Adam Torres and Jacques Bazinet discuss the Jets and Capital event.
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Show Notes:
Listen to the Jets and Capital event coverage. In this episode, Adam Torres interviews Jacques Bazinet, President and Chief Operations Officer at Talos Holdings LLC, explore Talos Holdings LLC and the Jets and Capital event.
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About Talos Holdings
Talos Holdings has earned a reputation for growth by identifying rich opportunities, structuring successful investment strategies, and employing best-in-class operators. We successfully create financial freedom for our venture partners.
Full Unedited Transcript
Hey, I’d like to welcome you to another episode of Mission Matters. My name is Adam Torres, and if you’d like to apply to be a guest in the show, just head on over to missionmatters. com and click on be our guest to apply. Today, I am in Las Vegas, Nevada, and I am at the Jets in Capital event. And let me tell you, it’s my first time coming to one of these.
It’s packed. There’s jets, there’s super cars, all kinds of great things. And my guest today, Jacques. Jacques, welcome to the show. Adam, pleasure to be here. Thanks for having me. All right. So what brings you off to Jets in Capital? You know, Jordan and the team, they do absolutely phenomenal work with us. They do lots of introductions and it, everybody says, what industry are you in?
Yeah. We’re in the real estate industry, but really it’s all about relationships. And Jordan allows us to extend, you know, I mean, relationship for those people that are here. So it’s, it’s a great place to get to know people and connect. And to, to really have relationships and meaning now, what, and have you been to one of these events before I’ve been to several events?
Yes. What keeps you coming back? Cause I I’m looking at this crowd and it’s just different. Like everybody’s talking. It’s just a different crowd. What keeps you coming back? Yeah, I think that the way that Jordan does it is first of all, it’s curated. It takes a while to get in here. So you can’t just, you know, put your application in.
He’s not, he’s not after your money. He’s after your contribution. So the way people get curated here is. Are they individuals who are not only willing to serve and being able to contribute to others, but do they also have needs that they’re others can help them with, you know? So I think that everybody here comes with the intent of serving so that, you know, maybe along the way that they could find some value for themselves as well.
And I think that’s what makes this audience significantly different than other similar events. You mentioned you’re in real estate. Can you talk a little bit more about what you do? Yeah. So we’re Talus Holdings. We do class A multifamily real estate. We work in Florida, Georgia, Texas, Colorado, Oklahoma, Phoenix, and the Utah.
We’ve built 7, 500 units. We do one thing, one thing only, that’s class A multifamily. We do the gamut, however, that we do everything from the heavy lift of building. We also do acquisitions, rehabs, we’ll do historical renovations. So we do everything, the, of any lift you could imagine, but solely as it pertains to multifamily real estate.
How’d you get into the business? Like, give me that old story when he got started. I want that one. Yeah. So I was working with Stephen Covey, the seven habits of violence to people as I was a director for his office. And this gentleman came in and had a product idea that he wanted to share with us. So that idea came to me and I ultimately said, you know, Franklin Covey will not do this.
It’s a good idea, but Franklin Covey won’t do it, but I’m passionate for your idea. So let’s, let’s see if we can do it together. I ultimately became great friends with the individual who had the idea, who was John McWilliams, the founder of Talus Holdings. And after we had worked together for a while, he said, why don’t you join me in real estate?
Why don’t we do this together? And I said, no, I said, I’m about changing lives. I mean, I believe that everybody’s working at about 30 percent of their potential and I I’m passionate about helping them get to 40 and 50 and 60 and I don’t think real estate will do that. So we kind of talked about it for a while.
Ultimately. Talus became, I realized that we, we had a captive audience in our residence. So Talus has become the only multifamily developer that we know of that offers training and coaching as an amenity on site. Oh, wow. What that means is if you sign a lease in one of our projects, we give you a blank check.
And on that blank check, what we’d like you to do is we’d like you to identify the goal that you want to accomplish while you’re living at our property. And that might be, you know, you might have just gotten married into a blended family and you don’t know how to parent somebody else’s kids, or you just might want a better marriage.
You might want a better career. You might be like an individual in one of our properties in Fort Worth, Texas who has a fear of water, and he just wants to overcome his fear of water. What we care is that our residents are lifelong learners. They lean into hard work and we provide coaching for them to accomplish those goals.
What’s They attend the coaching, the coaches live on site, so those coaches are also the ones that, the coaches are also the ones that run our Wednesday events, our Friday events, our Saturday events, so what that does is, I would say, you know, probably only about 10 percent of our residents take us up on it and do coaching with us, but 80 percent of our residents attend the events.
And what it does, it really creates a phenomenal culture where people kind of get to know each other very, very rarely in a multifamily property, would, you know, your neighbor and you know what they’re struggling with, you know, what they’re succeeding in. So it becomes a family. I do it just because I believe in people, but the reality is, is that the biggest enemy to Class A multifamily is the next Class A multifamily.
Cause when they open up, they’re going to have like three weeks free and attract our residents. Our residents don’t move. They stay at our property and the only reason we would lose a resident is if someone changes and then moves to a different region or buys a home, what that does for our investors, most multifamily properties have a retention rate somewhere between high thirties, low forties, 38 to 42.
Yeah, we have a significantly higher retention rate. Because people just want to stay. So that’s, it’s good for our residents. It’s good for our investors and it’s good for us because it gives us an opportunity to serve and to see people pushing to performing higher than that. 30 or 40%. And so when you say culture that it builds, it really is building a real community, like not just in.
Then just because you live by each other, but an actual like old school community where people know each other. Yeah. Imagine that if people say, I’m like, I’m blown away here. Yeah. People could walk away from their computers and just sit in the, in the, in the club and have a conversation with each other and know that, you know, your father is, is, is just struggling with Alzheimer’s.
You’re just having an issue here. We could all kind of chat about it. Sounds wonderful. Makes a huge difference. What, what geographies are you in? Or are some of the properties in? Yeah. So Florida, Georgia, Texas, Colorado, Oklahoma, Arizona, Utah, Colorado is where we’re at right now. We’re in construction for 345 units in Mesa, Arizona.
We have 350 units in construction in Scottsdale, Arizona. So that’s, that’s where we’re building and where we grow. And now do you accept outside investors into the fund or into the You know, it’s so interesting that you would ask that because historically what we’ve done, Is we’ve only had a single check writer in every one of our projects.
So we’ve done syndication. Yeah. And so, for example, in Mesa, that’s the Quaker Oats family that stepped up there. Now what’s happening is that there’s a lot of our peers. That are over their skis. They thought that, you know, interest rates were going to stay low. They thought that rents were going to continue to climb.
Yeah. So they kind of stepped up on these properties and the interest accrual that they incurred during the two years of construction is going to bury them. Oh yeah. So the financial institutions, usually life insurance companies that loan on, on construction, which we’ve been working with for 37 years, have called us and said, Hey, listen.
These guys are going to make it. We need you to buy their loans and we, we’re going to close with you and give you another 30 year, 30 year amortization, and we’ll sell you these loans at a 30 percent discount. Wow. So now all of a sudden, now the numbers make sense. Yeah. Now all of a sudden we got to, we got to raise a lot of money.
So for the first time, Tal is raising a fund in inviting investors to invest in our fund, and it’ll be an opportunistic multifamily fund where we take advantage of. The current economic restructure that’s going to happen. There’s, there’s 980 billion worth of debt that needs to be restructured in multifamily space.
And we’re excited because we’re, we’re, we’re, we can’t wait to meet their residents and provide coaching and training and increase their retention rates. So it’s an exciting period for us. Who, who do you think would be a right fit for it to be a potential investor in that funds? Yeah. So we have a minimum check size of two and a half million dollars and we work with like minded people.
So individuals who care about individuals who are in it for the relationships. We’re not a real estate group. I mean, we’re a relationship group. So people who identify with that and would like to contribute to residents having a better life, learning and growing are usually people that we see connection with amazing.
Last thing I want you to do, Jack look into the camera, tell people how they can learn more, how they can learn more about the company, how they can follow. Yeah, not very complicated. Our website is talusres. com. So that’s T A L O S. Res. com and there’s a contact us feature there. So go to our website, click on our project page.
You’ll see all our projects and then click to contact us. We’ll get an email. We’ll reach out. We’d love to meet like minded people who are willing to make a difference in the multifamily real estate as we build relationships and help families have a better life. Amazing. And for everybody listening, just so you know, we’ll definitely put the links in the, in the show notes so that you can just click on the links and head right on over.
And speaking to the audience, if this is your first time with mission matters and you haven’t done it yet, hit that subscribe or follow button. This is a daily show each and every day. We’re bringing you new content, new ideas, and hopefully new inspiration to help you along the way in your journey as well.
So again, hit that subscribe or follow button and Jacques man, appreciate you coming on. Thank you so much. Pleasure was mine. Thank you for having us.