How This Real Estate Investor is Betting on an AI Boom (It’s Not Data Centers) | Tom Shapiro – Monetary Matters with Jack Farley

How This Real Estate Investor is Betting on an AI Boom (It’s Not Data Centers) | Tom Shapiro – Monetary Matters with Jack Farley — Transcript

Market views

Bullish

SANFRANCISCO_RE— San Francisco residential real estate is GTIS's top investment target due to AI company influx (20% of office space), tech return-to-office mandates, new mayor cleaning up city, buying at 50% off replacement cost with 10%+ rent growth year-over-year.
OPENAI— OpenAI is generating real revenues and occupying significant office space in San Francisco, indicating genuine business traction beyond hype.
ANTHROPIC— Anthropic is generating substantial revenues with real customer adoption, as evidenced by GTIS paying large monthly bills for their services.
DATACENTER— Data centers and GPU compute power are experiencing massive demand from AI companies, with real business traction despite high valuations.
INDUSTRIAL_RE— Industrial warehouse real estate is benefiting from reshoring trends, 50% decline in new starts creating supply shortage, with GTIS actively developing 8-10 projects and seeing strong leasing activity.
BRAZIL_RE— Brazil real estate is benefiting from commodity exports (oil, iron ore), China trade partnership, currency recovery from 6 to lower levels, and selling office buildings at 8% cap rates despite high interest rates.

Bearish

SUNBELT_RE— Sunbelt residential markets (Austin, Nashville, Charlotte, Phoenix) are severely oversupplied with extreme concessions (4 months free rent), taking longer than expected to clear supply, and suffering from immigration restrictions.
VEGAS_RE— Las Vegas real estate is hypercyclical and currently hurting due to reduced consumer spending on trips as middle America faces pressure from higher gas prices and inflation.
OAKLAND_RE— Oakland real estate is not attractive compared to other Bay Area markets, with speaker expressing consistent negative view on the Oakland story.

Not investment advice.