Austin, Texas – In a recent interview, Elon Musk weighed in on the impending banking crisis:

“There is serious danger in the global banking system … If [banks] had to mark to market their portfolios, the entire banking industry would have negative equity … It’s not merely that the canary in the coal mine has died, the miners are starting to die, too.”

This week, we learned that First Republic Bank was placed into receivership by the FDIC and its assets auctioned. This is the 2^nd largest banking collapse in U.S. history. We have watched Silicon Valley Bank, Signature Bank and Credit Suisse all fail, yet the market ignores it. “We haven’t seen the shoe drop yet, it’s more of an anvil than a shoe. That will become a very serious thing late this year, in my opinion,” Musk says.

It is time to diversify away from banks and market assets.

Whether you are a long-term client of our firm, or just hearing from us for the first time, we have been saying this for over a year and have created two vehicles to avoid the crisis. Our track record is impeccable, and we liquidated our last portfolio last year with tremendous profits because we saw this distress coming down the road. Additionally, we are the SperryCGA affiliate in Austin and a member of Sperry’s Commercial Property Resolution (CPR) team which enables us to perform loan workouts with banks and owners of distressed commercial properties.

What this means is Next Frontier Real Estate Holdings Fund I and Next Frontier Real Estate Holdings QOZ Fund I (for tax qualified assets) are perfectly positioned for this scenario. We carry no legacy assets and have no loans or debt. Our vision is that the one asset that will hold its value through what is about to happen is unencumbered real estate in areas of demographic growth.

Our new funds are accumulating a “war chest” to find and strategically acquire underpriced real estate, and assets backed by real estate. With 30+ years of experience managing large investment portfolios in various asset classes, we feel that this opportunity will be one of the best that we will see in our lifetimes. Our knowledge of the Central Texas real estate market is proven, and we continue to build relationships with local and regional banks looking to offload distressed assets.

Please join us on our journey into the Next Frontier of Real Estate Investing. If you would like more information on our funds or would like to explore our track record of outstanding returns, please inquire through the Contact Us page or visit our public deal room here.