business holdings

Investing in Commercial Real Estate may seem risky. If you do it right though, there are tons of hidden benefits – not to mention the huge profits! Successful real estate investor Rob Rowsell explains how multifamily investments qualify as commercial real estate, just like storefronts and other commercial retailers. Rob also explains the benefits of a Triple Net Lease, and the importance of carrying the right insurance coverage. This is a great primer for real estate investing beginners.

Investing in Commercial Real Estate - Upscale Strip Mall shopping plazaIs Investing In Commercial Real Estate For You?

A participant on a recent Inner Circle Community call joined in on Rob’s Q & A. He recalled the saying that all property investors end up investing in commercial real estate. Is that really true? For Rob, it is, but in more than one way.

Rob explained that real estate professionals refer to multifamily investments as “commercial residential properties”. Since multifamily is Rob’s bread and butter, you could say he is deeply entrenched in investing in commercial real estate.

He also invests in Triple Net Lease properties. These range from single tenant buildings, such as Walmart stores, to strip malls housing multiple businesses. There are variations on the Triple Net Lease model. Rob explains that when you invest in a True Triple Net Lease property, the tenant pays for taxes, insurance, and maintenance. You are free and clear to invest or spend their rent checks, without paying for any of those bills. However, Rob always takes out an additional insurance policy on each property just in case tenants’ policies lapse or get canceled.

Join Our Community

Do you own multi-family properties? If not, do you aspire to one day? Then you should consider joining our online discussion group, the ATL Inner Circle Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!

Rob Rowsell discusses the concept of strategic depth in business. When you approach your business holdings with the mindset of strategic depth, you will grow your assets in a sustainable way. Rob touches on many topics, from the value of employee tenure, the book The Four Hour Work Week, delegation of tasks, and more.

Strategic Growth to Increase Your Business ValueUsing Strategic Depth to Grow Your Assets

Rob lays everything out at the start for anyone listening who wants to scale their businesses. The concept of strategic depth in Rob’s view means delegating many of your time sucking, yet important, tasks to your employees. There are three reasons to do so:

  1. Protect your joy. When you have to approve, oversee, or do every menial task, business ownership is no fun at all.  See the book “The Four Hour Work Week”.
  2. Concentrate on the most important jobs that only you can do. Don’t waste time deleting emails and ordering toilet paper. Cleaning your inbox can really be a time suck. Hand those tasks off to someone else.
  3. Make your business more valuable for a sale. When potential buyers ask about your business, they will want to know how long your manager has been working for you. If it’s only been a few months, rather than five years, for example, your business will be worth much less. On the flip side, if your manager is close to retiring, that is also undesirable to potential buyers. They don’t want the headache of training someone new to fill the position. The concept of “seasonality in the workplace” centers around these scenarios. Nobody wants to deal directly with a business bogged down by high employee turnover. You should have a “How-To Manual” folder readily available in the cloud containing every SOP that runs your business.

When you consider strategic growth, keep all of these factors in mind.

Join Our Community

Do you own multi-family properties, or do you aspire to one day? Then you should consider joining our online discussion group, the Addicted To Life Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not quite as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Enroll today!