#198: Property Management vs. Asset Management with Kyle Mitchell

Welcome to the Accelerated Investor podcast with Josh Cantwell. If you’re looking to retire early with forever passive income, you’re in the right place. This podcast is the go-to destination for real estate investors, both active and passive. And multifamily apartment investors, both new, intermediate and advanced. Now sit back, listen, learn and accelerate your business, your life and your investing with the Accelerated Real Estate Investor podcast.

Josh: So, hey, welcome back to Accelerated Real Estate Investor with Josh Cantwell, so excited to be with you today. I have a fantastic interview for you. Just wrapped up, actually doing the live interview with Kyle Mitchell. Kyle is the managing partner of a P. T Capital Group, and their passion is in helping others reach their goals in all areas of life by doing things the right way and creating long lasting relationships based on trust and clarity. In this conversation with Kyle, we do a deep dive into asset management and property management. Kyle has been investing in income producing real estate since 2010, currently manages over forty-one million dollars in multifamily assets where he is the direct owner operator. He focuses exclusively on the Arizona markets, specifically Phoenix and Tucson. Kyle is also the co-founder of what he calls the Asset Management Summit, which you can get a free ticket to that at AMSummit2021.com. Where they’re going to focus exclusively on teaching people how to become best in class operators. I’m sure all of you would love to be a best-in-class operator of your multifamily and apartment assets. He also launched what he calls Asset Management Mastery and is the author of an upcoming book, which is going to be released on June 29th called Best in Class. Really, this is a fantastic interview. 

Josh: You’re going to love it. And here’s exactly what we’re going to focus on in this interview. Number one, we’re going to focus on how to hold your property management company accountable through KPIs. Number two, you’re going to learn about what are leading versus lagging KPIs and how to interpret them and how to hold your property management company accountable using leading and lagging KPIs. You’re also going to hear about what is called lease rent optimization and lease trade outs and why those are so important to optimizing the cash flow in your business. Number four, you’re going to hear how to keep your property manager on schedule. And we specifically talk about why he wants his full unit turns done in twenty-one days or less and why he wants his make readies and partial turns done in three to five days or less. 

Josh: And finally, you’re also going to hear why his single focus on one asset class in one market has given Kyle his success of buying, owning and operating over forty-one million dollars in assets. Also, final reminder before the interview begins here in a second. Don’t forget to register. Last year at the Virtual Asset Management Summit, Kyle had eighteen hundred attendees and you can get a free ticket at AMSummit2021.com. That’s coming up June twenty first through June twenty seventh, 2021. This coming summer. Kyle also manages the passive income through multifamily real estate podcast, which I have been a guest on. So I hope you enjoy this interview with Kyle Mitchell from APT Capital Group. It’s an amazing interview. Here we go.

Josh: So, hey, Kyle, thanks so much for joining me today on Accelerated Real Estate Investor, I’ve been looking forward to talking asset management with you and having you on the show for a while. So thanks for joining me. 

Kyle: Yeah, I’m excited to be here, Josh. Thanks for having me on. 

Josh: You got it. So let’s jump in. You know, I always like the first question I ask most of my guests is what is one thing, one or two things that they’re really passionate for that they’re working on, like today, like this afternoon or this weekend or next week, that really they’re passionate for that gets their juices flowing. What’s something that you’re working on in your business, your personal life that you’re excited about? 

Kyle: Yeah. So we’re all about asset management as a company. And so right now we’re working on our Asset Management Summit. That’s in June. So we’re really working on putting the content together, getting the speaker lineups going. But it’s a free event. We’re very passionate about just educating people on the difference between asset management and property management. The last 10 years, there’s been a huge run for multifamily. And so you could have almost done anything wrong and still got it right. And the next 10 years are going to be a lot different, in my opinion. And so asset management is a crucial piece to running your business and really getting the best returns for your investors. And so that’s what we’re passionate about, talking about and teaching about. 

Josh: Got it to the upcoming conference is called the Virtual Asset Management Summit. And like Kyle said, it’s free. So every single one of our audience and members should join, I believe, the website. Kyle is a m standing for Asset Management Summit2021.com. Did I say that, right? Yep, that’s right. All right. AMSummit2021dotcom. I’m going to participate. I’ll be listening and definitely learning some of the things that Kyle and his group have to say. So Kyle, let me peel back the onion a little bit. And from your perspective, what is asset management versus property management. What’s the difference, how do you define the two? 

Kyle: Yeah, so I think a lot of people think when they get in the apartment industry, you’re going to buy apartment handed off to the property management company, then you’re done with it. You go to the next property. And that’s interesting. Property management. Asset management is asset management is holding your property management company accountable. It’s implementing systems to execute your business plan. I mean, the property management company can only do so much, you know, your business plan, you understand what your goals are and what you want to achieve. And so you need to be there side by side with your property management company, working with them in tandem as a partner to drive the best out of your business. You know, when you’re buying an apartment building, you’re buying a multimillion-dollar business. And so you need to have systems in place in order to do that. And so asset management is all about putting those systems in place, identifying bottlenecks and hopefully identifying those bottlenecks before they happen so that you can put systems in place to get the most efficiency out of your business. 

Josh: Yeah, I love it. So give you a real example like so where I think one area that I failed like very recently is we just went through the books this morning on one of our properties, just an eighty unit, kind of a smaller asset for us. And I noticed that the utilities, specifically the water and sewer, are completely out of whack. Right. So help us understand, you’ll probably have a leak or multiple leaks at the property that our property manager hasn’t identified from an asset management perspective. I’m looking at the books and comparing the budget to what’s actually happening in the P&L. I’m noticing this glaring red flag. So help us understand from an asset management and property management perspective at the summit, what are some things that we would learn to make sure that that kind of situation doesn’t happen? What are some systems or some commandments or some rules that you’re going to discuss at the summit that maybe you can reveal now to this audience to give us a little bit of a taste of what you’ll be teaching at the summit? 

Kyle: Yeah, absolutely. One of my favorite topics is called Managing the manager. Right. And so it’s managing the manager and teaching them a property management. Companies in general are very archaic as far as business is concerned. Margins are very tight. I used to work for property management in a golf course industry, which is kind of carried over into the apartment industry now. But you need to be able to train your property management company to learn for certain things. You’re dealing with a human element when you have employees and some employees are great, some employees are not great. Right. And so you have to be there to train those people. But we use KPIs key performance indicators, which we’ll be talking a lot about at the summit. And those are there’s leading indicators and there’s lagging indicators. And you can use those indicators to identify trends or future trends to make decisions on your business before things even happen. Right. So, for example, not on the utility side, but look for leases, for example, if you know, in the next 90 days, you only have one or two leases a month coming due, you can be more aggressive with your renewals and your rental rates depending on what your occupancy is at. 

Kyle: If you have a large number of leases coming due over the next 90 days, you may want to back off on how aggressive you’re going to be with your renewals and your rents. And so it’s all about identifying those types of trends are going to be talking a lot about those kinds of things, being proactive versus reactive trust but verify. And that comes to everything from doing due diligence, leasing and marketing, managing the manager disposition, investor relations. So we’re going to be talking about all those different types of things and all the things that you need to do to implement things in advance so that your systems are in place. You’re not having to deal with things as they come up. You’re kind of tackling them before they happen. 

Josh: Fantastic. So you mentioned leading versus lagging, so just expand on that a little bit. What are some leading KPIs that you think are really important to pay attention to? And then what are lagging KPIs things that happen after the fact that as an asset manager, you see these kinds of things and if something happens, really kind of a red flag of something bad, or it could be, I guess, a green flag, if it’s something that’s good for lack of a better description. But leading versus lagging, help us. What are some of those? 

Kyle: Yeah, so leading is looking into the future. Lagging is looking kind of back into the past. So a lagging indicator that we like to look at is leads coming into the property. Right. How many leads per month or coming into the property, how many of those leads turn into application showings and then eventually leases and understanding why that happened? Maybe it’s that the leads that you’re getting are just not qualified leads. Or maybe it’s just that the leasing team on site is not doing a good enough job. So we look at that. That’s our number one lagging indicator that we look at is conversions on leads to leases for a leading indicator. It was what I mentioned earlier. When leases are coming due, we really try and be right on top of the ball as far as where our rents are, how aggressive we’re being on renewals. And it’s something that we change every week. Some people use LRO, which is a lease rent optimization, which the system will do it for you. We don’t use that. We like to look at our rents on them on a weekly basis and take a look at, hey, do we have exposure on our one bedrooms over the next three months? Do we have exposure on our two bedrooms or three bedrooms or whatever it is? And what I mean, exposure that’s your vacancy in those unit types, plus your upcoming renewals and your notice to vacate and possibly even your evictions. How many of those do you have coming up? And based on those decisions over the next 90 days is where we where we go with our rents. So that’s a great example of a leading indicator. 

Josh: Got it. So you’ve probably seen a lot. You have seen a lot. You have a large 40, 50-million-dollar portfolio. You’re constantly adding to it. You have an amazing guest to come on your podcast. You’re to be teaching this asset management summit. What do you think? When are some immediate. I guess things that come up when you’re dealing with a property manager, when you were doing the asset management, you’re looking down upon a property if you see they’re doing things right. What are some characteristics or some KPIs that they’re hitting that say that this property manager really is on the ball, they’re doing a lot of things right. I feel good about them as a property manager. 

Kyle: Yeah. So a couple of things there is sticking to a schedule. I think it sounds very easy, but things happen on a day-to-day basis at your property and staying on schedule when it comes to renovations and being on top of that is really important, making turn times are done quickly. We like our full renovations done in twenty-one days and our returns done in just a couple of days. And so things like that are very important. And I just think it’s just really staying on top of the ball as far as projects are concerned. The other thing we look at is lease trade outs. Getting more for the new lease than you did on the previously. You know, we look at each individual lease as it comes through. And so if you’re just looking at a summary of your two bedrooms over the last 60 days, how much is a lease trade out? And that means if someone’s paying a thousand dollars in rent, was paying a thousand dollars in rent and now you’re getting 11 hundred, that lease trade out is one hundred dollars. Right. So that’s a positive movement. But if you break it down and look into each lease, you can see some leases maybe rented for less, some leases rented for more. And so we want to see our property management taking the initiative of really treating each lease differently and not just as a whole by the unit type. And so those are things about them being proactive and really caring about the business and the bottom line versus just say, hey, our standard increase is fifty dollars and that’s what we’re going with. 

Josh: And how about, conversely, what are some things that talking about a property manager and they say things or do things that just stick out like a sore thumb, like a red flag, and you’re like, this is not good. This is this property manager is not going to work out or even some things during an interview when you’re interviewing a property management company to come on and take over your building, what are some things that they might say or react to that kind of give you like that? Oh, that’s not a good answer type of response. I don’t think I can hire this person or don’t think I can keep them if they’re on site. 

Kyle: Yeah. So things like that go into your first question. The thing that I hate the most is having excuses for everything with no solutions. Right. We have a problem, problem, problem. Complaints, complaints, complaints, but zero solutions. That’s an issue you’re going to face challenges as far as property managers, concerned asset management running a business. But any time there’s an issue, always come with a solution to the problem, not just more and more problems. And so we want to have managers on site that are going to tackle those things and come up with solutions because there’s always a solution to a problem and you want to have someone that’s that’s willing to go there. As far as a property management company, we like to see things a little bit more customized to what we do. We only use one property management company that services all of our markets, but we spent five, six months vetting that property management company. And what we did is we laid out everything in advance. Look, we like to do things this way. We use these types of systems. We like to see some things customized. 

Kyle: And a property management company is not going to be able to customize to every single thing that you want, every single report, every single client, because they have thousands of units and hundreds of clients. But what we like is to see some type of willingness to work with you on your systems in place. And so when you have that property management company that says, sorry, this is how it is, this is the only way we can do it, we’re not willing to kind of work with that. That’s going to be a red flag. And we’re going to move another way because asset management is critical. If you’re moving the needle by just one hundred thousand dollars on your NY five cap, it’s over a million dollars in value. And so that’s really important to you. But to the property management company, they’re making three percent. They’re making three grand on the one hundred grand. So you need to have a partner in a property management company, not just someone that’s going to go in there and do the basic. 

Josh: Got it. Love it. Probably I would imagine that you’re a virtual asset management summit. You’re going to talk about the questions to ask how to find a good property manager. What questions ask? You just mentioned you took five to six months to vet out ultimately the property manager that’s managing your entire portfolio. It’s a huge decision and you’ve got a long time to do it. So what were some of the questions that you asked them? What were some of those vetting questions or things you were looking for? And maybe that this company obviously won the opportunity. Other companies didn’t because they failed. What were some things you were looking for in that interview process? And also many people will say, well, man, why did it take you so long? Right. So why did it take so long and why did this company win? What questions did you ask that they answered? Right. What did they do right to win your business? 

Kyle: Yeah, it took us so long because we’re very market focused, right. We don’t look all over the country for multifamily. We look in Arizona. And so we interviewed the top 10 companies in Arizona, got a chance to establish a relationship with them, understand how they communicate, understand some of their ins and outs. And the reason why it took so long is because it took us that long to get our first deal. And we kind of had our final three up until the point we got a deal and communicated with all of them until we finally chose the right one. As far as some of the questions, one of them was number one thing. Are you open to new technology as this business evolves? Technology is going to be the differentiator from one person to the next one investor to the next. And we want to make sure that they’re open to changing those things. In my property management company, in the golf business, a lot of those companies, they don’t want to implement new technology because it costs a lot of money to do right. And so you have to invest in your business. So I want to make sure the property management company I’m going with is willing to reinvest into their company. I also want to know, do they have infrastructure?

Kyle: When you’re dealing with a fifty property, it’s a little bit different than one hundred and fifty property. But I want to see infrastructure in the company where I’m not dealing only with the owner who’s going to be managing our properties and hiring people. They’re just going to get to they’re not going to have enough time. Right. So is there regional managers? How many properties will there allow? Will they allow their regional managers to have? Some will allow them to have twenty. We only like to see eight to ten kind of on the plate of one regional manager, because the more they have, the less they’re going to focus on your property, the less time they’re going to have to manage the people on site. And going back to infrastructure, is there an accounting team? Marketing team? Ours has an in-house general contractor and rehab team, which we love because we’re all under one roof working together. Do they have a design team, social media team? So infrastructure is really important. Technology, like I mentioned earlier, 

Josh: I love it. I love it. There’s great nuggets there for our audience that’s listening if you’re not grabbing these. Nuggets and thinking, oh, my gosh, that was awesome, that little nugget. I’ve got to attend this virtual asset management summit and make sure I get the rest of it. That’s what I’m thinking right now. If I’m you, you’ve got to catch it all. Can’t obviously do it all here in a 30-minute podcast. But over a couple of days, summit, we can certainly cover it all and is going to do that. Kyle, obviously, you mentioned earlier that you’re only focusing on Arizona. You took five to six months to find your first deal and select that property manager. I’m curious, how did you get into the multifamily space? What drove you what did you see that you liked about it? Did you fall into it or was there something specific about it that made you seek out multifamily and apartments? Why specifically Arizona? And also, what challenges did you face when you first got going? 

Kyle: Yeah, how long do we have to go? Right up until two thousand and seventeen. I was in the golf business. I had been in the golf business as a regional manager for twenty years, but in twenty fifteen I just didn’t want to do it anymore. I was looking at my 401k. I was like, man, this is just not the life I want to live. And so I started looking for other opportunities. The golf business was shrinking. I wanted to be growing. And so it took me two years to find the opportunity. I invested in real estate and I bought some single-family homes in 2010. So I like that. I’ve never been a stock market guy. So in twenty seventeen I was just searching online. I found an online course and I took it with my wife and I absolutely fell in love with a business model of multifamily syndication. A lot of people are like, oh, the golf industry. It doesn’t relate but is very relatable to what I was doing in managing people, hiring, firing, doing project management, building systems, holding people accountable. And so I just loved it. Eleven months later, I left my full-time job to pursue it full time. Before we even had our first property. I was just all in and that’s just the type of person I am. 

Kyle: So why Arizona? We started looking in Columbus, Ohio. I like that one for more of a cash flow perspective. But my first eleven months I was having to travel back and forth while having a full time job and I was working eighty hours a week at this full time job, six days a week. So it wasn’t easy for me to get to that market. So proximity became really important. So Arizona had everything from a fundamental standpoint of what you want, population growth, in net migration, Ranko, job diversity, which is a huge one. And so we went to Phoenix and started looking that market. The brokers of that market said, hey, Kyle, I think you should take a look at Tucson as well, where we have properties there as well. And I really fell in love with the market. It was only an hour flight. I can still drive there in five hours so I can be there. So that’s a reason why we why we focused on that and why we’re only focused on really one, two markets. But one state is we’re hyper focused on relationships, understanding what’s going on in that market. I’m a true believer that if you’re in the market and you can see things gentrifying and you’re not focused on too many things at once, you can really take advantage of what’s going on there. 

Josh: Fantastic. And what about challenges did you face once you selected Arizona, specifically Tucson, Phoenix, you knew it was close. You knew you could get there logistically flying or driving back and forth. You knew all the numbers added up. Rent growth, job growth, population migration, all important things. But you probably experienced a challenger, too, whether it was finding deals or building a team. What were some of the challenges? 

Kyle: Yeah, so many different challenges. When you’re first getting startup started, it’s really trying to establish yourself with the brokers in that market. I mean, they control the deal flow essentially. And so proving to them that I was a closer was not easy. And actually our first deal that we had an accepted LOI on a close to one, we got turned down by the seller because they were not convinced we could close. Right. And so that was something that I had to convince the brokers and established myself as a closer. Luckily the next deal. I had the same question. I was more prepared for that. But when you’re getting into the industry, you’ve always everyone’s got to say, I’ve never done a deal before and I’ve never raised money before. And so it’s getting over that hurdle of your first couple of deals and starting to establish yourself not just with the brokers in the market, but with the property management company and most importantly, your investors. 

Josh: I’m glad you said that, because a lot of people that are just getting started with multifamily and apartments are thinking, man, if I screw up that first deal or if I screw up the LOI or I say something wrong, I’m going to have sort of a black mark on my reputation forever. You had that experience and we’re able to overcome it. So just talk to that for a second. Why? Like when you’re getting started, you just got to get started. You’re going to make mistakes, maybe say the wrong thing, maybe you lose a deal, but you’re not going to have this kind of black mark or scarlet A on your chest forever. 

Kyle: Yeah, you’re not. Look, just be transparent and be just be honest with the brokers that you don’t go in there about, but just tell them where you’re at and build a relationship. I mean, I call brokers every three or four weeks. And so I have established this relationship with these brokers over the course of several years. But you’ve got to be an authentic person. And as long as you’re an authentic person and working with the brokers and telling them where you’re at, I think it’s fine. You know, you’re not trying to screw anyone here. You’re just building your career in your industry. And the other way to resolve that is to team up with people who have already done it. Right, so that you can have that experience, track record sitting next to you and learn from them. But yeah, really, it is about getting started. Make those offers get uncomfortable, get outside of your comfort zone. And the quicker you do that, the quicker you’re learning. Looking back now, I can’t believe I’m already where I’m I was at compared to three years ago, but it would have never been done if I wasn’t out there going ahead and taking action. 

Josh: Yeah. And taking action. Going ahead. And also, I think laser focus like the fact that you said we’re only going to focus in these two markets in Arizona. It’s amazing Kyle, you probably see the same thing. You get emails and social media posts and direct messages from guys that are like, I have deal flow all over the United States. I’m like, great, I’m not going to work with you, but I’m not. Because you’re like, if you’re not focused, you’re just sending me stuff. You haven’t looked at this deal. You don’t know what the cap rates are. You don’t know what the in-place cash flows are. You don’t know what the value-add opportunity is. You’re just basically sending me a file of crud that I’m going to have to sift and sort through, and then I’m going to have to make heads or tails of it. I’m going to have to then get back to somebody and they’re maybe hoping to get a wholesale fee or some sort of consulting fee or whatever. And those people ultimately don’t have a lot of credibility. Like we have properties outside of Atlanta, Mobile, Texas, Houston, Oklahoma. But really where we own or operate is in Cleveland, Ohio. 

Josh: That’s our bread-and-butter market. That’s our backbone. That’s the stuff that we manage ourselves very similar to you. And we built relationships with guys. We’ve indicated and co-sponsored deals for other guys in other areas. But that’s because of a relationship took us there. Right. And then the deal made sense. The operator made sense. It was more of an investment in that partnership than it was an investment in a deal or in a certain area. Now, the deal checked out, the area checked out, but we had a relationship there. That’s what we invested in. Otherwise, I would be just like you can just be doing deals in my backyard. And what we love is we love the Cleveland, Ohio, like you said about Columbus, we love Cleveland. So I love the fact that not only did you recognize some of the challenges, you’re authentic, but you’re laser focused on just one or two areas and they’re very close together. 

Kyle: I mean, if sorry, if you’re working with other operators who have experience in that market, that’s a different story, right? We are the direct operator. And so just underwriting deals is different from market to market. Like in Arizona, the taxes only increase year over year, five percent max, unless it’s like new development. In Texas, they could double or triple upon close. And so those are the types of things that you just can’t underwrite the same way in every single market, which really puts you behind. You’ve got to learn that, Mark. You’ve got to understand things. And when you’re competing in a market that is hot, it is today. You need to know you have to have every advantage working right for you. And so if you’re not focused, it’s very difficult to compete. 

Josh: Yeah, and that’s a great piece of advice, Kyle. And I would ask you, like, now that you you’re on stage teaching this stuff, you’ve been so good at it for the last couple of years. You’re hosting these events. And again, it’s a as an asset management summit2021 dotcom, it’s free. So every single one of my audience members should get on and join and listen to what Kyle has to teach about property management and asset management. But along those lines, there’s probably some things that you might do differently or some advice now that you’re a little bit longer in the tooth that you would give your younger former self for some advice if you could pass back to our audience. What are some of the things that you’ve learned along your journey and some things maybe that you did right or some things that you do differently? 

Kyle: Yeah, the thing I did right is I went all in and I treated this like a business. Right? This is a business and that’s what you’re getting into. And so you’ve got to treat it like that. This can’t be a very small part time job on the side type of gig, especially if you’re going to be the lead operator and you’re taking other people’s money. I mean, you’re a fiduciary, right? And you’re responsible for millions of dollars. The thing I did wrong, I think in the beginning, I want to do everything on my own. And so even our. Still, we had to bring in partners, but we brought them in so late in the game, it was very stressful to close on a deal. We were trying to do it all on our own, on our own. And so this industry is about it’s a team sport. And you can scale very quickly if you have the right people around you in the right team, and you’re open to bringing on new partnerships and growing with other people. And so I wish I would have brought in our partners a little bit sooner and tried to surround myself with other people who are already doing it a little sooner. We do that now, but certainly we could have a lot quicker if we want to do that at the beginning. 

Josh: Yeah, I love it. Great advice. Let’s wrap up with what we call our final five rapid fire questions. Are you ready?

Kyle: Let’s do it. 

Josh: All right. Question number one, what’s your favorite way to find deals? 

Kyle: Driving, driving for dollars, basically understanding the neighborhood. 

Josh: Love it. Favorite way to find money or joint venture partners to fill up your capital stack? 

Kyle: Building close relationships are we’re all about long term relationships for decades, not just for one deal. 

Josh: Love it. How about your favorite book that you’ve ever read or piece of advice that you’ve ever been given? 

Kyle: Yeah, two books come to mind. Shoo Dog, which is the Phil Knight book, and then Cash-Flow Quadrant, which is the Robert Kiyosaki book that changed my life. Usually people say Rich Dad, poor dad. But understanding that quadrant was really big for me. 

Josh: Love it. How about your favorite place to decompress? You’re a busy entrepreneur. You’ve got this event, you’ve got family, you’ve got your business. You’re sometimes just finding time to think is so important. Think through your business things, through your personal life, what you want to do next. What’s your favorite place and way to think and decompress? 

Kyle: Yeah, my wife and I play golf. And so getting out in the golf course, relaxing out there, enjoying our company, that’s the place I love the most. 

Josh: That’s one of my favorite places, too. I’m not nearly as good as you. I can tell you. You’ve been 20 years at it. I can swing a stick though, and I really enjoy it, especially for a place to think not just to go party with my buddies from college. Last question, Kyle, is who you’ve been you’re probably favorite mentor or leader in your life or who’s had the most impact on your life and why? 

Kyle: Yeah, so Tim Ferriss, I love his podcast. I love how he goes about asking questions. But the reason why is because when I was trying to decide whether I wanted to leave my job, look, I was a two for 20 years, right? So becoming an entrepreneur, working for myself wasn’t easy. And he has a fear setting exercise that just blew my mind and really made it easy for me. And it’s asking yourself, what is the absolute worst that could happen and be honest with yourself and kind of ask that through every stage while you’re answering it. Go five levels deep. And the thing that I found out was the worst-case scenario was that I would have to go back and get a new job. So I was in my worst case scenario and I said, OK, well, this is pretty funny. Ironic, but that’s why I left my job. I made a decision immediately after I did that exercise. 

Josh: Yeah. In the worst-case scenario for you is to go back to a job in the golf industry. So it wasn’t that bad, right? Right, exactly. The last question is, tell us a little bit more about the summit. When is it taking place? How many days is it going to be? And what can our members and audience learn when they attend? 

Kyle: Yep. So it’s June twenty first through twenty seventh. So it is seven straight days. We’ve got over 20 speakers coming on talking about different asset management summit, our different asset management factors that you can basically improve your business on. So anything from management the manager, leasing strategies, marketing strategies, which is another big one. A lot of operators trust their property management company to do marketing. We do additional marketing to drive more leads to the property and then getting all the way to disposition, which is a huge thing. So really just this is going to be a great event free event. Last year we had eighteen hundred people attend it and so you can go to AM Summit 2021 dotcom. And then we also have a book launching on June twenty ninth called Best in Class, and you can pick up an e-book for ninety-nine cents once that launches fantastic stuff. 

Josh: So we’ll put all that stuff in the show notes. Check that out. It’s been an absolute blast having you on. Also Kyle runs a very successful podcast as well called Passive Income through Multifamily Real Estate. Check that out on iTunes or wherever you catch your podcasts. And don’t forget to register AM Summit2021.com. Kyle Mitchell. This has been a great interview. Thanks for sharing so much about asset management, property management and your journey as an entrepreneur. Thanks for joining me today on Accelerated Real Estate Investor. 

Kyle: Yeah, awesome. Thanks for having me, Josh. 

Josh: Well, hey, I really enjoyed that interview with Kyle Mitchell from APT Capital Group specifically to talk about asset management. You know, we haven’t talked a lot about that on the podcast. It’s why I wanted to have Kyle on the show. And you could see being an asset manager, being an owner operator and managing your asset by managing the manager, managing the property manager, understanding what kind of marketing KPIs, social media KPIs, you know, understanding of accounting KPIs and lease turns. All of these are so important to you taking your pro forma and turning it into profits. If you enjoyed that interview, please leave us a five-star rating and review. Don’t forget to subscribe. Hit that subscribe button wherever you get your podcasts or wherever you’re listening on YouTube. Don’t forget to hit that subscribe button so you never miss another episode. 

Josh: If you’ve been enjoying this, please let us know whether it’s on social media. Make a post, whether it’s on the podcasting platform. Make a post, make a comment, send us an email, OK, let us know how we’re doing. Let us know about the guests that we’re having. Let us know if this is bringing value into your business. I hope it is. I believe it is. That’s why we do it. And I can’t wait to have our next guest on our next episode. So definitely check it out. Hope you enjoyed it. Leave us reading reviews. Subscribe and we’ll see you next time on Accelerated Real Estate Investor. Take care.

You were just listening to the Accelerated Investor podcast with Josh Cantwell. If you enjoyed this episode and learned something new, help us build the A.I. community by leaving a review and five-star rating on our iTunes podcast channel. Also, don’t forget to subscribe so you never miss another episode. To see passive investing opportunities, visit FreelandVentures.com/passive. To start your journey toward the lifestyle you’ve always dreamed of with multifamily apartments, apply for one-on-one coaching with Josh at www.JoshCantwellCoaching.com.

In the last ten years, you could have done anything wrong in multifamily and still gotten it right. The next ten years, however, are going to separate those who know how to manage assets from those who just got lucky. Kyle Mitchell from APT Capital Group manages $41 million in multifamily assets where he is the direct owner-operator. We’re doing a deep dive into the difference between asset management and property management, and how Kyle manages the property manager.

A property management company cannot provide a custom solution for every one of your problems. However, you can find ways to work with them that build on the systems you already have in place. Kyle uses KPIs to help him track his property management’s performance. He’s asking key questions like:

  • How many leads per month are turning into applications?
  • Is the leasing team on site doing a good job converting leads into leases?
  • When leases are coming due, are we being aggressive on keeping rents at market prices?
Kyle’s just published an e-book called Best In Class that focuses on the owner-operator role, and he has a weekly podcast about investing passively with multifamily real estate. Plus, you can sign up to get a free ticket to his Asset Management Summit from June 21st-27th, 2021. Last year he had 1,800 attendees, so don’t wait till the last minute to get your ticket. I’ll see you there.

What’s Inside:

  • How to teach the property manager to identify trends and problems in your properties.
  • The difference between lagging and leading KPIs, and how to use that data to direct your property management team.
  • Why Kyle focused on one asset class in one market, and why you should consider it too.
  • Sign up for a FREE ticket to Asset Management Summit where you’ll learn how to become a best-in-class operator.

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