Raising the Roof: How solar tenants are powering NOI
Your best new tenant might be sitting right above your head. On this episode of Retail Retold, Chris Ressa is joined by Bill Fitzgerald of Radial Power to reveal a game-changing secret for retail landlords: your rooftop is prime real estate. Backed by industry heavyweights like Starwood and Related, Radial Power is turning unused roof space into pure NOI with zero CapEx. Forget about just cutting costs—solar is adding revenue streams, hitting ESG goals, and future-proofing properties.Bill breaks down how Radial operates as a tenant, not just a service, paying you for your roof space and handling everything from installation to energy sales. This is rooftop leasing redefined, and it’s supercharging the balance sheets of forward-thinking landlords.Ready to make your roof work for you? Tune in now.TakeawaysBill Fitzgerald has been in solar for about seven years.Radial Power helps drive sustainability through rooftop solar.Solar can drive value add and increase net operating income (NOI).There are two main ways to operate solar on properties: ownership or leasing.Radial Power operates as a rooftop tenant, managing all costs and risks.Monetization of solar includes selling electricity and environmental credits.Regulatory environments significantly impact solar operations and pricing.Solar energy is geographically sensitive due to varying regulations.Solar providers like Radial Power are often misunderstood as sellers of solar systems.Solar installations can create additional NOI without upfront capital expenditures.Chapters00:00 Introduction to Solar and Retail Real Estate02:45 Understanding Radial Power's Mission04:56 Exploring Solar Ownership Models08:47 Monetizing Solar Assets13:39 Regulatory Challenges in Solar Energy
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16:44
The deals that real estate legends are made of
Guy Morris is a legend in the real estate business and in this episode, you will hear why. He started in advertising but quickly realized that real estate was where it was at for him. Guy shares with Chris Ressa his experiences in building a portfolio, the resilience of retail real estate post-COVID, and the current dynamics of the market in New York City. He emphasizes the importance of central business districts, the shift in tenant profiles, and the competitive landscape of real estate investment. The stories of some of Guy's deals are not to be missed. Exploring themes such as sale leasebacks, the impact of 9/11 on property values, and the strategic use of air rights. They reflect on the evolution of Floor Area Ratios (FAR) and its implications for future developments. The discussion also touches on nostalgia for iconic retailers like Toys R Us and the joy of giving $2 bills, highlighting the personal connections and stories behind these experiences.TakeawaysGuy emphasizes the importance of central business districts in real estate investment.He prefers deals that allow for value enhancement rather than passive income.The retail real estate market has shown resilience post-COVID, contrary to initial fears and many markets have recovered from COVID-related challenges.The competitive landscape in New York remains strong, with more buyers than sellers.Interest rates and cap rates have both increased, affecting deal structures.Guy shares a unique deal experience where he acted as both broker and buyer. Sale leasebacks can provide low initial cash flow but future value.The impact of significant events like 9/11 can reshape real estate markets.Air rights can be a lucrative asset in urban development.FAR changes can lead to unexpected windfalls for property owners.Chris' three questions: Nostalgia for brands like Toys R Us reflects deeper connections to childhood.Retail experiences are evolving with consumer preferences.Creative financing strategies can enhance investment returns.The joy of giving can create meaningful connections with others.Long-term real estate investments can yield significant returns over time.Chapters00:00 Introduction to Guy Morris and His Journey03:11 Transitioning to Real Estate and Building a Portfolio05:57 Current Business Model: Ownership vs. Brokerage08:57 Types of Deals and Value Enhancement Strategies11:59 Resilience of Retail Real Estate Post-COVID14:52 Market Dynamics: Supply, Demand, and Tenant Changes17:58 Current Landscape of Retail Real Estate in Metro New York20:53 Competitive Landscape and Investment Trends24:03 Unique Deal Experiences and Insights27:47 Navigating Sale-Leasebacks and Financing Strategies30:09 The Impact of 9/11 on Real Estate Transactions32:13 Leveraging Air Rights for Profit34:36 The Evolution of FAR and Its Implications38:34 Reflections on Retail and Nostalgia42:24 The Joy of Giving: $2 Bills and Their Significance
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36:09
What's in Store? - What changes would improve CRE?
Data transparency? Transaction timelines? In this episode of "What's In Store?" Chris Ressa and Karly Iacono discuss what they would love to see improve in CRE. Focusing on the need for data transparency, the inefficiencies in transaction timelines, and the complexity of documentation, they explore potential solutions and innovations that could enhance the industry's efficiency and effectiveness.TakeawaysData transparency is crucial for efficiency in commercial real estate.Transaction timelines are often unnecessarily long due to multiple approvals.Simplification of documentation can significantly improve transaction speed.Retailers are willing to share sales data if it aligns with their interests.The industry needs to adopt clearer and more straightforward agreements.Foot traffic data is not always reliable for sales attribution.The complexity of leases can lead to confusion and delays.Standardizing building measurements could streamline due diligence processes.Blockchain technology could revolutionize property records and transactions.The industry is evolving, and there is hope for addressing these challenges.Chapters00:00 Introduction to Industry Challenges01:18 The Need for Data Transparency12:21 Transaction Timelines and Efficiency22:37 Simplification of Documentation30:47 Future Innovations in Real Estate
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36:11
Anchoring success
If it's happening in CRE in Ohio, Tori Nook is all over it. But her journey to starting her brokerage, Anchor Retail, was definitely unexpected. In this episode of Retail Retold, Chris Ressa and Tori talk about the current state of the retail landscape and the unique characteristics of the Ohio market, where DLC now has four open-air shopping centers. She highlights the challenges and opportunities in retail real estate, including the impact of construction delays and the emergence of new retail concepts. Tori also shares insights on her recent work with Academy Sports and the evolving dynamics of tenant representation.TakeawaysTori Nook has been in the retail real estate business since 1999.Anchor Retail specializes in retail brokerage and property management.The journey to starting Anchor Retail was unexpected and driven by circumstances.Tori emphasizes the importance of having a good team to manage operations.The retail landscape has changed significantly since 2021, with fewer new constructions.Ohio is a strong market for retail due to its spending power and demographics.Retailers often enter Ohio through the three C's: Cleveland, Columbus, and Cincinnati.Academy Sports is a significant new tenant in Ohio, marking a fresh entry since 2012.The deal-making process has become longer and more complex due to various factors.AI may play a role in streamlining the waiver process in real estate.Chapters00:00 Introduction to Tori Nook and Anchor Retail02:00 The Journey of Starting Anchor Retail06:40 Balancing Business Management and Deal-Making08:54 Current Trends in Retail Real Estate11:52 Ohio as a Retail Market17:11 Exciting New Retail Developments in Ohio
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19:48
The 3 things you didn't know about foot traffic
What do you think you know about measuring foot traffic? In this episode of Retail Retold, Chris Ressa and Carla Henson, Vice President of Solutions at MRI Software discuss the evolution of foot traffic analytics, the integration of AI in retail, and how data can optimize customer experiences. Carla shares insights on the potential of visual AI in understanding consumer behavior and the importance of capturing accurate data for better decision-making in retail and office spaces. TakeawaysCarla Henson is the Vice President of Solutions at MRI Software, focusing on strategy and go-to-market initiatives.MRI Software is known for property management and supports clients across various segments, including residential and commercial real estate.AI is increasingly being integrated into personal and professional lives, enhancing productivity and decision-making.Visual AI technology allows for detailed foot traffic analysis, linking to existing security cameras to track customer behavior.Understanding foot traffic is crucial for retailers to optimize marketing strategies and improve customer experiences.Capture rates are essential metrics for retailers to measure the effectiveness of their storefronts and marketing efforts.Data-driven insights can reveal discrepancies in perceived versus actual customer demographics.The evolution of technology has shifted expectations from personal to professional environments, impacting how businesses adopt new tools.AI has been in development since the 1950s, but its accessibility and application in retail are relatively new.The future of data analytics in retail and office spaces holds significant potential for optimizing space usage and enhancing customer engagement.Chapters00:00 Introduction to MRI Software and Carla Henson07:25 The Role of AI in Retail and Personal Life10:58 Understanding Foot Traffic: Potential, Performance, and Optimization17:09 The Future of Data in Retail and Office Spaces
The Retail Retold Podcast highlights community retailer stories from across the country and gives a behind-the-scenes perspective from business leaders in both retail and real estate industries. The show’s episodes contain valuable insights that help solve the needs of entrepreneurs and real estate pros.
Each week our guests share stories of what worked, what didn’t, the ups and downs – giving the audience a critical set of tools needed for business success. Join host Chris Ressa and new guests weekly for amazing insights and thought-provoking stories. Brought to you by DLC Management Corp.
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