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sure thing okay well thanks for having
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me on then obviously I work with you so
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we do have quite a past together but
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I'll give you some context here just for
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anyone that's listening my name is sim
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Manoa I am the managing partner at vina
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Capital were a real estate financing
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company that focuses on commercial and
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private mortgages we do a lot of
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commercial across the gamut office
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retail industrial hotel multifamily etc
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and a little bit of background on how I
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got to being here is previous to sort of
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the very beginning went to went to
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Western there and was in a business
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program there actually I started up the
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real estate Club with a partner of mine
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and through that whole experience and
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and working with my father who actually
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owned a couple of commercial properties
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in London I really kind of fell in love
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in the industry and didn't know where
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exactly I wanted to fit in so I had
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heard that based on my personality I
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would fit pretty well in the brokerage
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world and I did actually really enjoy it
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so I started off at Avis and young then
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ended up working at jll on the capital
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markets team there our full team left
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jll to do a little bit of that capital
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markets as well as dipping our toes in
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the equity capital market side of things
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and and it was to a venture called r2
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where we did a mixture of real estate
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investments as well as advisory services
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for that as well as equity investments
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and then after that I had a pretty good
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base in terms of what I wanted to do and
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what I knew that our clients would be
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able to get the most value out of so I
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decided to start being a capital we are
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a shop with six people total including
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myself and we are relatively young guys
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that are super super hungry and have got
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a very good track record in terms of
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working on very large deals and being
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able to get our clients in a position
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where they feel comfortable with the
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level of debt they're taking on as well
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as their overall
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capital structure and the big bit what's
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the like what's sort of your competitive
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advantage in that space like you know
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why would a customer and I know you get
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asked this question all the time why
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would a customer work with you as
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opposed to a competitor or go directly
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to to a lender in some cases sure and
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often it's not often times every single
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developer at least every single one that
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we work with or owner of real estate has
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direct relationships with their finance
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series whether it be a domestic bank
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which typically that is the case they
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know their TVs or Scotia as if demos etc
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but the benefit that we provide over I
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guess going direct is that we are
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actively involved in the space we track
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over 120 different sources of capital
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that are institutional here not
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including private in Canada and whether
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that be domestic banks credit unions
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pensions life coast makes measure equity
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firms etc we sort of know our way around
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the market and a lot of times when
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you're have a problem or another problem
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would say a project and you're looking
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for what the right solution is and if
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you're only going to a few of the
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options it's sort of like there's a
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realtor right if you only have a limited
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number of buyers then you really don't
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know first of all are you giving the
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best deal and oftentimes if you open
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that door up to a wider variety it's
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oftentimes something we were able to
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maybe push up on on leverage or push
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them on pricing etc so what we do is we
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we are able to sort of provide through
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our quite extensive knowledge of what's
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happening in this space information to
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our clients and also package their
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information in the right ways that
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lenders can essentially cut and paste
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our very detailed
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investment memorandum packages that we
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prepare for our clients and we are
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oftentimes able to get the best deal
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possible for them whether it be getting
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a bit more leverage than what they would
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get with the let's go short or maybe
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getting a bit of a relaxant on some of
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the terms or even sometimes better
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pricing it through going to a pension or
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a life coach and what we've seen a lot
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here in Canada is there has been a large
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influx of foreign capital whether it be
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the Korean banks such as Korean exchange
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bank that have come in here and
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deployed quite a large amount of capital
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and often times are a bit more lenient
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in the way that they look at properties
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and underwrite them to get to the loan
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amounts that our client said to be
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desire is are you noticing like does
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there seem to be a bunch of money that
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has been exiting the stock market is
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looking to play in real estate as sort
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of a flight to quality or safety I would
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say historically there definitely has
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been I mean even friends in mind that
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have traditionally been playing in that
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space and institutional investors you've
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definitely seen a large trend in towards
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alternative investments such as real
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estate based on the fact that obviously
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there's oftentimes consistent cash flow
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it's something where is real asset etc
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but with the whole economy and the world
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reacting to the Sun president and
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coronavirus I haven't seen the the
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flight of capital towards real estate
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I've seen just a flight of capital
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outside of the stock market and and just
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lets transactions I'd say on the on the
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real estate side as we've never seen
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this type of uncertainty before right so
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what is that on that know like let's
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take that as a segue how does it change
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things for you I know you do a lot of BD
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and a lot of relationship management so
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obviously you're not going to be in the
05:52
office as much but but beyond you know
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then you can you can discuss the
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logistics if you want but beyond just
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that piece how have things changed
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over the last three weeks for you at a
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vena capital and for the lending space
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in general and I know you work with a
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lot of hospitality clientele so if you
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want to brush them as well and then you
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know maybe we can segue to the change
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that happened yesterday which would be
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that that most recent BOC ray cut sure
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so in terms of the changes they're
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ever-evolving I mean on a daily basis
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what happens with the news has affected
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us as well as pretty much every other
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business and industry more than pretty
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much ever before I'd say I
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so to the market three weeks ago it's a
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lot different than it was two months ago
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and it's a lot different than it was
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yesterday and the way that that's really
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impacted us is that a lot of times
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investors such as lenders which are
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truly investors they're investing with
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into debt into projects their risk
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tolerance even even given the fact that
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there the overall cost of capital has
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gone down obviously due to this
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unprecedented issue that were taking
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we're facing at a macro level and the
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lack of clarity on the timeline they've
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actually pulled back a little bit in
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terms of the leverage points that
07:20
they're comfortable with you've seen
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