Three kinds of commercial property and how to make money with them, a talk by Christopher Linkas

Compound interest in real estate, sketching the possibilities with Christopher Linkas

Christopher Linkas has had a long career in the investment field. He graduated from Bowdoin College in the year 1991. As soon as he graduated, he was thrust into the savings and loan crisis of the 80s and 90s. Despite the scarce job opportunities at the time, Christopher Linkas was able to secure a job in the valuation of collateral from several repackaged loans. His wealth of knowledge and experience in this field is essential to understand compound interest in real estate.


Compound interest is interest earned on the capital that is reinvested when a business puts back yield versus paying out earnings. Amounts are more significant in commercial real estate and the effects even more profound. While the hunt for compounded returns is an investment technique deployed by stock pickers, it is a valuable insight worthy of imitation. For us, effecting change will be an immediate demand with multiple massive, physical deployments. Renovations will require specialized tools, trained and licensed artisans, materials and supplies procurement, installation permits.


All this to be done by the investor cum property operator who must conceive a strategy, a plan for a place, outlet or station. A property of this kind can also be called an opportunistic property. Commercial retail is broad and requires passion expressed through unique, niche offerings. This requires excellent spirit, and reform and improvements are even harder.


Here are a few of the ideas that were covered, a new operator considers to rework a property, a corner store into a coffee house or fast food joint, what of a warehouse converted into compartment based holding units to stash different materials under separate and unique conditions.


So, how do you seek, replicate and compound interest in real estate? By being creative and coming up with clear-cut goals. That is an excellent place to start before commencing a project.