Recently came upon this guy who has a $30m+ fleet of super/hyper cars as well as a supposed net worth of $300m from real estate.
He sells programs where he mentors others in real estate for a 5 figure price tag.
Anyone heard of this guy?
| +83 | LP coming into deal at higher land basis. How to model returns to GP? | 19 | 10h | |
| +76 | Increasing RE Industry's Cash Compensation, Collectively | 43 | 1d | |
| +73 | Major Decisions | 13 | 2d | |
| +44 | Being asked to stay behind and train my replacement | 11 | 6h | |
| +34 | Niche down to an operator or stay an allocator | 11 | 8h | |
| +24 | Breaking into CRE late 20s | 7 | 4d | |
| +23 | Thoughts on joining an early-stage REPE fund | 7 | 1d | |
| +22 | Self Storage ECRI | 9 | 3d | |
| +20 | How to get good at RE Modelling? | 18 | 7h | |
| +20 | Public Homebuilders | 7 | 6h |
Career Resources
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
Yeah been aware of him for a few years. He’s a Grant Cardone / Robert Kiyosaki kind of guy. Got a real estate licence, invested in RE when he could - he’s done that for over 20 years. So with the knowledge he had and doing it for 20+ years, it makes sense that he is where he is. Now runs courses and stuff. Definitely some good motivational content on his social media always
Did he get to where he is through mainly guru marketing or through actual real estate investments though?
Pretty sure it’s all through RE
every guru is a shill
I got real curious about this guy. Here's how I know he's full of shit:
1) I worked at a shop where we evaluated placing a bridge financing for him. Granted I had left by then but my good friend told me the dude had literally zero liquidity - neither in personal or in business accounts. Kinda weird for someone driving around $2M cars saying they have a treasure trove portfolio of CRE assets.
2) I looked him up and only found a hand full of entities he controlled recorded on title. Doesn't have a huge portfolio - think 4-5 buildings in Orange County and Texas. I did however find his house in Pelican Hill (Newport Coast) which he surprisingly owned and bought for like $18M. But he took out a 2nd trust deed hard money loan on it from a sketchy "loan to own" type lender lmfao.
Where there's smoke there's fire. Who knows what else sits below the surface of a quick public records and title search....
Right, that confirms my suspicion. The house and cars definitely gave him public image cred. What about the cars though? How is he able to have a literal hypercar fleet of that size?
Life Cos would categorize him as a typical "California Borrower". In all seriousness though, there are quite a few people that have made fortunes by taking out aggressive cashout refis. I'm sure that those properties probably give him enough cash to pay for his lifestyle and subsequent cashout refis pay for the cars and other large purchases. The issue for those types of people is what happens during a typical downturn. The best dealmakers are able to get out unscathed via workouts.
Yeah I found his house as well. From what it looks like he definitely did lever up on it but from his videos he has mentioned that he owns some STNL properties as well as industrial assets across the nation that cashflow well enough to cover for his expenses. I thought his story was pretty interesting and did some quick math/more research on him, it looks like (adjusted for inflation) he had around $287,545 saved in cash when he was 28 years old in which he invested 100% of it into the dotcom boom and cashed out before it bust. That roughly turned into around $862,635 which he invested into a strip center with only 10% down with owner financing. On top of that deal we found another deal in Orange County where he was able to use an SBA loan with 10% down as an owner user on a building that was way below market the foreclosed building also had structural issues in which the bank had to invest cash to improve the structure as required by the city; I believe he made a million or so on that deal which allowed him to 1031 into something bigger. The guy isn't a conventional REPE fund guy but I like to think that with some luck and key market timing he was able to build wealth slowly over time.
Anyone selling mentorship programs is in the mentorship business, not the real estate business. Generally speaking people spend the majority of their time on the highest--returning activities. The cars and "net worth" part of it are all part of the show and the act. You can find plenty of publications who will unquestioningly repeat that your net worth = AUM. I absolutely believe a guy like this (or a Grant Cardone) might "own" $300mm worth of real estate. When you consider that it's 60% levered and these guys probably own a small fraction of the equity, you come out to low 7 figures, which seems about right.
You might be right, same could go for Ben Mallah. But how does that explain his access to those cars he has, plus the 18mil house? Cars like that are incredibly rare and expensive and not just anyone can order them. He may not be worth 300 mil (I actually doubt he is) but probably worth more than low seven figures.
Rentals on the cars. According to @Merchant_of_Debt, his house was probably highly levered in the first place and he's funding various other aspects of his life/business from supplemental debt. $4mm is more than enough down to get you an $18mm home. I hate to sound rude, but he finds access to cars like that because it impresses credulous rubes. The concept of "he can afford XYZ so he must be rich!" is all too common and generally all too wrong. When you see tons of news about how wealthy someone is, or about their net worth, and not a lot of information regarding the basis of it... that's a red flag. When someone plugs their "real estate business" by showing off how they own $15mm more of house than they need, and their fleet of supercars.... that's a red flag. Think about all the hyper wealthy people in real estate you know about. Generally speaking, we know some of the assets they or their company own. Sure, they may be into super cars, but when they're interviewed, the focus is on what they do, not what they buy with the proceeds of what they do...
People grossly overestimate how little you really need to drive supercars around. You can finance those shits at 100% and low rate if you have good credit.
Credit. It is incredibly easy to accumulate debt - especially if you're starting out with a couple million to your name legitimately.
I have met Manuchehr/Manny at a car meet last fall, he is a cool guy. Willing to make time and speak when you see him and seems to know a lot about cars. He has quite a few Persian buddies who are serial entrepreneurs, and his wife is also famous.
This guy is 100% actually rich or else there is no way he could even come close to affording those cars. He has CUSTOM made Bugatti’s with Hermès and Mansory as well as a custom Pagani. You cannot “rent” these cars and they are extremely rare to even buy. People need to stop doubting people’s wealth and success just because they flaunt it. The guy likely got extremely lucky and cashed out early on and used that success to parlay his wealth into more streams of income from YouTube and his courses as well as real estate
This 100%.
I am into cars and have seen a part of his collection. they are all custom, there is no way of leasing them.
Also, his wife is also exceptionally wealthy. maybe they just combined their wealth and made really smart investments. and I am strongly assuming they are not from poor backgrounds either. There is the pervasive story how poor he was when he was younger. Was also on TV here locally, I live in LA and many tv stations had reports on him. I never know whether those stories check out... it is possible I guess.
Define "custom car". Is it for you, and it's fingerprint locked so no one else can use it? Because otherwise all I'm hearing is that the car was ordered custom, which in no way means it cannot be used, rented, borrowed, etc by someone else.
And sure, if his wife is a billionaire good for him! The question isn't "did he marry well," but rather (it is implied to be) "what has he done in the RE world to afford such a lifestyle?"
And the answer to the latter question is "nothing, apparently." So if he's not raking it in as an investor/developer/owner, he's either financing a lavish lifestyle through debt in order to impress idiots who think that owning expensive cars is equivalent to any kind of successful career, or... he married well and is pretending that means he's a real estate guru?
And no one is doubting his wealth because he "flaunts" it. People doubt his (and those like him) wealth because all they seem to have are the "flaunt" parts and none of the "here's where it comes from" bits. Ken Griffin bought a $238mm apartment in NYC last year. But that is a symptom of his wealth, a result, and not a cause. He's not wealthy because he bought that apartment, he's wealthy because he founded Citadel. So with this Manny Khoshbin guy, where is his Citadel? He has the flash of expensive cars and an (apparently over)-leveraged home (both of which are prime indicators of people living beyond their means, I'd argue), but where is the substance? What assets does he own that pays for those cars and that home? If you can't find or point to that, then of course the assumption is that the guy is a fraud.
The fact that you just said finger print locked so no one can use it is ridiculous in terms of referencing custom cars. It is now clear and obvious you know nothing about cars or hyper cars.
Anyway, since you are asking for a question on how he made money in real estate, he has videos up on YouTube of properties he’s purchased and broken down the financials to those properties as well as discussed his profits/losses. Along with that - here’s his website with properties he owns that he’s trying to lease up https://khoshbinco.com. Like I said - he likely got lucky with a few real estate investments early on, and then parlayed that into YouTube revenue along with the classes he sells. Hard to be mega rich and have one single source of income.
I never claimed I did? I'm a real estate developer, not an automotive engineer. I was employing a technique called "hyperbole," and you missed the point extremely badly. How do you know he owns that specific car?
It's extremely easy to be mega rich and have one single source of income. Go look at any extremely wealthy person - they didn't do it working two jobs, or with a side hustle. They made their money by excelling at one thing, or succeeding at one thing, and whether they diversified or not is immaterial. Again, since I brought him up earlier... I'm sure Ken Griffin makes millions and millions of dollars a year on various investments he's made. But he's wealthy because of Citadel, not his $3mm Bitcoin investment profit or the real estate portfolio he's assembled.
Lets make something clear - people selling programs through YouTube videos of "how to make it big in real estate" are not UHNW individuals. And if they are, their money comes from selling those programs, not from the real estate they purport to be experts in. Otherwise, they wouldn't be spending all their time filming themselves unwrapping cars or touring their mansions - they'd be managing and expanding their real estate portfolio. That is just common sense.
His website is literally a picture of himself and five small to medium size office rental properties. Nothing else. Given what else we know about him, it's almost a guarantee that if he owned anything else, he'd be publicizing that too.
Mr Khoshbin, like most snake oil salesmen before him, seems to have realized that the world is full of people asking to be duped, and who can't distinguish between how to create wealth and how to acquire the trappings of wealth. He's draped himself in the language and accoutrements of a hyper-wealthy person, and people like you are eating it up. In the 30 seconds of looking, I see he has like 5x as many videos about his cars as he does his real estate, which should tell you something in and of itself. I even listened to one of his videos, which was titled "How I made $12 Million Off One Building" for reference. And... at no point do you hear anything of value. He doesn't "break down the financials". He spouts off about how much he's increased rents by, or how much he claims he has, without giving any context. Sure, he increased the value of the marina slips by $14,000/mo - but it took him 2 years and an undisclosed amount of money to do it. Was some of it vacant? How much did it cost him to build? Did he borrow that money, is it equity? For that matter, how much of his equity is syndicated out? What kind of leverage does he have? He claims to have converted dead space into rentable floor area, but the only business he could find willing to rent it was his own "very lucrative" cigar lounge.
You see what I mean? He's telling you he has wealth, and showing you what he bought with that wealth, but there is absolutely nothing about his schtick which explains where that wealth is coming from and how it was generated. A bunch of vague platitudes, and a "look at my new car" to distract. I believe foolish people who don't do their research or who invest in get rich quick schemes deserve to lose their money, so I have no objection to this guy fleecing you or anyone else, but don't sit there and tell me he's done it through savvy real estate investing.
Another aspect is interesting: the cars he is buying are also very rare and will almost always gain in value. He regularly sells cars at a significant profit. While he is into cars out of passion; to him, buying/selling cars is also another business area.
Fantastic. If he's selling himself as a second-hand salesman of luxury vehicles, good for him. I know nothing about that, but maybe he's really good at it! I just object to the idea that he's a "real estate" anything.
I think 99% of courses out there aren’t really worth it. The fact of the matter is that getting wealthy in Real Estate is pretty simple. Buy solid properties with lots of leverage, refi etc. WTBS I have seen one course on personal re investing I’ve been tempted to buy as it deals more with creative financing techniques
Don't know him but wouldn't be surprised if he's another Cardone Clown.
Real players in real estate don't need to tell people how much they own, what custom car they're driving, or put on a fucking seminar. There are many people and families in real estate that could buy this guy many times over.
Just another Grant Cardone type. Sometimes I forget how many highschoolers are on this website ... I used to be at a debt/equity brokerage group known for doing big deals for big sponsors. The wealthiest sponsor I ever met (actual net worth of $500mm+, not just portfolio value) drove a Honda CR-V. Just food for thought.
Also, if you were a mega big time real estate gajillionaire, you wouldn't sell the keys to the kingdom for $999 or whatever. You'd keep it close to the vest and work on your real estate portfolio. Not sure why I need to explain why the get rich quick guys are entirely full of shit literally 200% of the time, but for anyone who's wondering, they are.
It's not difficult to understand how a value-add investor can improve and sell $10-25m properties and make $2-5m cash profits on a 3-4 year exit. Strong markets, (pre-pandemic) for office. Pretty much anything multifamily and industrial pre-pandemic, during pandemic and post-pandemic. Maybe it's difficult to get being on the W2 side. Now how he might turn around and purchase flashy cars with his money is a different story.
Non aperiam pariatur necessitatibus ipsum sapiente voluptas. Necessitatibus facere mollitia quas odit modi dolor commodi soluta. Iste similique fugiat nam reprehenderit facere. Libero culpa asperiores quibusdam enim laborum voluptatem voluptatem. Est quia cupiditate atque voluptatem est qui.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...
Atque consequuntur et inventore dolorum sit suscipit et dicta. Iusto non et adipisci laboriosam. Cupiditate et repudiandae ut provident praesentium.