Is your company adrift – do you need help planning your growth?
Dolores was the owner of a Texas based commercial real estate sales and management company.
Her father had started the company, and she had taken over when her father did not want to grow the business anymore, he was in his 60’s. She was in her mid-30’s full of energy and vigor.
They had ten employees, three real estate brokers and a couple of property managers as well as their own accounting staff and some property inspectors. The company was profitable, but Dolores struggled in three areas:
She had trouble recruiting more business, it seems that investors thought her company was too small to manage their properties. She seemed to be limited to Ma and Pa investors as clients.
She had trouble attracting new experienced staff to help her grow
She was unable to recruit high powered brokers. Most commercial brokers wanted to work for big name firms
She needed new ideas, especially since she knew that her business was shrinking 5% a year due to client property sales of commercial real estate. Her father had been a business dynamo, taking clients to golf, ball games and events and basically keeping them interested in his company. Not only that, but he was also a good manager and was able to deliver good investment returns for his clients.
Dolores was not shy, but she did not have the experience to recruit new business. What was she going to do?
She ended up hiring a consultant who helped her plan and focus on her growth. She took the following steps:
She rehired her father to mentor her and help her grow the company
She focused on professionalizing her property mangement operation
She spun off her brokerage operations into a separate company that she co-owned with a commercial broker who had the time and the experience to grow the brokerage side of the business. She had the option to buy him out at some time in the future.
These steps worked well for her business because she was able to focus on just growing the property mangement side of the business. It grew 10 – 15% a year and their ownership profile changed to include syndicators and professional investors. They were able to transition from small properties to larger properties and increase their return on investment.
We can help you plan your future just like we did for Dolores.
Email or call us today. CliffHockley@Outlook.com, or 503-267-1909
This is a fictional story as an example, for educational, brainstorming purposes.
Clifford A. Hockley is Principal Broker at SVN | Bluestone, as well as the managing member of Cliff Hockley Real Estate Consulting, LLC. As a Certified Property Manager & Designated Managing Broker, Cliff has 41 years of experience in the brokerage and management of Real Estate companies. Bluestone and Hockley Real Estate Services manages condominium associations, multi-family, and commercial properties in the greater Portland area. He was focused on running the company and involved with investment property brokerage. He worked with financial institutions, governmental agencies, private investors, and not for profit organizations. He also has vast knowledge in budgeting, organizational management, and building structures. His previous experience includes over five years in accounting, production supervision for a manufacturing company, and work for state agencies in California.
Cliff grew Bluestone and Hockley Real Estate Services into a 100 employee company that managed over 2 billion dollars of real estate assets before he sold the company in 2021. He also supervised a sales team of over 15 real estate brokers for over 35 years. His monthly newsletter, QuickFacts has over 2,300 subscribers. He has been involved in numerous real estate transactions that include industrial, retail, office, and multifamily properties. Cliff has also written a book called “Successful Real Estate Investing; Invest Wisely, Avoid Costly Mistakes and Make Money” published by Morgan James Publishing in 2019.
Cliff has successfully coached real estate investors and CEOs located throughout the United States since 2015. He has acted as a sounding board to help untangle knotty issues that need an experienced outside opinion. He guides leaders who find it is “lonely at the top” and need an experienced hand to help set a strategic direction, sort out operational problems and want to talk through challenging business decisions.
He has served as an adjunct professor at Portland State University from 2028 – 2021, teaching classes in: Intro to Real Estate, Basic Real Estate Finance, Property Management as well as Real Estate Investment Fundamentals. He has instructed hundreds of students and believes that substantial preparation and active student engagement are crucial for learning and appreciating the field of real estate. Students appreciate his candor and real-world experience.
Among his many civic activities, Cliff served on the Board of Directors for the Portland Chapter of the Institute of Real Estate Management (IREM) and the Rental Housing Alliance of Oregon. In 2014 he was recognized by IREM as board member of the year, and in 2015 he earned an achievement award in brokerage from SVN International. In the years 2000 & 2003, he was recognized by IREM as Certified Property Manager of the Year.
