Thank You / Phipps Dinner / RCA 3Q Capital Trends Highlights / NCREIF Research Corner / Passion

"Always work like you don't need the money.  Always fall in love like you've never been hurt. always dance like nobody is watching.  And aways-always live like it's heaven on earth."  This wit and wisdom is attributed to Mark Twain. But I read it this week in the 2005 Commencement Address given by Tom Friedman, author and journalist, at Williams College.  

"Your time is limited, so don't waste it living someone eles's life....Don't let the noise of others' opinions drown out your inner voice.  And, most important, have the courage to follow your heart and intuition because they somehow know what you truly want to become.  Everything else is secondary." From a 2005 commencement address given at Stanford University by the late Steve Jobs, CEO of Apple Computer.

These are words, spoken by men who have had something to say during their lives and had an audience to listen to them.  But they are more than just words, they are important concepts which deserve to be considered as the today's of our lives tick away.  

What did you decide you were going to accomplish in 2012?  How much progress have you made?  Did you decide you wanted to improve yourself?  How has that been going?  We are all busy and we do have to make a living to support our lifestyle.  But is that all there is?  How important are the things you have vs. who you are?  How do those people who survived Hurricane Sandy but lost virtually all their belongings feel today?  I suggest that they feel fortunate that it wasn't worse.  Things are just things but lives are what really matters.  

What are you going to do today to give real meaning to your life? Maybe it's simply helping someone else, even in a very small way.  But, as we in the U.S. head into our Thanksgiving celebration, perhaps it's time to really give thanks for what we have:  life, friends, love, food, clothing, shelter.  Is there really anything more important?

Thank you to Judi, Elizabeth, Irwin, Kevin, Marissa, Michael, Rozanne, Jeffrey, Nadine, Bob, Flora, Susan, Corina, Barbara, Brian, Bridget, Stephanie, Nena who have helped me navigate these past few months.  Thank you my OTR family who have reached out to offer help (BTW, an all-cash buyer dropped out of the sky recently and is closing on our Napa Valley house in a few weeks.  How lucky is that?).

3Q2012 RCA U.S. Capital Trends Highlights

Hotel:  Equity funds are the most active investor type accounting for almost a third of total hotel acquisitions.

Apartment: Highest quarterly volume since 4Q2007.

Retail:  The surge of investment in regional malls and and into urban/storefront properties continues to be the highlight throughout the retail sector.

Industrial:  The rise in individual property sales combined with a decline in average cap rate illustrate that the lagging rebound of the industrial sector may be finally catching up to the other property types.

Office:  Early signs point to a strong 4Q, much of it fueled by improving financing conditions and a recent decline in mortgage rates.

Phipps Gala Dinner

On Tuesday evening, seven lovely and fun people joined our host, Gary Koster of Ernst and Young, at the gala dinner celebrating the 40th anniversary of  Phipps NY, the oldest and largest not-for-profit developer, owner and manager of affordable housing in New York City.    

The highlight of the event, held in the grand ballroom of The Waldorf (yes, the same one where the Rock and Roll Hall of Fame Induction event occurs) was the presenting of a special achievement award to Darryl Rattray, Assistant Commissioner of the NYC Department of Youth and Community Development.  

He introduced himself as a "Phipps Kid" having grown up in one of the building complexes built by the company.  This is from the event program.  "Darryl was born and raised in Lambert Houses, a development of Phipps Houses.  A pivotal point in his life was the senseless murder of his childhood friend, Sean Chatman. After the murder, Darryl along with other friends created the Young Hope youth group.  Young Hope became the entry point into the youth and community development organizing field.  The group quickly became a pillar within the neighborhood providing resources and services to the community."  This is one man who has made a difference.  He just decided to do something about something.  We all can.  All we have to do is decide it's something we're passionate about.  

These are the thoughts I jotted down while listening to Daryl: There is nothing stronger than passion, whether it be passion of a feeling of love or passion for what you do-passion helps someone go beyond their formal training in public speaking-believing in what you're doing, speaking from the heart more than the head is incredible to be in the presence of. Darryl had that audience in the palm of his hand.  As he spoke, he looked over from time to time to his colleagues from work and his boss who had nominated him to receive this award.  This was a special moment.  This is the real deal.  The love was so present.  It was beautiful. More than a million dollars was raised at that dinner thanks to firms like Cushman and Wakefield; Eastdil Secured; Ernst and Young; Goldman, Sachs; Hines; J.P. Morgan Asset Management; Jonathan Rose Companies; Related Companies; Tishman Speyer; CBRE; Great Ink Communications.  Perhaps your company would be interested in being a benefactor?  

Takeaways of the Week

• "Turn negative energy into positive action." Phipps Community Development Corporation Team Member
• "I was known for doing the right thing."  Recipient of one of the Phipps Community Builder Awards
• "I'm getting to be more who I am than I ever was."  Dr. Navah Kaplan, PhD, Psychodynamic Pshychotherapist and Psychoanalyst, New York 

NCREIF's Research Corner-November 2012

• Fundamentals:  continued to improve but rate of change slowed.
• Economy/Jobs:  GDP growth in Q3 was surprisingly strong and the housing market continues to offer rays of hope.

Congratulations:

• Cindy Daly who has joined Four Springs Capital Trust (a private REIT) as Director of Acquisitions.
• David Sullivan who joined Precision Capital
• Karen Kasteel who has joined Massey Knakal River Oak

Some random items...

• "Son of A Gun."  A terrific off-off Broadway musical.
• Skendzic Photography.  In the Grand Central Terminal holiday mall.  Check him out. Very cool style.
• Restaurant of the week:  Blue Fin in the W Hotel, 47th and Broadway.  My lunch guest and I both had wonderful dishes.  There is also  live jazz (I got there early and the manager let me play their beautiful grand piano for about half an hour...it felt really good).

Can you help Shannon Corey?

Shannon Corey, a musician friend with a huge heart, needs to raise just a little bit more money to fund her trip to Nepal in January to volunteer to work with children in two orphanages.  She has already raised $1525 but needs $575 more to pay for the flight.  The deadline is next Thursday, November 29th, Thanksgiving Day.  Here's the page to go to (http://helpshannonhelpkids.chipin.com/help-shannon-help-kids-in-nepal).  Any amount will help her reach her goal and live one of her dreams. Thanks. (P.S. Shannon will send you a copy of here new album free as a special thank you for your contribution).

The Handshake

What is it with some men? Recently someone shook hands with me at an industry event. He gripped my hand so hard and shook it so violently that he actually injured my elbow.  What the heck are some men trying to prove? Do you think it impresses people? To be clear-it doesn't and in fact leaves me, anyway, with a really negative impression of you. Think about it.

On the road...

Nov. 17-24:  Driving from New York to Fort Lauderdale, Florida to spend a week with my cousin and clear my head a little. For those unfamiliar with the territory, the drive is only 22 hours and 2 minutes and about 1263 miles.  Compared to driving across country, this is a walk in the park!

Nov. 27:  Deloitte 2012 Real Estate Industry Update, New York at 30 Rockefeller Plaza, New York (yes, that 30 Rock)!.

Nov. 28:  Rockefeller Center, New York to attend the 80th Christmas Tree Lighting Ceremony Party.  Thanks to my good friends at Tishman Speyer for the invite.

Dec. 3-4:  Chicago to attend and moderate a workshop at the first NAREIM Capital Raising and Investor Relations Council Meeting.

Dec.5: Park Lane Hotel, New York for a holiday cocktail party for The Global Women's Partnership which seeks to empower women in the developing world with limited to no access to basic live-saving resources.

Dec. 15-Jan. 3:  Liberia, West Africa.  Going back six years after my first visit with The MacDella Cooper Foundation (MCF) to see first-hand the progress that has been made including the MCF Academy, which opened in 2010.  MCF's mission is simple:  Provide at-risk and vulnerable children with basic human rights:

• Shelter:  A private boarding school
• Nutrition:  Three nourishing meals per day
• Education: An international curriculum
• Security:  A place to call home

Jan. 23-25:  Laguna Beach, CA to attend IMN's 10th Annual Winter Forum on Real Estate Opportunity and Private Fund Investing.  

Mar. 12-15:  Cannes, France to attend MIPIM

Johns Hopkins / Greek to Me / Serendipity / PERE Summit

Back to School

On Wednesday, I took the train from New York to Washington, DC and conducted a three-hour class with the students of the Johns Hopkins Accelerated Masters of Science in Real Estate Program.  The title of my talk, as many of you know, is "Careers in Real Estate:  Connecting the Dots."  This was a very international group with more than half of the students from China.  As we went around the room with each student introducing themselves there are more than half of the Chinese students who plan to 'go home' with the knowledge they have gained.  There was an electricity of entrepreneurship in the room which invigorated me and reminded me that when opportunity presents itself, seize the moment.  

Dan Kohlhepp, academic director of the program and fellow Hoyt fellow, followed up with me with an email that gives some insight: "Thank so much for presenting the "Connecting the Dots" to our MSRE (Masters of Science in Real Estate) students yesterday.  Your comments were right on the money. Several Asian students said that they had heard the term 'networking' so many times, but never understood how what it meant until yesterday. This was truly an international break-through.  I think that the Asian students were intimidated about reaching out to prestigious people or people with higher economic or social status.  When you said, "Just send them a note and say that you enjoyed meeting them" I think they had an "Ah-Ha" moment.  Clearly the informality of the Internet is a tricky business with cross-cultural overtones a way to follow up an exchange of business cards.  In discussing raising a capital for a private equity real estate firm, you did a wonderful job laying out the process and how the players related to each other.  So many students get so into the mathematics of real estate that they lose track of, or don't realize how, deals are really done.  You make it personable and real."  From my talks at 15 other schools over the years, I have learned that this is not just the case with international students.

BTW, I've hired and brought with me to Johns Hopkins a personal coach to help me step up my presentation and public speaking game to another level.  My goal:  To be invited to deliver keynote speeches.  But, you say, "Steve, don't you coach people on that kind of stuff?" Well, yes, but at the same time, I need the help of an independent, third-party who I trust and who has a track-record of success in this field.  I'm lucky to have found one who, in our first engagement, has given me a number of excellent suggestions that I can immediately start using.  Stay tuned!

Greek to Me

A Greek friend and I had dinner the other night at a wonderful Greek restaurant in New York called Avra.  Our server and my dining companion conversed both in Greek and English.  The restaurant was not as crazy busy as it usually is and towards the end of the meal I listened to an extremely interesting exchange about how to Greek people view Greece.  There are clearly a number of major cultural things that, for Greece as an economy to thrive, need to change.  But you're talking about centurys' old ways of doing things related to property rights or lack thereof (squatting is possible), how and where people save their money, the way government employees are taken care of upon retirement, etc.  A lot of stuff.  So it'll be more interesting than ever now to pay a little more attention to Greece to see if they are able to 'be the change that they want to see (maybe) in their country." 

Comment about last week's OTR: "I like the parallel to the Springsteen song.  Amazing that this was the storm that destroyed the boardwalk," commenting on the fact that the storm that destroyed the boardwalk in Asbury Park (and other parts of the NJ shore) was named "Sandy" (after Bruce's song of the same name).  Thanks Bri.

Serendipity
The official definition includes the following:

• The phenomenon of finding valuable or agreeable things not sought for
• They found each other by pure serendipity

I have learned to really appreciate the serendipity in my life that manifests itself in me being an extremely lucky guy.  Talking with a friend this week, she suggested that there is serendipity in all our lives but some people are more tuned in to it than others.  It's one of the many wonders of life.  

Felix Consulting Group Update

• A new client engaged me this week to conduct my "How to..." workshop program in their office in early January.  This consists of eight-45 minute workshops, running from 9am-5pm.  The training (which can be customized to the client preference) consists of:

• How to network
• How to raise your visibility
• How to build your personal brand
• How to be a memorable panelist
• How to be an effective moderator
• How to get the most out of attending an industry event
• How to get meetings with people who don't know you
• How to leverage your trade association membership

New York "Drink Thing"

Last night, about fifty industry professionals came to Joe G Restaurant to mingle, have a drink and eat some pie (pizza that is).  It was a fun evening.

PERE Summit-New York

The well-attended event was hosted yesterday by my good friend, Gunnar Branson, CEO of NAREIM (National Association of Real Estate Investment Managers).  I'll be hosting Day Two today and will give you some takeaways next week.  Thanks to Zoe Hughes, Arleen Buckley, Nicole Waldorf, Olin Monty & the other PERE team members for putting on a great event and for inviting me to participate.   

Congratulations....

• Chris Keber who has joined Hines as Senior Managing Director in their new "Office of Investments.

Susan Hudson-Wilson

James Comtois wrote a nice piece on perenews.com (http://www.perenews.com/Article.aspx?aID=5828&article=70103) which includes this: In lieu of flowers, donations can be made in Susan's memory to the Animal Refuge League of Greater Portland, PO Box 336, Westbrook, Maine 04098.

It feels like I'm back in college...

....living out of the trunk of my car!  Thanks so all of you who have so kindly offered me a place to stay while I continue to be displaced in the aftermath, as it were, of Superstorm Sandy.  My trials pale in comparison to those who have suffered personal and material loss.  While the media has, in it's inimitable way, pretty much moved on from this story, there are still a bunch of people in the metropolitan New York area without power or mass transit service.  A few of the New Jersey contingent to the PERE Summit car-pooled in (and had to leave really early...like the time I usually get up....to get into Manhattan for the start of the event.).  Yesterday I learned that they don't know when I'll even be able to get back into my building in Long Beach to get my stuff.  However, having become a regular customer at Men's Warehouse, I learned that their claim is true:  On Tuesday I bought a new suit.  They did some tailoring and I got it back the same evening!  Adding to New York's craziness was the snow, slush storm on Wednesday evening.  Anyway....better times are coming for us all.  

On the road....

Nov. 13: Waldorf-Astoria, New York to attend a gala dinner hosted by The Phipps Houses Group which was founded in 1905 by Henry Phipps, Andrew Carnegie's partner, to provide affordable and well-designed housing for working class New Yorkers and is the oldest not-for-profit housing company in the New York Area.  Thanks to Gary Koster, Partner in the Ernst and Young Transaction Advisory Services/Real Estate-Private Equity Group and a member of the Phipps Board of Trustees for the kind invitation).  

Nov. 27: Deloitte 2012 RE Industry Update, New York

Nov. 28:  Rockefeller Center, New York to attend the 80th Tree Lighting Ceremony (Thanks to my good friends at Tishman Speyer for the invite)

Dec. 3-4:  Chicago to moderate a panel at the NAREIM Capital Raising and Investor Relations Council Meeting

Dec. 15-Jan. 3:  Liberia.  Return trip with The MacDella Cooper Foundation to see residence school they opened and the progress in general made in Monrovia since my first trip in 2006.  Will be Santa again for a children's Christmas party. 

Mar. 12-15:  Cannes to attend MIPIM

"Don't ever confuse the two, your life and your work.  The second is only part of the first."  Anna Quindlen

Sandy

Hurricane Sandy-New York

The construction crane, 75 stories up, on top of the building at 57 Street and 7th Avenue, that has been flapping in the winds like a badly broken wrist, is still there and perhaps has become the premier tourist attraction in New York this week and the early image that spread around the world.  

This week took on new meaning for millions of us New Yorkers.  Hurricane Sandy visited the neighborhood and left a swath of destruction and death, some of it still to be discovered.  The deaths related to Hurricane Sandy keep mounting. Some of the stories are just too sad to write about.  This is serious stuff.  

All of you, no matter where you are in the world, have seen the images of the disaster, the flooding, the fires, the faces of the anguished who have lost everything they have, which, in many cases, includes the loss of love ones.  But the story that didn't get told, because good news doesn't sell papers, is how New Yorkers banded together to help each other make it through.  People offering rooms or beds, for free, to those stranded by the closing of all bridges and tunnel access to Manhattan for only the second time in history (the first being around the September 11 events).  This is truly a special metropolitan area whose residents, unlike the opinion of some who don't live here, are not cold, aloof or arrogant, but are a thoughtful, caring and supportive lot that always rise to the occasion.  

On Wednesday, limited public transportation became available again, although many subway stations are still flooded and closed.  People, needing to get to their jobs, used whatever means they could, many walking across the bridges that connect Manhattan with outer boroughs Queens and Brooklyn, others sharing rides with those driving in to meet the three-person per vehicle minimum.  Last night at about 6:30pm I saw lines of hundreds and hundreds of New Yorkers, waiting patiently for their turn to get on a bus to take them home or at least somewhere closer to home than work.  At 9pm I saw people still lined up and waiting who, would probably not get home until 11 pm or midnight and then will be getting up, about now (5:10am), to go back to the city to their jobs.  

This Sandy was not the same girl that Bruce Springsteen sang about.  The one who 'worked that joint under the boardwalk, she was always the girl you saw boppin' down the beach with the radio." This Sandy destroyed the beach, the boardwalk, houses, boats, and lives. "The Boss" asks Sandy to "love me tonight for I may never see you again."  But the only love that Hurricane Sandy brought was the love that was shared between those who needed help and those who could help.  

When someone needs help, it usually doesn't take much.  Maybe a disaster like this will wake up those feelings in us that will carry forward, when things return to normal, that a good day is one when we can help someone, just that little bit, that will make a difference in their lives.  It's not about giving money, it's about giving time, the most precious thing we have. 

Thanks to many of you who wrote me asking if I was okay.  My apartment, in Long Beach, NY, is right on the beach.  I left on Sunday, just before a mandatory evacuation was ordered and stayed at my go-to hotel, the DaVinci in the city until yesterday.  I thought I'd be able to go home by now.  Last night I crashed on the couch of my son Kevin's Brooklyn pad and, today/tonight, well, who knows, as Long Beach still appears to be without electricity and other services.  

The Grove-Los Angeles
When I was in Los Angeles for the PREA conference, I had a chance to go to lunch with a good friend, real estate development expert Mike Russell at The Grove.  It was my first time. Mike, btw, serves as an expert witness, mediator, arbitrator and development advisor.     The Grove was created and developed by Rick Caruso. It is very cool.  His idea:  "We wanted to design something where people could come hang out just to meet a friend. The minute they do that, when they want to buy something, I guarantee they'll come back.'" Amazing stat: The Grove attracted 18 million visitors in its first year of operation. In the same year, Disneyland drew 19 million visitors! I don't know Caruso but he sounds like a guy I'd like to. 

Susan Hudson-Wilson Memorial Music Spot
11-17-70:  Elton John and his original band (Dee Murray, bass and Nigel Olsson, drums) performed live at a recording studio in New York.  The result was Elton's first live album called 11-17-70 which Elton has often called his best live performance...ever!  Included is an exceptional 18-minute medley which starts with Burn Down the Mission.  YouTube has some exceptional versions of that tune from later years with this one being particularly special (https://www.youtube.com/watch?v=7IHT5Kr7b4s).

Real Estate Foresight published a pilot report on China housing prices this week here are a few highlights (you can access the report and become a registered member here [http://www.realestateforesight.com/_pdf/REF_China_12Nov2_v1.pdf]:

• Overall macro-sentiment points at stabilization in the markets.
• House prices continue mild rebound month-on-month, up 0.17% but down 1% year-on-year.
• Sentiment stays stable for property equities and bonds through October

The Felix Consulting Group (FCG):  Update

• Thanks to the 15 firms who have become clients so far in this first year of operation
• Clients are investment management firms, commercial real estate service providers, trade associations, conference companies and one technology start-up
• All are happy with the services they received  (Yippee!) and have offered to be references
• The services FCG delivered to the 15 clients represent the entire spectrum of management consulting services offered by the firm.
• Please contact me if you'd like to talk about how one of these services could be helpful to your firm:
• Presentation Coaching
• Corporate Strategy Coaching
• Event Enhancement Services
• "How to raise institutional capital, 'Soup to Nuts' in one day."
• "How to..." Workshops:  Eight 45-minute workshops conducted in one day in your office to aide in the personal development of your team members:
• How to network
• How to get the most out of attending an industry event
• How to build your personal brand
• How to leverage your trade association membership
• How to be a memorable panelist
• How to be an effective moderator
• How to raise your visibility
• How to get meetings with people who don't know you

On the road....

Nov. 6:  Hartford, CT
Nov. 7:  Washington, DC to speak with students about "Careers in Real Estate:  Connecting the Dots."
Nov. 8-9:  New York to attend, moderate a panel and serve as chair at the PERE Forum

Special Event

What:  Felix Drink Thing.  YBYO (You buy your own) and I provide the famous Joe G pizza.
Where:  Joe G Restaurant, 244 W. 56th (bet. B'way and 8th) and downstairs from the DaVinci Hotel.
When:  November 8 
Time:  Starting at 6:30pm
Hope to see you there...bring an industry friend with you.  The more the merrier.

Nov. 27: Deloitte 2012 RE Industry Update, New York
Nov. 28:  Rockefeller Center Tree Lighting (Thanks to Tishman Speyer for the invite)
Dec. 3-4:  Chicago to moderate a panel at the NAREIM Capital Raising and Investor Relations Council Meeting
Dec. 15-Jan. 3:  Liberia.  Return trip with The MacDella Cooper Foundation to see residence school they opened and the progress in general made in Monrovia since my first trip in 2006.  Will be Santa again for a children's Christmas party. 
Mar. 12-15:  Cannes to attend MIPIM

PREA / PERE / Hot Dogs / RCA Q3 Trends / Napa Valley House 4 Sale

PREA-Los Angeles

What I believe was the largest PREA event ever was held this week in Los Angeles.  Adding to the excitement of many of the star-struck, at the same hotel, was the Hollywood Film Gala Awards dinner on Monday night honoring Robert DeNiro, Richard Gere and Ben Afleck.  On the red carpet and virtually mingling, in a way, with the PREA crowd were lots of movie stars and other celeb types.  It was pretty cool.

PREA Scholarship Recipients:  Congratulations

• Thomas Campbell, University of St. Thomas
• Andre Chachere, George Mason University
• Brittani Clayton, University of Connecticut
• Prashant Das, Georgia State University
• Derek Fohl, DePaul University
• Chris Goldsmith, Georgia Institute of Technology
• David Keane, DePaul University

PERE Global Investor Forum-Amsterdam

It's early Friday morning in Amsterdam on the overnight between the two days of this event.  A strong showing of LP's in the group added to some excellent networking opportunities yesterday as PERE has used the concept of "Speed Networking" well.  Bob Weaver of TPG is the Chair for the event and I moderated a fun session called, "The Great Debate" yesterday.  The subject:  Is now the time to invest in Europe?  "Yes" was the overwhelming winner but in a side straw poll it was clear the audience felt that the vote would have been different had question been asked in a non-European city.  

As the event wraps up today I'll be moderating the closing panel on Global Capital Raising and then heading back to New York tomorrow morning.  About six of us made the pilgrimage from PREA in LA to PERE in Amsterdam.  We are just such a totally global industry!


Watching the days go by:  Interesting how many people have been mentioning to me how fast this year has zipped by.  Was a time when it was only old people who felt time moving quickly...but they no longer have the monopoly on it.  A line from the legendary sports movie, Hoosiers:  "Don't get caught watching the paint dry."  Translation:  Don't let things pass you by. Be aware of the serendipity of it all.  And live your life so you'll have no regrets.

Getting investors across the finish line is still challenging.  Last minute changes of heart and mind and negotiation of terms seems rampant.  But from what I'm hearing, some folks have forgotten the concept that to make a deal it needs to be fair to both sides, otherwise why would someone do it?  It's great to throw your weight around in try to squeeze the other side.  But as I learned in my years in the deal-making world, you need to understand what the other side's needs are as well as know your own to be able to negotiate reasonably.  A deal that is too heavily weighted in favor of one side may not be a winner, even to the side that thinks they won.

RCA (Real Capital Analytics) Q3 2012 U.S. Capital Trends Highlights published this week:

• Hotel: Sales down 25% vs. 2011; early signs point to stronger Q4; equity funds (vs. REITS) are most active investor this year.
• Apartment:  Highest quarterly volume since Q407; total transactions up $47 Bn over 2011
• Retail:  Quarter sales lowest this year but signals point to a stronger Q4.
• Industrial:  Individual property sales (vs. portfolio) remarkably strong
• Office: Unmistakable shift to suburban properties and smaller markets; early signs suggest strong Q4.

Thanks to Julie Brenton of Ranieri Partners (and a long-time friend of Susan Hudson-Wilson) a simple button (see photo) was worn by many of Susan's friends and colleagues at the PREA conference this week.   We all agreed that Susan would have approved!  

Feedback on last week's comment about NAREIM discussion on the future of office space:  "At my ULI council, we have been concentrating a lot on creative office space.  I think it is very interesting but the real question is whether this is a long-term shift or a short-term phenomenon. I don't know the answer." 

Yoda quote correction from last week:  
"Do or do not.  There is no try."

Congratulations:

• Amelia Patt has joined Clarion Partners as Senior Acquisitions Analyst

Two cool Los Angeles restaurants that I went to for the first time:  Morels and RockSugar

Almost Real Estate:  Lois Weiss is a highly regarded and widely read real estate journalist who is also a personal friend and who wrote rock music reviews earlier in her career.  Anyway, last week she told me about Eco Nuts (http://econutssoap.com), co-founded by her daughter, Mona with her friend, Scott.  They are doing something important to the survival of the earth by packaging and selling "Soap Nuts" which are transcending the cleaning industry.  As soon as I settle down in my new place in New York, I'll be buying some of their stuff.    

Visiting someone at Morgan Stanley's New York. Sometimes it pays to start flipping through a book or magazine from the back, that's where I found this gem:

The Legacy

The great firms hold at heart a certain view,

Values of their founders that survive 

only because the energy and art of generations coming after thrive, like planted fields when the rains arrive.

There is this mystery; that such a firm and it’s people, beating within a single heart, are each in the other renewed as they renew, even as both are changed are both affirmed.

Written on the 75^th Anniversary of Morgan Stanley (1935-2010) by John Barr, Managing Director Morgan Stanley (1984-1990)

Thanks to Jeff Fisher for bringing this "Free the Damn Data" button to PREA and allowing me to photograph it (and his lapel!) that Susan Hudson-Wilson handed out at a NCREIF (National Association of Real Estate Investment Fiduciaries) meeting back in the 'old days.' 

I met a young man who is working as a bartender in a hotel bar near where I'm living.  He told me about a business that he and a partner are just about to launch.  It's such a brilliant idea and it's theirs so I won't spill the beans.  But one thing he reminded me about that he had learned when he was growing up and that I had read some years back:  True character is defined by your behavior when no one is looking.  

Pretty cool thing:  Toddle Tunes-Where Kids Learn to Play (http://www.toddletunes.org).

Hot dog of the week:  Clarion Partners hosted "Pink's Hot Dog" party on the Monday night of PREA.  How was I supposed to know that it's the family of Clarion Partners' Richard Pink that had founded a hot dog operation as famous as Pink's in 1939.  Anyway, I had their famous chili dog..delish! (http://www.pinkshollywood.com).

So, there was this other party on Monday night at Orson Welles' estate in the Hollywood Hills.  It was one of the most fun nights I've had in a long time.  A few of us jammed well into the night (make that morning) accompanied by tambourine players, percussion bangers and singers while others entertained themselves by shooting pool, shaking a tambourine, singing along, just enjoying the view.  

On the road..

Nov. 6:  Hartford, CT

Nov. 7:  Washington, DC for my "Careers in Real Estate-Connecting the Dots" talk with students at Johns Hopkins University.

Nov. 8-9:  PERE Forum, New York to attend, moderate a panel and serve as chair for Day Two (Gunnar Branson, CEO of NAREIM is Chair for Day One)

SPECIAL EVENT: 

Nov. 8:  Join me for a YBYO (You Buy Your Own) drink on the night of the first day of the PERE Forum in New York.  I'll provide the famous Joe G pizza.

Where:  Joe G Restaurant, 244 W. 56th St (bet. B'way and 8th) and downstairs at the DaVinci Hotel. (http://www.joegrestaurant.com/home.html)

When:  Starting at 6:30pm

Look forward to seeing you.  Feel free to bring your industry friends.

Nov. 27:  Deloitte 2012 Real Estate Industry Update at 30 Rockefeller Center, New York

Nov. 28:  Rockefeller Center Tree Lighting Ceremony Party (Thanks to Tishman Speyer for inviting me).

Dec. 3-4:  Chicago to moderate a panel at NAREIM's Capital Raising and Investor Relations Council Meeting

Dec. 15-Jan. 2:  Monrovia, Liberia.  Going back six years later with The MacDella Cooper Foundation (http://www.macdellacooper.org).

Feb. 27-28:  Hong Kong to attend the PERE Forum-Asia. (This is part of a two-week trip where I'll also visit Singapore and China for the first time!).

Napa Valley House for Sale (The photos don't do it justice!):  

(http://www.cbnapavalley.com/homes/CA/Napa/94558/3415_1_2_Browns_Valley_Rd/10521223049/index.html?cnt=6)

Is Your Company Cool? / Eye Contact / The Rainbow Room / Return to Liberia

Gunnar Branson, CEO of NAREIM (National Association of Real Estate Investment Managers) is one very creative-thinking dude who happens to head an industry trade association.  At their Executive Officer Meeting in Chicago this week (where I moderated a panel of Canadian institutional investors and played a YouTube of The McKenzie Brothers "Take Off To The Great White North" (Featuring Geddy Lee of Rush) while the panelists were getting situated on stage), he used the example of how the music industry has changed and challenged us to think about the future of real estate that way.  In the breakout brainstorming session that followed, I was the discussion leader / facilitator for one of the groups.  We decided to focus on office.  These are a few concepts that we all agreed are important for us to keep in mind: 

• "Cool" space
• People want to work for a company seen as "cool" (this isn't about what the company does but more how it exists).
• People want to have the ability to work together, to be part of the flow.
• More common / group / team space will be needed
• "Group space vs. a space for a collection of individuals."
• Provide amenities:  gym / free food and coffee / child care

The discussion was very lively.  Phrases like "Future Proofing" and "Density Collaboration" were offered into the mix by other tables, not as cool as ours of course, but cool in their own right!  Also, these are things that will help you attract and retain people.  

Eye Contact
So I'm sitting by myself in a restaurant the other night thinking I'd be watching the Yankee/Tiger game but it was rained out and the bartender couldn't figure out how to find anything other than some QVC show.  But right in my line of sight is a woman talking with a man.  I can see her but I can only see his back.  Without seeming like it (I think anyway) I watched.  This woman made such wonderful eye contact with this guy.  

This week when I spoke with students at DePaul University and The University of Chicago on Careers in Real Estate-Connecting the Dots I asked them how long a first impression took.  Based on my belief, they were right-on:  Four seconds.  It's the time it takes to shake someone's hand and look into their eyes.  It's really important, both the handshake and the eye contact.  And, while I'm at it, about the handshake:  wimpy ones are unacceptable but those of you who feel the need to crush my hand, please, save it for the gym!

"The Rainbow Room Is Now A City Landmark"

So said the headline in the NY Times this week. The Rainbow Room is the "65th floor space with the see-forever views at 30 Rockefeller Plaza in Manhattan".  I've been there over the years for drinks and for a couple of industry events.  It's been vacant since 2009.  But I have a personal story to relate....Baum + Whiteman Group (see below) were retained to reinvent The Rainbow Room.  In December 1987 it reopened with a new twist:  Evergreen, a healthy restaurant. Baum + Whiteman Partner, Michael Whiteman,  invited me to eat there with him shortly after the opening.  At that point, I was being particularly careful about what I ate.  The attraction/gimmick was that you got a printout of the caloric, etc. components of your meal.  Sadly, the concept was way too far ahead of it's time and didn't last long.  Whiteman and I remain good friends, ever since a trip we took to Louisiana together in, 1985/6 to scout out possible local tenants for a food court to be part of a new mall that the company I worked for was going to build at I-10 and Siegan Lane in Baton Rouge.  The mall was never built but the trip was legendary and launched our friendship.  Michael, no blushing now, is one of the smartest most forward thinking restaurant/food people in the world and his credentials are there to prove it.  Oh, one other food thing:  Michael's wife is Chef/Author Rozanne Gold.   Check her out!

The Eight of Them First ever photo of my sons, Brian (top) and Kevin with their wives, Bridget (Brian) on left and Marissa (Kevin) on right and the kids:  Top (Sean).  Bottom l-r:  Gavin (Sean's bro) and Benjamin and Edie (the twins).  Wow! Help Shannon Corey Help Kids I met Shannon in 2006 when I bought a Yamaha digital piano from her via Craigslist.  I didn't know it at the time but she is a very talented professional singer/songwriter.  I got to see her perform recently at the legendary Bitter End in NY. While there she told me about her trip to Nepal in January 2013 to bring music to orphans.  She needs some financial help.  Here's the link to donate (btw, she only needs $2500 and has already raised $650).  On behalf of Shannon (who has no idea that this is being mentioned her)...Thank you! "There is no try.  There is do or do not."  Yoda Congratulations: Anatole Pevnev who has joined ORG Real Property as Director of Research David Schaefer who has joined AEW as head of their Asia business Phil Greenberg who is now Senior Managing Director at C-III Capital Partners Howard Fields who has joined Inland Institutional Capital Partners as Senior Vice President Special: 17 Hottest Food and Dining Trends for Restaurants and Hotels, 2013  It's that time of year when Baum+Whiteman International Food+Restaurant Consultants give us a peek through the drive-up window of what will be cool and happening next year.  The whole report is here.  And, here's, you'll excuse the expression, is a 'taste to whet your appetite!" Menu shuffling aimed at flexitarians Donuts getting bizarre upscaling Weider and weider desserts Too many tasting menus Susan Hudson-Wilson Memorial Music Spot: One of my all-time favorite songs, When You Wish Upon A Star.  Have loved it since I first saw Pinocchio as a kid.  Play this version for your children.  They will love it too! When you wish upon a star Makes no difference who you are Anything your heart desires Will come to you If your heart is in your dreams No request is too extreme When you wish upon a star As dreamers do Fate is kind She brings to those who love The sweet fulfillment of Their secret longing Like a bolt out of the blue Fate steps in and sees you through When you wish upon a star Your dreams come true 1940 Academy Award for "Best Original Song."  Writeen by Leigh Harline and Ned Washington. Performed by Cliff Edwards in character as Jiminy Cricket. On the road... Oct. 22-24:  Los Angeles for the Pension Real Estate Association (PREA) Annual Investor Real Estate Conference Oct. 25-26:  Amsterdam to attend and moderate a panel on global capital raising and "The Great Debate" at the PERE Global Investor Forum (Btw: I got a sneak peak at the full attendee list this week...it's a great bunch...if you haven't made plans to attend, you may want to seriously think about it).  Nov. 6:  Hartford, Connecticut  Nov. 7:  Washington, DC-Johns Hopkins University speak with students on "Careers in Real Estate-Connecting the Dots." Nov. 8-9:  New York to attend, moderate a panel and act as chairman for Day Two at the PERE Summit. Special Event:  Nov. 8:  Following the PERE reception please join me and some your industry friends for a YBYO (You Buy Your Own) drink and famous Joe G Pizza (I provide). Joe G Restaurant 244 W. 56th Street (Bet. B'way and 8th) Down the stairs from the DaVinci Hotel Start: 6:30pm Bring your industry friends.  The more the merrier (and maybe someone will even buy me a drink!) Nov. 15-18:  New York.  My brother Jay makes a rare visit Nov. 19-24: London Dec. 3-4:  Chicago for NAREIM's First Annual Capital Raising and Investor Relations Meeting Dec. 20-Jan.3:  Return to Liberia with The MacDella Cooper Foundation.  It's been six years since my last visit; a lot of progress has been made. I need to see it and hopefully see some of the kids that I got to know in 2006. Feb. 27-28:  Hong Kong to attend the PERE Summit: Asia. Trips in the works: New Zealand:  My good friend, John, has been encouraging me to visit for years.  Why wait any longer?