Irvine, CA-based Faris Lee recently expanded its capital markets team with the addition of veteran Jay Quinn. Connect Media asked Quinn to share what’s behind the push to boost the firm’s investment advisory practice by providing comprehensive investment solutions to clients, as well as other strategic moves the company has made in our latest Q&A.
Q: Can you share a little bit about your new role, background, and why you joined Faris Lee? What are your goals and why is it important to add capital markets expertise today?
A: My role in Capital Markets is as a supporting service to the investment sales platform. We enable clients to maximize the value of their real estate holdings with a sound financing solution backed by market-smart capital. I have spent my entire career of 36 years in commercial real estate. I was attracted to the company because of their collaborative approach, their outstanding reputation and the compelling opportunity to grow the Capital Markets platform at Faris Lee and across the X-Team alliance.
Q: What makes Faris Lee positioned to grow? How will the X-Team affiliation help build the platform?
A: X-Team is a unique alliance of boutique retail advisers that gives Faris Lee and Capital Markets a national network. The strategic partnership with X-Team complements Faris Lee’s investment sales expertise with X-Team’s local market expertise, tenant rep and landlord leasing across the country, and Capital Markets will look to service the X-Team clients when needed.
Q: We understand there’s also a new JV with Velocity. What does this bring to the table?
A: Our JV with them brings us immediate access to Velocity’s significant market share in Arizona. Given their proven track record and reputation, we believe we have partnered with the best in Arizona. The partnership will be the model for all the X-Team companies, as we roll the new platform out.
Q: Given where we are in the market cycle, why is it critical to tap into a savvy and experienced finance expert?
A: Sophisticated developers and investors value our ability to custom-tailor closings that deliver the smartest money at any point in a market cycle. They understand the importance of expert advice and access to the most competitive capital available. They know the value Capital Market professionals bring to the transactions. Capital Markets is one of the most compelling and complex elements of CRE investments, and far too often, it is not strategically integrated into investment strategies and solutions, especially with private investors in middle market transactions ranging from $10 million to $75 million. To maximize value and manage risk, capital strategies need to be highly-integrated into the investment thesis, be it finance, refinance, or structured capital solutions.
Q: What do you see in the coming year, from a capital markets perspective, that developers and investors should be aware of and paying close attention to?
A: We expect to see issues like rate hikes, the impact of tax changes, and the ups and downs of the retail segment playing a role in the commercial real estate industry in 2018 and into 2019. We have seen unprecedented growth for several years, so we recommend a more long- term approach to investing to avoid a downturn near term.
By Dennis Kaiser