Making It Big In Texas with Tom Staub

Collecting Real Estate

In the hundred-and-seventeenth episode of Collecting Real Estate, we interviewed Tom Staub of Red Oak Development Group.
Tom Staub is the CEO and Managing Principal of Red Oak Development Group, a real estate development firm based in Austin, Texas. A self-made man, Tom started his first company at 16 and has founded several successful companies since.

Tom’s obsession with financial health and wealth accumulation began with his humble beginnings after seeing his family struggle financially. In college, Tom grew more interested in investing and founded an investment club before earning his undergraduate degree in finance and an MBA in securities, law, and corporate finance.

Before his real estate career, Tom amassed an unparalleled wealth of experience in the corporate world while working with some of the world's top employers in wealth management, corporate finance, pharmaceuticals, and technology.

He has managed a $16 billion portfolio of 28 deals, helped multiple companies increase revenue by as high as 80%, and developed a pricing model for the largest pharmaceutical company, resulting in a patent for the logic used, which McKesson Corporation purchased.

In 2010, Tom entered the real estate industry as a real estate investor after recognizing the potential in single-family distressed assets. As a result, he amassed a team, bought real estate in three states over four years, and was invited to speak at numerous real estate investing events. After attracting the attention of 45+ investors who wanted to invest their capital, Tom founded an asset management company focused on private money loans, real estate flipping, and multi-family syndications.

Tom is a savvy businessman who knows when to leverage market shifts. So when the single-family rental market began to grow too competitive, Tom pivoted his focus on larger projects with more significant margins and lower risk. This led him to partner with his father on two successful syndication projects In Ohio and Alabama, which they exited in under 15 months with 3X multiples on equity.

As the market turned again in 2017, Tom and his team switched to land development. They bought 80 acres in Flagstaff, Arizona, to get land development experience. They made some mistakes, but their willingness to assume risks and invest their own capital allowed them to exit in 18 months and triple their investment. After their second successful land development deal, Tom launched Red Oak Development Group in Austin, Texas, in 2020, which includes ViewPoint Engineering Group under their umbrella.

Today, Tom is the CEO and Managing Principal of Red Oak Development Group, overseeing project underwriting, financial planning, debt and equity strategy, company expansion, and project development. Tom has 15 years of business expertise and focuses on project viability, partnerships, and investor relations. Red Oak has funded eight projects and has six active projects with 489 acres and 2,200 lots, with a total valuation of $188M.

Tom is a pioneer among outdated developers in Austin, Lockhart, and Luling, Texas. He aims to build new communities with plenty of green space and amenities that enhance city aesthetics.
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https://redoakvc.com/