Photo provided by Boris Sanchez
In the sprawling landscape of the commercial real estate market, the towering skyline of opportunity is punctuated by the potholes of challenge. Yet, navigating it successfully is akin to a complex game of chess, with volatility and competition adding to the intricacy of the board. However, amid these challenges, the beacon of success shines brightly for those armed with accurate information and the tenacity of self-belief.
The mere size of the market shows there is space for all those brave enough to enter. Statista shows commercial construction activity reaching a total of $115 billion in 2022 alone. The pandemic-induced downturn gave the investment market a jolt, leading to a slump in sentiment.
Despite this, determination and adaptability prevailed as the market rebounded in 2021 and 2022, with the multifamily, industrial and office sectors boasting transaction activity of $279 billion, $142 billion and $109 billion, respectively. However, regardless of the location of real estate operations, there are success stories to watch out for, even in the most unusual of markets.
The real estate industry in Houston is witnessing a transformative force in the form of Boris Sanchez. As a dynamic entrepreneur, acclaimed real estate investor and author, Boris is redefining success and spearheading a wave of innovation in the Texas market. His remarkable journey has garnered attention from industry professionals and positioned him as a trailblazer in Houston's thriving real estate landscape.
Boris's entrepreneurial drive ignited at a young age. He remembers his first attempts at business fondly, "At seven, I ran a food delivery business in my school, charging for lunch delivery uphill. The business grew, competition sprouted, I hired other kids to help, but a teacher eventually shut it down." This early experience set the stage for his future accomplishments and cemented his determination to succeed.
Relocating to the United States in 1995 presented Boris and his family with new challenges, but their unwavering resilience fueled their pursuit of a better life. Boris vividly recalls his mother's transition from a high-profile attorney to taking on menial jobs, saying, "Arriving in the United States in 1995, my 11-year-old self watched my mom transition from being a high-profile attorney to scrubbing floors due to her credentials not being recognized."
Witnessing his mother's hardships inspired Boris to strive for financial independence and overcome obstacles. Joining his family's real estate business in Houston in 2011, Boris embarked on a journey of growth and discovery. Initially working as a mortgage loan officer, he quickly realized his passion for commercial real estate. Boris delved into house flipping briefly but found his true calling in the commercial sector.
In 2012, he took a bold step by purchasing his first commercial property, an eight-unit apartment complex. Utilizing unique borrowing methods, Boris achieved exceptional success in the commercial sector. Reflecting on this milestone, Boris enthuses, "I flipped my first apartment complex using a special kind of loan called hard money, making $250,000, which was more money than I'd ever seen."
This experience ignited his desire to further explore the realm of real estate. Driven by his vision of building something of his own, Boris established his own real estate company in 2017. Today, his company stands as a testament to his entrepreneurial acumen and innovative practices.
Boris proudly shares, "I built a company from scratch that's now worth approximately $70 million. It's a significant achievement, considering my humble beginnings." His company's focus on strategic growth and forward-thinking approaches has set new standards in Houston's highly competitive market.
Boris's unique approach, known as the “KISS” method – “Keep Some, Sell Some, Scale” – has garnered attention for its progressive strategy. Contrary to conventional investment methods, Boris emphasizes the value of time and the necessity to sell for growth. He explains, "I think the popular BRRR method overlooks the value of time and selling properties for growth."
This forward-looking strategy fosters continual expansion, solidifying Boris as an industry visionary. Amidst the challenges faced by the real estate industry in Texas, such as interest rate hikes and rising insurance costs, Boris Sanchez remains undeterred.
His expertise, innovative thinking and unwavering dedication position him as a driving force in the Texas real estate market. With a focus on redefining success and pioneering innovative strategies, Boris continues to inspire and pave the way for future generations of real estate professionals.
However, Boris's impact goes beyond his personal achievements. As an advocate for the Texas business community, he actively addresses the challenges and opportunities in the local real estate market. Texas, known for its booming economy and flourishing real estate sector, is not immune to the fluctuations and obstacles in the industry. One such challenge is the recent hike in interest rates, which can impact the affordability of real estate investments.
"It's crucial for investors to evaluate their financing options and consider the long-term implications of interest rate changes. By staying informed and proactive, investors can position themselves to make strategic decisions and mitigate potential risks," Boris says.
Another concern for real estate investors in Texas is the rising insurance costs. As extreme weather events become more frequent, insurance premiums have increased. That’s why Boris is urging proactivity and exploring alternative insurance options to safeguard investments and mitigate as much risk as possible.
Boris's success story also serves as an inspiration for aspiring entrepreneurs and real estate professionals in Texas. His story, like the ones that came before and after him in the ideal American Dream pamphlet, embodies two key factors: resilience and determination. Both crucial in building a successful business.
Boris encourages aspiring entrepreneurs, saying, "Believe in your vision and be willing to take calculated risks. Embrace challenges as opportunities for growth, and never lose sight of your goals. Success comes to those who persevere."
