Multifamily Podcast Network

In today’s episode, we introduce John Batey III, Managing Partner at Blue Oak Capital, as the co-host on the show. John started his investing career in 2015 when he began investing in real estate REIT’s before discovering private direct real estate and apartment syndication. Since then, John has invested in over 1500 units as a passive investor (limited partner) and is now looking to become an active investor.

 

We discuss the power of real estate investing and why investors should consider adding real estate investing to their portfolio. There is a surprising number of investors or people in general who do not know about private direct real estate or syndication. We at Blue Oak Capital feel an obligation to share this amazing investment strategy with the general public. There are investing options for the passive investor who may not have time to handle the active side of structuring a deal and there are investment options for those who are looking to learn more about how to structure a deal. 

 

We spend some time discussing the current economic impact of COVID-19 and the future forecasts. Unfortunately, a pre-existing oil price war was in place between certain European countries prior to COVID-19. The oil price war coupled with the current pandemic is creating a significant economic cascade of unfortunate events such as loss of employment, loss of consumer services, and ultimately a contraction in the global GDP. 

 

John shares certain resources that we can use to monitor economic trends and metrics and credit market activity to keep our finger on the pulse. When large companies start pulling large line of credits, it usually ilicits a response from the federal government to be on the lookout for certain economic patterns. One resource you may find helpful is www.koyfin.com/corp to monitor daily credit spreads and trends. 

 

Typically, within an economic recovery, credit markets improve, equity markets improve, and then usually employment starts to be in demand again. Unfortunately, we are just at the start of the economic downturn as a result from COVID-19. 

 

To prepare for the downturn, as investors, we should be focused on being sympathetic to people and their situations, building relationships with investors and professionals, and get educated on the government assistance programs that are available to assist small business owners and tenants. It may be better served to observe and watch the market trends for the next several months prior to investing.

 

To learn more about John and Blue Oak Capital, visit www.blueoakinvests.com or email John at [email protected].

 

Tune in next time!

 

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