Emerging Manager Conference - Austin Texas / Choose Wisely

Emerging Manager Conference - Austin, Texas

More than 700 attendees filled a large meeting room at the Austin Convention Center on January 8.  My partner Elizabeth Weiner and I joined the Texas Emerging Manager Conference, co-sponsored by Teacher Retirement System of Texas and Employees Retirement System of Texas. A year ago, this same event drew just over 300 people.

This conference serves as an educational and networking forum for emerging managers and public pension funds with emerging manager investment mandates.  The managers learn the process that the pension funds follow when considering investing with an emerging manager.  In return, the pension funds get to meet and greet emerging managers that they did not know prior to the event.

Let me share with you a few quotes from pension fund representatives on the real estate panel:

“Smaller and newer managers can outperform their larger peers.”

 “Your track record during one complete cycle is important to us.”

 “Don’t be reluctant to ask a pension fund ‘ What are some of the problems you’re looking to solve?”

“A pension fund needs to see that you’ll be around so it may take quite a while for us to write a check to you.”

 “The emerging manager we’re looking for can do something better than we can do ourselves.”

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There are many ways for emerging managers to differentiate themselves from the larger, more established firms.  But one requirement consistently remains the same: institutional quality back office and reporting capabilities, whether inside or out-sourced, must exist.

The pension fund representatives voiced both  encouragement and awareness of the challenges faced by emerging managers.  But, it was also clearly stated that pension funds are looking for emerging managers – on their own, and through referrals from fund-of-funds and consultants. 

If you are thinking about going out on your own, or have already launched an emerging manager firm, I encourage you to attend this conference next year…you will take away excellent advice and perhaps even meet people who can help you get where you want to go.  Just imagine one day receiving a call from a pension fund, “It was nice speaking with you at the conference.  We’d like to have you meet with us.”  Crazier things have happened!

And did I mention that the conference was free to attend this year?

Choose Wisely

On a relative basis, the number of people working in the global commercial / institutional real estate community is rather small.  And the more time spent in this industry, the smaller that world becomes. 

This past week included several poignant examples of this phenomenon that caused me to pause for a moment and think about the utter importance of one’s reputation.  In person, on the phone, and via email I had ‘conversations’ resulting in third party names being brought up that immediately served as connecting points.  This type of ‘small world’ familiarity leapfrogs the conversation to another level - instantly.  It’s a beautiful thing…allowing two people, who have never met before, to feel comfort that they know someone in common.

But there’s a caveat here as well:  we are all remembered for both our actions and our words.  Sometimes what people remember us for is based solely on the first impression we make.  Other times it comes from something they heard about us from another source.   Finally it may stem from something people just know we did – closed a big deal, helped someone get a job, supported a non-profit, or established a scholarship.  It, of course, is also possible to be remembered for something less than wonderful.

Students and younger real estate industry professionals often ask more senior people for career advice.  When I’m asked to provide suggestions, it’s easy for me to answer:  keep your nose clean, do the right thing and be kind to people.  Your reputation will both precede and follow you throughout your career.  When faced with situations that can be handled in two ways, choose the right one – the time it takes to make the decision may be short, however the results may last forever.

Congratulations

Asieh Mansour, now Senior Advisor at The Townsend Group.

Emma Villiers has joined Fidelio, the Board Development and Executive Search consultancy.

On The Road...

Jan. 13:  Behavioral Presentation Coaching Workshop, Greenwich, CT

Jan. 15 – 16:  New business development meetings, Washington, DC

Jan. 22 - 24, 2014:  IMN (Information Management Network) Winter Forum on Opportunity and Private Fund Investing, Laguna Beach, CA

Mar. 11 - 14: MIPIM, Cannes, France

May 16:  Annual meeting of The Hoyt Fellows, North Palm Beach, FL

Disclaimer 

All content in this blog is created for informational purposes only. Content, which includes all text, photos, video and graphics is not intended to malign any religion, ethnic group, club, organization, company or individual.  Steve Felix makes no representations as to the accuracy or completeness of any information on this site or other information as a result of following any featured link to or from this site.  The intention of this blog is to do no harm in regards to injury, defamation or libel. What is written or shown is not to be taken as fact or absolute.  Steve Felix will hold himself harmless for any errors or omissions in this blog’s information; including but not limited to external link information, translation or interpretation of content or incorrect grammar or punctuation. 

SNOW DAY! / A Day in the Life of an LP

SNOW DAY!

Blizzard conditions were forecast for a good part of the nation on Friday. And this time the weather team was right.  Beginning Thursday night, New York City was blasted with 6-8 inches of snow.  In some places, like Chicago, that would be considered a dusting and everything would be sort of normal.  But in New York the impact was felt in many corners…with school closings, mass transit delays, companies either opening late or simply not opening at all for the day. I heard from friends who were so excited that their office was closed and they could simply stay home and stay warm.  Flights were cancelled at JFK due to ZERO visibility.

It was bitter cold yesterday morning…8 degrees…. and windy.  I ventured the two blocks to see Central Park in all its snow-covered splendor.  The park was full of people, as if it was a warm summer day.  As you can see in the photo below, I was attacked by someone who was able to mold a snowball even though the white stuff was very powdery - I managed to escape with only a tattoo of snow on my coat.

After a late-morning breakfast at a diner I saw a movie.  The brief description of Nebraska was enough to grab my attention.  The theatre was relatively empty, the previews of reasonable length (i.e. four vs. 12 at another theatre last week) and the freshly popped popcorn not too salty.   Nebraska is a beautiful movie based on a sensitive story.  I loved it.  

Leaving the theatre, the temperature had reached a balmy 18 degrees but the winds made if feel like below zero.  It was great to take advantage of the weather, slowing the city down, reducing crowds and traffic and experiencing an urban winter wonderland.  In some ways it made me feel like a kid again.

It was, as some call out while raising both hands high in the air, a SNOW DAY!!! 

SNOW DAY in Central Park, New York 

A Day in the Life of an LP

Last year I created then moderated a panel for IMN (Information Management Network) called “A Day in the Life of an LP.”  During this session senior investment professionals from public pension funds and endowments spoke candidly about a typical day at work.  The audience was a mixture of experienced capital raisers and executives from firms thinking about raising institutional capital for the first time.

I’ve included below some of the key points made during that panel. You might find this interesting and helpful as I know some real estate managers are preparing to hit the road early in 2014.  Keep these items in mind as you set up meetings to introduce new funds or other types of real estate investment opportunities:

1. Don’t you know what ‘no’ means??  If you approach an investor with an opportunity on, let’s say, January 16^th and they say that it doesn’t fit with their current investment strategy, don’t reach out to them again in February and ask them the same thing.
2. Keep it short and simple.  When communicating, by email or phone, keep your message to an overview of the opportunity you’re offering.  Don’t go into detail unless asked.  
3. Ask someone how he or she likes being communicated with.  If you ask a reasonable question you’ll get a reasonable answer.  Finding out the preferred method of communication, and what they’d like to hear from you, will make it easier for you to get one step closer to the desired result.
4. Put yourself in the seat of the LP.  Appreciate that pension funds, endowments, foundations, family offices, rich people, very rich people, sovereign wealth funds and consultants are virtually inundated with emails and calls from people just like you who want to get some of their time.  Think about what the inbox of someone on that side of the fence looks like every day and what fills their voicemail.  Put yourself in their shoes, and it will help you begin to build a relationship.

If you are a real estate operating company, who has a compelling story and visions of raising institutional capital, please be patient - it takes time to build trust. Be mindful of what a day in the life of an LP is like.  They will remember you in a positive way.

On The Road...

Jan. 7 – 9:  Emerging Managers Conference, Austin, TX

Jan. 13:  Behavioral Presentation Coaching Workshop, Greenwich, CT

Jan. 15 – 16:  New business development meetings, Washington, DC

Jan. 22 - 24, 2014:  IMN (Information Management Network) Winter Forum on Opportunity and Private Fund Investing, Laguna Beach, CA

Mar. 11 - 14: MIPIM, Cannes, France

May 16:  Annual meeting of The Hoyt Fellows, North Palm Beach, FL

Disclaimer 

All content in this blog is created for informational purposes only. Content, which includes all text, photos, video and graphics is not intended to malign any religion, ethnic group, club, organization, company or individual.  Steve Felix makes no representations as to the accuracy or completeness of any information on this site or other information as a result of following any featured link to or from this site.  The intention of this blog is to do no harm in regards to injury, defamation or libel. What is written or shown is not to be taken as fact or absolute.  Steve Felix will hold himself harmless for any errors or omissions in this blog’s information; including but not limited to external link information, translation or interpretation of content or incorrect grammar or punctuation. 

Another year / Life

Another year…

The end of any year means different things to each of us.   In real estate investing, it’s a last-minute rush to close a deal.  For retailers, running year-end sales boost December numbers. ‘Using before losing’ vacation days may loom large for employees in corporate America.  And the challenge in the restaurant world might be what prix-fix deal will fill the tables with revelers waiting for the ball to drop.  

Celebrating the New Year, for many, is a glamorous production.  Others choose to lay low.  My brother always refers to this night as ‘amateur night.’  For me, New Year’s Eve has generally been relatively quiet.  This year I will be with friends in New York City raising a glass to toast the past year and the excitement the future has in store. 

No matter where you are in the world, and how you choose to ring in the New Year, I wish you and yours health, happiness and prosperity in 2014. 

Life

My son Brian sent me this piece in August 2000. I published it last December and received a number of replies saying how much it was liked. I intend to make it part of the final OTR every year.   You may have seen this before but I encourage you to reread it.

What I’ve Learned (Author unknown)

• I've learned that we don't have to change friends if we understand that friends change.
• I've learned that no matter how good a friend is, they're going to hurt you every once in a while and you must forgive them for that.
• I've learned that true friendship continues to grow, even over the longest distance. Same goes for true love.
• I've learned that you can do something in an instant that will give you heartache for life.
• I've learned that our background and circumstances may have influenced who we are, but we are responsible for who we become.
• I've learned that it's taken me a long time to become the person I want to be.
• I've learned that you should always leave loved ones with loving words. It may be the last time you see them.
• I've learned that you can keep going long after you think you can.
• I've learned that we are responsible for what we do, no matter how we feel.
• I've learned that either you control your attitude or it controls you.
• I've learned that regardless of how hot and steamy a relationship is at first the passion fades and there had better be something else to take its place.
• I've learned that heroes are the people who do what has to be done when it needs to be done, regardless of the consequences.
• I've learned that money is a lousy way of keeping score.
• I've learned that my best friend and I can do anything or nothing and have the best time.
• I've learned that sometimes the people you expect to kick you when you're down will be the ones to help you get back up.
• I've learned that sometimes when I'm angry I have the right to be angry, but that doesn't give me the right to be cruel.
• I've learned that just because someone doesn't love you the way you want them to, doesn't mean they don't love you with all they have.
• I've learned that maturity has more to do with what types of experiences you've had and what you've learned from them and less to do with how many birthdays you've celebrated.
• I've learned that it isn't always enough to be forgiven by others.  Sometimes you have to learn to forgive yourself.
• I've learned that no matter how bad your heart is broken the world doesn't stop for your grief.
• I've learned that just because two people argue, it doesn't mean they don't love each other.  And just because they don't argue, it doesn't mean they do.
• I've learned that you shouldn't be so eager to find out a secret.  It could change your life forever.
• I've learned that two people can look at the exact same thing and see something totally different.
• I've learned that your life can be changed in a matter of hours by people who don't even know you.
• I've learned that even when you think you have no more to give, when a friend cries out to you, you will find the strength to help.
• I've learned that the people you care about most in life are taken from you too soon.

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I’ve always enjoyed quotes. When I was in Junior High School, my parents bought me Bartlett’s Famous Quotations where I underlined some of my favorites.  I remember one quote that always had meaning for me: No act of kindness, no matter how small, is ever wasted.  

While not found in the collection from Mom and Dad, the above passage from my son is one of the most meaningful to me. I hope you find value in the messages it contains as you enter the New Year.

On The Road…

Jan. 7 – 9:  Emerging Managers Conference, Austin, TX

Jan. 15 – 16:  New business development meetings, Washington, DC

Jan. 22 - 24, 2014:  IMN (Information Management Network) Winter Forum on Opportunity and Private Fund Investing, Laguna Beach, CA

Mar. 11 - 14: MIPIM, Cannes, France

May 16:  Annual meeting of The Hoyt Fellows, North Palm Beach, FL

Disclaimer 

All content in this blog is created for informational purposes only. Content, which includes all text, photos, video and graphics is not intended to malign any religion, ethnic group, club, organization, company or individual.  Steve Felix makes no representations as to the accuracy or completeness of any information on this site or other information as a result of following any featured link to or from this site.  The intention of this blog is to do no harm in regards to injury, defamation or libel. What is written or shown is not to be taken as fact or absolute.  Steve Felix will hold himself harmless for any errors or omissions in this blog’s information; including but not limited to external link information, translation or interpretation of content or incorrect grammar or punctuation. 

RCA Holiday Party / MIPIM / Rolf's

RCA Holiday Party

This week, RCA (Real Capital Analytics) held their joyous holiday celebration at the Chelsea Arts Tower, a 20-story commercial condominium located on 25^th street between 10^th and 11^th Avenue in NYC.  Designed for galleries and art-related business it is Manhattan’s first art gallery condominium.  Everyone was ‘gaga’ over the most incredible Manhattan views.

The entertainment at RCA’s party was provided by Elliot Zimet, a master illusionist.  It was difficult to comprehend anything Elliot did.  I just shook my head and said, ‘That’s impossible!’  He is definitely someone to keep in mind when thinking about distinctive entertainment for your next event.

As many of you may know, I have had a close affiliation with RCA since shortly after their launch in 2000.  Attending this event is special for me – having watched them evolve, from a three-person start-up to becoming the leading provider of investment sales data and capital market trends in the commercial real estate business.  RCA has had a major impact on how real estate investment decisions are made. They continue to be on the leading edge of creating products and services that will take the industry to the next level. It’s a great story!

MIPIM

This week I spoke with my long-time industry friend, Patric Dolan, who heads business development for MIPIM in North America.  MIPIM is the premier global commercial real estate event to be held March 11 -14, 2014 in Cannes, France. 

Being fortunate to have attended numerous times I can personally attest:  The MIPIM experience is exhilarating.  It will get your creative juices flowing and give you the opportunity to network and begin building relationships that, in time, may result in truly unexpected possibilities.  

You will leave having met commercial real estate professionals from all over the globe; been exposed to some of the world’s most inspired real estate developments and have your finger on the pulse of the commercial real estate industry worldwide.

I encourage you to consider allocating the time and making the investment to attend, as it truly is an investment more than an expense.

But if you’re looking to have expenses as well, I’ve known a few US colleagues to enjoy a post-MIPIM weekend in the south of France – not a bad place to debrief and unwind!

Rolf’s

Imagine that you are in the middle of a Christmas tree…a large one at that.  What do you think it would look like?  What would it feel like?  Well, this week I had the opportunity to experience just that. 

I met some friends at Rolf’s German Restaurant (Third Avenue and 22^nd St.) in Manhattan.  It was my first time there and won’t be my last.  On the walk over I was given the following disclaimer: “It’s going to be crazy busy.  We probably won’t even be able to make it to the bar and, if we get close, we won’t get a seat.  But the decorations are incredible.”  And, that they were!  While these photos give you a taste, this is really something you need to see to believe. 

Using the power of positive thinking, we managed to secure two seats at the bar before the rest of our group arrived. The friendliness of those around us was true to the season (perhaps it’s always that way at Rolfs…I’ll need to go back again to confirm!).  And, sitting in the midst of the spectacular decorations, I felt like part of the tree.

The decor at Rolf’s changes with the season…a good reason to return periodically. If you are in NYC for the holidays and want a very special experience, go to Rolf’s… I recommend the eggnog.  It’s a wonderful way to become one with the holiday spirit.  

On The Road...

Jan. 7 – 9:  Emerging Managers Conference, Austin, TX

Jan. 15 – 16:  New business development meetings, Washington, DC

Jan. 22 - 24, 2014:  IMN (Information Management Network) Winter Forum on Opportunity and Private Fund Investing, Laguna Beach, CA

Mar. 11 - 14: MIPIM, Cannes, France

May 4 - 7:  CRE (Counselors of Real Estate) Mid-year meetings, Austin, TX
May 16:  Annual meeting of The Hoyt Fellows, North Palm Beach, FL

Disclaimer 

All content in this blog is created for informational purposes only. Content, which includes all text, photos, video and graphics is not intended to malign any religion, ethnic group, club, organization, company or individual.  Steve Felix makes no representations as to the accuracy or completeness of any information on this site or other information as a result of following any featured link to or from this site.  The intention of this blog is to do no harm in regards to injury, defamation or libel. What is written or shown is not to be taken as fact or absolute.  Steve Felix will hold himself harmless for any errors or omissions in this blog’s information; including but not limited to external link information, translation or interpretation of content or incorrect grammar or punctuation.