Eric Feil from Danspapers shares our new favorite song - is it corona good? (which we apply to the real estate world)
Eric Feil from Danspapers shares our new favorite song - is it corona good? (which we apply to the real estate world)
Andrew Lieb (3s):
You were personal coach and trusted attorney, Andrew Lieb help you get started in building your real estate empire, grow your self confidence, find your grit and get the skills needed to dominate the real estate world. This is real estate investing with Andrew Lieb. Wow. That that's, this is a good topic, Lauren. This is important to discuss. And we think about this a lot. Actually, my brother in law was over the other day and he said, how do you guys know what you want to do on all these businesses all the time?
Andrew Lieb (37s):
And I said, because of Lauren and I sit outside with a glass of wine, sometimes a Coca Cola, classic and Pellegrino. Did you see Coca-Cola's stock's doing anyway. So Warren believes in Coca-Cola. So I believe in Coca-Cola because all hell buffet. So back to where we were Burke shear, I hope, you know, a home services is one of the best brokerages in the company in the country. And this is a real estate show. So all hell buffet. So back to where we were, what we were discussing before the break was, Hey, if you're going to make your landlord, your partner, the first thing you have to decide is whether what they're giving you is valued at the same that you value the interest.
Andrew Lieb (1m 12s):
It's irrelevant that it's your landlord as Lauren. So adequately or aptly or intelligent or brilliantly pointed out, you could get a loan from lots of different places. So the store, there are two different conversations. Number one is the rent that this landlord wants good in the market. And do you have the right terms in the lease? That's one conversation. The second conversation you have, if they're going to forego rent for equity, do they value your equity at the same amount that you value your equity?
Lauren Lieb (1m 42s):
Yeah, and I was just thinking in real estate right now in commercial real estate with all of these big businesses, closing is commercial real estate going to go down. So are you getting locked into a, a number and the is going to be too high for what it really should be in the market. So if you're thinking about having a landlord investing in your business, right,
Andrew Lieb (2m 1s):
I'm going to answer your question because it's not about commercial real estate that I was reading, but it was about similar thing. I want to tell you, I was reading this market watch piece by Keith DZero. I might be saying his last name, wrong he's smart guy though. It's an opinion piece. And he wrote the fear. Jumbo mortgage debacle is here, thanks to the coronavirus and ready to pound the housing market. He was talking about housing, but if you notice you use the word jumbo market, jumbo market is not about just so we're clear Lewis, conforming loans from Fannie, from Freddy, from FHA.
Andrew Lieb (2m 32s):
You know, those loans that cap out at five, 10 40 nationally, we're in places like New York, they cap out at seven 65, 600. So if you're getting one of these loans for 800, 900, a million, 3 million, 10 million, that's called a jumbo loan. And a jumbo loan is very similar to a commercial loan because you know, a commercial loan isn't insured by the government either. So what you're saying, and what he's saying is that, you know, he writes in this article, you know, when he writes it, small businesses are going down from Corona. They don't have the money to be able to sustain a downturn.
Andrew Lieb (3m 4s):
Let her lowest second one. Isn't California close again. So what we're about to see to your point is a foreclosure tsunami. Like we've never seen before. And if there's a foreclosure tsunami on the commercial sector, which is what you're saying, our friend, Keith, DZero not our front. He shouldn't be my I'm a nice guy. Won't you be my neighbor? So Keith DZero says, you're going to get that in the jumbo. We're saying in the commercial, he's saying in the jumbo or respective, if there's a foreclosure tsunami and there's issues with tenants that are going out is the rent.
Andrew Lieb (3m 38s):
This is what Lauren said that you make a deal on today. Is that the same rent it's going to be in a month, in two months? I don't know. What do you know? Do you want to make a longterm lease at all in this market? That's a good question. Well, if you're a tenant, do you want to make a longterm lease? Well, if you think the numbers are low, maybe you do. But what you need to do is when you're doing a longterm lease is you have to be, you know, one of my favorite stories from law school, did you ever hear of Chuck full of nuts coffee, right? Yeah. Chock full of nuts coffee. And I heard this, this story in law school. They were, they used to be bigger than Starbucks.
Andrew Lieb (4m 9s):
I don't know if you remember. I didn't hear this in law school. I actually knew this. They used to be all over New York city and how Starbucks are all over New York city. There would be these Chuck full of nuts cafes everywhere. You know, here's something fab fabulous. They had longterm leases everywhere throughout the city and their longterm leases were at such great rates. That what they did is they realized it would be better to just sublet their leases than to keep selling. Coffee can make so much more money. And so they just subletting went out of business and said, we should just be rich. And so I guess the Lauren's point is when you make a longterm lease and you make it on a volatile market, which is what we're in right now.
Andrew Lieb (4m 44s):
If you make a longterm lease on a volatile market, you gotta say to yourself, is this lease good? Or is it just Corona? Good. Speaking of this lease being good or Corona. Good mom, man. Eric file is ringing in right now and he wants to teach us about a new song. Hold on. Let's get where I have Eric real estate investing Andrew Lee Hamptons with Eric, Eric, Eric, Eric, Eric. So I keep wondering if the lease is Corona.
Andrew Lieb (5m 15s):
Good. And I here at Dan tastic Hamptons, you have the answer to know if it's good or if it's Corona. Good. What am I talking about? We absolutely. Do. We have the answer? Let's give it a listen and find out I get by simply fun to watch on TV.
Andrew Lieb (5m 56s):
It was this ridiculous about tigers. I can imagine that at normally see, wow, I'm making a brand new friends, social distancing in my neighborhood. I wonder if I like them or if they're only good, are they good?
Andrew Lieb (6m 35s):
Are they good? <inaudible> Corona good standing six feet at the grocery store with my gloves and my mask. You see everybody there is dressing the exact same way. Like they're rehearsing for a rivalry back on my baby is cooking up.
Andrew Lieb (7m 9s):
Danna. Bace. Does your work with chicken or me? What she makes doesn't really taste that bad except I've lost seven pounds in two weeks. Corona. I'm jamming. Lauren, you are jamming or is it Corona?
Andrew Lieb (7m 50s):
It's true though. Get on Monday or Tuesday, April or may. I sincerely don't know where to start. I've been washing my hands so many times each day. I finally learn happy birthday by now I've written a thousand tunes in my life and maybe 20 don't really up. So I'm wondering if the song's any better or if I'm just plumb out of luck, is this song?
Andrew Lieb (8m 26s):
Yes, Corona. I am very strong. Aren't you? It's so true. Good. It's good. Or is it Corona?
Andrew Lieb (8m 57s):
I got the hand waves going. Good. <inaudible> Wow. That was Corona. Could hell let's go. Wow. I think it was not just Corona. Good Lauren. That song was good. Good, good, good, good Eric. What'd you think?
Eric Feil (9m 23s):
Oh, I absolutely think it's brilliant. I'm a big fan of no bare naked ladies. It reminds a little bit, or even Adam Sandler and in the wedding singer throughout my house, since the first time I heard it more than just Corona. Good.
Andrew Lieb (9m 38s):
And it really hit home to me because like, I've been thinking that like, I think that my wife keeps Lauren and keeps complimenting my dinner. And I think that she just thinks I'm Corona guy. Like I like when we get takeout, she definitely is much more excited. So, and you know, what I'm going to do though, is I have this idea as I was reading Dan's papers and I see that they've now released the 2019 vintage list, Eric. And I'm going to go on this vintage list because I think that's going to help me with dinner with Lauren. What should I learn on this vintage list?
Eric Feil (10m 5s):
Oh, absolutely. So all of these wines of course are much more than just Corona. Good. They're fabulous. It's the 2019 vintages that are finally bottled being poured. They're incredible. It's really depends. If you're a red guy, if you're a white drinker, if you love yourself some Rosa, I mean it's summertime, it's the Hamptons. You gotta be drinking. Rosa, am I right? I mean, that sort of is, as we've talked about, pets is what is in route. We absolutely right. I know Mattabella vineyard, for example, Jose. Awesome.
Eric Feil (10m 35s):
Everyone loves that one. I would definitely also go McCall. They've got a great, it's a blend of surah and Murlow and seven year old block. And that's another fantastic Rosetta paired with anything you're gonna be eating from these bags.
Andrew Lieb (10m 48s):
I have an idea on how to know how to pair it too, because I understand that the new thing is to get a private chef. So I'm going to get myself a private chef. And you have information about that too. And they'll tell me how to pair. Tell me about the private chefs.
Eric Feil (11m 1s):
That's exactly what I mean. Private Scheffing was sort of a luxury that was common on the stand during the summer, during the holiday seasons, but through the pandemic, more and more people have been looking for a as a way to make sure it's safe dining procure their food from slate places. They know the chef there, oftentimes a chef will live there. So they haven't been out in the world. The definition of social distance for them also with these chefs can do, then they can create experiences. So if you're a family that typically traveled to the South of France during the summer, and now you're out in the Hamptons, the chef can create a South of France dinner.
Eric Feil (11m 34s):
They can create an Italian theme general. You used to go to Tuscany. So having a private chef, they know the best sourcing. They work with all the restaurants out here. So they're really promoting, Hey, don't always eat at home, go out and eat at these restaurants, but they know the restaurants use it at home, do it at home and they'll pair it. Your
Andrew Lieb (11m 54s):
Article says how he can find a private chef, and then I'm going to get my private chef. I'm going to pair the wine and I'm not just going to be good. I'm going to be better. I'm going to be not just Corona. Good Lauren. It's going to be the best meal you've ever had. You know, I just learned how to be cool with Dan tastic Hamptons. Eric, thank you so much. Thanks for joining us for Dan tastic Hamptons. Now more Real Estate investing with Andrew Lieb. Is this radio show good? Or is it just Corona?
Andrew Lieb (12m 24s):
Good Lord. I want to get back to it because we have to start talking about whether this lease and we're going to have the landlord being an investor in the business. I just, I need to think about this. How are we going to be good and not just Corona book. Good. We'll be right back after the break and address that we'll be right back. Have you ever dreamed of owning a rental property opening a successful business, real estate investing.