DebtStreet - Brian Burke

Navigating Real Estate Syndication and Market Cycles with Brian Burke

Podcast Summary: In this episode of DebtStreet, Carol Ng sits down with Brian Burke, founder of Praxis Capital, to discuss his journey from flipping houses to running a successful commercial real estate syndication firm. Brian shares personal stories of early challenges, pivotal moments that shaped his career, and his philosophy on navigating market cycles. The conversation highlights how Brian managed to grow Praxis Capital, which has raised $350 million and acquired $800 million worth of multifamily properties. They also dive into lessons learned from past economic downturns and the strategies Brian uses to safeguard investor capital during turbulent times.

Key Points:

• Brian's Journey: Before founding Praxis Capital, Brian worked as a house flipper and part-time in law enforcement.
• Challenges and Success: It took Brian five years to achieve his first real success in real estate, with private investors providing the critical capital he needed.
• Praxis Capital: Focuses on multifamily syndication, having raised $350 million and purchased over 4,000 units.
• Navigating Market Cycles: Brian sold three-quarters of his portfolio at the peak in 2021-2022, just before the market downturn.
• Recession Strategy: Brian shares insights on managing risk during recessions, including his personal sacrifice to pay mortgages out of pocket during the 2008 crisis to protect investors.
• Future of Praxis Capital: Focused on recognizing opportunities and managing risk, with a shift towards investing in real estate debt for safer returns in today’s climate.

Memorable Moments:

• Timing the Market: Brian's ability to sense market highs and lows helped him avoid losses and maximize returns for investors.
• Staying Grounded: Brian credits his humble beginnings for keeping him down to earth despite his success.
• Real Estate War Stories: From fires to hurricanes, Brian shares some wild stories of managing multifamily properties.

Book Recommendation: The Hands-Off Investor by Brian Burke — A comprehensive guide to passive real estate investing.

Connect with Brian:

• Website: Praxis Capital
• Instagram: Investor Brian Burke