Real Estate Investment Strategies

real-estate-investment-strategiesFor those with excess money to invest, today, real estate can be a viable option. The market is currently not as volatile as it once was, and thus it is becoming more popular. Indeed, according to Jake Adger, a Forbes contributor and chief economist at RealtyTrac, as the recession takes a bad seat, real estate can be “a good addition to [one’s] investment portfolio. At the end of last year he pointed out that:

“Investors need to think about all aspects of real estate investment including rental income, expenses, home price appreciation, and taxes…Investors looking for rental income will look for high rental yields now and in the future.”

Steven P. Rosenthal, President and CEO of Northland Investment Corporation, is responsible for the firm’s “strategic direction.” In terms of real estate investment the company seeks to “identify value creation opportunities….acquiring real estate assets diversified by markets, sectors and lines of business—and balancing the acquisition of high quality, lower risk assets with higher yielding, valued added assets and development opportunities.”

Real estate as an investment potential definitely has its benefits. CPA Mark J. Kohler is “convinced more entrepreneurs should consider rental real estate as an important part of their portfolio.” He lists five reasons why this is the case and then concludes: “The far majority of us will never get rich overnight. It takes long-term investing and a diverse portfolio to build true wealth. Don’t forget real estate as an important part of the equation.”

For those looking at possible options for investment, in a stable economy, real estate might be a good idea.

Developing Company Strategy

strategyCompanies and heads of corporations take different approaches when it comes to leadership, management and strategic development. According to Keith McFarland, a growth strategy has to be one that “brings you the most results from the least amount of risk and effort.” Such strategies should be like a ladder – lower rungs representing lower risk and higher rungs, higher risks. Small businesses should steer towards the lower rungs. In addition, if strategy is not a priority, market forces are likely to interfere with overall business development. Irrespective of the level of risks a company is going to take, it needs to be strategized.

Sometimes, the ability of a company leader to develop strategy is simply a case of experience. Steven Rosenthal, Northland Investment Corporation, has been with the firm since October 2007. Sustaining the firm’s development, whilst developing its future strategic direction, Rosenthal was hired for these roles partly because of his experience. Indeed, he brought to the firm a history of entrepreneurial experience, having previously managed a much larger firm. As co-managing partner at Boston-based Mintz, Levin, Cohn, Ferris, Glovsky and Popeo P.C., Rosenthal drove growth, doubling the number of attorneys from 250 to 500 and opening an additional four offices for the firm.
Rosenthal’s strategic development capacity comes from his experience and according to Lawrence R. Gottesdiener – the firm’s founder – Rosenthal was able to “see the big picture and execute on the details. He is an outstanding strategic thinker and knows how to develop and maintain relationships.”

Focusing on strategic development of a firm is one major way forward for companies trying to progress. And, it’s a very common and effective way. According to a recent article by Robert Kabacoff, countless studies continuously show that “strategic thinkers are found to be among the most highly effective leaders…a true strategic leader thinks and acts strategically every day.” Further, a study conducted by Management Research Group (MRG) in 2013 found that strategic leaders in general have a much broader, longer-term approach to problem-solving and decision making using “objective analysis, thinking ahead and planning.”

In other words, strategic planning in business has a greater chance of creating effective growth than leadership that is not strategy-based.