Embed Size (px)
DESCRIPTION
Learn why sustainable real estate has become such a popular choice for individual and institutional investors. See what's driving the market and learn how you can leverage this opportunity in your business.
Citation preview
3,095,313
Today:
The Vision The Landscape
The Plan (and a few ugly slides)
Tree-hugging Capitalist
What do we all want?
Maslow's Hierarchy of
Needs:
Mine:
Love Health Sex
Wealth Safety Friends
2 Wins...
My reasons...
What if?
Be part of history
‘Sustainable’ RE Investing:
Profitable 2. Cookie-Cutter 3. SIMPLE
Green Real Estate:
Healthier
Lower utility bills
High-
performance
Investors
Community
Residents
Workforce Housing Industry
Planet
Competitors
Green Vendors
Impacts
Current
Investment landscape:
Stocks Bonds Mutual Funds
Cash Start-ups Real Estate
Stocks Bonds Mutual Funds
Cash Start-ups Real Estate
Current
Real Estate landscape:
REO’s Short Sales
Prices Down
Little Variety
1% Green
REO’s Short Sales
Prices Down
Little Variety
1% Green
Current ‘Green’
landscape:
Wind Solar Real Estate
Everything else
Wind Solar Real Estate
Everything else
What drives the Green Real Estate market?
Investors Buyers/Tenants High
returns Safe
havens Low cost
Safety Lower bills
Healthy living
What do
Home Buyers Want?
According to a ZIP Realty survey:
•89% of homebuyers rated energy efficiency the most important feature in a home.
•55% of all home shoppers now cite green home features as an important part of their purchasing decision.
•Less than 1% of homes on the market include “energy efficiency” in their description.
According to an Apartments.com survey:
60% of prospective renters search for properties that offer environmentally-friendly amenities.
17% of renters said they would not rent an apartment without environmentally friendly amenities.
57% of renters said their apartment community does not currently provide environmentally friendly amenities.
Where is the competition?
Old ‘green’ myths: Expensive
Complicated
Now
Click, click, click
Green is: • High Performance
• Available
• Inexpensive
•Worthy
Green buildings: • Energy efficiency
• Water efficiency
• Resource conservation
• Indoor environmental quality
Two Best Options:
Houses Apartment Buildings
123 Happy Street
“Green me, please”
Houses
Middle-Class neighborhoods Climate with high
utility use Lots of rebates
Built before 1990 Zero ‘green’
interest/knowledge City Mayor who ‘gets it’
Apartments
Lots of landscape
Master-metered
No competition
Family renters
Old systems/equipment
Open envelop
InvestmentStructure
Solo Partners Funds
Passive Money
Leverage the
Green RE Opportunity:
Vendor Tree-Hugger
Investor
Vendor
Network Value Prop
Start With Why
Green Projects
Avoid “green” labels
Success Not
Perfection
Capitalist Tree-Huggers
Go ‘Outside’ Connect Sweat
equity
Find Investors
Find Deals
Investor Profile
Then...
Now...
Investor
Goals ROI Risk
Tolerance
Plant Corn or Trees
Our Match Making
Game...
Incentives
40 Free Trees, Insulation, windows, Roof, water heater, appliances, washer, dryer, etc.
What money is available?
• Rebates
• Tax Credits
• Incentives
• Grant money
Where is it? • City
• County
• State
• Federal
• NGO’s
Rebate examples:
Text
DSIREUSA.ORG
GRANTS.GOV
ENERGYSTAR.GOV
Energy Efficiency Loan Programs
Green Marketing
Buy on emotion, justify with logic
Don’t be this guy...
“Sell NEEDS, not Wants”
Want Need
Trip to Hawaii Groceries
Bentley Car
Mansion Shelter
Want Need
Bamboo floors No toxins
Cool looking lights Lower utility bills
Luxury Safety
Save money Live safely
What buyers/renters need:
Sell Planet first = you lose
Sell Savings/heath first = you win
Environmental benefit is a BY-PRODUCT
Make Marketing Automatic
(and ubiquitous)
‘Green’ Sale Sign
Wall Signs
‘Green’ flyers
Results:
Sold for $5000 more, 61 days faster than market
Leverage Existing Data
(Warning: ugly slide coming up...)
Five Next
Actions
Path
Where are you going?
Plug in
“Who loves you, baby?
Goals
3 Big Goals.
7 words or less.
Clear Cut.
Carry in wallet.
Reverse Engineer
“I choose to________”
“Success is________”
“I choose to become a green RE investor ”
“Success is a $500K annual income”
“The first thing I must do is__________”
“To make $500K I need to close 10 deals
at a profit of $50k each ”
Mastery
Kaizen.
Empower your team.
Train.
Teach.
“Fortune Favors the Brave”
Q & A Jim Simcoe
JimSimcoe.com
760-271-7128
