This chapter introduces our Harbor Yards case study and the stakeholders who will buy, operate, and eventually sell the fictional project over a five year period.

When we are first introduced to Harbor Yards, it is a tired, mostly vacant, 200,000 square foot office complex on the waterfront in Big Apple City.  

It used to house a combination of advertising and startup technology companies, but many of these companies moved out after the 2020 pandemic, leaving the project in financial distress. The previous owner could no longer afford to make its monthly loan payments, so Bells Margo Bank, the lender, foreclosed on the property and is now selling it.

Keen to take advantage of the situation, Elevated Properties, a commercial real estate firm focused on value-add and opportunistic investments, is buying the property with plans to convert it into a mixed-use community with office space, retail, and apartments.

This chapter will introduce and break down the various stakeholders in the real estate ecosystem represented by teams from Elevated Properties, JBRE, Whitestone Capital and Bells Margo.

Michelle – Managing Director, Elevated Properties

Michelle, 47, is the Managing Director of Elevated Properties.  Harbor Yards is her vision and she will stop at nothing to bring it to life.  

She is responsible for selling vision to investors (specifically Ian), making big, critical decisions related to the project, and overseeing Adam and other senior members of the firm on a day-to-day basis.

Adam – Asset Manager, Elevated Properties

Adam, 36, is Michelle’s right-hand-man and Asset Manager at Elevated Properties. Harbor Yards is his big career opportunity, and he needs to make sure it is a massive success.

He remotely oversees the on-site team (property management and leasing) and is the key person responsible for the financial performance of the Harbor Yards project (including whether or not to purchase new proptech software and services), reporting to Michelle and Leon. Adam Prides himself on attention to detail and outworking everyone else.

Ian – Investor, Whitestone Capital

Ian, 63, is the self-made billionaire founder and principal investor of Whitestone Capital, where he invests his own money–which he made importing car stereos from Japan– into real estate projects and cleantech investments. He is Michelle’s leading LP investor in Harbor Yards.

He manages his own investment portfolio focused on creating generational wealth for his family.  Operating primarily from his yacht, Ian seems to always be on “vacation” as he has blurred the lines of work and play.  

Patrick – Property Manager, JBRE

Patrick, 51, serves as the Property Manager for Harbor Yards, overseeing its daily operations like a proud watchdog.  He was previously the Assistant Property Manager at a trophy building uptown, and is now relishing his position at the helm of this innovative project.

He sits on-site and oversees all vendors (cleaning, security, F&B, etc.) and deals with all the day-to-day tenant issues. Patrick is also responsible for organizing and managing the monthly budgets on behalf of Adam to be sure the building is operating efficiently. On a personal note, he quietly despises the leasing team for doing half the work for twice the pay and praise.

Ollie – Office Leasing Agent, JBRE

Ollie, 37, is the charismatic “life of the party” of the Harbor Yards team and responsible for courting high profile companies to the project. Given the recent challenges in the office market, Ollie needs this exciting new project to lease so he can keep making car payments on his two Range Rovers.

He is responsible for all office leasing – marketing the suites, handling tours, and negotiating LOIs on behalf of Adam. Adam prides himself on having very high EQ and the best network of tenant rep relationships in the market.

Rachel – Retail Leasing Agent, JBRE

Rachel, 29, is the strikingly attractive retail leasing agent for JBRE and forbidden love interest of Ollie. Harbor Yards is her opportunity to bring together the dream mix of trendy restaurants and luxury stores that will make Harbor Yards the place to see and be seen – both day and night.

She is responsible for all retail leasing – tenant mix, handling tours and negotiating LOIs on behalf of Adam.  For Rachel this is a lifestyle business, blending her passion for shopping, entertaining and building a professional skill set.

Alfred – Apartment Leasing Agent, JBRE

Alfred, also 29, is part of the new residential brokerage group at JBRE, and will oversee the marketing and leasing of Harbor Yards new apartment units.  Leasing Harbor Yards is “something to do” for Alfred until he figures out his next career move.

He is responsible for all apartment leasing – handling tours and managing paperwork, mostly tenant applications.  

Leon – Lender, Bells Margo Bank

Leon, 55, has been with Bells Margo Bank’s credit group for the last 33 years. He recently had to foreclose on Harbor Yards’ previous owners, and then was convinced by Michelle, with whom he’s had a longstanding relationship, to sell her the building and provide her a new loan to finance the mixed-use redevelopment plan. His associates were skeptical, but he believed in Michelle and was willing to put his reputation on the line for her and the project.

As such, he is responsible for underwriting Harbor Yards–and doing so through a very conservative lens to ensure Bells Margo gets it’s monthly interest payments paid and it’s principal loan returned on time (or else it’s bad news for Adam and Michelle)

Sal – Investment Sales Broker, JBRE

Sal, 47, is the “sophisticated” broker from JBRE who has been working in the real estate capital markets business for the last 25 years. He considers himself in a different class than the rest of the brokers–like Ollie and Rachel–as he has a finance background whose skill set more closely mirrors those of an investment banker.

He is responsible for marketing and selling the building to financial buyers when the project is complete, running a competitive process to bring in the highest bid for the building–and ultimately get Michell, Adam and Ian the best returns for the investment and effort.

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