Unlocking Value: The Elk Grove Industrial Complex Deep Dive | Durable Value Ep 81

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In this episode of Durable Value, we take you behind the scenes of our recent acquisition—the Elk Grove Industrial Complex in Sacramento, CA. Discover how we sourced the deal, why this property stood out, and the strategies we use to unlock value in multi-tenant industrial assets. We discuss market dynamics, the importance of fresh eyes, and how private ownership creates ongoing opportunities for value-add investors. Whether you’re a real estate professional or an investor, this episode is packed with actionable insights and real-world examples.

Timestamps:

00:00 - Introduction

00:19 - The Power of Marketing: How We Source Deals

00:37 - Building Broker Relationships & Off-Market Opportunities

01:29 - First Impressions: The Pitch and Initial Call

03:03 - Underwriting and Offer Process

03:21 - Seller Background and Property Condition

04:01 - Buying from Private Owners vs. Institutional Sellers

04:24 - Rent Growth and Market Opportunity

04:50 - Business Plan Execution: Managing Lease Rollovers

05:23 - Maintaining Occupancy in a Softening Market

05:50 - How to Find Great Deals in Secondary Markets

06:16 - The Perpetual Value-Add Cycle in Industrial Real Estate

06:37 - Navigating Market Complexity: Tariffs, Inflation, and Supply

07:03 - The Value of Vertical Integration and Property Management

07:43 - Closing