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The Ten Roads to Riches: The Ways the Wealthy Got There (And How You Can Too!)
book

The Ten Roads to Riches: The Ways the Wealthy Got There (And How You Can Too!)

by Ken Fisher, Lara W. Hoffmans
November 2009
Beginner to intermediate content levelBeginner to intermediate
256 pages
10h 55m
English
Wiley
Content preview from The Ten Roads to Riches: The Ways the Wealthy Got There (And How You Can Too!)
Trumping the Land Barons 1163
ahead for having tolerated me. Further, I required no inspections.
Sherri figured the institutional lenders on the $25 million note five
years earlier had almost certainly done every inspection known
to man. And to her nose, nothing had changed. I also promised to
close any time they wanted .
Having offered dream terms, we got to round two.
Here
I kept
everything identical but notched my price to $15 million , just over
that $14 million number. I don't know what
other
s bid, but we won.
Note
in hand, Sherri threatened to foreclose on the building
owners, something few note-holders
do-way
too messy. Because
Sherri does messy for breakfast, usually washed down with nails and
bolts, the owners instead gave her the deed in lieu of foreclosure.
Financial note buyers don't like owning bui
ldings-they
just
want a good return on their note .
They
can't manage buildings or
fill them with tenants. We could .
That
was
our
monetizing advan-
tage. Sherri spent almost $3 million improving the inside and mov-
ing our people
in-all
in all, an $18 million investment.
With
leases
between my firm as tenant and me as owner, I now received cash
flow on a full building. Sherri turned around and got Goldman
Sachs to lend us $25 million based on the leases. Sherri pulled
$7 million net from the
transaction-39
percent over her $18 million.
That'
s a land baron's game. You can't do that unless you have cash
and tenants. ...
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Publisher Resources

ISBN: 9780470481554Purchase book