BIGGEST RISK with Travis Watts 2024

Commercial Real Estate Pro Network

J Darrin Gross:

If you're willing, I'd like to ask you, Travis Watts, what is the biggest risk?

Travis Watts:

So I really haven't changed? You know, this opinion since I started investing in syndications years ago. And it's that as a limited partner, if you're going to invest in a real estate, syndication, whether it be office or multifamily, or car washes, industrial, whatever it may be, you really have three primary risk categories. You know, again, not just three, but three primary risk categories. That is the operator that you're investing with, that is the market you're investing in. And that is the deal itself. I've always put the most emphasis on the operator, right? So bet on the jockey, not the horse. And I think again, that's more important than ever, as to this, the shake up in this market cycle shift that has been, you know, unwinding over the last two and a half years with interest rates and capital markets and cap rates going up and valuations coming down. Who are you working with as an operator? What connections do they have? What's their track record? What's their level of transparency? Are these folks really in it to have your best interest? And what are they doing about the things that have popped up? And what are they changing to mitigate risk moving forward?

Contact Travis:

Speakwithtravis.com