Lessons Learned from Tyler Cauble's High-Risk, High-Reward Real Estate Investment

1 year ago
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Tyler Cauble, a successful real estate investor and Amazon bestselling author, recently shared his experience of purchasing a 330,000-square-foot shopping center on 32 acres during the pandemic. In this blog post, we'll delve deeper into his story, exploring the challenges he faced and the lessons he learned along the way.
The Deal
Tyler Caublenegotiated the purchase of the property for $18 million, down from the $35 million asking price. The property was off-market, meaning it wasn't available for sale publicly. Tyler didn't have the $180,000 earnest money required, so he sought a capital partner to help fund the purchase. However, his partner fell through, leaving him with a tight deadline to secure funding.
Tyler spent six months going through the 34 leases to figure out what was going on. The deal came down to the wire and was finalized just before New Year's Eve. Despite the challenges, Tyler was confident in the property's potential and saw it as a high-risk, high-reward investment opportunity.
Master Planning the Property
After purchasing the property, Tyler spent time master-planning it to maximize its potential. He envisioned building 1,000 apartments, office space, and ground-floor retail on the 32-acre site. Tyler's company is "master developing" the site, which means they are putting together the plan for the development and selling off lots to builders for each phase.
The project's tenants are currently cash-flowing the debt service to own the property, and Tyler later proved that the property was worth significantly more than what he paid for it after master planning it. Tyler encourages investors to think bigger and take risks.
Lessons Learned
Tyler Cauble admits that the development was a high-risk, high-reward undertaking, and he wouldn't do it the same way again. However, he notes that starting out with a project of this scale can help build credibility with investors.
He also emphasizes the importance of building contacts, particularly with government officials, to understand the local culture and deliver a project that checks the boxes of the district. Tyler says that he is currently under contract on a similar project, a 78-unit hotel that will be converted into a boutique hotel. He has better access to capital and lending partners now.
The Interview
During the interview, Tyler Cauble shared his experience in commercial real estate, particularly in partnering with capital firms to expand into other markets. He also discussed his willingness to risk bankruptcy in order to provide value to investors and ensure they don't lose capital.
Tyler began his sales career when he turned 18 and sold Cutco knives, becoming one of the top sales reps in the Eastern region and making $30,000 in three months. Later, he dropped out of the University of Tennessee at Knoxville to work in construction, where he discovered his passion for commercial real estate.
After being betrayed by his mentor, he read every book and met anyone he could to learn everything he could about commercial real estate. He finally broke out on his own a week after launching his book, "Open for Business," which became an Amazon bestseller.
Final Thoughts
Tyler Cauble’s story is one of perseverance, risk-taking, and dedication. Despite facing numerous challenges, he remained focused on his goal and was ultimately successful in his venture. His experience shows the importance of building contacts, taking calculated risks, and continuously learning and improving oneself. Aspiring real estate investors can learn a lot from Tyler's story and apply his lessons to their own endeavors.

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Instagram: https://www.instagram.com/commercial_in_nashville/
Youtube: https://www.youtube.com/@TylerCauble
Facebook: https://www.facebook.com/tylercauble1/

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