Real Estate Development Strategy in a Changing Market and Avoiding “the Dumb Tax,” with Chris Coleman of Wingspan Development Group

Vice President of Development for Wingspan Development Group Chris Coleman says that the privately owned real estate company is more of a “developer with a general contractor in-house,” than a traditional developer.  That vertical integration gives Wingspan a differentiator in the market.  Currently focused on multifamily and mixed-use developments in Northern Illinois, Southeastern Wisconsin and Central Florida, Wingspan is now seeking to expand into the Greater Phoenix, Greater Denver, and Greater Atlanta markets.

On this episode of Real Estate for Breakfast, host Phil Coover and Chris Coleman discuss Wingspan’s real estate development strategy, how the company differs from other developers, and some of the group’s most successful projects. Additionally, they discuss how Wingspan is navigating the current real estate climate and how Chris and other company leaders chose which new markets to target. Chris explains that the Phoenix, Denver, and Atlanta markets are all areas that he himself or the group’s Director of Development, Jason Macklin, are personally familiar with, and that is what gives Wingspan comfort in moving forward in those regions. Chris refers to this concept as the group’s way of avoiding “the dumb tax,” or losing money by naively developing in areas that the local operators have passed over due to local knowledge of a development challenge.

Chris also discusses the group’s formation, and how it grew out of its sister company, Nicholas & Associates. As a family-owned business, Chris points out that Wingspan can be selective about its deals, and that patience can sometimes give it an advantage over traditional development companies. Overall, Chris says, Wingspan’s number one priority is to protect the family and execute good projects.

As Wingspan’s Vice President of Development, Chris is responsible for all of the company’s lines of business, including development oversight, fostering new debt and equity relationships, and implementing Wingspan’s overall strategic plan. 

Prior to joining Wingspan, Coleman served as Chicago Division President for William Ryan Homes, Inc. Chris first began his career in real estate in 1988 as a market analyst with The Zale Group.

After spending time in Florida and Georgia, Coleman returned to Chicago in 1997 to launch his own firm specializing in in-fill redevelopment. He joined Wingspan Development Group in 2017.

Learn more about Wingspan Development Group here: https://www.wingspandev.com/.

Environmental Mitigation and Ecological Offset Markets with Mark Bernstein of Magnolia Land Partners

Magnolia aims to balance the needs of economic development with the important task of preserving our world's most valuable natural resources.  On this episode of Real Estate for Breakfast, host Phil Coover talks environmental mitigation (that is mitigation with an “M”, not an “L”), and the creation of ecological offset markets, with Mark Bernstein of Magnolia Land Partners. The two discuss Magnolia Partners’ distinctive business model, which includes creating mitigation banks to help businesses navigate complex permitting challenges, while working with landowners to restore environmentally protected areas such as wetlands. The company receives credits for each restoration project, which it then trades with companies that need to comply with environmental regulations.

The podcast also covers the economic incentives for participating in these types of restoration programs, and how available programs create economic markets which revolve around mitigation. Mark explains that Magnolia covers 100 percent of the costs associated with restoration and landowners are simply required to maintain the land and comply with the terms of the conservation easement. He also points out that this opportunity allows a proprietor to retain ownership of their land.  This company is a fascinating case study in land preservation, while creating tax incentives, other economic incentives, and even profits, while being environmental stewards.

Phil also asks Mark about the challenges of environmental mitigation work, his favorite projects, and the company’s plans to increase their ability to preserve land. As a co-founder of Magnolia Land Partners, Mark and his team have already secured 10,000 acres under conservation in fourteen active states, and are pioneering a new era in environmental stewardship.

Prior to founding Magnolia Land Partners, Mark led the analyst team and guided new market development at one of the largest mitigation banking companies in the US. During that time, he was published in the Journal of Environmental Geosciences for contributing to the development of a new condition assessment protocol employed in wetland and stream mitigation throughout the state of Pennsylvania. Mark holds a Bachelor of Arts (cum laude with departmental honors) in Environmental Science and Economics from Northwestern University and is a member of the inaugural class of Venture For America.

 For more information about Magnolia Land Partners, visit https://mitigation.org/.

Decades of Chicago Development with Mike Drew of Structured Development

In this episode of Real Estate for Breakfast, host Phil Coover is joined by Mike Drew, a founding principal of Structured Development, a Chicago-based real estate company. Phil and Mike discuss the history of Structured Development, including the company’s recent shift toward developing projects in up-and-coming areas of Chicago. Specifically, they discuss Structured Development’s Big Deahl project, a residential and mixed use building at the corner of Dayton and Blackhawk Streets in Chicago’s Clybourn Corridor.

They also discuss Chicago’s Affordable Requirements Ordinance (ARO) and the requirements for affordable housing in the city. Mike explains how the ARO works, its’ challenges and pitfalls, and how Structured Development has approached meeting the city’s ARO requirements with its Big Deahl project.

As you may suspect, Mike has extensive war stories from his remarkable career building Chicago. Mike regales us with the tales of the great Chicago flood in the 90s, his team’s near-death proximity to the calamity, and overwhelming aftermath of that situation.

As a founding principal of Structured Development, LLC, Mike has been engaged in the real estate development and construction management business for nearly 40 years. He has extensive experience in all phases of the construction process, especially scheduling labor forces and subcontractors and comparatively purchasing material and equipment. Some of the notable projects he has completed include the City Hall Lobby and Entrance Renovations, Marshall Field and State of Illinois Pedways, Clark Lake and Roosevelt Subway Stations, McCormick Place Expansion, and numerous utility tunnel installations. He was an active participant in the conversion and renovation of obsolete loft buildings to commercial and residential reuse throughout the city, including Riverworks on Goose Island, Lincoln Lofts in Lakeview, 1415 Dayton and 1333 Kingsbury in the Halsted Triangle. During his tenure as a principal of Structured Development, the firm completed over 2,000,000 square feet of product including Lincoln Park Center, Blackhawk on Halsted, Kingsbury Center, and Kendall College at Riverworks.

Mike has represented the Builders Association of Greater Chicago on the City’s Minority Relations Committee, has served on the recent Land Use Task Force Committee, and is a member of the International Council of Shopping Centers, Urban Land Institute, and Lambda Alpha International. He is a 20-year member of World Presidents Organization, and a past President of Olympia Fields Country Club. He has also served on the Advisory Board for the Marshall Bennett Institute of Real Estate at Roosevelt University for over a decade.

Creating a Positive and Growth Minded Company Culture with Nicole White – CLO of Avison Young

In this episode of Real Estate for Breakfast, host Phil Coover is joined by his colleague and guest co-host LaTonya Ellis, and his former law school classmate, Nicole White, the newly appointed Chief Legal Officer and Corporate Secretary at Avison Young.  Avison Young is a full service global real estate company. Nicole and Phil briefly reminisce about their time as law students at DePaul University, but quickly jump into a conversation about Nicole’s new role as Chief Legal Officer and Corporate Secretary at Avison Young: what it entails, her career trajectory and how the company has grown so fast in such a short amount of time, and challenges for growth and culture in a post pandemic world.

During the episode, LaTonya shares that she too will be taking on a new position as Ice Miller’s Director of Legal Operations and Knowledge Management. She and Nicole acknowledge that there is a degree of uncertainty that accompanies taking on a new role, but they both admit that they are more excited for the chance to leverage their talents in new and different ways.

As their conversation continues, Phil, LaTonya and Nicole discuss the importance of workplace culture and how employees’ priorities have shifted during the pandemic. In particular, they agree that strategic growth and a healthy, flexible workplace culture can help retain employees and sustain revenue.

As Chief Legal Officer and Corporate Secretary of Avison Young, Nicole promotes the firm’s corporate culture of trust and integrity through strategic growth initiatives and the overall management of the firm’s global legal affairs. She provides the senior leadership team and Board of Directors with legal guidance to achieve Avison Young’s objectives, including leveraging multidimensional data, technology and consultative solutions that enable clients to achieve their unique and rapidly transforming goals. In addition, Nicole handles complex business matters, mitigates risk and protects the firm’s competitive advantage. She also sits on the firm’s Executive Committee.

Prior to joining Avison Young, Nicole was an attorney for the Allstate Corporation. She earned her juris doctor from DePaul University College of Law and received her undergraduate degree in psychology from the University of Michigan in Ann Arbor.

Metaverse Real Estate with Colin Laitner of Metis Capital

In this episode of Real Estate for Breakfast, host Phil Coover is joined by his good friend, Colin Laitner, principal of Metis Capital, and General Counsel of Deeter Investments, based in Austin, Texas. During an engaging discussion, Phil and Colin examine the topic of Metaverse real estate – what it is, how it works and its extrinsic value.

Recently, Metaverse real estate has been a hot topic in the news. With a supposed gold rush for Metaverse real estate happening, some early adopters have already invested millions of U.S. dollars in virtual property on platforms such as Axium Infinity, Sandbox and Decentral Land. Phil and Colin discuss these trends, draw parallels between Metaverse real estate and NFTs or “non-fungible tokens,” the relationship of crypto-currency to Metaverse real estate, and assess the potential value of Metaverse property. They also point out the similarities as well as the differences between Metaverse real estate and traditional real estate, and how concepts such as scarcity and human attention can actually drive value.

As an attorney and real estate developer, Colin is knowledgeable about emerging financing methods like blockchain, and he regularly advises clients who are on the cutting edges of new transactional technologies. Colin leverages his extensive background in real estate and tax law to explain how transactions are completed in the Metaverse and how each transaction, including real estate, is taxed.

Colin serves as general counsel and principal of Metis Capital, a commercial real estate development company based in Austin, Texas. Colin’s diverse array of transactional, legal and developmental experience includes sales, mergers and acquisitions, ground-up project development, and ongoing operational roles. Colin has personally overseen over $100 million in transactions for Metis Capital’s parent company, Deeter Investments LLP, and has been responsible for post-closing investor oversight, compliance, tax reporting and financing.

Colin’s development experience covers all project stages including the initial inception of concept; the feasibility, transactional, legal and planning stages; all build phases from ground up to finish out; the sales and lease processes; and closing. Currently, he is overseeing Metis’ “Sheldon Cove” project in North-Central Austin, which will soon host the largest climbing gym in Texas. He also maintains a legal practice and is licensed in real estate by the Texas Real Estate Commission.

Multifamily Real Estate, Equity Investment and the “Karma Economy” with Nick Earls and Eric DiNicola of Winterspring Capital

In this episode of Real Estate for Breakfast, host Phil Coover and co-host Jay Augustyn are joined by Nick Earls and Eric DiNicola, co-founders of Winterspring Capital. Phil and Jay sit down with Nick and Eric to discuss the pair’s 20-year friendship and how they successfully developed a business and brand from their first real estate project, which included the renovation and sale of three condominium units in Boston.

The Winterspring story is interesting in seeing how two friends can create a real estate development company, without deep pocket backers, by taking one step at a time, by building skills, by stepping out of their comfort zone and focusing on marketing, and by measuring each decision and learning lessons as they build for the future.  Specifically, the group examines the pros and cons of funding projects with equity investments in lieu of debt; the company’s marketing strategy and plans for future growth including writing books and articles for public consumption; the concept of the “karma economy”; and Winterspring’s foray into Boston’s affordable housing market.

As co-founder and managing principal of Winterspring Capital, Nick Earls has over a decade of experience in all phases of commercial real estate, including asset management, sales, new construction development and property management.

While building his own portfolio, he has also guided many investors down the path of multifamily investment, management or development. He is an expert on multifamily condominium development, underwriting, and asset management in the multifamily space and is also the author of the top-rated book, “Making Millions through Multi-Family Development.”

Eric DiNicola is also a co-founder and managing principal of Winterspring Capital. His strong financial background spans over a decade. Eric began working in public equity in 2010 and moved into the private equity markets where he worked on valuations and capital raising.

Joining forces with Nick in 2015, Eric leveraged his investment experience and expertise to accelerate the growth of Winterspring's real estate business. Heading up the company’s acquisitions team, Eric leans on his extensive broker network to keep Winterspring's deal pipeline full.

For more information, visit: https://winterspringcapital.com/  

Debt Financing and Life Companies with Mark Perkowski of Draper and Kramer, Incorporated

In this episode of Real Estate for Breakfast, host Phil Coover and his co-host Jay Augustyn are joined by Mark Perkowski, a Vice President in Draper and Kramer, Incorporated’s Commercial Finance Group.

On the podcast, Phil and Mark discuss the process of debt placement and financing for all types of commercial real estate deals. In particular, they examine a particular type of financing from life insurance companies, and what those types of lenders look for in terms of deals.  From there, they discuss the difference between lending sources, from life companies, to traditional banking, to CMBS loans, and current market trends stemming from COVID-19 fallout. Mark highlights the importance of relationships– both his own personal relationships and those cultivated throughout Draper and Kramer, Incorporated’s over 125-year history – in finding the best deals for his borrower and lender clients.

During his time at Draper and Kramer, Incorporated, Mark has closed $600 million in loans across all major property types, including hotels and data centers. He specializes in placing loans with life companies and structuring complicated transactions.

Hailing from western New York, Mark began his commercial real estate career in 2004 helping retailers use market data and analytical tools to identify the most profitable locations. He then served as a consultant to banks, advising them on the quality of their commercial real estate loans, prior to transitioning to commercial mortgage banking in 2011 when he relocated to Chicago. He holds a B.S. in business administration and finance from St. John Fisher College in Rochester, New York.  

Since 1893, Draper and Kramer, Incorporated, has sourced commercial real estate debt and equity used to acquire, develop, renovate, refinance and recapitalize assets across property sectors and markets throughout the U.S. Today, through its Commercial Finance Group, the company continues that tradition with innovative financing solutions at all levels of the capital stack that are offered to third-party clients and used by Draper and Kramer for its own investments.

For more information, please visit https://draperandkramer.com/

1031 Exchanges, Conservationism, DSTs, and More with Dan Wagner of Inland Real Estate Group of Companies, Inc.

In this episode of Real Estate for Breakfast, host Phil Coover is joined by Dan Wagner, senior vice president of government relations at The Inland Real Estate Group of Companies, Inc. (Inland). During the episode, Phil and Dan discuss the history of Inland, the numerous benefits of 1031 like kind exchange, and Delaware Statutory Trusts.

The Inland Real Estate Group of Companies, one of the nation’s largest commercial real estate and finance groups, was founded over 50 years ago by four Chicago public school teachers. Dan gives Phil an overview of the firm’s modest beginnings, from its initial founding to its transformation into one of the largest residential real estate company in Chicago, and then pivots to big box retail, among other investments. Dan explains that due to tax law changes in the 1980s, Inland’s four founders saved their investors from potential ruin by calling upon the Treasury to create Delaware Statutory Trust. Phil and Dan further discuss the intricacies and myriad benefits of the 1031 like kind exchange, the “401K of real estate,” and how these transactions can be used to make a positive impact on the economy.

As Vice President of Government Relations at Inland, Dan keeps the company’s leadership up to date on regulatory and legislative issues. He regularly interfaces with government leaders and associations on behalf of the company to ensure that important policies are implemented and upheld. Dan also serves on the Board of Trustees for the Conservation Foundation, a not-for-profit organization dedicated to preserving and restoring the natural environment in northeastern Illinois.

The Inland Real Estate of Companies manages millions of square feet of commercial property in 49 states. As a business incubator, Inland supports its member companies that provide commercial real estate-related services and alternative investment funds, including limited partnerships, institutional funds and non-listed and listed REITs, and investment advice.

Daniel Wagner is senior vice president of government relations for The Inland Real Estate Group of Companies, Inc.  He has been a licensed real estate broker since 2004 and holds Series 7 and 63 security licenses. 

Wagner serves on numerous real estate industry, and governmental boards and committees. He served as Treasurer and President Elect of the ILLINOIS REALTORS®, President of the CHICAGO ASSOCIATION OF REALTORS® in 2016 and was the 2016 Commercial Liaison for the NATIONAL ASSOCIATION OF REALTORS®. Wagner was named 2017 REALTOR® of the Year by the CHICAGO ASSOCIATION OF REALTORS® and received the 2017 Commercial Award from the NATIONAL ASSOCIATION OF REALTORS®. In 2019 he was inducted into the Hall of Fame for the Illinois REALTORS® and the National Association of REALTORS®.  Wagner is also a commissioner on the DuPage Airport Authority and serves as the Chairman of the Authority’s Capital Development Committee. Wagner is the Chairman of the Greater Oak Brook Chamber of Commerce. Wagner was installed as the Secretary of the Illinois Chamber of Commerce in 2020.   Additionally, he serves as a Trustee for The Conservation Foundation and the DuPage Historical Museum Foundation.

As a member of the International Council of Shopping Centers, Wagner has been a significant advocate for the Marketplace Fairness Act which the Supreme Court ruled into law in 2018. Wagner is also a board member of the Institute for Portfolio Alternatives’- (IPA) and was selected in 2020 to serve on the Executive Committee.  In 2018 he received the IPA Outstanding Service Award for his role as Co-Chair of the Policy and Government Affairs Committee.  He was a part of the Real Estate Roundtable’s 1031 Like-Kind Exchange Coalition, whose ultimate outcome was the preservation of the 1031 Like-Kind Exchange in the 2018 Federal Tax Law. He is a board member for the Civic Federation of Chicago and is active in the United States Chamber of Commerce,  Illinois Manufacturers Association, and Illinois Retail Merchants Association. 

In 2014, he received the Advocacy Award from the Illinois Park and Recreation Association for his work on behalf of special needs children in his community. Wagner is a longtime volunteer for the Hinsdale Wellness House which helps people with cancer. In 2015, the Illinois State University Political Science Department honored him with their alumni award. In 2018, he received the Illinois State University’s College of Arts and Sciences Hall of Fame Award and the Illinois State University Division of Student Affairs Steve and Sandi Adams Legacy Hall of Fame Award. In February of 2020, Illinois State University honored him with the Alumni Achievement Award.  In addition, Wagner was nominated and selected to be in the 2019 Class for the Governor Jim Edgar Fellowship Program

For more information, please visit: https://inlandgroup.com/

Multifamily Housing with Matt Fiascone of The Habitat Company

In this episode of Real Estate for Breakfast, host Phil Coover is joined by guest co-host Tyler Kalachnik, a partner in Ice Miller’s Public Finance Group, and featured guest Matt Fiascone, President of The Habitat Company. In recognition of The Habitat Company’s 50th year in business anniversary, the group discusses the history of the company and its full spectrum of offerings in the multifamily housing space from affordable public housing development to luxury condominium third-party management. They dive deeper into current trends in affordable housing, the explosion of LIHTC deals and the impact of the COVID-19 pandemic. With Matt’s broad real estate experience, he is able to provide keen insights into managing people, creating culture and running a sustainable real estate business.

Tyler Kalachnik is a partner in and vice chair of the Firm's Public Finance Group. Tyler has served as bond counsel, underwriter's counsel, disclosure counsel and borrower's counsel for both long-term and short-term financings involving the pledge of revenues, taxes or a combination thereof. Tyler also has experience in transactions involving letters of credit, standby bond purchase agreements, interest rate and commodity swaps.

Tyler has participated in financings including single and multi-family housing projects, airports, municipal gas utilities, prepaid natural gas transactions, municipal water utilities, Indiana's State Revolving Fund Program, solid waste disposal facilities, 501(c)(3) organizations  and temporary loan warrants for political subdivisions and school corporations. Tyler also works in the Public Finance Group's rebate calculation practice.

President of The Habitat Company, Matt Fiascone has led a full range of real estate development and investment activities for more than 30 years. Since joining The Habitat Company in 2011, Matt has been instrumental in strategizing, executing and managing capital events including development joint ventures, recapitalization of existing ventures and acquisitions. Matt has also established new relationships for both debt and equity, as well as strategic partnerships.

As president he leads the creation and integration of the vision and growth of Habitat. During his tenure he has overseen the expansion of the company's footprint and assets under management with a focus on continuously enhancing the company's culture for its team members, partners and residents.

Previously, Matt served as senior vice president for Inland Real Estate Development Corporation, where he originated and implemented real estate transactions involving assets valued at over $1 billion and negotiated and managed equity joint ventures.

Matt serves as vice chairman of the Board of Directors of Inland Bank and Trust and is a member of Lambda Alpha (a Land Economics Honorary Society), the Urban Land Institute and the National Multifamily Housing Council. Matt has been a frequent speaker and panelist for industry events. In addition, he is a licensed real estate broker in Illinois, Florida, Wisconsin and Missouri.

For more information, please visit https://www.habitat.com/.

Medtail and Tenant Rep National Brokerage with Willie Hoag of Tether Advisors

In this episode of Real Estate for Breakfast, host Phil Coover and his frequent co-host Jay Augustyn are joined by Willie Hoag, Principal and Co-Founder of Tether Advisors, a real estate advisory company founded in August 2020 during the tumult of the global pandemic.

Tether Advisors works with high-growth businesses to help them achieve national reach and alternatively with developers, REITs and private equity to help them find stable tenants and businesses with strong futures. Tether links brands, developers and private equity to physical locations that fit perfectly in the lives of customers. Tether also focuses on “medtail” – the initiative by medical service providers to bring prevention and wellness services to underserved areas via brick and mortar facilities located in shopping centers and other historically retail-focused properties.

During the podcast, Willie discusses his background and what led to the creation of Tether Advisors. Willie shared his insight into the changing real estate model with landlords exploring opportunities outside traditional retail and how he can focus on building value for his clients. Willie encourages the Tether team to embrace a long-term approach to client services and to remain keenly aware of trends and technology that will augment or disrupt the businesses that Tether serves. Willie developed his consultative acumen at Mid-America for more than 15 years, where he was a Partner and Director of Tenant Representation for the leading full-service retail real estate firm in the Midwest. In that capacity, Willie educated developers on the benefits of medtail brands, bringing change and success in a space that had long-held misconceptions and stigmas.

At Tether, Willie facilitates the expansion needs and real estate challenges of a dozen tenants throughout the Midwest and nationally. His many national relationships transcend verticals and foster his true passions: solving problems and refining brands, linking experts to the obstacles they may uniquely solve.

For more information, please visit https://www.tetheradvisors.com/.