Peter Lohmann's Newsletter - Issue #104

Exclusive ReSeed Update: Interview with Brandon Laughridge

I was recently given the opportunity to interview Brandon Laughridge, a member of ReSeed's inaugural cohort, about his experiences with the program. What follows is a summary of our discussion. You can find the full article on my blog.

In the ever-evolving landscape of real estate investment, innovative models are reshaping how operators scale their businesses. One such model making waves is ReSeed, an innovative program that's been shrouded in mystery since it was announced with much fanfare in mid-2023.

Brandon, a seasoned property manager and investor based in Kansas City, provides a rare glimpse into the inner workings of this novel partnership model. His journey with ReSeed began just over a year ago, marking a significant shift in his approach to real estate investment.

"I was at a crossroads," Brandon reflects. "Running a property management business is demanding, and I found myself struggling to balance that with finding deals and raising capital. Something had to give." Brandon is the President of North Terrace Property Management.

Enter ReSeed. Founded by Moses Kagan and a team of real estate veterans, ReSeed promises to solve the capital-raising conundrum for operators & investors. But it's more than just a source of funds; it's a strategic partnership that aims to accelerate growth while allowing operators to maintain control of their core businesses.

The ReSeed experience is a blend of autonomy and support. Weekly calls with the ReSeed team and monthly sessions with the 7 other operating groups in the cohort provide a structured framework for growth and collaboration. But it's not just about regular check-ins; ReSeed's involvement extends to deal analysis and negotiation.

Brandon recounts his first deal with ReSeed, a 39-unit new build triplex development with potential for expansion. "Their conservative underwriting actually helped us negotiate a better price," he notes. "It's an unexpected benefit of the partnership - their expertise and objectivity can lead to better deals."

The financial structure of ReSeed's model is designed to align interests while rewarding operators. Brandon shares “It's better economics than most traditional partnerships."

One of the most intriguing aspects of the ReSeed model is the ability to "crystallize" promote into actual equity ownership over time. "This is huge for long-term wealth building," Brandon told me. "As deals perform well, we can convert our paper profits into real ownership stakes."

ReSeed is now accepting applications for its second cohort, with a particular focus on property managers. This emphasis stems from ReSeed's recognition of the unique value that property managers bring to the table. Their deep local market knowledge, operational expertise, and existing infrastructure make them ideal partners in ReSeed's model.

Interested parties are encouraged to learn more & apply here.

THIS ISSUE IS PRESENTED BY BUILDIUM

Find. Win. Take on new business—with Buildium

Looking to add more units and automate at scale? Buildium’s growth-minded customers expanded their portfolios by 2.8x in the first year. That’s why Buildium is the #1 most recommended—trusted by thousands of property managers to power growth, level up efficiency, and deliver an unrivaled experience.

See how Buildium is all about revenue and portfolio growth—and can prepare your property management business for the next chapter.

The Importance of Specialists

I put out a call for a PM marketing mastermind on social media a few weeks ago (I recently hired a marketing manager and wanted to connect him with PM marketing pros).

We got some great responses and he has what he needs now. But something really interesting showed up in the mastermind application data. Look at this:

He pointed out to me that those companies with a marketing professional were both larger & growing faster, than those where the owner was doing the marketing (presumably part-time).

Obviously this is a small sample size, not a scientific survey, etc. But when I cleaned up the data in excel a bit and made some conservative assumptions, it looks to me like property management companies with marketing professionals in-house are generating FOUR TIMES as many owner leads on average, compared to those companies where the owner is handling marketing. WOW.

New Property Management Companies For Sale This Week

Someone connect with the folks who run these listing sites please! Would like to tighten the relationships there.

• Here is a property management company for sale in Chula Vista, CA (33 units, asking $350k)

• Here is an multifamily property management company for sale in Cobb County, GA (asking $1.6M, 1,000 units)

• Here is a property management company for sale in Charleston, SC (asking $700k)

• Here is a vacation rental management company for sale in Kissimmee, FL (asking $462k, 27 units)

• Here is a vacation rental management company for sale in Hawaii (asking $150k)

Industry News and Events

• The city of Milei built a bunch of housing and rents dropped. Who could have predicted this?

• NEW on the pod: My interview with PM process expert Kelli Segretto!

• Early bird pricing ends soon for RentScale’s Sales Mastery Live conference. It dovetails nicely with LeadSimple’s user conference (they are back-to-back in Austin, TX). Both are outstanding events.

• Wolfgang Croskey and I are finalizing the details of several brand new, insanely valuable benefits for Crane members. Applications re-open in September! Make sure you’re on the waiting list to be notified first.

Closing Thought

- - -

Stats from last week’s issue:

Valid Recipients: 11,456

Open Rate: 58.6%

Clickthrough Rate: 7.8%

Most Popular Link (84 clicks): Wood Partners is Leaving CA

- - -

Did someone forward you this email?

That’s all for this week! Have a great weekend. -Peter

P.S. Have you checked out Crane, the private community for property management business owners? Join 60+ peers as we achieve time freedom together.

The content of this newsletter is for informational purposes only and does not constitute professional advice. I may have consulting agreements with, or financial interests in, companies mentioned in this newsletter. Additionally, some of the links included in this newsletter are affiliate links, meaning I may earn a commission if you make a purchase through these links. Always perform your own due diligence before making any financial or business decisions.