December 13, 2023 • 48 mins
Ever wonder how an ordinary teller can rise to the coveted position of 'banker to the stars'? In our latest episode, we pick the brain of JC, the division president of Centennial Bank in Southeast Florida, who did just that. From humble beginnings to rubbing shoulders with big-name clients like Rick Ross and Dwayne Wade, JC's narrative is an engaging blend of grit, ambition, and success.
We kick off the episode with JC's fascinating insights on the banking industry, the challenges, and how he capitalized on opportunities in wealth management and private banking. If you've ever wondered about the dynamics of dealing with high-profile clients, building the right team, or staying ahead in an ever-evolving business arena, JC's experiences are a gold mine. But that's not all; we also delve into the critical aspects of success, status, loyalty in business, and the significance of trusting your instincts.
Moving beyond banking, we take a quick detour into the thriving Miami real estate market. We dissect the impact of economic fluctuations on property values and the state of the insurance market in Florida. Wrapping up the episode, we highlight the resilience and determination needed to rebuild post a natural disaster. This episode is more than just a conversation; it's a ticket to valuable insights, riveting tales, and a peek into the life of a banker who has truly seen it all.
Real Estate Talk Podcast with Jesus Castanon - @retalkpodcast: The Ultimate Real Estate Unveiling! Raw, Real & Revealing insights from industry experts
Dive headfirst into real estate's most electrifying depths with industry legends - Jesus Castanon, Josh Cadillac, and Richard L. Barbara. Why legends? With billion-dollar deals, groundbreaking innovations, and wisdom that's transformed the landscape, they've not just witnessed the game; they've been the game-changers. And if that's not enough, they're joined by a parade of industry-expert guests, spilling secrets and dishing advice that you won't hear anywhere else.
Expect RAW, REAL strategies that shook the market, REVEALING insights, and timely takes on today's market, coupled with actionable advice.
This isn't your typical real estate chitchat. This is RETalkPodcast - where the titans and top minds of the industry unite. Dive in, and prepare to have your real estate perceptions rocked!
Meet The Legends:
Jesus Castanon: Visionary CEO of Real Estate EMPIRE Group, transforming property transactions into success stories.
Josh Cadillac: Renowned real estate coach, national speaker, and author; revolutionizing the art of 'closing for life.'
Richard L. Barbara, Esq.: Florida's legal luminary, pioneering change and setting the gold standard in real estate advocacy.
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Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:00):
buys the Porsche immediately has to stop driving
it, because he could never showup to a business meeting or they
wouldn't assume, because he'sdriving the Porsche, that he's
not overcharging them.
And there's this whole likeculture of if somebody else is
doing well, it's at my expense.
What's interesting?
Yeah, no, it really really.
Speaker 2 (00:16):
We'll hear Miami's the other way around.
Speaker 3 (00:20):
Like me, financially errant.
Like, yeah, have a Porsche, butplease don't ask me for 50
bucks.
Speaker 2 (00:40):
All right, so this is now 38.
38.
All right, we're doing 37 andwe're trying to rack up two
interviews in one day, so thisis 38.
But yeah, still the same.
We're still in the same attire.
Speaker 4 (00:55):
So uh, so it took you 38 to invite me.
Is that what you're trying tosay?
No, we just started doinginterviews really.
Speaker 2 (01:03):
You're actually the second interview Really, yeah,
only really because of thetiming, because, like he came
first but we should have put youfirst one big yeah, yeah, yeah,
yeah, yeah, yeah makes sense.
So, yeah, again, it's it's weird, you know, interviewing friends
because you know it's it's youkind of know the stuff.
So you're like you know it'sit's weird to ask the questions.
(01:23):
But, um, you know, one of themain reasons why, you know, I
think it's interesting to bringJC in here is because I don't
know if there's any other people.
That fucking started as a Firstof all, you're, you're, let's,
let's see who you are, because Iforgot to let them know.
Speaker 3 (01:39):
Maybe we don't get through 34.
Yeah, this is uh.
Yeah, last time I said I don'tknow my name.
Speaker 2 (01:43):
Yeah, I didn't say Mike Gall's name till the
fucking 30 minutes in.
So, uh, jc banker to the stars,deona, all right.
Uh, president of CentennialBank, right, you're uh regional
president or what's the exactterminology.
Speaker 4 (01:58):
Yeah, it's regional, the title's division president.
Speaker 2 (02:00):
Division president.
Basically.
Speaker 4 (02:02):
I have a region which is basically all the southeast
Florida.
Speaker 2 (02:04):
All the southeast Florida, so Miami all the way to
the Keys, because I knowthere's stuff in the Keys, guys
say it's technically Palm Beach,broward and Day County.
Speaker 4 (02:12):
The Keys is kind of like its own little Right.
Speaker 2 (02:15):
So I'm not gonna say there isn't anybody um that
that's done the same thing as JC, because I wouldn't know for
sure, but I can't imagine.
There's many people thatstarted as a fucking teller
right, and our president of abank.
I mean, do you know of anyother ones?
Speaker 4 (02:32):
On the top of my head there's maybe like one or two
that I know.
Really, you start off with ateller.
Yeah, you should have just saidno.
Speaker 3 (02:41):
One of the guys he knows is listening and he's like
you know me?
Speaker 4 (02:45):
Yeah, no, but you know, I think something unique
is not not only that I startedas a teller, but I worked in the
retail side, you know branchmanagement operations, then I
went into private banking andthe commercial.
Speaker 2 (02:57):
So it did a little bit of a small bank big banks
medium-sized banks.
Right, right, right, becausewhen I met you you were vice
president of the smaller ofStonegate, which is a way
smaller.
Those are good days, waysmaller banks, stonegate.
They were fun.
We're interesting yeah.
Speaker 4 (03:15):
They were fun.
Speaker 2 (03:16):
Good days and then, uh, we can see that, there we go
.
That's the thing about howyou're interviewing a friend.
We're, we got to leave it there, so that's legal.
That's legal, no, no.
Speaker 3 (03:28):
Yeah, all, right All right.
Speaker 4 (03:30):
I'll write a book one day.
Speaker 2 (03:30):
Yeah, it was all legal I'll change the names.
Speaker 3 (03:33):
One when the factory limitations is changed.
Amazing man.
Speaker 2 (03:37):
Yeah, so the banker to the stars thing I am, I
definitely was the one whoinvented that name.
That's a fact.
Speaker 4 (03:43):
I think you're the only one that calls me.
That's fine, but we're gonnaget there.
It's gonna be a day where itcaught on to some people, some
people yeah, banker to the star.
Speaker 2 (03:49):
I mean is there, is there, because I you know, I
know it's tricky is there, isthere.
Can you throw a couple of thestars out there that you're that
you've been a banker to?
I mean there's some that arepublic.
Speaker 4 (03:59):
Rich, barbara, yeah, I mean it's out there as some of
the guys, a couple names youknow Rick Ross, which you know
rapper, I think I mean even onsome videos you are?
Speaker 3 (04:15):
Yeah, I need to wait for my banker and you see JC
walking in at the party.
I don't even know what's goingon, but you know.
Speaker 4 (04:23):
Dwayne Wade's another one and these guys have become
friends over the years, so it'sright so it's like you guys know
a lot of the people I deal with, yeah.
Speaker 2 (04:30):
Yeah Well, I know, I just don't again, I don't want
to go out there and be like ohyeah that's the way the banker
to the stars comes up, becausewhen I met you, I didn't like
you.
Speaker 4 (04:37):
when I met you, I don't think anybody knows that's
listen, it's a common sense.
Speaker 3 (04:41):
Richard definitely didn't like, that's a fact.
Speaker 2 (04:43):
I mean he objected to even meeting me.
Speaker 1 (04:47):
Yeah, so, absolutely.
So it was a preemptive no, no,no, no actually.
Speaker 3 (04:51):
I insisted on meeting him so there you can tell me,
with a straight face, the samething he said to my partner
which I found just unbelievable.
The balls on the.
Yeah, I was like who the?
I'm like I got to meet this guyso he can fucking tell me.
And sure enough, bro is amazing.
He told me just like that.
I'm like, okay, I like this guy.
Speaker 2 (05:09):
It was the deal I was offering, to see that he had an
issue with it was, you know,like yeah, he's like you do
everything and we'll pay nothing.
Speaker 3 (05:16):
Right, pretty much so the season they got a father
too.
Speaker 2 (05:19):
Yeah.
My offer is which, by the way,which, by the way, was the best
investment.
Speaker 3 (05:24):
Best investment ever, by the way.
You know what my work.
Speaker 2 (05:27):
We didn't get to congratulate you officially.
You're officially chairman ofFrick, right, I am officially
the chairman as of like ithappened within.
Thank you, it happened within,like the last month that we've
been kind of off a little bit.
Yeah, last 30 days, last 30days, right, is there anybody
you want to thank in particularfor for this, you know
assignment and this?
(05:48):
God, okay.
God first, you know we canleave him for last, and is there
anybody who influenced you?
Speaker 3 (05:55):
maybe no one else comes to him.
Speaker 2 (05:57):
No one else, anybody who also influenced you into
maybe getting into the business.
Speaker 1 (06:01):
No one else.
I know what is going.
Speaker 2 (06:03):
It was great to be right in the middle of this.
I mean, is there anybody whoyou know?
You would say that you know youwere like you know me, didn't
want to get into real estate atall, and then you know, they
were just kept on pounding onyou to get into real estate and
that's why you're the chairmanof Frick, right, I can't think
of I can't think of who thatnames come to me.
Let me tell you this guy's anungrateful son of a bitch.
Speaker 3 (06:21):
You know I would.
Speaker 2 (06:22):
I would.
I would have called and be likehey man, listen, all jokes
aside, you know, like you know,you're at a really huge part of
me getting into real estate.
You know I didn't want to do it, I would.
I would at least send a letter.
You know text, man.
You know nothing, nothing fromthis fucking guy.
Speaker 1 (06:36):
What do you think about that?
Speaker 3 (06:36):
You knowing both of us, do you?
Speaker 2 (06:38):
think.
Speaker 4 (06:39):
I would deserve like a marriage, his way of showing
love.
Speaker 3 (06:44):
I'll take that.
I didn't tell him though I'mlike I just want you to know.
I was like I will respond tochairman.
Your higher, higher, what isthe word?
Excellency, your excellence, Iwas.
Speaker 4 (07:01):
I was on a call with him the other day with with the
lender and opposing council, andhe did throw it in.
I was you know, because I'mchairman of Breck Did he Did I?
Yeah, you did.
I don't know, but you said it.
I was like I don't know, yeah.
Speaker 2 (07:14):
Well, yeah, I, I've, I've, I've, I've, I've, I've,
I've, I've, I've, I've, I've,I've, or maybe it wasn't sure,
or your part or you were amember, you know serve on.
Speaker 4 (07:20):
Yeah you threw it in there as just like as a jab A
little herbal hand for me.
Speaker 2 (07:24):
I know what I'm talking about, just tossing it.
It's interesting when you, asthe chairman of Breck, I
obviously know what I'm talkingabout.
Speaker 4 (07:30):
It's interesting when you get you know two attorneys
and then, if some, it's always adick measuring competition.
Speaker 2 (07:36):
When one wants to have a little bit of an ego.
Speaker 3 (07:37):
I try never to make it like that.
Speaker 4 (07:40):
But, bro, they come out and Richard go that are just
like that.
Speaker 3 (07:43):
bro.
There are some people I willsay he makes it entertaining.
Speaker 4 (07:49):
Sometimes I jump on the call just to listen to see
what goes on.
Yeah, yeah, I mean, when youget to attorneys it's always a
big measuring competition.
Speaker 2 (07:55):
And if you had a real turn?
Speaker 4 (07:56):
in there We've had some interesting ones.
Speaker 3 (07:57):
Oh my God, we've had some interesting ones, yeah yeah
, we've had some interestingones.
Speaker 1 (08:00):
The worst is when, as a real estate agent, when you
get a real estate agent that iscompetent and assumes, by the
fact that you are another realestate agent, that you must be
incompetent, it is automaticallythe zip and you can hear it.
You can hear the zipper comingdown.
Speaker 2 (08:14):
Well, there's no, there's no situation where an
attorney feels the need tomeasure his dick more than when
he's with a realtor a competentrealtor that makes you know and
he's making a certain amount ofmoney on the deal.
Those guys, that really pissesattorneys off.
But I think that's actually whywe're in this whole commission.
Speaker 3 (08:32):
It's not a certain amount of money, it's that it's.
It's a grossly disproportionalamount of money.
Speaker 1 (08:36):
That's fine, that's fine.
Speaker 3 (08:38):
Yeah, and, by the way , these are ending.
Speaker 2 (08:40):
No, they're not.
I'm telling you they're not.
I'm telling you they're not.
I'm telling you they're not.
Speaker 4 (08:45):
I'm telling you they're not.
Have you heard about the whole?
Speaker 2 (08:47):
commission thing with the realtor.
Speaker 4 (08:49):
Yeah, of course, of course, yeah, I mean, I'm not
surprised if something wascoming right.
Speaker 3 (08:53):
No, it's, it's real bad.
It's going to be bad.
It's going to be painful for alittle while.
Speaker 2 (09:00):
Yeah Well, I again.
Nobody forces a seller to paycommission.
Nobody forces a seller to paycommission, right?
So I don't.
I just don't see the issue.
I think it's all going to getcleaned up.
It's all going to be, you know,because at the end of the day,
especially here in Miami maybearound the country you see it
less where it's really 6% and 6%here, bro, you got to fucking
(09:22):
bro, you got to get on yourknees, you got to have knee pads
to get 6%.
Speaker 1 (09:26):
You know what I mean.
Like it's a deep throat.
Speaker 2 (09:29):
And here's another thing.
So Richard, so Richard, sinceI've been in the business right,
and I'm telling you becauseI've hated them every second of
it.
There's always been those flatfee companies.
You've heard them right?
Yeah, they've always put it onthe MLS.
They've always been around,always, until this day when I
started.
It was horrible.
Right, there's realtorcom.
You can put it on.
(09:49):
You can put it on, you know,it's same as MLS, or better,
right, you get the wholesituation.
So I just don't see, but Idon't want to go into that whole
thing.
We're here for JC and we'rehere to celebrate JC's success
today.
All right, so, thank you, thankyou, even though it was B the B
person.
Speaker 4 (10:03):
No, you're right.
No, you could show up late.
Speaker 2 (10:05):
One B, one B.
So you started off as a teller.
What was the second?
What?
Speaker 4 (10:12):
was the second step From teller and went on to like
platform.
You know you go into a bank,the people that open the
accounts they call the platform.
Speaker 2 (10:18):
You sit at a desk now .
Yeah, I got to sit on my desk,not in the window.
Speaker 4 (10:21):
Yeah, it was all cool to sit at a desk Right, but
then I did operations management, so you're kind of all the back
office.
Speaker 2 (10:27):
So you went in there thinking you wanted to be.
You wanted to be the presidentof the bank, or that wasn't even
in the fucking no, no no, no.
What was the?
What was the main goal?
Like, oh man, if I could bethis.
Speaker 4 (10:38):
You know, when I was a teller and this was back in 98
, 99, you had the dot combo andI was watching these.
You know these guys with theirseries seven, these brokers, and
they were making all this moneyand you know they had the nice
suits and I want to be thoseguys, right, and at one point I
was kind of like, okay, I wantto, I want to be and I want to
be a broker, I want to be inthat, in that side of the world,
(11:01):
on the financial world, and andI was on track and that's what
I want to do, I did, I got allmy licenses and all that.
And when I was in wealthmanagement, private banking, you
know you're a banker but you'realso doing investment.
So I went to that role.
But in between I kind oflearned other things as I was in
the branch.
I was in retail and operations,doing sales, all of that.
And I got an opportunity when Iwas at Wacovia at the time and
(11:24):
I had one like the financialperson of the year, whatever.
Speaker 3 (11:28):
And they're like what do you get?
Yeah, whatever they call it,they gave me like a silver plate
.
Speaker 4 (11:33):
You know it's like oh you know, and they, they asked
me what do you want to do?
They wanted to keep me in thebank because they want to be in
private banking.
I was young, you know at thetime what?
Early 20s, yeah, and they'relike, you know it's.
Speaker 2 (11:45):
Private banking.
You got it yeah.
Speaker 4 (11:47):
Private banking was the hardest division in a bank
to get into, because everybodywants to be there and it's small
, it's close knit and you knowit's kind of like you know the
right.
So they gave me the opportunity.
The next week they called meand they're like hey, if you
want the job here, it is sobecause you were a financial guy
here or whatever.
Speaker 2 (12:06):
I got the place.
You were able to kind of likedictate a little bit.
Speaker 4 (12:10):
It's like when, when the light's shining on, you,
take that opportunity, yeah, andthat's that's kind of what.
Speaker 3 (12:15):
That's what kind of happens.
Speaker 4 (12:16):
It's happened multiple times and that's kind
of you know, and even when yougo from one financial
institution to another, you kindof want to grow in the role,
grow in your title, grow in yoursalary and that's kind of you
know the trajectory you want totake to make more money and to
grow within.
You know the banking world.
Yeah, and so after that you wenthow many steps to get to like
(12:39):
the actual, like vice presidentpart, where you know like it was
when I moved from one bank toanother and it was Wacovia to
regions at the time, which isregions Morgan Keegan, which was
their wealth management, andthat's where I went kind of into
the vice president role title.
You want to call it that, butbanks have like 50 vice
presidents.
Speaker 3 (12:57):
Yeah, senior vice president at Stonegate.
Yeah, that's when you're an SVP, the.
Speaker 4 (13:01):
Stonegate move was interesting because you know I
was going to either leave and bea market president for private
banking for a well-knowninstitution at the time or go to
start this DeNovo.
You know region for the bank,you know market for the bank
because they were alreadyexisting in Broward County and
they didn't have anything inDade County.
(13:22):
So it was like, all right, come, you're going to open a new one
.
I mean I didn't have an office.
I mean it was just like this isa new thing, right.
Speaker 2 (13:29):
And something it took a large level of balls.
Yeah, no, absolutely.
Speaker 4 (13:33):
And the bank was small when I got there.
Speaker 1 (13:35):
But that's a thing more than the bank.
Morgan Bank gets called thetesticular fortitude.
Yeah, I know it is man.
Speaker 2 (13:40):
And let me tell you that, that you know you can't
just kind of gloss over that.
Speaker 1 (13:44):
You can't gloss over that because you know, again
it's.
Speaker 2 (13:47):
We've already gone very quickly.
We've gone through twodecisions where JC is like oh
fuck it, I believe in myself.
I'm taking the next step, wherepeople would be maybe afraid,
I'm like or let me chill withthis plate for a little bit and
relax.
You know what I mean, you knowyou're like no no, no, let's go.
And then, all of a sudden, thenlet's go again and you're, and
you're, and you're figuring back.
You know the interview we justdid right now, the same thing
(14:09):
it's.
You know, you, you, you jumpand then you figure it out.
Yeah.
Speaker 3 (14:13):
You know you don't figure it out and then jump.
You know what I mean.
Speaker 2 (14:14):
Like do it, I know.
I know for sure, I'll be ableto figure it out at some point.
Speaker 4 (14:19):
You got to believe in yourself and your capabilities
and what you can do.
You know, at the end of the day, that's important.
If you don't believe that youcan do something, you're just
you're not going to do it.
Speaker 3 (14:28):
Yeah, so it's, it's part in the words of Alex Capo
irrational confidence.
Yeah, yeah, yeah.
Speaker 4 (14:36):
That's what a bitch definitely has.
Speaker 1 (14:37):
Yeah.
Speaker 2 (14:38):
I love that guy.
Speaker 1 (14:40):
I think it's also and that's what it sounds like you
were always looking for what thenext thing was.
Yeah, I mean, you're alwayskeeping an eye out for what the
next opportunity is, as opposedto just blindly doing what
you're, what you find yourself.
Speaker 4 (14:51):
And you always got to listen.
You know, you always got tolisten.
If somebody's going to come andbring you an opportunity, like
don't be closed minded and belike now I'm here and listen.
You never know, it could betoday or tomorrow, you got to
listen.
And again, if you know whereyou want to get to, you got to
kind of envision the path to getthere.
Speaker 2 (15:07):
Yeah, and you know what One thing that I that I
tell because I'm in a uniquesituation where I'm always like
you know there's always likeyoung kids coming in, you know,
like getting their license andyou're kind of like, you know,
serving a little bit of a mentorrole and everything.
And you know one of the thingsI mentioned, man, that people
just don't really give therespect, and you know it's just.
You know relationships, man,and you know loyalty and
(15:31):
relationships, taking care ofyou know one thing that I know
for a fact that's a huge part ofyour success.
You know, and who you havearound and you know, you know
it's.
You know respectingrelationships, understanding,
taking care of people, makingsure.
You know having a word.
You know your word is as strongas any contract.
You say you're going to dosomething, you're going to do it
(15:51):
.
You know all of those thingsare a huge part of anybody who I
know.
You know success and you knowand again, I think you know
you're one of those you know andthat's.
I guess that's.
I'm skipping questions.
I'll continue on with thistrajectory, but you know it has
to be hard for you to be an oldschool banker, because that's
(16:13):
what you are.
You're like a 1980s banker in2020 fucking four, almost.
You know what I mean Becauseyou're like your clients are
your friends.
You know, like you move banks,I mean everybody's moving with
you.
Speaker 1 (16:28):
No, no, no, that's a fact.
That's where really your poweris.
Speaker 2 (16:32):
Because, everybody dude, you've been, you know
you've been great to, definitelyto me and everybody that I know
is.
Listen and to that point.
Can't get into too much, buthe's been great to us.
Speaker 3 (16:46):
Saint JC.
Yeah, he always has that.
Speaker 2 (16:50):
Your clients are your fucking are.
Your are your again.
You really go out of your way.
Jc, get a hold on Ike A littleJC figurines.
Speaker 3 (16:58):
People have them at the house there, bro, and if you
want a house, you bury it inthe front yard, like they say
Like the human do.
Speaker 2 (17:03):
I should make one of those.
Speaker 4 (17:04):
I should make one of those.
Listen, it's easy to be abanker when everything is great.
Right, you know it's whenthings are not so great or
things take a downturn.
Those are the times that thereal bankers come out and.
I'll tell you I never turned myback on people.
I never like did not pick upthe phone?
Speaker 2 (17:21):
Well you do, Well you do if they're pieces of shit,
Because I've seen you.
Speaker 1 (17:25):
I've seen you.
I've seen you.
Yeah, well, you have this guy.
Speaker 2 (17:28):
I'm not putting my balls on the line for this guy,
and I'm not.
Speaker 3 (17:30):
Yeah, well, you know right.
I mean, you can't be a fuckingyeah, yeah, I mean you got to
know.
Speaker 4 (17:35):
I mean I've been good at picking my way, but that's
the reason why I know.
Speaker 2 (17:38):
Right, but that's that's why.
That's why I'm mentioning it'snot like you're just blanket,
just taking care and you're likeyour clients and everything
it's.
It's you got a pretty damn goodeye for talent At the end of
the day, because I said I'llshare a name free relative.
I'll know right away, just mystory Detail free story.
Speaker 3 (17:56):
That is one of my all time favorites.
I tell it with some frequency.
Speaker 2 (17:59):
Are you sure you can say it in a?
Speaker 3 (18:01):
podcast.
It's very funny.
I'm not Trust me.
Speaker 2 (18:03):
Detail free OK.
Speaker 3 (18:04):
So we have we all have this this friend, co-worker
, you know, business partner ofsorts that we've worked with for
years and it was, you know, inthe downturn.
And it's like after thedownturn was already part of
life, because I don't know ifyou guys remember, but like
there was the crash and then youwere in the shit for like three
(18:24):
or four years of just shit.
Speaker 2 (18:26):
Two solid years yeah.
Speaker 3 (18:28):
Yeah, so, like you know, we're on a diarrhea, we're
in probably in like year twoand a half.
Ok, there's only like theslightest hint of a horizon.
Speaker 4 (18:37):
Yeah.
Speaker 3 (18:37):
It's and, by the way, it's far.
Or like they say, the light atthe end of the tunnel.
You're not sure if it's a trainor the end of the tunnel.
Yeah, and you know JC needs totalk to this person and this
person knows that he can't talkto JC Like he's avoiding talking
to JC.
I already know, and so therewere a select number of people
(19:02):
at the time my being one of themthat had like access to the red
phone.
You know we're like this is howyou reach this individual, no
matter what.
And I never forget JC calls me.
He goes oh, we got to get onthe phone.
We got to get this guy on thephone.
And I said, yeah, no problem,because you know, if JC is in
trouble, everybody's in trouble.
So it's like I remember that Imake the call and I make the
(19:27):
connection and then I say, heyman, I got JC on the line and
he's like bro, I can't believeyou did this.
And I go no, no, no, no, fuckyou, bro, it's time to it's time
to pick up the fucking phone,bro.
And JC goes hey, man, are youhiring?
Speaker 2 (19:49):
I think I've heard this story before.
I think I heard this storybefore.
Speaker 3 (19:51):
Why he goes?
Because I'm going to need a job.
Speaker 2 (19:57):
I know I've heard this story before.
I know exactly who it is thatI've heard this story before I
was dying.
Speaker 3 (20:01):
I was just laughing so hard.
It was just oh man, well,that's the thing.
Speaker 2 (20:06):
So again, no details.
But JC would go out of his wayto just you know.
And again that goes back to ithas to be hard, with today's
world and everything like that,to be a fucking 1980s style
bankers.
I would always hear a bankerwith balls as I tell you, yeah,
because how many people Likepeople?
I tell people, you know, I'mgoing to go meet with my banker,
I'm going to go have lunch withmy banker, and they're like, oh
, you have a banker, fuck has abanker nowadays right, so I even
(20:29):
on my phone Anybody with abusiness.
Remember, on my phone, on myphone, so on my phone right now,
it says JC banker, now myfriend, because JC, I'm with JC
and his number pops up and he'slike banker, dude the fuck, why
am I just a banker like?
Speaker 4 (20:45):
that JC banker Right right right, really, dude, sir.
Speaker 3 (20:49):
This is where we are.
Speaker 2 (20:50):
So now I say I'm like , dang, you're right, that was
JC banker, now my friend.
Speaker 3 (20:53):
Well, what's funny is that Jesus is one of those guys
that much like Rodney, that theway they save people is like
with associating it with what itis no one on Rodney's phone has
a first or last name.
You know, it's always like so,and so my tint guy, yeah, yeah,
yeah.
Speaker 1 (21:14):
Well, I think there's that moment of clarity when
you're like I'm going to go lookfor this person and if I have
their first or last name.
Speaker 2 (21:18):
I'm never going to remember who that is, but put
his tints.
Speaker 1 (21:20):
Exactly.
Yeah, I get that.
I mean, I used to a person Iused to work with.
He could never rememberanybody's names, but he was a
great rainmaker.
He'd bring business in likecrazy, but I'd be like, all
right, we got to take our.
So what's their name?
Sweetie, baby?
I mean, I have some fault, guys.
I can't even tell you the namesthat I have stored in my phone
of how he remembered these guys.
I get their phone number and Ihave to call them up and try to
(21:43):
figure it.
Hey, I just spoke with this guy.
Speaker 3 (21:46):
He's like hey, mr Sweetie, they're like what.
Speaker 2 (21:50):
So, you know, is it like I don't know, what do you
see in people?
Like, because I think, really,I think success has to do.
I think 90% of success is justbeing around the right people,
you know, knowing the specificcharacter traits.
Right, like, at the end of theday, dude, we've been in this
business long enough that ourour, like our friend's success
(22:12):
is our success.
Right, like, one of us makes it.
You know what I mean.
Like you know.
Again, like we were fuckingaround about the fracking, I
guess I might as well be onfracking.
Speaker 3 (22:20):
Like you know what I mean, You're a president of
America.
He makes sure to tell everyonetoo.
Damn right.
I put up with you for 18fucking years I put up with you
for 18, 20, almost 20, 19 years.
This guy sent an email to somelawyer the other day and he's
like you know, for fulltransparency, my lawyer is the
chairman of frack and dude.
The guy emailed me.
The guy emailed me one on oneand he was like hey, is this guy
serious?
What kind of asshole is this?
(22:41):
And then he picks up the phone,he calls me, he goes no,
because you know, the guy sentan email that his lawyer has the
biggest dick in America and I'mlike just, it's just part of
his charm and he doesn't meananything.
Speaker 2 (22:53):
Well, he will tell you how many emails I've sent.
I'm just saying listen, listen.
Am I saying you know you haveto act different or anything.
I just want you to be awarethat, mr Park is aware of a
bunch of realtors here.
Speaker 4 (23:03):
I'll be nice to you.
Speaker 2 (23:05):
Be aware that the chairman of frack is in the
Conduct yourself according.
Speaker 1 (23:08):
Conduct yourself, apparently you know, so I like
that.
Speaker 3 (23:11):
People listening in there like this frack.
Chairmanship must be reallysomething.
Speaker 2 (23:15):
In my world it is.
In my world it is.
But, yeah, we're in the worldwhere, you know, listen, you're
the president of a bank.
I might as well be president ofa bank.
I mean our friends.
The better our friends get, themore we get.
So, you know, I think it's, andwhen I tell these young kids
nowadays it's like man, you knowwhat you know, focus on
surrounding yourself by peoplethat are like-minded.
You know people that are, youknow, trying to make it just the
(23:38):
way you are and you are reallygoing to be who you're
surrounding yourself by.
I mean, that's a, that's a fact,you know you surround yourself
by pieces of shit and peoplethat are just hanging out not
doing.
Speaker 3 (23:48):
It's not just that but I'll say what it's very cool
to see, like the, you know,obviously, people say getting
old sucks, and then there's theother people that say, well,
it's better than the alternative, right, right, which is, you
know, dying young.
Yeah, also true, but one of theone of the redeeming qualities
of getting old and and doingwhat you're saying, which is
having been around people thatthat get ahead in life, yeah, is
(24:09):
man like, all of a sudden youlook around and it's like you
know, one of your dear friendsis the president of the bank.
You know, the other one of yourdear friends is the fucking
mayor.
You know, it's like you knowthe other guys.
Speaker 4 (24:20):
The other chairman of frek is the other Right.
Speaker 3 (24:24):
One of them is the chairman of frek.
I mean no, but I mean it's verycool man.
That's how you know as we'regetting older and then you know
that's how you kind of I don'twant to say replace, but you
succeed the other like the priorgeneration of people that you
know.
Speaker 2 (24:39):
Well, and here's another thing.
Like you know, there's somebodycoming from out of town, like
I've.
People have called me.
Hey, do you, can't, do you, canyou we get you, get me this guy
on the phone, or again, there'snot really anybody in my mind,
yeah, or can you get me areservation?
Speaker 3 (24:52):
Yeah, yeah, there's really right.
Speaker 2 (24:53):
Like there's really nobody, like I would call all of
you guys and by the time Ifinish I'll get to whatever
person it is.
Speaker 3 (25:00):
Yeah, you know what I mean.
Speaker 2 (25:01):
But that's part of you know, that success and part
of picking the right people.
Speaker 3 (25:05):
You know hard fucking work is what it's a part of,
well.
Speaker 1 (25:09):
I think there's also a built-in on selfishness to it
as well, in the sense that youknow you, you are willing to
invest in other people's success.
Yeah, people tend to be thisthe younger they are, the tent
more selfish they tend to be, Ifind in today's culture.
And it's a willingness to help,I know like.
You've never made me feel badif I had to call you up and say
Same way around and you know, ifthere's ever anything I could
(25:30):
do and and investing in thosefriendships.
Speaker 2 (25:34):
Well, I think, I think I, I have my friends that
have been around.
They and they, they respectFriendship as much as I do.
You see what I'm saying like Irespect friendship, like like
you're my friend and do that's.
That's a whole different worldand and and it's like you, you,
you understand you theimportance of it?
There's not a lot of peoplethat a friend is whatever
(25:56):
doesn't matter, and, and, and Ilisten, and most of my friends
have been for 10 years, 20 years, 30 years?
well, there's no one that dadwas like fucking 35 years.
Speaker 4 (26:05):
You know I lost that one, but there are people out
there that they don't like tosee their friends succeed.
Speaker 2 (26:09):
Yeah do better than they are fucking hate those
people bring you down and yougot a.
Speaker 4 (26:13):
You got to cut those people out.
You can, it comes out you know,they can hide it for a while
but it comes out and you got tobe able to get those people out
of your life, out of your.
Speaker 3 (26:22):
Surplus like you're embarrassed about, like sharing
some form of success withsomeone.
Speaker 2 (26:26):
That's a person that you know.
That's a red flag.
It's a good point, that's agood measure.
You got to be very careful.
I can't tell him.
Speaker 3 (26:32):
I did this because yeah, cuz I don't want to hear
any shit.
I don't want them to think that, oh, that's all I care about,
and right, it's like yeah,that's a good that's, that's a
good way.
Speaker 2 (26:39):
Your feet, your gut, trust your gut a little bit more
than.
Speaker 3 (26:42):
I had.
I had some people early on thatyou know.
They were like, oh, because youknow it's just all about like
you know, making money and thisand that.
And I was like, no, I'm abouttrying to live a better life.
But now that I'm hearing yousay that, I know, I know where
you're thinking.
Speaker 4 (26:56):
You get something.
You go buy a Porsche and youknow you're like you're gonna
have friends, are like, oh, it'sawesome.
And I feel, okay, they go getit.
Other ones are you know they'regonna hate on it.
Oh yeah yeah.
Speaker 3 (27:05):
Yeah, yeah, oh what are you paying?
Speaker 4 (27:07):
for it.
Speaker 3 (27:07):
It's like what you pay for that.
Trust me, I wish they'd givethem away, but they they don't.
Speaker 1 (27:20):
So there's and this is one of the interesting.
I have a customer that's fromGermany and he talks about the
built-in Jealousy within theculture.
Yeah, like his goal growing upwas to make enough to get a
Porsche.
He wanted a Porsche and so hebuilt his own business.
Horrible German, german,germany.
Terribly, terribly hard to haveyour own business right.
It's much easier to work for abig company that the rules are
(27:42):
very difficult if you're notdoing it.
But he fought the good fight,opened his own business right,
buys the Porsche Immediately,has to stop driving it, because
he could never show up to abusiness meeting where they
wouldn't assume, because he'sdriving the Porsche, that he's
not overcharging them.
And there's this whole likeculture of yeah, if somebody
else is doing well, it's at myexpense.
Speaker 2 (28:01):
That's interesting, yeah no, it really really.
Speaker 3 (28:07):
Like me, financially errant.
Like yeah, how about a Porsche?
But please don't ask me for 50bucks.
Speaker 2 (28:16):
So so, um, all right.
So going back to the trajectory, so your investment banking.
Then you went into kind of likeNot the vice president already,
or yes?
Speaker 4 (28:26):
Yeah, yeah.
Well, when I was a stone guy,yeah, I was a senior vice
president and that was again.
That was a completely differentyou know Experience for me,
because it was starting fromscratch, I mean it was.
It was almost weird because youwere, you were bringing in your
your own people, you wereunderwriting your own loans and
you were presenting it forapproval.
It's like is this even legal?
It was, it was.
It was kind of an interestingtime period, but it was fun too
(28:46):
because it was.
It was more entrepreneurialthan your traditional banking
and it was like you.
Speaker 2 (28:50):
Yeah, like I almost don't think of you as having a
job, honestly.
Speaker 3 (28:55):
No, I like listen.
Speaker 2 (28:57):
You know he doesn't really.
He has a job but he doesn'treally like your.
Your own hours.
You go wherever you know.
You're always really withclients.
Speaker 4 (29:05):
So you're your fucking friend there's working
to I go on vacation.
It's like I'm always on myphone too, so I can never really
disconnect.
Speaker 3 (29:12):
I tell people the old-fashioned concept that work
is done at a location.
Yeah, yeah, you know, like Idon't know about you guys, I
don't have to be at my office towork.
I've been sitting here fucking,working, the whole fucking.
Speaker 4 (29:24):
It's just you know, at all times I mean I get people
that call me and email me.
Speaker 3 (29:29):
I mean I'm you know, you guys know you sometimes you
text me or email me.
Speaker 4 (29:33):
I'll respond to that too.
Speaker 2 (29:34):
Yeah, and it's also like sometimes I'm not texting.
I am, even though I'm textingyour work.
I don't feel like I'm textingyour work because it's they see,
right like I'm texting him.
I'm on a fuck, I get text.
I'm on a Sunday morning aboutsomething and it's work.
Speaker 4 (29:46):
Well, that's also been part of my success, right?
That's?
That's really what's helped me.
It's I've always gone above andbeyond and if you need
something I'm gonna be there.
If you need to call me.
If you didn't matter if it waseight o'clock yeah, you know, at
night six o'clock.
Speaker 3 (29:59):
It's fucking work even when it comes from from
your friend.
Speaker 2 (30:01):
It's just that it's less Unpleasant yeah, exactly,
you know, because well, somefriends are still oh no, no shit
yeah.
Speaker 1 (30:09):
I think that the argument that that society has
moved to a very much moretransactional basis is a very
good one.
I mean, there's so few places.
This is what I teach with realestate and everything.
I mean, who do you work with?
Who do you have that?
You say, oh, that I got a guy.
You know you got to talk to myguy.
Right, it sounds like that'sthe relationship you have with
your customers.
Oh, thank you, you gotta go seeJC.
(30:31):
Yeah, I mean I talked to peopleabout my father.
My father used to buy a brandnew Cadillac every single year.
He would ocean Cadillac andthere was a guy down there named
Bernard Lipman, nick name Lippybecause you had to have a
nickname.
So 1960s, everybody's got anickname, but a brand new
Cadillac every year up until1975 1975 things change he
didn't buy another new car till1989.
So like 14 years, no new car.
(30:54):
Who do you go see Lippy?
Because he's got a guy and sodoing business in such a way
that you give people thisfeeling like, why would I work
with anybody else?
It's what's largely missing.
There's no loyalty in any.
I mean, where is there loyaltyin anything that you do anymore?
And so fostering a culture ofwhen you work with a customer.
(31:16):
The win is not closing thetransaction, the win is closing
the customer.
They don't do business withanybody else other than me or I
screwed up.
It's just not part of how we dothings anymore.
Speaker 2 (31:29):
So vice president for Stonegate, then the whole
Stonegate being bought outsituation right?
So Income's Centennial Bank,which is an Arkansas headquarter
bank, which is very interestingthat you're in Arkansas in the
company.
Speaker 4 (31:42):
Yeah.
Speaker 2 (31:42):
I'm like the token Latin that's down here right.
Speaker 4 (31:45):
But they came in and I honestly I was weighing a
couple of their offers and it'skind of like they made me the
offer I couldn't refuse kind ofsituation.
So I stayed on board and it wasa great decision because they
since the beginning they'vereally trusted in me and listen,
it goes both ways.
I think it would be virtuallyimpossible for them to kind of
(32:08):
put somebody in here from thereto do what I've been able to do.
Speaker 2 (32:13):
You're not bringing John Smith's market to the
market.
Speaker 4 (32:15):
You can, it doesn't work.
This is just a unique marketand you got to know how to
maneuver around and know thepeople, know who to lend to, who
to lend to, who are the goodpeople or the bad people.
You need to know all of thatand it's been great, I mean,
they've been good with me.
I mean, listen, the region Ioversee is the most profitable
one in the entire bank, so we'vedone a good job.
Speaker 3 (32:37):
We've got a great team.
Speaker 4 (32:38):
Yeah, I built the team.
So we've got a great team downhere, We've got great people and
it's been a great.
You know, past almost six and ahalf years, seven years.
It's going to be next year.
Speaker 2 (32:50):
So it's been a great yeah.
Yeah, it's crazy how a timepasses man, time flies.
Speaker 4 (32:55):
But, you know, the interesting part too is, you
know, going from Stonegate andStonegate grew and I was able to
do more and more with clients Iwas getting like tapped out
with what I can do with clientsBecause you know you've got
limits on what I can lend anyindividual person and you know,
even from a larger scale, ifthey're doing businesses with
different people, it all getscombined and you're limited.
(33:16):
So, income, centennial Bank,much larger balance sheet and
now we're, you know, I went fromthree billion in assets to 22
billion in assets and that gaveus, you know, more firepower now
to really get things done.
And clients that were likedoing maybe one deal with us now
are doing three deals with us,five deals with us.
They were doing a deal that was20 million, now we're doing 100
million.
So it's really given us thatopportunity to grow with our
(33:40):
clients, which has been reallygreat and unique.
Speaker 2 (33:43):
Yeah, and it's not only that.
I mean, look, you know, you'realso, the service is also great
and stuff like that, and I don'tknow commercial person.
Speaker 3 (33:50):
but you know like.
I give the commercial all thetime.
Speaker 2 (33:57):
Just the logo on the bottom corner of the screen for
yeah.
Speaker 4 (34:00):
Listen, we got great people here I mean people love
banking with us because we gotgreat people.
I mean you, I mean you bankwith us.
Speaker 1 (34:05):
There's great people, you bank with us, you know.
Speaker 2 (34:07):
I mean someone's not always talking to me.
Speaker 4 (34:09):
I mean you're talking to people on the offer that you
offer?
Speaker 2 (34:11):
I don't know.
I don't want to mention itbecause I don't know if
everybody gets so certain.
You know what I'm saying we gotsome pretty cool.
Speaker 4 (34:18):
You've enjoyed some special services.
Yeah, I would say we're alittle bit on the VIP section.
Yeah, yeah, yeah, there is a.
Speaker 2 (34:24):
VIP, so yeah, so, so, what so?
And did you ever you know?
So what you, so, what you areright now as far as a president?
When you started, you were like.
You were like that wasn't, thatwasn't like you couldn't have
imagined you know I wanted togrow.
Speaker 4 (34:44):
I didn't think, listen, you always have
aspirations to do something andsometimes you don't think you're
going to do it that quickly,right, and I think I was able to
grow, you know, fairly quickly,you know, and that was kind of
like nice.
But you know, at the same timeI worked for it, right.
So, but it was, it was lookingat the right opportunities, you
(35:05):
know, being ready for them,because that's the key to you
got to be ready when thoseopportunities present themselves
in any business, right?
Speaker 2 (35:12):
What changes are you seeing?
Changes in clients too.
Are you getting more clientsfrom California and stuff?
I mean, are you?
We had a migration of clients.
Speaker 4 (35:19):
It's the migration of the population here that's come
in from New York, California,Chicago.
Speaker 2 (35:25):
Is that like a certain percentage already of
your guys, or even you know?
Or what are you seeing?
Speaker 4 (35:28):
You know, we still see a lot that are from here,
but we've seen more that arefrom New York, chicago,
california, and not only justdirect, also being involved.
Right, howard has a project andhe's developing something.
Well, now one of the partnersis this guy from New York and
that guy, you know, insertshimself there and they grow that
way.
Right, I'm going to do thisdeal and that deal.
(35:50):
So, yeah, we've seen a lot ofthat.
Honestly, I don't, I don't seeit stopping.
Speaker 2 (35:54):
Yeah, that's my next question.
What are you seeing?
What are you seeing for 2024,?
Man, what do you?
What are you?
What are you seeing nationally,because I'm sure you know again
, you're a bank being inArkansas, yeah, okay.
So actually I'm going to turnit into a question.
Your bank is in Arkansas, right?
Is there almost two meetings?
Is there like what's happeningin the whole United States and
(36:15):
what's happening in Miami?
Is it separate?
Are you guys looking at it?
Miami is such an internationalmarket that you kind of know yes
and no.
Speaker 4 (36:22):
I mean you still got to look at all risk.
You know, kind of equal almost.
But I think everybody knowsthat we're a little bit
insulated down here.
Speaker 2 (36:30):
Because we're so international and national
almost yeah.
Speaker 4 (36:34):
Listen, prior to COVID we had so much
international presence and boost, economic boost, and then,
after COVID, you saw thisdomestic boost that we just
didn't see before, which hasreally changed.
I think.
South Florida forever, and Ithink that's just going to
continue.
Speaker 2 (36:49):
Yeah.
Speaker 4 (36:49):
But we see it.
I mean this, you got to look atit all the same.
But obviously everybody knowsthat down here it's going to be
a little bit different.
You know the property valuesyou know are still maintaining.
You know we're not seeing anyreal concerns today.
I'm not saying that's not goingto happen, but, you know, has
the market cooled off a bit?
Yes, but that's listen.
Speaker 2 (37:07):
That's a good thing too.
You couldn't stay that way.
Speaker 4 (37:09):
No, it wasn't sustainable and we all knew that
was going to happen.
Now you just don't know ifwe're going to have some kind of
you know, major downturn.
I don't see it.
I don't see any signs of it.
Yet there's some concerns outthere with some debt.
That's out there.
You know we saw some concernswith banks.
There's still some concernswith banks.
Is there some banks out therethat have?
You know they do have someliquidity issues and their
(37:30):
margins are very thin.
You know, when we look at someof these banks, when you're you
were lending at 3-4% and youwere giving these long-term
rates and then now the depositrates have gone up and you're
now you're giving that same guy5%, that business model isn't
exactly, you know, ideal right,but you know there are some
concerns out there.
(37:50):
You know the economy is Wellcommercial.
Speaker 2 (37:52):
commercial is going to take an ass whooping.
You're going to see some of it.
Absolutely Multifamily.
Speaker 4 (37:56):
Listen, there's a lot of CNBS paper that's coming due
.
Speaker 1 (37:58):
When these, when these rates, you know that we're
at 4% or now at 7% 8% some ofthese properties can't handle it
, yeah, but LCBS has gone downto that's really if I could.
I'm sorry, yeah, but there'salso been this huge rent
increase that we've seen in yourmodels.
Is it showing that the rentincreases are going to take and
(38:19):
cover that spread, or are yougoing to see people with a
serious liquidity issue thatcan't refi?
Speaker 4 (38:24):
It depends on how leveraged they were.
You know there are some deals.
Listen, last year I looked at alot of deals that they would
have worked at 4% but theyweren't working in our
environment.
But you know, there were banksthat did these loans either way.
I mean, I will tell you us, asa bank, we always sensitized our
deals, like so, if the rateswere today at 5%, we were
looking at 8% just to make surehow it worked.
(38:44):
You know, and a lot of banksdid that too.
But there's there, there aredeals out there within your
underwriting.
Speaker 2 (38:50):
Yeah.
Speaker 4 (38:50):
Yeah, we did.
You know we did that in ourunderwriting.
Speaker 3 (38:52):
You know you have to wait, let me tell you the
downturn.
There were banks that obviouslythere were banks that that went
down, and then there were banksthat, like, not only did they
survive but they actually kindof thrived.
Speaker 1 (39:04):
I gotta read the book , all the devils were here.
Speaker 3 (39:06):
Yeah, no, here's a great Sun trust is a good
example of a bank that, likethey, they ate people's fucking
lunch During the downturn.
I mean they just didn't have.
I mean it.
They're still here.
Speaker 4 (39:16):
Yeah, you know, listen, the healthy banks are
are gonna do great right now.
You know, I think we'll seesome mergers and acquisitions
next year.
I mean we're actively looking,so you know it's like golf man
Every shot makes somebody happy.
Speaker 3 (39:29):
Yeah, yeah.
Speaker 1 (39:32):
You know, it's just, it's just the way, like fucking
Jeff.
Speaker 3 (39:34):
Bezos, he'll take a fucking pandemic every five
years.
Bro, you're kidding me?
So we'll home Depot Publix.
These people crushed it, youknow, and what I hate, though,
is that I think a lot of thenegative narrative out there
there's, there's two kinds ofpeople that fuel the oh, the end
of the world is coming.
There's the people that hatethe current administration, so
they, they want to make it seemlike it's the end of the world,
(39:55):
right, okay.
And then there's the people thatbenefit From these kinds of
difficulties, like there's a guythat you know I'm not gonna
mention his name, but he'sfriends with my boss too and we
saw him the other day at Riviera, you know and he comes out and
and you know they, these, thesemulti fucking millionaire guys,
always have the sameconversation.
(40:15):
You know, like, hey, what areyou doing?
What are you doing?
You know and like, and so thisguy's like I'm selling
everything that isn't bolted tothe ground, you know, because
I'm selling high, because I'mseeing the cracks, and the next
year I'm gonna fucking pounceand I'm gonna do all this shit.
And it's like, and it's likehe's dying For people to suffer,
yep, okay, so that he can like.
You know so, so, like, when itdepends on.
(40:36):
You know, it's like an old lawschool professor had used to say
where you stand depends onwhere you sit.
You know, so it's like if, ifyou fucking, you know, if you're
looking, if you're looking tobenefit from the suffering,
economic suffering, of others,then you look at.
You can't wait, bro, you can'twait to fucking be in there and
swoop in on these deals, thatwhen the fucking it comes up for
(40:56):
renewal.
You know, jc and I were talkingabout it like a year ago.
The renewals were gettingtougher, like I do a lot of the
banks.
Speaker 2 (41:03):
LTV's got that too right, so it's not only the rate
.
Speaker 4 (41:08):
You know, I'm probably refinanced.
Speaker 2 (41:10):
It has to be some money in that deal.
Speaker 1 (41:12):
Yeah, I think the DSCR is.
Speaker 4 (41:14):
It's all about cash flow on an income-producing
properties.
It's all about cash flowbecause it this and cap rates
haven't really moved the wholelot either.
So, and especially down here,and it's because people see the
value, long-term, somebody maybe willing still to pay up.
You know, for four and a half.
Speaker 3 (41:28):
I'm something, because they're like you know
what ten years from now?
Speaker 4 (41:30):
I don't care.
Speaker 3 (41:30):
No, I mean listen it's another great example of
cattle, like just said DSCR, andI guarantee there's a lot of
listeners that are like what thefuck is DSR?
Coverage ratio yeah thatservice coverage, but then you,
even you translate it and stilldon't get it.
You know it's like it's thesame.
Speaker 2 (41:43):
It's the same, it's the same thing, yeah.
Speaker 1 (41:45):
It's the same thing that we do with looking at
people's debt to income ratio.
But yeah, property, because asa lender you're underwriting the
property.
If that's your collateral, ifyou have to take it back, you
want to make sure it makes sense, it works, and so it's.
Speaker 4 (41:58):
I'll tell you, most new projects we look at today,
when you're looking at it from adebt service coverage ratio
Right, they're only working at50 to 60% leverage.
Yeah, that's just across theboard.
I, you, I've seen a hundreddeals in the past month.
Speaker 1 (42:10):
They're all in the same range, because cap rates
are as low as they are andinterest rates are where they
are, yeah, and the ratio betweenthe two establishes how far
they can go.
I mean, the thing that I alwayswondered and this is kind of
what I was kind of asking is2020.
I know where our rents were, atleast in the residential side.
They're significantly higher in23 and they were then along
seeing a softening in the rents,because I think that the shadow
(42:30):
inventory of short-term rentalsyeah, softening that market a
little bit, they're beingrepurposed as long-term rentals
is, is the amount those rentsgone up on multifamily, at least
in certain in certain cases itwill be, in other cases it won't
.
Speaker 4 (42:44):
You know, and we looked at that even on on new
projects before the rates weregoing where they were going.
But you saw the theconstruction cost.
I got up tremendous.
Yeah, so there's no yeah, soyou're looking at construction
costs.
But the thing is, values andrents went up substantially more
, so it didn't matter it covered.
Then you know you enter.
Now you know the interest rateincreases that came in the
insurance issues.
(43:04):
Well, that's a whole notinsurance is a whole.
Another problem we have inFlorida and that's what do you
think's gonna happen with that?
Let's talk about that.
Speaker 2 (43:10):
Have you heard anything, richard?
What's gonna happen?
Speaker 3 (43:12):
They fucked for years , bro.
There's no quick fix.
There's a what if I had a ton ofmoney?
I would, in that I would startan insurance company in Florida.
Why?
Because, bro, there's a hugeopportunity for people to make
money.
In fact, there's a FloridaCongressman who's a very wealthy
guy not congressman, alegislator, he's a member of the
(43:34):
state house.
He's an extremely wealthy guy.
He was in insurance businessand he was just being
interviewed the day talkingabout how he's looking to invest
Is.
There's a lot of opportunityfor carriers that want to come
in.
Obviously, you got to becareful, you got to measure the
risk, but there is a lot ofmoney to be made right now in
insurance.
Speaker 4 (43:51):
You got to get insurance.
I mean, listen, I think thebanks overall are looking at
like I'm getting a lot ofrequests recently for like
waivers of wind.
Right, if we're gonna wave wind, we got to really take a deep
dive into what.
What our risk as a bank isright, what's the land value?
Because if everything gets,right away right if the land
value is high enough.
You know if they have lowleverage, you know you got to
(44:13):
look at, you know the strengthof the, the actual, you know
principle there's, there'sfactors you got to look at and
listen.
We, we're getting requests allthe time to kind of see what
they can do and we've we've goneeven outside of looking at a
barometric insurance, which isbasically an insurance policy
that Pays out based on how closethe eye of the storm is to your
actual property and that couldsave on a big it's more so for
(44:35):
large, like if you have a hotelor something it could save you a
substantial amount of money toyour more like conventional oh
listen, we don't have when wasso expensive that we don't have
it at the restroom and we're onthe fucking water.
Speaker 3 (44:47):
Yeah, we went to the county and we told them flat out
of go a week, we can't, we.
There's no way we can.
Speaker 1 (44:52):
Business model does not work.
Speaker 3 (44:54):
Sorry, yeah just roll the dice.
Speaker 4 (44:56):
No listen.
We have some crazy scenarios wehad this one guy was building a
house in the keys and the buildwas like a million a million
and change His flood insuranceor not as flood, his, his wind
insurance was 250,000 dollars ayear at the time.
How does that make?
Speaker 3 (45:10):
any sense.
No, no, they, we.
They offered us 500,000 incoverage for 300 grand yeah on
the year, and I was like I'lllight a candle and just pray.
Speaker 2 (45:23):
Everyday.
Speaker 3 (45:27):
Today's November 30th .
In fact, hurricane season endstoday.
Now, of course, last year Ithink we had a storm in December
or that formed.
It didn't, it didn't come here.
But, um, you know, it's likewhat we were talking about in
the prior interview.
All the old Metrics are likelosing their validity.
So it's like now you get stormsin December.
So I don't know that you shouldcancel hurricane season as of
November 30th, but but we'rehappy.
Speaker 4 (45:48):
We're happy now you know that, like we made it bro,
like this year, Whoo, you knowno problem.
So you know, next year we'llsee what the insurance looks
like, but if it's the same, ifwe have a few years where we
don't get any major storms, Imean that's gonna help out a bit
.
You know, it's all based onhistorical and claims.
So we took a bath?
Yeah, no, we had a lot.
How many?
Speaker 3 (46:07):
hundreds of billions in claims with just Ian.
Well, I think you need somemore sort of storm.
Speaker 1 (46:12):
Yeah.
Speaker 3 (46:13):
Yeah, and the problem , and also, of course, just the
the luck that that huge stormHit a place that's made out of
wood, you know, like those oldlittle fucking beach towns, bro,
like everything is wood youknow, like the Florida building
code has been around sinceAndrew, but some of those
buildings are from before.
Speaker 1 (46:30):
Andrew.
Well, the Andrew code is only,was only the high was a day they
brought each count and so, asstorms have hit and this is the
as a builder, like when I tookmy GC, there's the code, then
there's the code for daybrow itin my and Palm Beach County,
yeah, and more and more countieshave just started to adopt.
Speaker 3 (46:47):
Yeah.
Speaker 1 (46:47):
I mean, well, they have to.
I was doing an inspection inOcala and I'm used to windows
and then window inspection Ocala, and so down here they take and
they go with a screwdriver andthey check every fucking earth,
every window right.
Okay, I Got another Ocalainspection.
I walk in a differentcontractor did the job and I'm
looking the screws missing inthe frame and all this kind Of
(47:09):
stuff.
Speaker 4 (47:09):
I'm like, oh my god, yeah well, listen, there
shouldn't be a trailer park inFlorida, in my opinion.
I mean, think about it.
Oh hurricane comes through it's.
Yeah, I mean we saw it.
I mean it's, it's it's a.
Speaker 2 (47:19):
Thing.
Speaker 1 (47:20):
So the water or woodhouses or trailer.
So the Ocala inspector comes upright, he walks in, he pushes
in the window he says lookspretty good, signs the permit
card.
It's like so, counter to whatI'm used to.
But yeah, the non-high velocitywind sections down here.
Speaker 3 (47:36):
Yeah, microscope and now and now again.
Speaker 4 (47:40):
You're not gonna see them, all those trailer parks
that were on the coast there.
You're not gonna see themrebuild those now.
Speaker 3 (47:44):
They're gonna do nice concrete Buildings and we were
talking about that earlier withGaza might be a good time to
look at buy some property.
Speaker 1 (47:52):
I'm about to be rebuilt, yeah.
Speaker 4 (47:59):
So, yeah, I gotta go.
Speaker 2 (48:02):
That's why I'm trying to wrap it up with a thank you.
They see?
No, we got to do this again,cuz.
Speaker 3 (48:06):
I'm gonna start whenever sound on air.
Thank you remember earlier youwere trying to get me to thank
you.
I want to take a moment tothank JC.
Speaker 4 (48:16):
Thank you.
Speaker 3 (48:18):
Me and most of everyone I know above water.
Speaker 4 (48:23):
Listen, I'm happy that that when I was able to
help, I did, and I'm seeing allthese individuals Succeed and
being so much more successfultoday and sound and just to be a
part of it some way.
Some house amazing.
Speaker 3 (48:34):
By the way, the JC will dining guys.
Speaker 4 (48:35):
A great idea All right, I love you, bud coming.
Speaker 2 (48:43):
We'll do it, we'll do it again with more time, or you
like let me know elaborate,I'll be available.
Speaker 3 (48:47):
All right guys Looking forward to the negative
comments.
Speaker 1 (48:52):
Please don't forget.
buys the Porsche immediately has to stop driving
it, because he could never showup to a business meeting or they
wouldn't assume, because he'sdriving the Porsche, that he's
not overcharging them.
And there's this whole likeculture of if somebody else is
doing well, it's at my expense.
What's interesting?
Yeah, no, it really really.
Speaker 2 (00:16):
We'll hear Miami's the other way around.
Speaker 3 (00:20):
Like me, financially errant.
Like, yeah, have a Porsche, butplease don't ask me for 50
bucks.
Speaker 2 (00:40):
All right, so this is now 38.
38.
All right, we're doing 37 andwe're trying to rack up two
interviews in one day, so thisis 38.
But yeah, still the same.
We're still in the same attire.
Speaker 4 (00:55):
So uh, so it took you 38 to invite me.
Is that what you're trying tosay?
No, we just started doinginterviews really.
Speaker 2 (01:03):
You're actually the second interview Really, yeah,
only really because of thetiming, because, like he came
first but we should have put youfirst one big yeah, yeah, yeah,
yeah, yeah, yeah makes sense.
So, yeah, again, it's it's weird, you know, interviewing friends
because you know it's it's youkind of know the stuff.
So you're like you know it'sit's weird to ask the questions.
(01:23):
But, um, you know, one of themain reasons why, you know, I
think it's interesting to bringJC in here is because I don't
know if there's any other people.
That fucking started as a Firstof all, you're, you're, let's,
let's see who you are, because Iforgot to let them know.
Speaker 3 (01:39):
Maybe we don't get through 34.
Yeah, this is uh.
Yeah, last time I said I don'tknow my name.
Speaker 2 (01:43):
Yeah, I didn't say Mike Gall's name till the
fucking 30 minutes in.
So, uh, jc banker to the stars,deona, all right.
Uh, president of CentennialBank, right, you're uh regional
president or what's the exactterminology.
Speaker 4 (01:58):
Yeah, it's regional, the title's division president.
Speaker 2 (02:00):
Division president.
Basically.
Speaker 4 (02:02):
I have a region which is basically all the southeast
Florida.
Speaker 2 (02:04):
All the southeast Florida, so Miami all the way to
the Keys, because I knowthere's stuff in the Keys, guys
say it's technically Palm Beach,broward and Day County.
Speaker 4 (02:12):
The Keys is kind of like its own little Right.
Speaker 2 (02:15):
So I'm not gonna say there isn't anybody um that
that's done the same thing as JC, because I wouldn't know for
sure, but I can't imagine.
There's many people thatstarted as a fucking teller
right, and our president of abank.
I mean, do you know of anyother ones?
Speaker 4 (02:32):
On the top of my head there's maybe like one or two
that I know.
Really, you start off with ateller.
Yeah, you should have just saidno.
Speaker 3 (02:41):
One of the guys he knows is listening and he's like
you know me?
Speaker 4 (02:45):
Yeah, no, but you know, I think something unique
is not not only that I startedas a teller, but I worked in the
retail side, you know branchmanagement operations, then I
went into private banking andthe commercial.
Speaker 2 (02:57):
So it did a little bit of a small bank big banks
medium-sized banks.
Right, right, right, becausewhen I met you you were vice
president of the smaller ofStonegate, which is a way
smaller.
Those are good days, waysmaller banks, stonegate.
They were fun.
We're interesting yeah.
Speaker 4 (03:15):
They were fun.
Speaker 2 (03:16):
Good days and then, uh, we can see that, there we go
.
That's the thing about howyou're interviewing a friend.
We're, we got to leave it there, so that's legal.
That's legal, no, no.
Speaker 3 (03:28):
Yeah, all, right All right.
Speaker 4 (03:30):
I'll write a book one day.
Speaker 2 (03:30):
Yeah, it was all legal I'll change the names.
Speaker 3 (03:33):
One when the factory limitations is changed.
Amazing man.
Speaker 2 (03:37):
Yeah, so the banker to the stars thing I am, I
definitely was the one whoinvented that name.
That's a fact.
Speaker 4 (03:43):
I think you're the only one that calls me.
That's fine, but we're gonnaget there.
It's gonna be a day where itcaught on to some people, some
people yeah, banker to the star.
Speaker 2 (03:49):
I mean is there, is there, because I you know, I
know it's tricky is there, isthere.
Can you throw a couple of thestars out there that you're that
you've been a banker to?
I mean there's some that arepublic.
Speaker 4 (03:59):
Rich, barbara, yeah, I mean it's out there as some of
the guys, a couple names youknow Rick Ross, which you know
rapper, I think I mean even onsome videos you are?
Speaker 3 (04:15):
Yeah, I need to wait for my banker and you see JC
walking in at the party.
I don't even know what's goingon, but you know.
Speaker 4 (04:23):
Dwayne Wade's another one and these guys have become
friends over the years, so it'sright so it's like you guys know
a lot of the people I deal with, yeah.
Speaker 2 (04:30):
Yeah Well, I know, I just don't again, I don't want
to go out there and be like ohyeah that's the way the banker
to the stars comes up, becausewhen I met you, I didn't like
you.
Speaker 4 (04:37):
when I met you, I don't think anybody knows that's
listen, it's a common sense.
Speaker 3 (04:41):
Richard definitely didn't like, that's a fact.
Speaker 2 (04:43):
I mean he objected to even meeting me.
Speaker 1 (04:47):
Yeah, so, absolutely.
So it was a preemptive no, no,no, no actually.
Speaker 3 (04:51):
I insisted on meeting him so there you can tell me,
with a straight face, the samething he said to my partner
which I found just unbelievable.
The balls on the.
Yeah, I was like who the?
I'm like I got to meet this guyso he can fucking tell me.
And sure enough, bro is amazing.
He told me just like that.
I'm like, okay, I like this guy.
Speaker 2 (05:09):
It was the deal I was offering, to see that he had an
issue with it was, you know,like yeah, he's like you do
everything and we'll pay nothing.
Speaker 3 (05:16):
Right, pretty much so the season they got a father
too.
Speaker 2 (05:19):
Yeah.
My offer is which, by the way,which, by the way, was the best
investment.
Speaker 3 (05:24):
Best investment ever, by the way.
You know what my work.
Speaker 2 (05:27):
We didn't get to congratulate you officially.
You're officially chairman ofFrick, right, I am officially
the chairman as of like ithappened within.
Thank you, it happened within,like the last month that we've
been kind of off a little bit.
Yeah, last 30 days, last 30days, right, is there anybody
you want to thank in particularfor for this, you know
assignment and this?
(05:48):
God, okay.
God first, you know we canleave him for last, and is there
anybody who influenced you?
Speaker 3 (05:55):
maybe no one else comes to him.
Speaker 2 (05:57):
No one else, anybody who also influenced you into
maybe getting into the business.
Speaker 1 (06:01):
No one else.
I know what is going.
Speaker 2 (06:03):
It was great to be right in the middle of this.
I mean, is there anybody whoyou know?
You would say that you know youwere like you know me, didn't
want to get into real estate atall, and then you know, they
were just kept on pounding onyou to get into real estate and
that's why you're the chairmanof Frick, right, I can't think
of I can't think of who thatnames come to me.
Let me tell you this guy's anungrateful son of a bitch.
Speaker 3 (06:21):
You know I would.
Speaker 2 (06:22):
I would.
I would have called and be likehey man, listen, all jokes
aside, you know, like you know,you're at a really huge part of
me getting into real estate.
You know I didn't want to do it, I would.
I would at least send a letter.
You know text, man.
You know nothing, nothing fromthis fucking guy.
Speaker 1 (06:36):
What do you think about that?
Speaker 3 (06:36):
You knowing both of us, do you?
Speaker 2 (06:38):
think.
Speaker 4 (06:39):
I would deserve like a marriage, his way of showing
love.
Speaker 3 (06:44):
I'll take that.
I didn't tell him though I'mlike I just want you to know.
I was like I will respond tochairman.
Your higher, higher, what isthe word?
Excellency, your excellence, Iwas.
Speaker 4 (07:01):
I was on a call with him the other day with with the
lender and opposing council, andhe did throw it in.
I was you know, because I'mchairman of Breck Did he Did I?
Yeah, you did.
I don't know, but you said it.
I was like I don't know, yeah.
Speaker 2 (07:14):
Well, yeah, I, I've, I've, I've, I've, I've, I've,
I've, I've, I've, I've, I've,I've, or maybe it wasn't sure,
or your part or you were amember, you know serve on.
Speaker 4 (07:20):
Yeah you threw it in there as just like as a jab A
little herbal hand for me.
Speaker 2 (07:24):
I know what I'm talking about, just tossing it.
It's interesting when you, asthe chairman of Breck, I
obviously know what I'm talkingabout.
Speaker 4 (07:30):
It's interesting when you get you know two attorneys
and then, if some, it's always adick measuring competition.
Speaker 2 (07:36):
When one wants to have a little bit of an ego.
Speaker 3 (07:37):
I try never to make it like that.
Speaker 4 (07:40):
But, bro, they come out and Richard go that are just
like that.
Speaker 3 (07:43):
bro.
There are some people I willsay he makes it entertaining.
Speaker 4 (07:49):
Sometimes I jump on the call just to listen to see
what goes on.
Yeah, yeah, I mean, when youget to attorneys it's always a
big measuring competition.
Speaker 2 (07:55):
And if you had a real turn?
Speaker 4 (07:56):
in there We've had some interesting ones.
Speaker 3 (07:57):
Oh my God, we've had some interesting ones, yeah yeah
, we've had some interestingones.
Speaker 1 (08:00):
The worst is when, as a real estate agent, when you
get a real estate agent that iscompetent and assumes, by the
fact that you are another realestate agent, that you must be
incompetent, it is automaticallythe zip and you can hear it.
You can hear the zipper comingdown.
Speaker 2 (08:14):
Well, there's no, there's no situation where an
attorney feels the need tomeasure his dick more than when
he's with a realtor a competentrealtor that makes you know and
he's making a certain amount ofmoney on the deal.
Those guys, that really pissesattorneys off.
But I think that's actually whywe're in this whole commission.
Speaker 3 (08:32):
It's not a certain amount of money, it's that it's.
It's a grossly disproportionalamount of money.
Speaker 1 (08:36):
That's fine, that's fine.
Speaker 3 (08:38):
Yeah, and, by the way , these are ending.
Speaker 2 (08:40):
No, they're not.
I'm telling you they're not.
I'm telling you they're not.
I'm telling you they're not.
Speaker 4 (08:45):
I'm telling you they're not.
Have you heard about the whole?
Speaker 2 (08:47):
commission thing with the realtor.
Speaker 4 (08:49):
Yeah, of course, of course, yeah, I mean, I'm not
surprised if something wascoming right.
Speaker 3 (08:53):
No, it's, it's real bad.
It's going to be bad.
It's going to be painful for alittle while.
Speaker 2 (09:00):
Yeah Well, I again.
Nobody forces a seller to paycommission.
Nobody forces a seller to paycommission, right?
So I don't.
I just don't see the issue.
I think it's all going to getcleaned up.
It's all going to be, you know,because at the end of the day,
especially here in Miami maybearound the country you see it
less where it's really 6% and 6%here, bro, you got to fucking
(09:22):
bro, you got to get on yourknees, you got to have knee pads
to get 6%.
Speaker 1 (09:26):
You know what I mean.
Like it's a deep throat.
Speaker 2 (09:29):
And here's another thing.
So Richard, so Richard, sinceI've been in the business right,
and I'm telling you becauseI've hated them every second of
it.
There's always been those flatfee companies.
You've heard them right?
Yeah, they've always put it onthe MLS.
They've always been around,always, until this day when I
started.
It was horrible.
Right, there's realtorcom.
You can put it on.
(09:49):
You can put it on, you know,it's same as MLS, or better,
right, you get the wholesituation.
So I just don't see, but Idon't want to go into that whole
thing.
We're here for JC and we'rehere to celebrate JC's success
today.
All right, so, thank you, thankyou, even though it was B the B
person.
Speaker 4 (10:03):
No, you're right.
No, you could show up late.
Speaker 2 (10:05):
One B, one B.
So you started off as a teller.
What was the second?
What?
Speaker 4 (10:12):
was the second step From teller and went on to like
platform.
You know you go into a bank,the people that open the
accounts they call the platform.
Speaker 2 (10:18):
You sit at a desk now .
Yeah, I got to sit on my desk,not in the window.
Speaker 4 (10:21):
Yeah, it was all cool to sit at a desk Right, but
then I did operations management, so you're kind of all the back
office.
Speaker 2 (10:27):
So you went in there thinking you wanted to be.
You wanted to be the presidentof the bank, or that wasn't even
in the fucking no, no no, no.
What was the?
What was the main goal?
Like, oh man, if I could bethis.
Speaker 4 (10:38):
You know, when I was a teller and this was back in 98
, 99, you had the dot combo andI was watching these.
You know these guys with theirseries seven, these brokers, and
they were making all this moneyand you know they had the nice
suits and I want to be thoseguys, right, and at one point I
was kind of like, okay, I wantto, I want to be and I want to
be a broker, I want to be inthat, in that side of the world,
(11:01):
on the financial world, and andI was on track and that's what
I want to do, I did, I got allmy licenses and all that.
And when I was in wealthmanagement, private banking, you
know you're a banker but you'realso doing investment.
So I went to that role.
But in between I kind oflearned other things as I was in
the branch.
I was in retail and operations,doing sales, all of that.
And I got an opportunity when Iwas at Wacovia at the time and
(11:24):
I had one like the financialperson of the year, whatever.
Speaker 3 (11:28):
And they're like what do you get?
Yeah, whatever they call it,they gave me like a silver plate
.
Speaker 4 (11:33):
You know it's like oh you know, and they, they asked
me what do you want to do?
They wanted to keep me in thebank because they want to be in
private banking.
I was young, you know at thetime what?
Early 20s, yeah, and they'relike, you know it's.
Speaker 2 (11:45):
Private banking.
You got it yeah.
Speaker 4 (11:47):
Private banking was the hardest division in a bank
to get into, because everybodywants to be there and it's small
, it's close knit and you knowit's kind of like you know the
right.
So they gave me the opportunity.
The next week they called meand they're like hey, if you
want the job here, it is sobecause you were a financial guy
here or whatever.
Speaker 2 (12:06):
I got the place.
You were able to kind of likedictate a little bit.
Speaker 4 (12:10):
It's like when, when the light's shining on, you,
take that opportunity, yeah, andthat's that's kind of what.
Speaker 3 (12:15):
That's what kind of happens.
Speaker 4 (12:16):
It's happened multiple times and that's kind
of you know, and even when yougo from one financial
institution to another, you kindof want to grow in the role,
grow in your title, grow in yoursalary and that's kind of you
know the trajectory you want totake to make more money and to
grow within.
You know the banking world.
Yeah, and so after that you wenthow many steps to get to like
(12:39):
the actual, like vice presidentpart, where you know like it was
when I moved from one bank toanother and it was Wacovia to
regions at the time, which isregions Morgan Keegan, which was
their wealth management, andthat's where I went kind of into
the vice president role title.
You want to call it that, butbanks have like 50 vice
presidents.
Speaker 3 (12:57):
Yeah, senior vice president at Stonegate.
Yeah, that's when you're an SVP, the.
Speaker 4 (13:01):
Stonegate move was interesting because you know I
was going to either leave and bea market president for private
banking for a well-knowninstitution at the time or go to
start this DeNovo.
You know region for the bank,you know market for the bank
because they were alreadyexisting in Broward County and
they didn't have anything inDade County.
(13:22):
So it was like, all right, come, you're going to open a new one
.
I mean I didn't have an office.
I mean it was just like this isa new thing, right.
Speaker 2 (13:29):
And something it took a large level of balls.
Yeah, no, absolutely.
Speaker 4 (13:33):
And the bank was small when I got there.
Speaker 1 (13:35):
But that's a thing more than the bank.
Morgan Bank gets called thetesticular fortitude.
Yeah, I know it is man.
Speaker 2 (13:40):
And let me tell you that, that you know you can't
just kind of gloss over that.
Speaker 1 (13:44):
You can't gloss over that because you know, again
it's.
Speaker 2 (13:47):
We've already gone very quickly.
We've gone through twodecisions where JC is like oh
fuck it, I believe in myself.
I'm taking the next step, wherepeople would be maybe afraid,
I'm like or let me chill withthis plate for a little bit and
relax.
You know what I mean, you knowyou're like no no, no, let's go.
And then, all of a sudden, thenlet's go again and you're, and
you're, and you're figuring back.
You know the interview we justdid right now, the same thing
(14:09):
it's.
You know, you, you, you jumpand then you figure it out.
Yeah.
Speaker 3 (14:13):
You know you don't figure it out and then jump.
You know what I mean.
Speaker 2 (14:14):
Like do it, I know.
I know for sure, I'll be ableto figure it out at some point.
Speaker 4 (14:19):
You got to believe in yourself and your capabilities
and what you can do.
You know, at the end of the day, that's important.
If you don't believe that youcan do something, you're just
you're not going to do it.
Speaker 3 (14:28):
Yeah, so it's, it's part in the words of Alex Capo
irrational confidence.
Yeah, yeah, yeah.
Speaker 4 (14:36):
That's what a bitch definitely has.
Speaker 1 (14:37):
Yeah.
Speaker 2 (14:38):
I love that guy.
Speaker 1 (14:40):
I think it's also and that's what it sounds like you
were always looking for what thenext thing was.
Yeah, I mean, you're alwayskeeping an eye out for what the
next opportunity is, as opposedto just blindly doing what
you're, what you find yourself.
Speaker 4 (14:51):
And you always got to listen.
You know, you always got tolisten.
If somebody's going to come andbring you an opportunity, like
don't be closed minded and belike now I'm here and listen.
You never know, it could betoday or tomorrow, you got to
listen.
And again, if you know whereyou want to get to, you got to
kind of envision the path to getthere.
Speaker 2 (15:07):
Yeah, and you know what One thing that I that I
tell because I'm in a uniquesituation where I'm always like
you know there's always likeyoung kids coming in, you know,
like getting their license andyou're kind of like, you know,
serving a little bit of a mentorrole and everything.
And you know one of the thingsI mentioned, man, that people
just don't really give therespect, and you know it's just.
You know relationships, man,and you know loyalty and
(15:31):
relationships, taking care ofyou know one thing that I know
for a fact that's a huge part ofyour success.
You know, and who you havearound and you know, you know
it's.
You know respectingrelationships, understanding,
taking care of people, makingsure.
You know having a word.
You know your word is as strongas any contract.
You say you're going to dosomething, you're going to do it
(15:51):
.
You know all of those thingsare a huge part of anybody who I
know.
You know success and you knowand again, I think you know
you're one of those you know andthat's.
I guess that's.
I'm skipping questions.
I'll continue on with thistrajectory, but you know it has
to be hard for you to be an oldschool banker, because that's
(16:13):
what you are.
You're like a 1980s banker in2020 fucking four, almost.
You know what I mean Becauseyou're like your clients are
your friends.
You know, like you move banks,I mean everybody's moving with
you.
Speaker 1 (16:28):
No, no, no, that's a fact.
That's where really your poweris.
Speaker 2 (16:32):
Because, everybody dude, you've been, you know
you've been great to, definitelyto me and everybody that I know
is.
Listen and to that point.
Can't get into too much, buthe's been great to us.
Speaker 3 (16:46):
Saint JC.
Yeah, he always has that.
Speaker 2 (16:50):
Your clients are your fucking are.
Your are your again.
You really go out of your way.
Jc, get a hold on Ike A littleJC figurines.
Speaker 3 (16:58):
People have them at the house there, bro, and if you
want a house, you bury it inthe front yard, like they say
Like the human do.
Speaker 2 (17:03):
I should make one of those.
Speaker 4 (17:04):
I should make one of those.
Listen, it's easy to be abanker when everything is great.
Right, you know it's whenthings are not so great or
things take a downturn.
Those are the times that thereal bankers come out and.
I'll tell you I never turned myback on people.
I never like did not pick upthe phone?
Speaker 2 (17:21):
Well you do, Well you do if they're pieces of shit,
Because I've seen you.
Speaker 1 (17:25):
I've seen you.
I've seen you.
Yeah, well, you have this guy.
Speaker 2 (17:28):
I'm not putting my balls on the line for this guy,
and I'm not.
Speaker 3 (17:30):
Yeah, well, you know right.
I mean, you can't be a fuckingyeah, yeah, I mean you got to
know.
Speaker 4 (17:35):
I mean I've been good at picking my way, but that's
the reason why I know.
Speaker 2 (17:38):
Right, but that's that's why.
That's why I'm mentioning it'snot like you're just blanket,
just taking care and you're likeyour clients and everything
it's.
It's you got a pretty damn goodeye for talent At the end of
the day, because I said I'llshare a name free relative.
I'll know right away, just mystory Detail free story.
Speaker 3 (17:56):
That is one of my all time favorites.
I tell it with some frequency.
Speaker 2 (17:59):
Are you sure you can say it in a?
Speaker 3 (18:01):
podcast.
It's very funny.
I'm not Trust me.
Speaker 2 (18:03):
Detail free OK.
Speaker 3 (18:04):
So we have we all have this this friend, co-worker
, you know, business partner ofsorts that we've worked with for
years and it was, you know, inthe downturn.
And it's like after thedownturn was already part of
life, because I don't know ifyou guys remember, but like
there was the crash and then youwere in the shit for like three
(18:24):
or four years of just shit.
Speaker 2 (18:26):
Two solid years yeah.
Speaker 3 (18:28):
Yeah, so, like you know, we're on a diarrhea, we're
in probably in like year twoand a half.
Ok, there's only like theslightest hint of a horizon.
Speaker 4 (18:37):
Yeah.
Speaker 3 (18:37):
It's and, by the way, it's far.
Or like they say, the light atthe end of the tunnel.
You're not sure if it's a trainor the end of the tunnel.
Yeah, and you know JC needs totalk to this person and this
person knows that he can't talkto JC Like he's avoiding talking
to JC.
I already know, and so therewere a select number of people
(19:02):
at the time my being one of themthat had like access to the red
phone.
You know we're like this is howyou reach this individual, no
matter what.
And I never forget JC calls me.
He goes oh, we got to get onthe phone.
We got to get this guy on thephone.
And I said, yeah, no problem,because you know, if JC is in
trouble, everybody's in trouble.
So it's like I remember that Imake the call and I make the
(19:27):
connection and then I say, heyman, I got JC on the line and
he's like bro, I can't believeyou did this.
And I go no, no, no, no, fuckyou, bro, it's time to it's time
to pick up the fucking phone,bro.
And JC goes hey, man, are youhiring?
Speaker 2 (19:49):
I think I've heard this story before.
I think I heard this storybefore.
Speaker 3 (19:51):
Why he goes?
Because I'm going to need a job.
Speaker 2 (19:57):
I know I've heard this story before.
I know exactly who it is thatI've heard this story before I
was dying.
Speaker 3 (20:01):
I was just laughing so hard.
It was just oh man, well,that's the thing.
Speaker 2 (20:06):
So again, no details.
But JC would go out of his wayto just you know.
And again that goes back to ithas to be hard, with today's
world and everything like that,to be a fucking 1980s style
bankers.
I would always hear a bankerwith balls as I tell you, yeah,
because how many people Likepeople?
I tell people, you know, I'mgoing to go meet with my banker,
I'm going to go have lunch withmy banker, and they're like, oh
, you have a banker, fuck has abanker nowadays right, so I even
(20:29):
on my phone Anybody with abusiness.
Remember, on my phone, on myphone, so on my phone right now,
it says JC banker, now myfriend, because JC, I'm with JC
and his number pops up and he'slike banker, dude the fuck, why
am I just a banker like?
Speaker 4 (20:45):
that JC banker Right right right, really, dude, sir.
Speaker 3 (20:49):
This is where we are.
Speaker 2 (20:50):
So now I say I'm like , dang, you're right, that was
JC banker, now my friend.
Speaker 3 (20:53):
Well, what's funny is that Jesus is one of those guys
that much like Rodney, that theway they save people is like
with associating it with what itis no one on Rodney's phone has
a first or last name.
You know, it's always like so,and so my tint guy, yeah, yeah,
yeah.
Speaker 1 (21:14):
Well, I think there's that moment of clarity when
you're like I'm going to go lookfor this person and if I have
their first or last name.
Speaker 2 (21:18):
I'm never going to remember who that is, but put
his tints.
Speaker 1 (21:20):
Exactly.
Yeah, I get that.
I mean, I used to a person Iused to work with.
He could never rememberanybody's names, but he was a
great rainmaker.
He'd bring business in likecrazy, but I'd be like, all
right, we got to take our.
So what's their name?
Sweetie, baby?
I mean, I have some fault, guys.
I can't even tell you the namesthat I have stored in my phone
of how he remembered these guys.
I get their phone number and Ihave to call them up and try to
(21:43):
figure it.
Hey, I just spoke with this guy.
Speaker 3 (21:46):
He's like hey, mr Sweetie, they're like what.
Speaker 2 (21:50):
So, you know, is it like I don't know, what do you
see in people?
Like, because I think, really,I think success has to do.
I think 90% of success is justbeing around the right people,
you know, knowing the specificcharacter traits.
Right, like, at the end of theday, dude, we've been in this
business long enough that ourour, like our friend's success
(22:12):
is our success.
Right, like, one of us makes it.
You know what I mean.
Like you know.
Again, like we were fuckingaround about the fracking, I
guess I might as well be onfracking.
Speaker 3 (22:20):
Like you know what I mean, You're a president of
America.
He makes sure to tell everyonetoo.
Damn right.
I put up with you for 18fucking years I put up with you
for 18, 20, almost 20, 19 years.
This guy sent an email to somelawyer the other day and he's
like you know, for fulltransparency, my lawyer is the
chairman of frack and dude.
The guy emailed me.
The guy emailed me one on oneand he was like hey, is this guy
serious?
What kind of asshole is this?
(22:41):
And then he picks up the phone,he calls me, he goes no,
because you know, the guy sentan email that his lawyer has the
biggest dick in America and I'mlike just, it's just part of
his charm and he doesn't meananything.
Speaker 2 (22:53):
Well, he will tell you how many emails I've sent.
I'm just saying listen, listen.
Am I saying you know you haveto act different or anything.
I just want you to be awarethat, mr Park is aware of a
bunch of realtors here.
Speaker 4 (23:03):
I'll be nice to you.
Speaker 2 (23:05):
Be aware that the chairman of frack is in the
Conduct yourself according.
Speaker 1 (23:08):
Conduct yourself, apparently you know, so I like
that.
Speaker 3 (23:11):
People listening in there like this frack.
Chairmanship must be reallysomething.
Speaker 2 (23:15):
In my world it is.
In my world it is.
But, yeah, we're in the worldwhere, you know, listen, you're
the president of a bank.
I might as well be president ofa bank.
I mean our friends.
The better our friends get, themore we get.
So, you know, I think it's, andwhen I tell these young kids
nowadays it's like man, you knowwhat you know, focus on
surrounding yourself by peoplethat are like-minded.
You know people that are, youknow, trying to make it just the
(23:38):
way you are and you are reallygoing to be who you're
surrounding yourself by.
I mean, that's a, that's a fact,you know you surround yourself
by pieces of shit and peoplethat are just hanging out not
doing.
Speaker 3 (23:48):
It's not just that but I'll say what it's very cool
to see, like the, you know,obviously, people say getting
old sucks, and then there's theother people that say, well,
it's better than the alternative, right, right, which is, you
know, dying young.
Yeah, also true, but one of theone of the redeeming qualities
of getting old and and doingwhat you're saying, which is
having been around people thatthat get ahead in life, yeah, is
(24:09):
man like, all of a sudden youlook around and it's like you
know, one of your dear friendsis the president of the bank.
You know, the other one of yourdear friends is the fucking
mayor.
You know, it's like you knowthe other guys.
Speaker 4 (24:20):
The other chairman of frek is the other Right.
Speaker 3 (24:24):
One of them is the chairman of frek.
I mean no, but I mean it's verycool man.
That's how you know as we'regetting older and then you know
that's how you kind of I don'twant to say replace, but you
succeed the other like the priorgeneration of people that you
know.
Speaker 2 (24:39):
Well, and here's another thing.
Like you know, there's somebodycoming from out of town, like
I've.
People have called me.
Hey, do you, can't, do you, canyou we get you, get me this guy
on the phone, or again, there'snot really anybody in my mind,
yeah, or can you get me areservation?
Speaker 3 (24:52):
Yeah, yeah, there's really right.
Speaker 2 (24:53):
Like there's really nobody, like I would call all of
you guys and by the time Ifinish I'll get to whatever
person it is.
Speaker 3 (25:00):
Yeah, you know what I mean.
Speaker 2 (25:01):
But that's part of you know, that success and part
of picking the right people.
Speaker 3 (25:05):
You know hard fucking work is what it's a part of,
well.
Speaker 1 (25:09):
I think there's also a built-in on selfishness to it
as well, in the sense that youknow you, you are willing to
invest in other people's success.
Yeah, people tend to be thisthe younger they are, the tent
more selfish they tend to be, Ifind in today's culture.
And it's a willingness to help,I know like.
You've never made me feel badif I had to call you up and say
Same way around and you know, ifthere's ever anything I could
(25:30):
do and and investing in thosefriendships.
Speaker 2 (25:34):
Well, I think, I think I, I have my friends that
have been around.
They and they, they respectFriendship as much as I do.
You see what I'm saying like Irespect friendship, like like
you're my friend and do that's.
That's a whole different worldand and and it's like you, you,
you understand you theimportance of it?
There's not a lot of peoplethat a friend is whatever
(25:56):
doesn't matter, and, and, and Ilisten, and most of my friends
have been for 10 years, 20 years, 30 years?
well, there's no one that dadwas like fucking 35 years.
Speaker 4 (26:05):
You know I lost that one, but there are people out
there that they don't like tosee their friends succeed.
Speaker 2 (26:09):
Yeah do better than they are fucking hate those
people bring you down and yougot a.
Speaker 4 (26:13):
You got to cut those people out.
You can, it comes out you know,they can hide it for a while
but it comes out and you got tobe able to get those people out
of your life, out of your.
Speaker 3 (26:22):
Surplus like you're embarrassed about, like sharing
some form of success withsomeone.
Speaker 2 (26:26):
That's a person that you know.
That's a red flag.
It's a good point, that's agood measure.
You got to be very careful.
I can't tell him.
Speaker 3 (26:32):
I did this because yeah, cuz I don't want to hear
any shit.
I don't want them to think that, oh, that's all I care about,
and right, it's like yeah,that's a good that's, that's a
good way.
Speaker 2 (26:39):
Your feet, your gut, trust your gut a little bit more
than.
Speaker 3 (26:42):
I had.
I had some people early on thatyou know.
They were like, oh, because youknow it's just all about like
you know, making money and thisand that.
And I was like, no, I'm abouttrying to live a better life.
But now that I'm hearing yousay that, I know, I know where
you're thinking.
Speaker 4 (26:56):
You get something.
You go buy a Porsche and youknow you're like you're gonna
have friends, are like, oh, it'sawesome.
And I feel, okay, they go getit.
Other ones are you know they'regonna hate on it.
Oh yeah yeah.
Speaker 3 (27:05):
Yeah, yeah, oh what are you paying?
Speaker 4 (27:07):
for it.
Speaker 3 (27:07):
It's like what you pay for that.
Trust me, I wish they'd givethem away, but they they don't.
Speaker 1 (27:20):
So there's and this is one of the interesting.
I have a customer that's fromGermany and he talks about the
built-in Jealousy within theculture.
Yeah, like his goal growing upwas to make enough to get a
Porsche.
He wanted a Porsche and so hebuilt his own business.
Horrible German, german,germany.
Terribly, terribly hard to haveyour own business right.
It's much easier to work for abig company that the rules are
(27:42):
very difficult if you're notdoing it.
But he fought the good fight,opened his own business right,
buys the Porsche Immediately,has to stop driving it, because
he could never show up to abusiness meeting where they
wouldn't assume, because he'sdriving the Porsche, that he's
not overcharging them.
And there's this whole likeculture of yeah, if somebody
else is doing well, it's at myexpense.
Speaker 2 (28:01):
That's interesting, yeah no, it really really.
Speaker 3 (28:07):
Like me, financially errant.
Like yeah, how about a Porsche?
But please don't ask me for 50bucks.
Speaker 2 (28:16):
So so, um, all right.
So going back to the trajectory, so your investment banking.
Then you went into kind of likeNot the vice president already,
or yes?
Speaker 4 (28:26):
Yeah, yeah.
Well, when I was a stone guy,yeah, I was a senior vice
president and that was again.
That was a completely differentyou know Experience for me,
because it was starting fromscratch, I mean it was.
It was almost weird because youwere, you were bringing in your
your own people, you wereunderwriting your own loans and
you were presenting it forapproval.
It's like is this even legal?
It was, it was.
It was kind of an interestingtime period, but it was fun too
(28:46):
because it was.
It was more entrepreneurialthan your traditional banking
and it was like you.
Speaker 2 (28:50):
Yeah, like I almost don't think of you as having a
job, honestly.
Speaker 3 (28:55):
No, I like listen.
Speaker 2 (28:57):
You know he doesn't really.
He has a job but he doesn'treally like your.
Your own hours.
You go wherever you know.
You're always really withclients.
Speaker 4 (29:05):
So you're your fucking friend there's working
to I go on vacation.
It's like I'm always on myphone too, so I can never really
disconnect.
Speaker 3 (29:12):
I tell people the old-fashioned concept that work
is done at a location.
Yeah, yeah, you know, like Idon't know about you guys, I
don't have to be at my office towork.
I've been sitting here fucking,working, the whole fucking.
Speaker 4 (29:24):
It's just you know, at all times I mean I get people
that call me and email me.
Speaker 3 (29:29):
I mean I'm you know, you guys know you sometimes you
text me or email me.
Speaker 4 (29:33):
I'll respond to that too.
Speaker 2 (29:34):
Yeah, and it's also like sometimes I'm not texting.
I am, even though I'm textingyour work.
I don't feel like I'm textingyour work because it's they see,
right like I'm texting him.
I'm on a fuck, I get text.
I'm on a Sunday morning aboutsomething and it's work.
Speaker 4 (29:46):
Well, that's also been part of my success, right?
That's?
That's really what's helped me.
It's I've always gone above andbeyond and if you need
something I'm gonna be there.
If you need to call me.
If you didn't matter if it waseight o'clock yeah, you know, at
night six o'clock.
Speaker 3 (29:59):
It's fucking work even when it comes from from
your friend.
Speaker 2 (30:01):
It's just that it's less Unpleasant yeah, exactly,
you know, because well, somefriends are still oh no, no shit
yeah.
Speaker 1 (30:09):
I think that the argument that that society has
moved to a very much moretransactional basis is a very
good one.
I mean, there's so few places.
This is what I teach with realestate and everything.
I mean, who do you work with?
Who do you have that?
You say, oh, that I got a guy.
You know you got to talk to myguy.
Right, it sounds like that'sthe relationship you have with
your customers.
Oh, thank you, you gotta go seeJC.
(30:31):
Yeah, I mean I talked to peopleabout my father.
My father used to buy a brandnew Cadillac every single year.
He would ocean Cadillac andthere was a guy down there named
Bernard Lipman, nick name Lippybecause you had to have a
nickname.
So 1960s, everybody's got anickname, but a brand new
Cadillac every year up until1975 1975 things change he
didn't buy another new car till1989.
So like 14 years, no new car.
(30:54):
Who do you go see Lippy?
Because he's got a guy and sodoing business in such a way
that you give people thisfeeling like, why would I work
with anybody else?
It's what's largely missing.
There's no loyalty in any.
I mean, where is there loyaltyin anything that you do anymore?
And so fostering a culture ofwhen you work with a customer.
(31:16):
The win is not closing thetransaction, the win is closing
the customer.
They don't do business withanybody else other than me or I
screwed up.
It's just not part of how we dothings anymore.
Speaker 2 (31:29):
So vice president for Stonegate, then the whole
Stonegate being bought outsituation right?
So Income's Centennial Bank,which is an Arkansas headquarter
bank, which is very interestingthat you're in Arkansas in the
company.
Speaker 4 (31:42):
Yeah.
Speaker 2 (31:42):
I'm like the token Latin that's down here right.
Speaker 4 (31:45):
But they came in and I honestly I was weighing a
couple of their offers and it'skind of like they made me the
offer I couldn't refuse kind ofsituation.
So I stayed on board and it wasa great decision because they
since the beginning they'vereally trusted in me and listen,
it goes both ways.
I think it would be virtuallyimpossible for them to kind of
(32:08):
put somebody in here from thereto do what I've been able to do.
Speaker 2 (32:13):
You're not bringing John Smith's market to the
market.
Speaker 4 (32:15):
You can, it doesn't work.
This is just a unique marketand you got to know how to
maneuver around and know thepeople, know who to lend to, who
to lend to, who are the goodpeople or the bad people.
You need to know all of thatand it's been great, I mean,
they've been good with me.
I mean, listen, the region Ioversee is the most profitable
one in the entire bank, so we'vedone a good job.
Speaker 3 (32:37):
We've got a great team.
Speaker 4 (32:38):
Yeah, I built the team.
So we've got a great team downhere, We've got great people and
it's been a great.
You know, past almost six and ahalf years, seven years.
It's going to be next year.
Speaker 2 (32:50):
So it's been a great yeah.
Yeah, it's crazy how a timepasses man, time flies.
Speaker 4 (32:55):
But, you know, the interesting part too is, you
know, going from Stonegate andStonegate grew and I was able to
do more and more with clients Iwas getting like tapped out
with what I can do with clientsBecause you know you've got
limits on what I can lend anyindividual person and you know,
even from a larger scale, ifthey're doing businesses with
different people, it all getscombined and you're limited.
(33:16):
So, income, centennial Bank,much larger balance sheet and
now we're, you know, I went fromthree billion in assets to 22
billion in assets and that gaveus, you know, more firepower now
to really get things done.
And clients that were likedoing maybe one deal with us now
are doing three deals with us,five deals with us.
They were doing a deal that was20 million, now we're doing 100
million.
So it's really given us thatopportunity to grow with our
(33:40):
clients, which has been reallygreat and unique.
Speaker 2 (33:43):
Yeah, and it's not only that.
I mean, look, you know, you'realso, the service is also great
and stuff like that, and I don'tknow commercial person.
Speaker 3 (33:50):
but you know like.
I give the commercial all thetime.
Speaker 2 (33:57):
Just the logo on the bottom corner of the screen for
yeah.
Speaker 4 (34:00):
Listen, we got great people here I mean people love
banking with us because we gotgreat people.
I mean you, I mean you bankwith us.
Speaker 1 (34:05):
There's great people, you bank with us, you know.
Speaker 2 (34:07):
I mean someone's not always talking to me.
Speaker 4 (34:09):
I mean you're talking to people on the offer that you
offer?
Speaker 2 (34:11):
I don't know.
I don't want to mention itbecause I don't know if
everybody gets so certain.
You know what I'm saying we gotsome pretty cool.
Speaker 4 (34:18):
You've enjoyed some special services.
Yeah, I would say we're alittle bit on the VIP section.
Yeah, yeah, yeah, there is a.
Speaker 2 (34:24):
VIP, so yeah, so, so, what so?
And did you ever you know?
So what you, so, what you areright now as far as a president?
When you started, you were like.
You were like that wasn't, thatwasn't like you couldn't have
imagined you know I wanted togrow.
Speaker 4 (34:44):
I didn't think, listen, you always have
aspirations to do something andsometimes you don't think you're
going to do it that quickly,right, and I think I was able to
grow, you know, fairly quickly,you know, and that was kind of
like nice.
But you know, at the same timeI worked for it, right.
So, but it was, it was lookingat the right opportunities, you
(35:05):
know, being ready for them,because that's the key to you
got to be ready when thoseopportunities present themselves
in any business, right?
Speaker 2 (35:12):
What changes are you seeing?
Changes in clients too.
Are you getting more clientsfrom California and stuff?
I mean, are you?
We had a migration of clients.
Speaker 4 (35:19):
It's the migration of the population here that's come
in from New York, California,Chicago.
Speaker 2 (35:25):
Is that like a certain percentage already of
your guys, or even you know?
Or what are you seeing?
Speaker 4 (35:28):
You know, we still see a lot that are from here,
but we've seen more that arefrom New York, chicago,
california, and not only justdirect, also being involved.
Right, howard has a project andhe's developing something.
Well, now one of the partnersis this guy from New York and
that guy, you know, insertshimself there and they grow that
way.
Right, I'm going to do thisdeal and that deal.
(35:50):
So, yeah, we've seen a lot ofthat.
Honestly, I don't, I don't seeit stopping.
Speaker 2 (35:54):
Yeah, that's my next question.
What are you seeing?
What are you seeing for 2024,?
Man, what do you?
What are you?
What are you seeing nationally,because I'm sure you know again
, you're a bank being inArkansas, yeah, okay.
So actually I'm going to turnit into a question.
Your bank is in Arkansas, right?
Is there almost two meetings?
Is there like what's happeningin the whole United States and
(36:15):
what's happening in Miami?
Is it separate?
Are you guys looking at it?
Miami is such an internationalmarket that you kind of know yes
and no.
Speaker 4 (36:22):
I mean you still got to look at all risk.
You know, kind of equal almost.
But I think everybody knowsthat we're a little bit
insulated down here.
Speaker 2 (36:30):
Because we're so international and national
almost yeah.
Speaker 4 (36:34):
Listen, prior to COVID we had so much
international presence and boost, economic boost, and then,
after COVID, you saw thisdomestic boost that we just
didn't see before, which hasreally changed.
I think.
South Florida forever, and Ithink that's just going to
continue.
Speaker 2 (36:49):
Yeah.
Speaker 4 (36:49):
But we see it.
I mean this, you got to look atit all the same.
But obviously everybody knowsthat down here it's going to be
a little bit different.
You know the property valuesyou know are still maintaining.
You know we're not seeing anyreal concerns today.
I'm not saying that's not goingto happen, but, you know, has
the market cooled off a bit?
Yes, but that's listen.
Speaker 2 (37:07):
That's a good thing too.
You couldn't stay that way.
Speaker 4 (37:09):
No, it wasn't sustainable and we all knew that
was going to happen.
Now you just don't know ifwe're going to have some kind of
you know, major downturn.
I don't see it.
I don't see any signs of it.
Yet there's some concerns outthere with some debt.
That's out there.
You know we saw some concernswith banks.
There's still some concernswith banks.
Is there some banks out therethat have?
You know they do have someliquidity issues and their
(37:30):
margins are very thin.
You know, when we look at someof these banks, when you're you
were lending at 3-4% and youwere giving these long-term
rates and then now the depositrates have gone up and you're
now you're giving that same guy5%, that business model isn't
exactly, you know, ideal right,but you know there are some
concerns out there.
(37:50):
You know the economy is Wellcommercial.
Speaker 2 (37:52):
commercial is going to take an ass whooping.
You're going to see some of it.
Absolutely Multifamily.
Speaker 4 (37:56):
Listen, there's a lot of CNBS paper that's coming due
.
Speaker 1 (37:58):
When these, when these rates, you know that we're
at 4% or now at 7% 8% some ofthese properties can't handle it
, yeah, but LCBS has gone downto that's really if I could.
I'm sorry, yeah, but there'salso been this huge rent
increase that we've seen in yourmodels.
Is it showing that the rentincreases are going to take and
(38:19):
cover that spread, or are yougoing to see people with a
serious liquidity issue thatcan't refi?
Speaker 4 (38:24):
It depends on how leveraged they were.
You know there are some deals.
Listen, last year I looked at alot of deals that they would
have worked at 4% but theyweren't working in our
environment.
But you know, there were banksthat did these loans either way.
I mean, I will tell you us, asa bank, we always sensitized our
deals, like so, if the rateswere today at 5%, we were
looking at 8% just to make surehow it worked.
(38:44):
You know, and a lot of banksdid that too.
But there's there, there aredeals out there within your
underwriting.
Speaker 2 (38:50):
Yeah.
Speaker 4 (38:50):
Yeah, we did.
You know we did that in ourunderwriting.
Speaker 3 (38:52):
You know you have to wait, let me tell you the
downturn.
There were banks that obviouslythere were banks that that went
down, and then there were banksthat, like, not only did they
survive but they actually kindof thrived.
Speaker 1 (39:04):
I gotta read the book , all the devils were here.
Speaker 3 (39:06):
Yeah, no, here's a great Sun trust is a good
example of a bank that, likethey, they ate people's fucking
lunch During the downturn.
I mean they just didn't have.
I mean it.
They're still here.
Speaker 4 (39:16):
Yeah, you know, listen, the healthy banks are
are gonna do great right now.
You know, I think we'll seesome mergers and acquisitions
next year.
I mean we're actively looking,so you know it's like golf man
Every shot makes somebody happy.
Speaker 3 (39:29):
Yeah, yeah.
Speaker 1 (39:32):
You know, it's just, it's just the way, like fucking
Jeff.
Speaker 3 (39:34):
Bezos, he'll take a fucking pandemic every five
years.
Bro, you're kidding me?
So we'll home Depot Publix.
These people crushed it, youknow, and what I hate, though,
is that I think a lot of thenegative narrative out there
there's, there's two kinds ofpeople that fuel the oh, the end
of the world is coming.
There's the people that hatethe current administration, so
they, they want to make it seemlike it's the end of the world,
(39:55):
right, okay.
And then there's the people thatbenefit From these kinds of
difficulties, like there's a guythat you know I'm not gonna
mention his name, but he'sfriends with my boss too and we
saw him the other day at Riviera, you know and he comes out and
and you know they, these, thesemulti fucking millionaire guys,
always have the sameconversation.
(40:15):
You know, like, hey, what areyou doing?
What are you doing?
You know and like, and so thisguy's like I'm selling
everything that isn't bolted tothe ground, you know, because
I'm selling high, because I'mseeing the cracks, and the next
year I'm gonna fucking pounceand I'm gonna do all this shit.
And it's like, and it's likehe's dying For people to suffer,
yep, okay, so that he can like.
You know so, so, like, when itdepends on.
(40:36):
You know, it's like an old lawschool professor had used to say
where you stand depends onwhere you sit.
You know, so it's like if, ifyou fucking, you know, if you're
looking, if you're looking tobenefit from the suffering,
economic suffering, of others,then you look at.
You can't wait, bro, you can'twait to fucking be in there and
swoop in on these deals, thatwhen the fucking it comes up for
(40:56):
renewal.
You know, jc and I were talkingabout it like a year ago.
The renewals were gettingtougher, like I do a lot of the
banks.
Speaker 2 (41:03):
LTV's got that too right, so it's not only the rate
.
Speaker 4 (41:08):
You know, I'm probably refinanced.
Speaker 2 (41:10):
It has to be some money in that deal.
Speaker 1 (41:12):
Yeah, I think the DSCR is.
Speaker 4 (41:14):
It's all about cash flow on an income-producing
properties.
It's all about cash flowbecause it this and cap rates
haven't really moved the wholelot either.
So, and especially down here,and it's because people see the
value, long-term, somebody maybe willing still to pay up.
You know, for four and a half.
Speaker 3 (41:28):
I'm something, because they're like you know
what ten years from now?
Speaker 4 (41:30):
I don't care.
Speaker 3 (41:30):
No, I mean listen it's another great example of
cattle, like just said DSCR, andI guarantee there's a lot of
listeners that are like what thefuck is DSR?
Coverage ratio yeah thatservice coverage, but then you,
even you translate it and stilldon't get it.
You know it's like it's thesame.
Speaker 2 (41:43):
It's the same, it's the same thing, yeah.
Speaker 1 (41:45):
It's the same thing that we do with looking at
people's debt to income ratio.
But yeah, property, because asa lender you're underwriting the
property.
If that's your collateral, ifyou have to take it back, you
want to make sure it makes sense, it works, and so it's.
Speaker 4 (41:58):
I'll tell you, most new projects we look at today,
when you're looking at it from adebt service coverage ratio
Right, they're only working at50 to 60% leverage.
Yeah, that's just across theboard.
I, you, I've seen a hundreddeals in the past month.
Speaker 1 (42:10):
They're all in the same range, because cap rates
are as low as they are andinterest rates are where they
are, yeah, and the ratio betweenthe two establishes how far
they can go.
I mean, the thing that I alwayswondered and this is kind of
what I was kind of asking is2020.
I know where our rents were, atleast in the residential side.
They're significantly higher in23 and they were then along
seeing a softening in the rents,because I think that the shadow
(42:30):
inventory of short-term rentalsyeah, softening that market a
little bit, they're beingrepurposed as long-term rentals
is, is the amount those rentsgone up on multifamily, at least
in certain in certain cases itwill be, in other cases it won't
.
Speaker 4 (42:44):
You know, and we looked at that even on on new
projects before the rates weregoing where they were going.
But you saw the theconstruction cost.
I got up tremendous.
Yeah, so there's no yeah, soyou're looking at construction
costs.
But the thing is, values andrents went up substantially more
, so it didn't matter it covered.
Then you know you enter.
Now you know the interest rateincreases that came in the
insurance issues.
(43:04):
Well, that's a whole notinsurance is a whole.
Another problem we have inFlorida and that's what do you
think's gonna happen with that?
Let's talk about that.
Speaker 2 (43:10):
Have you heard anything, richard?
What's gonna happen?
Speaker 3 (43:12):
They fucked for years , bro.
There's no quick fix.
There's a what if I had a ton ofmoney?
I would, in that I would startan insurance company in Florida.
Why?
Because, bro, there's a hugeopportunity for people to make
money.
In fact, there's a FloridaCongressman who's a very wealthy
guy not congressman, alegislator, he's a member of the
(43:34):
state house.
He's an extremely wealthy guy.
He was in insurance businessand he was just being
interviewed the day talkingabout how he's looking to invest
Is.
There's a lot of opportunityfor carriers that want to come
in.
Obviously, you got to becareful, you got to measure the
risk, but there is a lot ofmoney to be made right now in
insurance.
Speaker 4 (43:51):
You got to get insurance.
I mean, listen, I think thebanks overall are looking at
like I'm getting a lot ofrequests recently for like
waivers of wind.
Right, if we're gonna wave wind, we got to really take a deep
dive into what.
What our risk as a bank isright, what's the land value?
Because if everything gets,right away right if the land
value is high enough.
You know if they have lowleverage, you know you got to
(44:13):
look at, you know the strengthof the, the actual, you know
principle there's, there'sfactors you got to look at and
listen.
We, we're getting requests allthe time to kind of see what
they can do and we've we've goneeven outside of looking at a
barometric insurance, which isbasically an insurance policy
that Pays out based on how closethe eye of the storm is to your
actual property and that couldsave on a big it's more so for
(44:35):
large, like if you have a hotelor something it could save you a
substantial amount of money toyour more like conventional oh
listen, we don't have when wasso expensive that we don't have
it at the restroom and we're onthe fucking water.
Speaker 3 (44:47):
Yeah, we went to the county and we told them flat out
of go a week, we can't, we.
There's no way we can.
Speaker 1 (44:52):
Business model does not work.
Speaker 3 (44:54):
Sorry, yeah just roll the dice.
Speaker 4 (44:56):
No listen.
We have some crazy scenarios wehad this one guy was building a
house in the keys and the buildwas like a million a million
and change His flood insuranceor not as flood, his, his wind
insurance was 250,000 dollars ayear at the time.
How does that make?
Speaker 3 (45:10):
any sense.
No, no, they, we.
They offered us 500,000 incoverage for 300 grand yeah on
the year, and I was like I'lllight a candle and just pray.
Speaker 2 (45:23):
Everyday.
Speaker 3 (45:27):
Today's November 30th .
In fact, hurricane season endstoday.
Now, of course, last year Ithink we had a storm in December
or that formed.
It didn't, it didn't come here.
But, um, you know, it's likewhat we were talking about in
the prior interview.
All the old Metrics are likelosing their validity.
So it's like now you get stormsin December.
So I don't know that you shouldcancel hurricane season as of
November 30th, but but we'rehappy.
Speaker 4 (45:48):
We're happy now you know that, like we made it bro,
like this year, Whoo, you knowno problem.
So you know, next year we'llsee what the insurance looks
like, but if it's the same, ifwe have a few years where we
don't get any major storms, Imean that's gonna help out a bit
.
You know, it's all based onhistorical and claims.
So we took a bath?
Yeah, no, we had a lot.
How many?
Speaker 3 (46:07):
hundreds of billions in claims with just Ian.
Well, I think you need somemore sort of storm.
Speaker 1 (46:12):
Yeah.
Speaker 3 (46:13):
Yeah, and the problem , and also, of course, just the
the luck that that huge stormHit a place that's made out of
wood, you know, like those oldlittle fucking beach towns, bro,
like everything is wood youknow, like the Florida building
code has been around sinceAndrew, but some of those
buildings are from before.
Speaker 1 (46:30):
Andrew.
Well, the Andrew code is only,was only the high was a day they
brought each count and so, asstorms have hit and this is the
as a builder, like when I tookmy GC, there's the code, then
there's the code for daybrow itin my and Palm Beach County,
yeah, and more and more countieshave just started to adopt.
Speaker 3 (46:47):
Yeah.
Speaker 1 (46:47):
I mean, well, they have to.
I was doing an inspection inOcala and I'm used to windows
and then window inspection Ocala, and so down here they take and
they go with a screwdriver andthey check every fucking earth,
every window right.
Okay, I Got another Ocalainspection.
I walk in a differentcontractor did the job and I'm
looking the screws missing inthe frame and all this kind Of
(47:09):
stuff.
Speaker 4 (47:09):
I'm like, oh my god, yeah well, listen, there
shouldn't be a trailer park inFlorida, in my opinion.
I mean, think about it.
Oh hurricane comes through it's.
Yeah, I mean we saw it.
I mean it's, it's it's a.
Speaker 2 (47:19):
Thing.
Speaker 1 (47:20):
So the water or woodhouses or trailer.
So the Ocala inspector comes upright, he walks in, he pushes
in the window he says lookspretty good, signs the permit
card.
It's like so, counter to whatI'm used to.
But yeah, the non-high velocitywind sections down here.
Speaker 3 (47:36):
Yeah, microscope and now and now again.
Speaker 4 (47:40):
You're not gonna see them, all those trailer parks
that were on the coast there.
You're not gonna see themrebuild those now.
Speaker 3 (47:44):
They're gonna do nice concrete Buildings and we were
talking about that earlier withGaza might be a good time to
look at buy some property.
Speaker 1 (47:52):
I'm about to be rebuilt, yeah.
Speaker 4 (47:59):
So, yeah, I gotta go.
Speaker 2 (48:02):
That's why I'm trying to wrap it up with a thank you.
They see?
No, we got to do this again,cuz.
Speaker 3 (48:06):
I'm gonna start whenever sound on air.
Thank you remember earlier youwere trying to get me to thank
you.
I want to take a moment tothank JC.
Speaker 4 (48:16):
Thank you.
Speaker 3 (48:18):
Me and most of everyone I know above water.
Speaker 4 (48:23):
Listen, I'm happy that that when I was able to
help, I did, and I'm seeing allthese individuals Succeed and
being so much more successfultoday and sound and just to be a
part of it some way.
Some house amazing.
Speaker 3 (48:34):
By the way, the JC will dining guys.
Speaker 4 (48:35):
A great idea All right, I love you, bud coming.
Speaker 2 (48:43):
We'll do it, we'll do it again with more time, or you
like let me know elaborate,I'll be available.
Speaker 3 (48:47):
All right guys Looking forward to the negative
comments.
Speaker 1 (48:52):
Please don't forget.
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