A lot of multifamily operators made money during the easy years. Mark Shuler says today’s market is exposing who can actually operate. In this episode, Mark shares what it really takes to manage over 4,200 apartment units in a difficult market environment. He explains how his vertically integrated company handles management, construction, supply chains, and operations while adapting to flat rents, tenant fraud, and rising pressure across multifamily housing. Mark also talks about how AI is changing the business, why retention matters more than churn right now, and why he believes the next two years may create major acquisition opportunities for experienced operators. Key topics discussed: Going from architecture into apartment investing Building a vertically integrated multifamily company Managing over 4,200 units in Houston Using AI for due diligence and tenant screening Why operations matter more than ever Challenges with tenant fraud and concessions Distressed multifamily opportunities ahead Why experienced operators may benefit in the next cycle Guest Information: Mark Shuler SGRE Investments Website: sgrinvestments.com Call To Action: Visit sgrinvestments.com to connect with Mark Shuler and learn more about multifamily investing and operations.

Surviving the Multifamily Shakeout with Mark Shuler

Property Profits Real Estate Podcast

# Full Transcript

**Podcast:** Property Profits Real Estate Podcast

## Participants

- **Dave Dubeau** (None)
- **Roman Kirzhner** (Welles Holdings)
- **Mark Shuler** (SGRE Investments)

## Transcript

Welcome to the Property Profits Real Estate Podcast, the show where real estate investors talk strategy, capital, deals and growth with your host, Dave Dubeau Hey, hey boys and girls, welcome back to another great episode today. Our special guest is zooming in from just down the road from me. He's based in Seattle, Washington, but most of his deals are in Houston, Texas.

We've got Roman Kirzhner, who is a very accomplished and experienced real estate entrepreneur. I believe, Mark, you've got over 4,000 units in the portfolio, multiple different communities, vertically integrated company. So Roman Kirzhner, welcome to the show. Great to have you. Thanks for having me. Appreciate it. SGRE Investments. First things first, what does SGRE stand for? Shuler Group Real Equity.

Well, there you go. That makes sense. So Mark, maybe tell us a little bit. I mean, I know your background is you're an architect by trade. Yeah. So just big picture, what kind of sparked the interest and the passion to get into not just designing pretty buildings, but owning multifamily properties?

Oh, boy, that's a it's been a long journey. You know, as a kid, I was hardwired to be an architect. I mean, I just displayed a real acuity for it. And I was forever designing and building things. And by the time I got to high school, you know, it was really evident. And then I went to university and did my undergrad. And then, you know, professional education came out and started practicing, you know, and I've been prolific practitioner.

I still practice. I do on average 10 projects a year, big projects. And, you know, I actually still really enjoy it. It's still fun for me. A lot of guys at my age are looking for the exit. But, you know, I've figured out a way to monetize a hobby, basically. Yeah, that's great. Plus, who the heck wants you to sit around twiddling their thumbs anyhow, right? You know, it beats beating a reader at Walmart, you know, so a lot more lucrative.

So, yeah. So then what sparked the whole interest in owning apartment buildings? Well, you know, along the way, obviously, I had a lot of developer clients. Yeah. And, you know, I was just looking over their shoulders and looking at them and looking at the project I was working on for them and realized pretty early that I was making them a lot of money. And I was hardly being compensated for my efforts. It's a little discrepancy in the check sizes. Yeah.

And so I quickly realized that these clowns could do it. I know I could do it and probably do it better. So, you know, but in all seriousness, there's a lot of risk involved. And, you know, they're doing their job, really. They're trying to mitigate cost and expense. And I figured that out after a minute. It's like, okay, I can't fault them for doing their job. ...

Surviving the Multifamily Shakeout with Mark Shuler

Transcript

Built for investment professionals

Every day you wait, your competitors are finding
edge in conversations you're not hearing.

Surviving the Multifamily Shakeout with Mark Shuler

Transcript

Built for investment professionals

Every day you wait, your competitors are findingedge in conversations you're not hearing.

Every day you wait, your competitors are finding
edge in conversations you're not hearing.