J Darrin Gross
I'd like to ask you, Paul Ross, what is the BIGGEST RISK?
I have to say it's context dependent. But if you were to ask me in general broadly, the biggest risk that you can take is to be risk adverse and to need to get absolute clarity before you take an action step. If you're adverse to risk and you need absolute clarity before you act. You then risk can be an emotional risk risking rejection, although I never get rejected, I only discovered the lessons that I didn't know that I had learned. So being risk averse. And as part of that meeting to be certain before you take a step into the unknown, see if you can step into the unknown without needing a guarantee of success and let the other person give them radical permission to have their first response to you. Then something magical opens a doorway to grace the doorway to results that you wouldn't otherwise get if you can get it you need to guarantee.
Today my guest is David Goldfarb. David is the managing partner at Xtreme Action Park Elev8 Fun, EA Properties and Primetime Amusements. And in just a minute, we're going to speak with David about the opportunities in indoor adventure parks.
J Darrin Gross
I'd like to ask you, David Goldfarb, what is the BIGGEST RISK?
So if I'm going to, if I'm going to make this unrelated to let's say, insurance or to anything, from an operational standpoint, I think the biggest risk that we're seeing, or at least I'm seeing in these in picking these locations, is you don't want to go into a location where the mall operate. Operator is like a Slumdog real estate mall operator. So you want to avoid that at all cost. And even though you have a separate entrance, leading into your building, the fact that you're going into a mall, where they are basically treating the property as if it was a warehouse, so to speak, not the way the Simon properties do not the way Washington prime group does. Not not the way you know, some of these, you know, other large mall operators run in this type of environment, I would avoid at all costs. So So you know, there are there are certain certain players out there, and I'm not gonna mention names. But there are certain players out there that have been buying distressed moles. And if you happen to buy a piece of property that's attached to that distress mold, the way they run their operations really is it's unfortunate, because when you're attached to what I would call almost a bad neighborhood, if I'm referencing that, no matter how nice your house is, you're still in a bad neighborhood. So that's what I would avoid at all cost.
Today, my guest is Joseph Woodbury. Joseph is the founder and CEO of Neighbor.com marketplace, disrupting the 500 billion self storage industry. And in just a minute, we're going to speak with Joseph about how neighbor.com is disrupting the Self Storage business.
J Darrin Gross
I'd like to ask you, Joseph Woodbury, what is the BIGGEST RISK?
Yeah, isn't an easy answer. For me. Ironically, I think most people's largest risk is is is in their industry or in their business itself. And, and I certainly think of risks there. But we've kind of talked about the storage industry, it's it's very robust, it's not going anywhere. It doesn't respond to recessions. You know, during the oh eight recession, when most real estate asset classes contracted by 60%, storage grew by 5%. So it's very, like, counter cyclical and recession proof. And so actually, I identify our biggest risk as a company is, is we're influenced not just by the storage industry, but because we're a software technology company, we're influenced by the venture capital industry. And if you look at other large marketplaces that have gone before us, they've raised a lot of capital to get to where they are. Airbnb is a $80 billion company, they just joined the s&p 500. So they are, you know, one of the most important companies in the United States of America. But they raised about $10 billion in capital to get there. You know, Uber raised north of $15 billion, and capital Instacart and DoorDash have both raised I want to say six or seven or $8 billion in capital. So most major marketplaces raised large amounts of capital today, you know, we operate in every city in all 50 states, we've raised a measly, you know, $65 million in capital. So I often ask myself the question, you know, will we be able to raise, you know, those those billions of dollars in capital, like marketplaces that have gone before us to reach the potential that they have, they have reached as mainstay brands in the United States. I think that's, that's the biggest risk. You know, when I, as the CEO, sit down and think it's not the storage piece. Renters love us hosts love us host earning money. renters are saving money, they keep growing, they keep transacting, they keep coming to the platform. It's, it's, you know, we're dependent on this venture capital industry. And it goes through different cycles. It's in a pretty bear cycle right now. And that'll continue to happen and it'll keep going through bear and bull cycles. But will that affect us, you know, years down the road? You know, what we go through some bear cycle that forces us to use other means of funding and that sort of thing?
Today, my guest is Grant Pruitt. Grant is the co founder and president and Managing Director of White Box Real Estate LLC. Grand Lodge the firm has a tenant focused real estate advisory investment sales and development firms to specialize in offering a custom tailored approach. And in just a minute we're going to speak with Grant about the commercial industrial real estate of the market in Dallas, Fort Worth, Texas.
J Darrin Gross
I'd like to ask you Grant Pruitt, what is the BIGGEST RISK?
Sure, I'll give you the micro first and I'll give you the macro. So from a micro standpoint, with primarily offices in the state of Texas, the biggest risk is the the perceived safety of the cities. As long as the cities in the state of Texas are perceived as relatively safe, we'll continue to see that inbound migration, the schools have always been an issue. And people always talk about schools. But the minute people don't feel safe, that's when you see a flight to other parts of the country where they do perceive that safety. That's the map the micro, from a macro standpoint, it's probably going to be the same concern tomorrow, and next year, 10 years from now, 20 years from now, it's always the lending facilities for me, because I'm in commercial real estate and always quiz people and say, who owns all the real estate in the United States, because the United States is different than some other parts of Europe and so forth. The banks, the banks own the real estate, because they have loans on most of the real estate that's out there. And when we have hiccups in the lending facilities, that's where we have real trouble. We saw it in, you know, the 1980s 2008. Anytime that banks fail, anytime we see issues with lending, potentially alternative vehicles that that create more risk? That is a huge concern.
Today my guests are Joe Moye and Dan Grosswald. Joe is the CEO and leads Beeps efforts in the safe testing of electric autonomous vehicles to serve the needs of public and private communities. And Dan Grosswald is the president of Mattamy Homes, and he oversees homebuilding and Land Acquisition Operations in southeast Florida. And in just a minute, we're going to speak with Joe Moye and Dan Grosswald about how Mattamy is creating a blueprint of communities of the futures with Beeps autonomous shuttle network woven into their tradition community in Port Lucie, Port St. Lucie, providing equal access to mobility, easy access for shopping, groceries, and more.
J Darrin Gross
I'd like to ask you, Joe Moye and Dan Grosswald, what is the BIGGEST RISK?
Yeah, I'd be happy to start with that. I think, you know, the the autonomous technology mobility area has done, it's probably done itself a little bit of a disservice of all the lofty expectations of these George Jetson scenarios of vehicles zipping all around our roadways in autonomous mode. And, and I don't think it's because anybody was derelict in their visions, I think it was just the reality that this is a walk before you run technology. You know, one of the things that we've hit on here that's so important, is starting with planned route, controlled speed environments, where you're able to mitigate a lot of the complex interactions, one would typically have one, you know, much more sophisticated or much larger routes for the traveling of a vehicle. You know, it is the technology is getting better and better every day, as you and I talked about before the call even applications, beyond moving people, you know, if you're moving boxes, or luggage or anything else, same type of technology that's being advanced to perceive an environment and be able to navigate a course. And so, you know, I think, I think it's important as an industry, that we, you know, evolve this together in these more controlled environments and not set false expectations of these vehicles will be able to go anywhere, anytime, any speed tomorrow. And I think from a risk perspective, you know, that dramatically reduces, you know, the chance that, you know, something would happen, but, but I'd also say, you know, at the end of the day, and you probably know these statistics better than I but you know, 43,000 people perished on us roadways. Last year alone, you know, incredible tragedy, the property damage associated with that, you know, the quality of life damage associated with that 94% of that caused by human error distraction impairment, these vehicles respond in a scenario three times faster than a human can identifying something and actuating a break, and they're never distracted, right, they're not staring at an iPhone, they're not going into the town center for a couple of drinks and getting behind the wheel. And that's, you know, that can't be lost in this, this is about, you know, saving lives and reducing risk as it relates to one of the biggest threats, you know, in our country today. So, So anyhow, that would be my my soapbox speech on that topic.
We'd look at it from three perspectives. You know, first, the biggest, the biggest risk, really, from our perspective is human failure, the vehicle itself and the technology itself is, is very good. And as Joe pointed out, is better than a human being in terms of its safety factor. Really, what happens is either for packing a human acting from the outside of the system, you know, crashing into it, or taking advantage of the vehicle is a risk, not the vehicle or the system, or when it's not an autonomous mode, it's actually riskier than when it is in autonomous mode, sometimes the vehicle has to be manually moved. So the risk factor increases slightly, they're over when it's in autonomous mode. But the other the other two things. So we decided purposefully to create the dedicated path for the reasons that Joe mentioned earlier. So that helps us minimize the risk that it's not interacting on an open road or parking lot system as much as otherwise would be if we didn't have the trails. So and we did that for a reason. And finally, we've decided to have the CDD operated, so from a developer point of view, having to do CDD own and operate the vehicles gives us, you know, some sovereign immunity from what we would otherwise be exposed to as a corporation. So that's kind of how we viewed the risk and how we've tried to mitigate or transferred as you mentioned earlier,
Today, my guest is Owen Barrett. Owen founded Rayven to decarbonize existing buildings at scale. Rayven has the world's first net zero real estate investment platform, every property they buy is converted to true net zero, no offsets involved by partnering with 1000s of authentic retail impact investors. Owen, Rayven, Owen and Rayven, and every single investor will decarbonize the world, one apartment building at a time. And in just a minute, we're going to speak with Owen Barrett about impact investing, you can invest and help lower the carbon footprint of commercial real estate.