

That's what they're claiming. That's what they said. Or, or It's showing that or whatever.

Yeah. No, the— yeah, the email claims that it's that.

Okay. Well, you didn't even run the email. You just put the address in there.

Well, no, I put— I put the address and then the— okay. So the pages were all there.

But you didn't put run this deal, right?

I did. Yep. It's— afterwards, it's set at the end of this. It says run this deal.

At the end of that prompt, you put run this deal. Okay, perfect. Because it'll It— that's the only way it's going to give you a Deal Hunter report. And off of a Deal Hunter report, we get a go/no-go.

Right. So, uh, what the photos tell me, uh, the major positive is the AC is 1 year old, flooring is 2 years old, windows less than 5 years old. Uh, the big unknown is the roof. Uh, so interior paint, kitchen, bathrooms, La la la.

All in $43K, maybe $30K. So underwrite it for $35K. Yeah, you got the ARV as a critical issue inside of the fact that if it is there, if they're saying that, that, that it's $275K, like, okay, well, let's look at everything else out there and everything else is under that, right? Minus that one down the street on Bob White. So conservatively, you should estimate to get $265K, uh, upside $290K. So the flip math— here's the flip math that shows you total project cost is $246,000 to do everything, right? And if your sale price is $290,000, your estimated pre-tax profit is only about $43,900. So $44,000, you call it $44,000.

Yeah.

That's a 25% profit on, on what you got done out there. That's not a bad deal. For, you know, Tommy D, it's got to be 40%. So this one's a no-go for me. But it doesn't mean you can't wrap it up, put it together, and send it down the road to Disco Buddy and put it on terms for sale.

Right, right.

There's enough meat on the bone here to go out and do the work and flip it. And so this is kind of a good example of what we talked about with Capital Fund One and, and, and duplicating what they do. But in— do you know where Mayer is?

No, I've never even heard of it.

All right, let's look at that. So right there inside of the market signal right there, the 86333 isn't a screaming market for assuming full asking price. So, um, there's houses out there that sit for about 132 days before they're sold because, um, it's in the middle of nowhere.

It's in the middle of nowhere. I need to see where this is, given I have never heard of it.

Like it's down the road from where you hear the banjos playing.

I thought that was several states over.

No, we got we got we got bumpkins out here. This is up north a little bit. Okay. And if you zoom out, you'll see it's like. Straight up the highway, and as you get off— say again?

So it's an hour away?

Yeah, zoom, like, like, bring, bring it down a little bit so you can see where we're talking about. So it's on the way to like Prescott Valley. You're, you're, you're on your first hitch off the route, off the road there to head to Prescott, Prescott Valley.

Yeah.

Humboldt, all that stuff. You got to go up and around the, the, uh, uh, Croon Mountains. So getting around that patch of mountains right there to get to Prescott, uh, and stuff like that, that's old trail right there. And so, Mayor, again, like, it's, it's a little bit podunky, but let's see what the house looks like. Do you have to go back to Deal Hunter? And if you go to the— yeah, if you go to the house, it recently sold. What year was that that it said it sold? In 2018. Okay, so yeah, it's got a little bit of a hilly spot to it, the, uh, the property itself. Don't have a lot of good pictures of it right there, huh? So built in 1991, it might have some good bones to it still. My— I forget, that's 30 years old though. Holy shit. Um, somebody's leaking. Somebody's phone's leaking. Whose phone is leaking? Was that mine or was that Catherine's? That was probably Catherine's. She quit sharing. Share again. All right, let's pull mine up. Holly, what did it say here? Did you get my email yesterday about the ARI? What is a— please remind me what an ARI is, and I'm gonna go look right now and see if I got it.

The ARI, Tommy, is just, um, the name for the AI basically bot, the real estate bot. So it is ARI or ARI, however you want to say it. But that's that. Yeah, that's the AI. The real estate AI bot that was, uh, just came out last year, like last fall I think it was, is when they did the reveal on that. And so they're constantly adding to it and building to it, but it's just strictly real estate, that's all. Doesn't do anything else. It's not meant for anything else.

Perfect. Yeah, no, that's cool. That's cool.

And then I can email you those land deals I have too if you're interested.

Yeah, if you want, if you want to run them, you can run them. Um, pull up your Deal Hunter and get used to using Deal Hunter because again, you can slam through 40 deals on Deal Hunter pretty fast.

Yeah.

Right. And crank— like, we crank through deals in here. We do about 3 to 4 deals in an hour on here, and we're going slow because we're teaching people. But when I'm actually using this thing, I'm running through it. Catherine, do you want to reshare that and show it again?

That was your 10:15 confirming, which is irritating.

Got it. Oh, the— for CREXi?

Yeah.

Got it. I thought I had something overlapping too. Um, so yeah, I was looking to see if there was a, like, a street— click on Street View, see if it'll give you Street View. Because I'm interested in this. I like, I like that area up there because it's, it's up in the pines a little bit. Um, okay, corner lot, big lot. Um, street view or satellite? Try satellite. Over there to the right, right? Do the satellite. See big lots up there. A couple pine trees. Go ahead and maybe do the street view if it'll let you do it. Can we go back and forth? And it's corner lot, so we'll be able to get around both sides of it. But go down the way a little bit right there. Little blacktop or, uh, can you go, go? I know you're spinning around.

Um, when we go to the right or the left?

Go to the right— go to the left for, for now.

It looks like it's sitting on a nice corner lot.

Yeah, big lot. Looks like there's a wash right there, goes through the property a little bit.

Some sort of shed or something.

Zoom in. You can zoom in, like roll forward. Oops, where did you go?

That took me to the other side of the lot, I think.

Spin around again.

Uh, I'm lost. Hold on. There I am. Took me to the back of the house. Okay, so there's the— there it is there.

So see how that box showed up? Click on it.

The box?

No, see the box on the picture? On the house. If you see the box on the house, right? See, keep moving around, right? And then if you zoom in on it, you can see it a little bit better. But that's a— that's— I think that's a double-wide.

Yeah.

Are you able to— are you able to roll her forward on it?

No.

Uh, let, let me do it then, because you're— maybe your mouse doesn't work appropriately.

That house right next to it too looks like that might be either a brand new build or a rehab.

Yeah, I mean, the area does have, uh, some houses. The one to the right of that one, that looks like a regular new build. Yeah, right, that's what she's saying.

It looks like maybe look like mobile homes.

Yeah.

On the other side, yeah, it looks like there's mobile homes or trailers across the street. This definitely looks like a mobile home. Yeah. Like a double-wide or like—

Yeah. Older manufacturer.

I was just about to say that. Yeah.

So go back. If you go back to your picture, Street View. I'll bring— I want to show you something else. So go to your street view real quick.

This one?

Yep. And then when you're right there We'll, uh, I'll zoom over to the side, but you go up here on there and see when that finger is pointing in the box. If you scroll forward or backwards, you can zoom in.

Oh, got it. Okay.

Right. Cool. And so now you can, you can see like somebody was out there trying to fix something. This is like a chicken coop, it looks like maybe, but zooming, going around it, you can see the roof looks pretty decent too.

Okay.

So, but that's, that's not a bad property for a fix and flip if it's got a $40K margin on it.

Right. I just learned something too. I didn't know what that little square was for. Neither did I. I'm like, that's neat.

So yeah, we call it, we call it diving for dollars instead of driving for dollars.

Yep. I've done it. Yep. Driving for dollars for sure.

So it's back in the day, it's a little bit different. Um, so, and the pictures, the pictures change sometimes. Yeah. Um, depending on the day.

So it definitely looks like there's room too to build a, um, garage, right?

So Catherine, if you turn and look to your left Up the road. Yeah, don't, don't move away. Just like turn it that way a little bit and, and move forward.

Yeah, like you're driving.

All right, move backwards like you're driving. Go backwards. I'm sorry, go backwards too. Nope, the other way.

It does look like trailers across the street.

Yeah, go, go back down there. Yeah, go back down there.

Okay.

Keep going down here. Yep. Turn around now. Turn around and look the other way.

See how different it is, like, on that street versus the other one on the other side?

So scroll forward again, like, drive forward now a little bit. Keep going like you're following that truck. Keep going. Boom! Truck disappears. Stop. Put your mouse up there on the vehicles that you see and do those zoom in. Don't drive forward. Zoom in. Nope, you drove forward.

Ah, hold on. I know it's frustrating. Like it's a magic trick. I know, right?

Keep going all the way back.

Keep going back. Come on, come on.

Oh, pick it up. Yeah, they're only there in one picture. That's why I'm telling you, just go backwards. No, you're going the wrong direction again. Didn't go back far enough, right? You got to go back down, down the road a little ways. Yeah, and, and you'll see why I'm trying to show you this here in just a minute.

But yeah, it looks like on this road here, it's like newer homes or nicer homes. Yeah, if you go on the other side, it looks like it's more like the—

they're older trailers, definitely older. Stop right there. Yeah, zoom in right there.

Totally different.

So if you zoom in right there, you can see they're putting in a larger electrical panel right there. Okay, and they're upgrading the electric for this area to start expanding. So if you go back to the map, if you get out of Street View and go back to the map, um, I don't know why it's only going to mayor, but type in the address again.

I asked for it.

Or get out of directions. Yeah, that just hit that. So then you can see like where they were putting that in right there is like here. Yeah, right, right there. So they're going to be expanding those 2 areas right there, huh? You know what I mean?

Yep. So interesting. So if we look at what this little town is— oh, it's a teeny tiny little town. Yeah, it's a teeny tiny little town.

Spring Valley, Mayer High School. Um, closest valley where Homer Simpson lived?

No, no.

But if you go back to the right or south, there's a metro down there off of the 17, right there.

Here?

Yeah, Cordy's Lake. Yeah.

Oh, here's— that's interesting. Mayor is here. Further up is here.

It has a mayor address. So yeah, yeah.

So this is a little bit bigger.

Yeah, there's a lot more going on in there.

Circle K. Yep. Got a post office.

Not a whole hell of a lot out there. I mean, you gotta, you gotta Harley-Davidson shop. That's really all that matters.

Oh, everybody would know everybody.

Yeah.

Those are always interesting places to—

But the trick to that place, like, if you look, you don't have a Home Depot or Lowe's nearby, right? Right. So everything you bring there got to be brought up there, like, from down south or back, you know, up north, right? The closest out there, I think, is out at, uh, out at the, um Uh, Prescott.

Wow.

So, and you got to go way up in there and then come back, right?

Prescott Valley, come back.

Yep.

Oh, okay.

So that's the, that's the trick to getting that flip done out there, is that. So, um, yeah, so let's see, I got, uh, I got my deal up now. I'm gonna share.

Share.

Where did my share go? Here's share, like sunny and share.

Sharing that.

And so on this one, it's over in, in Mesa off of Dobson Road. Um, so, uh, as a commercial owner value-add, uh, it's going to be a renovate and resell to another owner-user because of the The the condition of this thing. So remember, I didn't even look to see what the heck it was. I just grabbed an address and said, run this deal. What it came out to be is basically it's a four thousand square foot building on point two acres. It's neighbor zone neighborhood commercial. And so let's see what what it's what it's coming up with. Coldwell Bell Banker Homes. Uh, I used to— actually, it's no longer— I don't think it's Coldwell— Coldwell Bell Banker. They got rid of Bell. But do you remember it used to be Coldwell— was it Coldwell Bell Banker? I think, but it went away. Anyway, here's our deal. Here's our— here's our, our project, I guess. Um, looks like it's this, uh, mobility center place. See that scooter store? Scooter store. Roof looks pretty good. Location's not bad. Got alley access. Corner lot in a not so not so great area, as you can see. So this guy back here, like this house is a mess. Something stupid going on over there, right? All these people are just broke. All the way down, all the way back. A lot of broke people in that area. So used to be something, um, but what it is now, um, oh, to be seen. Here we go, look at that right across the street. Multi-family. Now what? Now what do you need right there across the street? Convenience stores. Yeah, and depending on who these people are Vegan, if they're Indian, Indian food. Like, I'm not being racist, but come on, let's be real, right? So, and then they got to— you've got to figure out what this is across the street here. Yeah, got to figure out what that is back there, right? Right. And then figure out what to put in there. And now it's a triple net lease. You put an office in there, you put— it's a neighborhood commercial. So inside a neighborhood commercial, like If the business comes with it, maybe, but I doubt it. I'm not interested in running a scooter store. Doesn't look like the guy was doing a really good job of it. I run a business on how inside of it looks. I did the same when I went and worked in 43 different hospitals across the country. I would look at the— look at something and be like, no, this person like is not a good business owner. They don't run a good— they probably a good mechanic. I can look at his shop and see he's really good at putting shit together, but Horrible at running a business.

So see this skill sets, huh? Two completely different skill sets. Oh yeah. Oh yeah.

This guy needed a partner for sure. Somebody that could run the office. So, but inside of that, that's you know the inside of the building right there. You can do a lot of things inside of that building with it. Look at this typewriter over here. Oh my God!

Wow.

So this is where— this is where the owners go to take a nap. You can tell too. Like, I can tell you right now, every day at 1:30, the guy comes in, takes a nap, turns on the fan, takes a little nappy nap, right? He's super tired from being stressed out, cortisol levels through the roof. He's got his Y up on the wall, right? So out front Horrible storefront. Oh my God, look at this, look at this. The top of the desk. Oh my God, so cluttered. Oh, like it's driving me crazy looking at it. He made it to the— he made it to the business section of the newspaper 75 years ago. See that over there on the side? Oh, storefront again, like This is this is where Catherine and I were talking about this. Catherine, do you see seven streams of income inside this place? Could we teach this guy where to get seven streams of income?

Yeah, totally could. Yeah.

Like come on. He like you can see him kind of.

Yeah, there's difference between being good at doing a thing and being good at running a business.

Right. So you can see he's got it almost laid out with the blue signs. The recliner lift chair. Right. Bath vanity stuff right there. He's got his ramp section over here where it looks like it's not even a ramp. I have no clue what's on the sign way, way over there. You got bags and covers over here, and then like inventory everywhere and anywhere. Like he's— and it's just like, what the hell? Chaotic is everything, right? So hard to tell what's what and where. So, um, and then you got your, your testing it out room, like, okay, cool. Yeah. And then he's trying to sell— looks like he's trying to sell greeting cards, gift cards, maps, coloring books. I don't know. A lot of information on the wall. So, but from the business standpoint, I can see 7 streams of income in there. He's fixing stuff in the back. That's one for sure. But like, how is he getting to fix them? You know, so alley access, front store, front door service, front, front of the store. You're not going to put a bar in there or nothing, but I think that's a pretty decent property. And when we look at it in the Deal Hunter Report, let's run through it. So we got value support shows that strong comparable evidence. That at $249 a square foot, that seems to be pretty reasonable. They're asking $223. So inside of that you got $249, $262, uh, and $454. That's a pretty good price, but that one's probably really pretty. Um, but on the low supported value, $875 to $925, where are we at? They want $900, so we're falling right in the middle. Um, the ARV check shows that if we get it up, you know, to a, a, like, clean it up gray shell, um, we might be able to get it up to $422 a square foot, right? And that would be the value because then what we would do is— do you know what gray shell is?

Yes.

Anyone? Anyone? Gray shell is Yeah, so, well, maybe if you could explain it.

So gray shell is ready for whatever the next business or tenant can come in and take over and then do TI and get it cleaned up, right?

So inside of that, in that area, we've got square footage prices from $14 a square foot all the way up to $30 a square foot, right? So there's good triple net in that area. You like triple net? So nearby listing has one at $20 square foot triple net. So looking at a $20 square foot triple net, we're looking at a base rent annually between $80,000 and $85,000 a year. Right. And so because it's a triple net, that's almost NOI. Right. Because all we would really need to do to get, you know, things taken care of would be like the reserve, the vacancy, the landlord cost, etc. Maybe an NOI of, of $72,000 to $80,000, right? And all we're doing is just holding paper on the property. What that looks like as far as like the economics of that, meaning like if we, um, did a light brush-up cleanup and, and like our, our come-in was $1.1 million, we exit it, uh, or I'm sorry, we do a basis of $993,000 and exit at $1.1 million, we're making about $107,000 So with the, the assumptions being different as we go, like heavy remodel, um, and all of that, it could end up costing us money to do the deal. So next steps would be to find another owner-user, get them onto an SBA 504. And as a matter of fact, I'm sitting here right next to the, um, card. What is her name? Lori Corbin. She is the Deputy Regional Administrator for the Pacific Region, AKA Arizona. I've got her direct line to the SBA. You can see that right there. So I can get her to help us get this set up ready for, for an owner-user.

Right.

And have, have a path direct for the owner-user. Conventional investor loan, buying it, fixing it, flipping it over into a BRRRR method, and we rent it out. So the, the estimated principal and interest on it would be about $54,000 if we use that $72K NOI. That gives us a DSCR of about 1.3. If we use the $80K, it's about a 1.45. 1.46, right? So that's considerable information being based on the $20 to $20 a square foot triple net. Then we could also line it up and do a wrap. Like, we get a loan to buy the building and have all the stuff, and then we turn around and wrap that into a new mortgage for somebody who doesn't have the ability to get a good— get a bank loan. Or we have them put it into a trust. Do a 2-year with us so that we can get them prepared for the SBA, because the SBA doesn't typically come straight out the box with it. So important discrepancy is that the, uh, there's an older wholesale ed calling the site a C-1, which it's not. It's an NC, which is basically— it, it goes along with a C-1, but it's not. There are some things that you can't do in an NC that you can do in a C-1. So that just— it looks like it was from Craigslist from September 2026. So at the beginning of the month. So it's worth maybe calling and checking on the deal, see what comes up. There is a margin there, not much of one, but decent. So it says, you know, there's a narrow value-add margin at $900,000. So maybe we can come in low. You know, stress testing it shows that, that, you know, Um, right here, like, this is where we're, where we're worried at, is that we go over too high and sell too low, we lose money. So, um, and so knowing where our breakpoint is— love this to do that— negotiation ranges, offer structure, the mini SWAT, and the exit strategy. Primary exit is going to be to an owner-user with a 504, stabilize, lease it, and then sell it. That's the other way. And then a backup To the backup is to, you know, resell to an owner-user using, um, owner financing. So I don't know if we'd be able to get this property through owner financing, but that would be the condition I, I would want to go, is to get them to sell it to me at owner financing, um, and I'll give them some cash because then their note is subordinate, uh, and getting their note subordinate would allow me to wrap it with a first. So— Right. Um, these would be good things. But, um, yeah, I would put it— maybe put in an offer at like $825,000 on this one. But this is, again, uh, I'm gonna, I'm gonna mark this one because I like it. Um, so, um, call it Mesa Commercial. And one of the other things I'm going to do is I'm going to actually label it, uh, get— give it another prompt to discover who my avatar is. So I want— I want to just— come on. Okay, I want to discover who my ideal client avatar is for this. So do me a feasibility study about the properties across the street. Um, and understand who my ideal client avatar is inside this building so that they can service the multifamily across the street, yet not compete with the buildings on the, uh, the commercial in the area as well. So, Discover what commercial is in the area and what would be highly recommended or needed in this location for the large multifamily that's across the street from this location.

I think that's one of my favorite parts of all this is having it go and figure that out instead of having brain damage to figure it out.

Yeah. Like the amount of time and energy it used to take. I would sit down with a map. This is before Google Maps even. I would literally go out and drive and mark down Like every spot that I went to, understand who was in the area, and then sit there with that list and about 3 people and say, okay, what else can we come up with? Like, if this has got families across the street from it, this could become a very strong daycare center, right?

Right.

4,000 square foot. If there's a lot of single people that live across the street, I'm going to make it into a doggy daycare, right? So that's what we would do. We'd sit there and be like, can it be this? Can it be this? Can it be this? Can it be this? Make a list of all the can it be's and then, and then start nailing it down to the top three. Deal Hunter does that, so I don't have to worry about it. Inside of that, this is going to take a while, by the way. So when it does do a when it does do a due diligence report, or a I mean a due diligence report takes no time, but when you do a feasibility study. It takes time. I've seen it take 20 minutes and it comes back with phenomenal numbers.

Right.

Phenomenal numbers. So this was somebody's deal from the other day in Sherman, Texas. And so I'm trying to figure out who it was, but I can't. And I ran— I tried to figure it out. Do you remember who gave us a Texas deal on multifamily? Because this became Kind of like a go after the fact. And I see it was a go with conditions. And so I ran it again with the OM in there, and it came back with some, you know, variations and stuff like that. So I was trying to find who was in it because I wanted to make sure to incorporate them before we call them. So If anybody remembers who we did that with, uh, great. If not, if this is your deal, let me know. If it's not, whatever. Um, I just don't want to do a deal behind somebody's back, basically. Right, right.

So yeah, I don't remember. We'll have to go back through the recordings. We could very quickly—

I, I, yeah, I mean, I did, I did the re— I did the, the audit to see it and it didn't come back, so I was like It didn't grab it. Um, so anyone know about a deal? Sherman, Texas. Somebody— and, and it had this assumable loan on it, which I think that was the biggest thing right there. It's like, that's got a— that's, that's a huge bonus right there. So, um, if you know somebody, let somebody know. And other than that, we're wrapped up for the day. I got other meetings to jump on right at 10 o'clock. So love to have everybody come back tomorrow, Thursday. We'll be doing some more deals, running some more stuff, getting some stuff done. And excited to have everybody here today. So I want to thank everybody for coming in. Anybody who wants to run a deal again, You've seen us put it together. Address, run this deal, pull it up, and then let us, you know, let us put the numbers together with you on it. Um, if we get something that's, that, uh, that's worth panning for— and I use the term panning like it's a gold mine because sometimes we do uncover, uh, good strong veins of gold in here and we, we like to dig into them. So. I'm going to name this Sherman, Texas. That way, if anyone ever comes in and they're like, I had a deal in Sherman, Texas, I can be like, oh, I made money on it. Here's yours. Because I'm going to, I'm going to jump on this thing. So because it also had, I believe it had value add, but I got to get the T12 to understand it. So, and that commercial deal, it just finished up. Let's take a quick peek. Might run into it tomorrow more. Feasibility study took them about 2 minutes. That's pretty good. Who would occupy this building? What is actually across the street? There's a 245-unit apartment building directly across the street. Um, they've got a pet washing station, a dog park. See, I, I knew it. Doggy daycare. Great building for doggy daycare. This is bigger than the one apartment building. Um, so median income, it's really low. This might be an opportunity zone. Um, so older leasing in the area, reference 400+ new Class A apartments around the shopping center, right? There's 240 people across the street. So, uh, in that area there's also 52,000 count traffic car count. Tri-City Pavilions is already supplying conventional neighborhood retail from Safeway all the way down to general medical. Your building has freestanding identity, dog adoption frontage, et cetera. So, uh, what I would not chase: restaurant, dental, hair and nail, laundry, conventional gym, general urgent care, coworking, business center. Don't do any of those. Look at that strongest opportunity. How does my brain work like that? Or how did the AI know to think like that? Maybe me, right? Right. Pet wellness services. Again, like, I just seen it. I could smell it. I could smell the, smell the wet dog from here.

Yeah.

So, um, one of the things that you would want to do, and it shows you how to lay it out, you lay it out with a front reception, pet boutique waiting area. Then you got the exams and consultations. You could Put a vet in there, or you can again make it a doggy daycare, pet boarding and doggy daycare. So, um, it says there is competition, but it's not directly across the street from 245 Doors, right? So, um, the, uh, the ideal client avatar is to get some groomers in there, open it up for the pet grooming business, but have the Uh, have the doggy daycare. Like, get the doggy daycare in there, put toys in there, put stuff in there for the dogs to run and play on, etc., etc. Like, doggy daycare centers make $2-3 million. They print money. $2-3 million a year net.

Wow.

Net, net. One of my old partners down in Florida, like, 14 new locations across Florida. Insane. Each location, $2 million per location. Insane. So rent feasibilities, uh, for that would be good. But again, like, the revenue model for this is set it up, turn it on, and walk away. Like, you put people in there to run it. So the other one, look at— that's the other one I said, child daycare. I said doggy daycare if they're what, all single, right?

Yeah.

And if there's families Childcare, right? And then the third one, specialized wellness and therapy. So, um, like doing a sports recovery clinic in there or something like that, depending on the area.

Yeah, this is like an ideal building for the physical therapy clinics that we do for the triple net lease.

Yeah, yeah, yeah. So opportunity metrics inside of this, it shows you where you're at. Uh, pet wellness, grooming, daycare, a vet, after-school enrichment program, specialty wellness, coffee cafe shop. Ooh, I might like that a little bit. So, um, the, the restaurant is a weak fit because of the fact that it's no parking. Parking sucks right there. So salon nails may be good. General medical may be good. Gym, meh. Coworking? Nah. Laundromat? No, no. With the place across the street, they already have washers and dryers, right? So don't do that. Um, with another, uh, 245, it says new luxury apartments. Like, that's the tenant list, right? Pet services actually helps the apartment owners too because they can do— like, we can have the preferred pet program from the Pomeranian.

Right, right.

So big— bigger landlord strategy is to come in. What business makes the surrounding apartments more valuable to live in? And you do that and find other, other services around there so that are walkable, right? So getting that ideal client avatar in there, maybe even going to the, the, the competition down the street saying, hey, close this location and come open here. Right? Yeah, so you can do that. So, um, anyway, yeah, I like this project. I like this property. I like the idea. Um, and with the deep dive, it gave us a hell of a deal. So I have one to run for tomorrow, running it in Deal Hunter now. Perfect. We'll see you tomorrow, Tina. All right, well, listen, I'm gonna dip off here. I got to get on to another call. I realize I'm 5 minutes late for that other one. Everybody have a wonderful day. I'm gonna wrap it up with a prayer. Heavenly Father, thank you for the blessing of this day and the blessing of this life. We ask that you continue to bless and guide us and do your will. In your name we pray, amen. Have a good one today, people. See you tomorrow.

Okay, bye everyone. Bye everyone. Bye.