John Andreini Profile picture
Jun 13 12 tweets 4 min read Twitter logo Read on Twitter
Have you ever wondered why anyone cares about space?

The "space race" to the moon is actually a massive real estate play.

Below I will detail the politics, what's at stake, and why it's a winner take all situation:

#retwit #Creil Image
The US & it's allies (ARTEMIS) are racing against a China / Russia partnership to be the first to develop real estate on the moon.

These parties agreed on “The Outer Space Treaty” which is basically a “first come, first serve approach” to lunar development and mining. Image
Why?

The moon has all the elements required for survival – water (in the form of ice), a process for creating oxygen (lunar dirt) ,building materials for a base (lunar dirt), and the ability to generate power (silicon). Image
Using silicon, solar cells can be created to generate power.

Using power, ice can be melted to create water.

Using power & water, these elements can create a concrete equivalent.

Concrete can be used to build buildings.

Food can be grown.

A VILLAGE CAN BE BUILT!!!
Moving on, the moon has a lunar year in which consists of 2 weeks of darkness and 2 weeks of light. Below you breaks down full, no, and partial moonlight in these increments each month. Image
The sun shines in specific places rarely each lunar year – for a planet the size of Africa, that real estate encompasses less than 10% of the planet.

(Below is an iron deposit map, but gives idea on how few places the sun shines on moon in red) Image
Summary: The space race to the moon is strictly about controlling those pieces of dirt where the sun shines to create power so that a permanent base can be established.
Why / Who Cares?!
The US and other sovereigns are chasing the following:

1) By controlling those few pieces of real estate – power can be generated. He whom controls power, controls construction in space – “the final frontier”.
2) Other planets have commodities valued in the trillions of dollars – he whom controls power on a “first come, first serve” basis unlocks those opportunities. (It’s cheaper to bring down than to bring up).
3) By setting up shop on the moon, sovereigns believe the next generation of entrepeneurs will figure out what to do next.

By getting to the moon as a base, launching to Mars, etc. becomes much easier for the next phase of exploration and development.
Hundreds of billions of dollars are being spent by the US, China, Russia, Jeff Bezos, @elon, @RichardBran, and others – laugh all you want, but the players involved and the dollars spent do the talking.

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More from @jandreini1

Jun 15
“Bob” almost went broke in real estate during the Great Recession.

Then he bought a property, sold it, became the lender, and brokered it twice.

He was back on his feet.

Comeback story below:

#cre #retwit Image
A single unit franchisee drive thru building hit the market for $350K.

Seller was willing to “carry back” a loan for $250K at 6% interest only, so Bob needed $100K for down payment.
Bob put the property in contract, brought in a friend for the $100K down payment, and closed on the property.
Read 9 tweets
Apr 5
Just Closed!!

Price: $3,000,000
Cap Rate: 5%

#cre #retwit
1031 exchange buyer took this down, got debt from a life insurance company, and was a local buyer.
Rent was only $2/ft. annually, price per foot entry point was only $46 - outstanding intrinsic value.
Read 5 tweets
Apr 4
Below is an incredible story thread about a great deal gone wrong.

In what used to be one of the best locations in the world.

And what it took to save the deal from disaster.

Goes a little something like this:

#retwit #cre
The year is 2017 and the subject project is a leasehold interest shopping center with a strong tenant line up that includes Starbuck’s, Chase, Burger King, Subway, and other nationals backed by franchisees.
It is one of the most well known locations in America on Michigan Avenue in Chicago centered above Millennium Park, home of “The Bean” sculpture.
Read 14 tweets

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