TLP23: Investing in People with Omar Khan
Competence and ethics are the two most important things that Omar looks for in syndicators and operators. He stresses in this episode that when you put your money in a deal, you are also investing in people. So, when you’re analyzing a deal, don’t focus too much on the quantitative aspect – whether it’s 15% or 15.5% IRR. Focus on the people you will be working with. Screen them religiously and look at their trench experience.
You don’t need to be an expert in every part of the deal before you can start to invest. Just look for the right people – operators and syndicators that are really good at what they do. As Omar puts it, you may have a sub-optimal deal in an average market, but with a fantastic operator, you’ll be fine. Or, you may have a phenomenal market and great asset but if you’re working with an incompetent team, you will really have a bad time. Investing in people is the key!
Key Points from This Episode:
- Omar is the principal at Boardwalk Wealth.
- Boardwalk focuses on acquisitions and developments.
- The multifamily space has gotten flooded since Covid hit.
- Many people are starting to get outside of multifamily which has been their bread and butter.
- Two things that limited partners should be looking for before getting into deals: competence and ethics.
- You don’t need to be an expert at every single nuance of how a deal is put together. Just look for experienced operators or syndicators.
- Focus on developing wide relationships.
- Ninety-nine percent of the time, Omar goes by referrals within his own network.
- Reach out to your network and look for advice.
- Your network is the best way to find the right people who you can work with long term.
- Whenever you’re trying to do something, find a way to tell everybody what you’re doing.
- You don’t need to be asking, just be telling people.
- The syndicator or operator should be able to explain the deal to you in clear, plain language.
- Look for consistency in their strategy.
Tweetables:
“All roads lead to who you are investing with." [00:08:47]
“Focus a lot on the people. And a lot of times what your gut even tells you.” [00:09:05]
“Consistency, I feel is very important in pretty much all areas of life. I think like relationships, health, business investing, consistency is everything.” [00:19:53]
Links Mentioned
About Omar Khan
Omar is the principal at Boardwalk Wealth. He is responsible for capital raising, strategic planning, and investor relations. He has over 10 years of global investment experience.
He has participated in capital financing and M&A transactions valued at $3.7 billion. He is a CFA Charter holder and graduated with honors from the University of Toronto with a B.Com in Finance.
Omar moved from Canada and lives in Oklahoma with his wife and sons.
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