This Is the Life of a Millionaire in Mexico (Gus Marcos)

[00:01] more than 5 billion pesos and is just one of the 15 projects that the person we are going to meet today has active at this very moment. Today we're going to be with the most important developer in the

[00:14] northern part of the country. We're going to learn about its origins, its processes, how its business works, and how it all started. Today we are with [music] Guz Marcos.

[00:38] show us its origins, we will visit the sales center, the first properties and the most recent development it has. We're going there.

[01:02] What's up, friends? How are you? How are you, welcome to Dax? Yes, ready. Delighted. We go to each other's houses and chat a little about here. Of course . Thank you so much for your

[01:16] At your service. Tell us about the office. Uh, how many people work here? Well, about 120 people. We have a space on the fourth floor and a space on the third floor. If you want, we can go to the whole

[01:28] space. We have practically the entire floor available. Thank you. We have offices, we have the because the development area has its own separate monitoring center. This

[01:41] used to be my sales center, remember? Yes, yes, yes, of course. And we have my monitoring center. And if you look at look at Nuobus, Cauma, Carava, Nuobus, Nuvara,

[01:54] Montara, Nuvara and Somara, we're going to Nuevus. Excellent. Indeed, these places,

[02:08] these places and these places are almost always for the collaborators who Okay. And they're based here. Hello good. Hello how Administration, back office, costs and budgets

[02:23] Okay. We have private offices and more meeting rooms. And then here you have a main one you've already been to. It has a very nice

[02:38] view, and the truth is that you're not that high up and you have a beautiful view, And then we have my sister's office, my dad's office, who doesn't come around often, I mean, obviously he's traveling in Colombia. This is loo, one of the

[02:51] vertical projects we did 7 years ago. And now I'll show you all of this that we have. Look how handsome he is. These are the first steps. This project is really cool. I have to finish it.

[03:06] Here we have, like, the hallway, the hall of fame. Look. Sumara. hall of fame. Look. Sumara. And then you on the first stone. Montara. Nuara. Hey.

[03:20] There's Andy. You didn't buy anything there. Andy, you bought Second phase opens. Look. [snort] Second phase, guys. Nuarita is beautiful. Second phase, guys. Nuarita is beautiful. First stone. Now come and see.

[03:37] That's my office. The command center is here. We're just getting started. I'm excited about this moment because we're starting the first batch of Nuvara and then it's coming this way . If you look closely, we've just snuck into

[03:52] . If you look closely, we've just snuck into Cauma. Yes. And we can see you can see the work. You have all the works here. Yes, all the works. Well, the truth is that it's really cool because you can see the

[04:05] that it's really cool because you can see the preview, right? You can see the entire area every day. Yes, yes, yes. I even have the gym have the restaurants in another application. You can see the

[04:21] parking lots are clean, that the showroom staff are there at night turning on the lighting, but all of that is key, Andy. All of that is key and that's what I'm going to show you right now in the field so you can see and experience it.

[04:35] Now, before we go, I do want to clarify something. Something that has helped us grow a lot is keeping our feet on the ground. If you see a person dressed elegantly, with nice cars, don't judge that person as being arrogant or

[04:51] overbearing. Something I learned is that keeping your feet on the ground and helping others grow is what will help you grow the most. So, a lot of people judge me because they say, "Oh, he has a suck-up face." Or it has. No, no, don't

[05:04] judge people. When you stop judging others, you start to respect yourself more, dude. I mean, you have to understand that. And besides, you know what happened to me when I was 16 or 17? I was a victim of bullying, and yeah, it gets you down,

[05:20] yeah, I mean, even if you're 25, 30, 40 years old, if you're one of the kids, you're going to get down, you're going to get sad, dude, when they're hitting on you all day long, nobody wants that, right? So, I came from living like that

[05:35] and the only thing I wanted in my purpose was to change, that is, for my life to change in that sense and I took responsibility, well, and they would tease me that I was chubby and had big ears and hey, I'm going to look good, I'm not

[05:48] responsibility and at 18 on a study trip I lost 24 kg. So, don't judge people by their appearance. [music] A simple good morning can change the course of your life because the person liked you, that

[06:02] person who was at the window, became general secretary of I don't know what. You never know who you're talking to. Thanks for the advice, and well, let's go, that's all there is to it . Let's go, guys.

[06:19] ton of race, dude. The size is too big, gay. This gay street has a really good gay. This gay street has a really good density, dude. Here it is h. Look, density, dude. Here it is h. Look, when you analyze a piece of land, look, for

[06:32] look, for the little piece of land there are six apartments. So, this street has a very good density and is multi-family. Gy, can you believe it? Multifamily housing five means that for every 95 m² it

[06:48] have to comply with the square meters of parking spaces, that is, there is a behind, but that street has a very good density. What's happening with urban planning? Since Vasconcelos was commercial, the first street, [music] behind the

[07:03] commercial streets, the municipality designated them as mixed use, dude, commerce downstairs and apartments upstairs because of the noise of the same street. And in several places they removed that, uh, I mean, we're up the street, you see houses, but it doesn't

[07:17] Of course, just because you see houses doesn't mean it's a review the urban development plan. So, all those things are really cool because nobody teaches them to you and I'm teaching them to you right now. Look

[07:30] a piece of land. Hey, Andrés, I used to talk about 100 plots of land a day, 100 plots of land, dude. There was no artificial intelligence. If was no artificial intelligence. If

[07:44] ask him. Well, what should I ask you? You can even create a business model. My last business, last year's business , I closed a hotel and I was asking how I could rent the apartment, how the person thinks, he has this type of

[07:58] hotel, he has this type of business. I mean, imagine I asked him that and he Look, I'm going to go into the Mirasierra neighborhood. I made three of the 40 houses here. Okay. The two houses here that I'm going to show you are the ones where I lost money.

[08:13] Okay. Here, this house had 300 m of land. This white one, dude. That white one here was 300 of land, 450 of construction. They were normal houses. Yes, [music] there they are. This Midaserra was

[08:27] . It's worth 20 right now. the park right across the street. The only thing that bothers me is the spider webs they make. And

[08:39] here I built three more houses. These two that are here in the corner. Okay Andrés. Okay. From here on you can subdivide into lots of 400. That is, it left you

[08:53] municipality. Lots of 400. Well, from the middle of the street onwards. Look how seen them yet? From the street onwards, literally, dude, it was a black line. dotted lines where it let you subdivide into

[09:06] lots of 200. It was a 400 plot of land, dude, and I subdivided it into two and built two houses. Wow, that's cool, dude. And then I made this third one. These siblings' This [music] is really beautiful.

[09:20] All three of these. And weren't the lands yours? Okay. I bought the three or four plots of land. He already had money. Because? about the origin of the houses that I'm going to

[09:34] The first ones. Yes, important topics too, because as I said a little while ago, yes, talk about it, follow up on it. If you see a small house, a small piece of land, speak up. Yes, for example, come out of the house already, hey, what's up? And

[09:51] so, for example, these houses here are in 7 m000ones. Here's an old little wine cellar . Look, look at the size of the land. Here you can make 10 cases across the entire front. From over there, look, from over there. What's more, you could maybe fit

[10:05] Yes, yes, right? And suddenly you walk by and they put it up for sale. They're building a house for sale here, and you can see the area. It's awesome. Of course . Well, my houses are on this street,

[10:20] but in Zaragoza. Those bought and sold machinery. And you convinced them to

[10:32] Yes, that's correct. I'm going to explain to you now how the land was worth 7,000 m. When the houses were finished, I paid him 12,000, almost double. Okay. But that's because it was the mechanics. Imagine the land was worth 7,000 pesos per

[10:46] Imagine the land was worth 7,000 pesos per meter and it was a 200 m² plot, so 1,400 pesos and he would get 3,000 pesos, dude, when he sold the house. For its usefulness. More than 12,000 p

[10:59] double. Almost. So, what did I do, guys? First I'm going to show you the first two houses, but then I'm going to go to the 24-unit plot, which was the largest one they gave me . Look, I planted those trees

[11:12] Yes, yes, they were very pretty. These two houses, These two here. I built these two houses myself. Here it goes.

[11:25] these two houses myself. Here it goes. All these houses have the same frontage and depth, but this land was given to me after the houses over there were built first. They never told me that the owners had the whole block. Yes, they

[11:38] the owners had the whole block. Yes, they 10,000 meters. If you look, it's the whole block. I built a private section in the center to have three types of properties, and I'll explain why in a moment. Look how cool this is.

[11:52] This is the private section. These houses are already going for 23 million pesos. I sold them seven, and six. Yes. And here we're going to get out quickly so you can see. Here we have houses.

[12:07] Okay. How do you think you convinced the owner? behind it. It was 6,000 square meters, but he never told me it

[12:19] was 6,000. I made a good deal with him on this one, and he started contributing the land in the back. Okay. It was 6,200. Now, [music] how did you start construction? I put up a pre-sale banner, and the houses weren't selling. I said, "No, well, let's use the pre-sale." I went

[12:32] with a The investor who brought me the contributor told me, "Convince him." "I commissioned "I'll pay you a little bit, so I don't make a long story short." Something really cool happened to me: the person bought the first house from me, I sold it for 4,950. With those

[12:47] three, I mean, I sacrificed the profit from the first one. I did the construction, the rough work, of the first four; the civil works cost me 800,000 pesos for each of the four. From Based on that trust, I raised the price by 300,000 to 400,000 pesos per house to

[13:04] generate the profit I had lost. And here I went to the subdivision and they fined me because I had a wall, dude. They started all sorts of things. But this was the beginning. So, here are the two over there and these over

[13:18] here. And that's the initial story of the developer, guys. the developer, guys. Incredible. Where are we now, Gus? Now, well, to begin with, I don't know

[13:32] Okay. As you can see, these are the offices, our old offices, and we were lucky enough to Okay. To rent to a friend. Anyway,

[13:47] we're in the old offices. But this is where I had my first job, that's what nobody knows. We're here at the Bulca. The guys are here. They've been here, I think, how many years? Let me ask you, bro. How many years

[14:00] I've been here for 5 years. You've been here for 5 years. You weren't here when I was working, right? No, I was here at the other place. No, I was here at the other place. Dani, Dani, you were here when I was working

[14:13] you were here when I was working here. Yeah. Oh, no, not here. I've been here for 11 years. 11 years, right? I was 15 when I started working here and I told you I was doing something, Andi that nobody was doing. They'd patch the

[14:28] tire. Fortunately, I'd say, "What extra can I give the customer?" Imagine, [music] look, if you see the tires, they arrive dirty, even though the car was dirty, I'd wash the rims and put on the tire sealant.

[14:40] And it cost me 40. Back then, dude, we're talking 24 years ago, dude, we're talking 24 years ago, dude. I mean, 24 years ago I'd put the sealant on the tires and wash the rims. When you only had the tire, you just

[14:54] . That's right. So in the end, that [music] do in our real estate developments. Giving extra, sometimes they appreciate it, sometimes they don't, but the key is to do it from the heart.

[15:10] someone doesn't appreciate it? I mean, what's the motivation for doing things right When you think long-term and have a purpose in life, to leave a legacy. Let's go. Thanks, guys. [music]

[15:33] sales center, I want to ask you a personal question. Haven't you ever been afraid of having so many things at the same time? Yes, it's a great responsibility, but just like I was saying, the issue of consistency and

[15:46] taking risks is what has made me grow the most personally. There's a key point grow the most personally. There's a key point in this life: progress is happiness, and the truth is that I can't feel stagnant, I can't feel comfortable,

[15:58] so I like it, I like challenges, and I know my limits , right? There are times rest, and you're going to say, "Gus, it's worth it." Look, that's what we're here for, to inspire, to grow, to fulfill our goals and dreams. I have goals, and I'm very

[16:14] transcend by building with value and developing with value. And it's the only way, right? And to In the end, that's why so few of us are doing what we're most of your day?

[16:27] That's a good question. I don't know, 10 at night. Yes. The key to success [music] is being able to have the discipline to make your days efficient and long-lasting, which is hard for me, because I love going out to

[16:41] dinner. I mean, who doesn't like going out to dinner? A nice beer. I'm someone who enjoys life. You see me on the pool terrace having a little whiskey, a white wine, a tequila, I mean, I'm someone who enjoys life, right? Enjoying

[16:55] a good tequila. So, it's hard for me from Monday to Friday to be effective and efficient, to keep myself busy and be super disciplined. And that's what it's taken me 20 years since I started getting up at 4:30 or 5 in the morning,

[17:09] Yes, this was the last two years of Career, Andrés. And when I opened One Gym, remember I raised the money to open a million-dollar business. It was my first project. I looked for a location, did

[17:23] comparisons, pitched to 27 investors, but there was something, they had trusted me, and my mom and my wife both told me, when trust is gone, everything is gone. So, I was very committed. I was very

[17:37] at 5 in the morning. You know why? Because I would tell the team, turn on the air conditioning with social distancing every 5 minutes because it's hot in Monterrey, and in the summer, for

[17:51] the members to arrive at 6 in the morning and it would be cool, they had to arrive at 5:40. So every 10 minutes, every 5 minutes, you would turn on the air conditioning so there wouldn't be spikes in electricity usage. Yes, yes, yes. Because I lowered the electricity bill from 60,000 pesos to 22,000,

[18:05] 25, 30,000. Hey, That was 30,000 more in profit than in my 22 years. 30,000 was a world of money. I was a 25% partner, but I had to deliver results for the partners, and that level of commitment fueled the growth. That level of

[18:19] commitment fueled the growth, and that's why we're where we are today. So, that's why I get so much done in the day, because I get up at 5 in the morning and say no to anything that doesn't add value and anything that distracts me. And nowadays, the truth is, so many people are

[18:32] looking for me that I have this land. Look, I tell them, "Look, I'm overwhelmed. Send me what you're looking for in the land, if you want to contribute, whatever you want to do, I mean, whatever you want to do, right?" We'll analyze it, but I can't get together, I

[18:46] mean, I don't have the time. And if I see that it's viable, that there's something important, I'll get viable, that there's something important, I'll get together and analyze it, right? We're here , Andy, at the sales center. What do we see? All the projects

[19:01] have an on-site showroom. What does that mean? All the projects have a I have a showroom to showcase the project, but I'm getting too many messages, too many people from my community saying, "I don't know what to invest the filters in." Hey,

[19:14] Hey, I have a project in Cumbres. That way you can see the development, you can go collect the rent, you can go and take care of your apartment. Hey, Gus, I'm from the United States. Something that's commercially closer to the

[19:28] Yes, yes, yes. More where there's tourism, depending on the needs, depending on the needs. So, the key is to do an analysis of your investor to see how they generate the most value for their investment, and that's why

[19:41] to the sales center. Okay. Let's go. As you can see, we have different types of models and we have a sales experience. I'll show you in a moment. We have the models here,

[19:54] we have digital and virtual resumes here . And then here we have the right? We have the Siara model, which is already in pre-sale. For example, in of these 20 apartments, averaging 5 million pesos each

[20:08] sold them in one day. In a Day. And then you see this screen. Get in, get in, get in, get in. Look at yourselves . Look at yourselves. Come on, come on. Well, while you're showing me and we're getting into this

[20:22] selling well? The secret to selling well these days is n't having pretty renderings, Andrés. This looks very nice, white marble, luxury finishes. No, that doesn't generate trust. What generates real trust

[20:39] in an investor and credibility is how your projects look and how you treat the client. People are talking, since there have been so many real estate scams in Mexico , people are starting to talk. Be careful, be careful.

[20:53] Look, every project has its challenge, but the key is trying to please 99% of your clients. And I'm not going to deny that there are clients who say, "Oh, I once had the columns delivered with exposed concrete." "Oh, I thought it

[21:06] was white." It says here, "I just don't like it." I know you don't like it, but it says here that's how it's delivered, right? And even so, out of my own pocket, not the company's, because of company policy, I paid for it. It was an exposed concrete wall; we

[21:19] patched it up and painted it white. I paid out of my personal pocket. Sometimes you can't have to think long-term. That person has bought three more apartments from me, Andrés. It's a challenge because people sometimes try to take advantage,

[21:32] but in the end, you have to listen to them, and if they're right, agree with them. Yes, this is the sales center. An investor can come in here if they want. Exactly. And what do we put here? The company's history. And well, like we were

[21:46] saying, I brought you the sales center after the office and after going to the houses, the first houses, and to Vulca, where I worked, where I had my Vulca, where I worked, where I had my first job after going there, and then

[21:59] after... Look at all the projects; each project has its own unique experience. So, I click, let's go to Siara. Siara, and the video will open. If the client has already watched the video, I can click "skip" here. It'll appear there now

[22:15] , the " skip" button is there. There it is. Of the project. You're in the virtual model,

[22:27] which is the one we just saw, right? add infrastructure, and it shows you the streets and connectivity. Now, Clarity about what they're buying, man.

[22:40] Infrastructure, services, man, I mean, services, real estate investment. Exactly. So, I just navigate here, right? And I see all the services that are nearby. How many

[22:53] schools? Which schools? Look. And it tells you how many kilometers away and how long, 5 minutes. The medical school, buddy. 10-minute prep school, dude, Santa's, the School of Music and Dance, and so on with everything. Now, something really

[23:09] important, the project's characteristics . Yeah, if you look there, they know the project, and here it tells you, "Hey, what is this?" Oh, well, it tells you, "It's 256 meters

[23:21] high." Those are the dimensions. And then you go to the electrical service. Hey, you're going to have a 1C rate because you have gas and water. Hey, it has a cistern system for two reserve lines, a hydraulic pump, and then it has a fire suppression system. And

[23:34] you have windows? Hey, but look what it says. 6 mm clear glass, half-inch separation, and 9 mm glass. It's a mid-to-high-end product, and we're putting in high-segment windows. What was I telling you? When cars came in

[23:50] to get their tires patched, I'd patch the tire, clean the rim, and put the tire on. That's called Over-delivery, and over time, the client lose in the short term to win in the long run. I mean, I'm going to dominate the

[24:03] market, so there's no one else to buy from. Who are you going to buy from? Gustavo Marcos, and we're very close to achieving that. But there's the PVC pipe, your closed-circuit system, your pool features, even the

[24:16] garden, dude. What kind of trees am I going to put in? A white crape myrtle, horsetail, yucca, potted plants, big green, a green roof, my electrical system, since my concrete structure, the Ace system has one, two, three, four, five, six, seven, eight, nine

[24:35] layers in my wall, nine layers of construction. That's how they build in Europe and the using this system. Waste management, drainage in hallways, recycling of garbage by regulation, and so on. That's how we present a project. So, it gives

[24:50] people peace of mind. And then I go to the gallery, and you go to the renderings. Right? You have the amenities, and then you have these amenities here. You go to the Sports Bar, and it shows you the rendering

[25:05] of the Sports Bar. Yes. And you go to the pool with the rendering. Here are the grills, your grills, and you take the grills. Hey Gus, and you just showed us all DX, which are quite a few, and now we're going to see one in person, which is what

[25:21] tell us, what does Grupo DAX do, what's the difference between building and developing, and what projects are you involved in at this company? Very well. Well, Grupo DAX is the holding company, and Grupo DAX has different

[25:34] business units. Construction, development, real estate—what does that mean? It means it's the one that sells the properties in the developments, it has a machinery and business units like restaurants and

[25:46] gyms. The construction company is literally a specialist in vertical construction, concrete structures, foundations, and structural work. What does that mean? There's a director, there's Managers, there's an organizational chart, and they review bids for

[26:00] concrete structures. A developer comes in, I pass on work to them, but there are other developers, friends, because this isn't about competition, folks. This is about adding value. Focus on giving your best and

[26:14] brother, you see the vertical area's management , they arrive, they give you the plans, they give you volumes, volumes, meaning the number of square meters of beams. In the end, it's reviewed internally, a quantity take-off is done, and with that

[26:29] quantity take-off, you have a budget, you get a quote, you deliver your proposal to the developer, and that's the construction bid. That's a business unit. We only do foundations and structures these days. My father still

[26:41] Yes, we build houses, turnkey. Right now, we're working on some that are 3,000 m², I mean, 3,000 square meters is a house, right? And that's construction. Houses are indeed...

[26:53] air conditioning, carpentry, heating, everything, pools, everything. And the construction company handles vertical construction, foundations, and structure. So, we have those two developer. What does the developer do? They find the land,

[27:08] municipal, state, and federal guidelines, considering the target market, and with the business model and architectural plans in place, they raise capital, finalize the land contribution through a trust, process the

[27:22] permits, handle pre-sales, and request a bridge loan. You have to secure 100% of the hard cost from the bank. That's how the real estate development business model is structured. Hard cost is 100% of the construction. In other words, if the

[27:34] project costs 800 million, the bank lends you 800,000, right? Because the down payments go toward operations and indirect costs, right? And sales commissions. That's the developer's role, and the developer has the obligation to

[27:49] deliver a turnkey project. Man. That's why when they tell you the builder, the handing it over to you. And then in construction, there are many specialties. The developer goes and contracts the masonry work, which includes the foundation walls,

[28:04] the columns, the enclosures, and then the plastering, and then the electrical, plumbing, and special installations, fire protection systems, access controls, and after contracting that and putting it out to tender, [music]

[28:17] then comes the finishing work: drywall, ceilings, and then the lighting. The developer does that, and then they hand it over to you, then they give you a warranty, then they give you the deed, and you pay them, and they pay the bank. That's what a

[28:30] developer does, and they also add value to the areas where they build. That's estate agency. We have a sales team, and I generate leads for the agency. So, we all benefit from the sales. How do we sell more? By generating

[28:44] valuable content, inspiring others, being consistent, and having good projects and market products that are in the area. You can't make a right? That's it. You started developing, not

[28:56] building. I had a construction company, I mean, there was a construction company, but I started on my own . My first job was at a tire shop, which we already covered, and after the tire shop, I graduated with a degree in

[29:09] civil engineering. I was a construction supervisor on a tower in San Jerónimo. I didn't like it. I started One Gym, I started doing comparisons, I started doing analyses, I went out and knocked on doors to investors, I raised the money, I closed the

[29:23] shop, I closed the contract, I built the gym. This week marks 15 years since I started and began operating the gym. And then I started my first two houses, which you already saw. Okay, incredible. Well, now let's talk about

[29:36] how to go from two houses to a giant tower, which is... We're going there. We're going If you're interested in investing in real estate in any of the projects we 've seen today, I'll leave a link in the description of this

[29:49] video. So you can get more information and an advisor can contact you. It's not for nothing, incredible success with the projects I've invested in. So, I'm simply people. If you're interested, here's more information. And well, let's continue with the

[30:02] information. And well, let's continue with the video. amazing things you and Dax are achieving. Uh, but I also interested in. What's the biggest loss you've ever had? And have there

[30:17] been times when you're like, "You know what?" "I feel like throwing in the Literally, I lost my profitability. I stopped making money. The truth is, one of those losses was in a real estate deal. The window installer let me down.

[30:32] Time passed, 8 or 10 months, the dollar rose, the land value increased, and so did the replacement value of the land. I had sold the houses, I had sold them for 7 14,000 peso transaction. A man sold them to me, 100% pre-sale. I had

[30:47] n't contribute to my finances, I already had the capital. I had the bad luck that the window installer let had the bad luck that the window installer let me down. He was 8 or 10 months late, I delivered late, and when I wanted to buy new land of that type, it was

[31:02] much more expensive. The dollar went from 12 or 13 pesos to 17. So a 12 or 13 pesos to 17. So a plot of land went from 15,000 pesos per square meter to 20,000. 22,000. As a developer, you always have to factor in the

[31:17] land replacement value from your sale. Why? Because if you cover the land replacement cost with the sale price and it ends up costing you more, then you've already used up your profit on the And then during construction, you say, "I have more money, but your

[31:32] sold the seven and you bring in a profit margin of 25%. No, well, that seven is what the new one will cost you and you 'll sell it for 10 and yes you'll have more money, but it's not profit, it's your replacement cost. You're building

[31:46] a house, you didn't sell it in pre-sale, you didn't use the third party's money, and see how much the land is worth, how much the new construction is worth, and your profit. I learned that over time. And the other one, I lost $1 million dollars. I know I'm going to get

[32:01] I lost $1 million dollars. I know I'm going to get scolded, especially since two years ago someone was paying me high returns. What I've always told you, don't believe in high returns. I trusted the person and he ripped

[32:13] me and my brother off for a million dollars. Million dollars. 20 and that was when the dollar was at 20something. Well, I lost about twenty-something million pesos. And what did you learn in that lesson? I manage my own money. I manage my own

[32:27] I manage my own money. I manage my own money. Real estate, long term. brains and the education to know what you're doing with your money. That's the truth . Yes, it makes me angry, but oh well, I've learned my lesson. What [music] do

[32:53] Well, this project has key milestones and you as a financier will understand. Besides being a master plan, it consists of three towers, as we already discussed, and 900 apartments, Andy. And the first phase consists of 330 apartments with an

[33:08] consists of 330 apartments with an average size of 80 m². This project began its pre-sale 4 years ago and started at 60,000 pesos. Prices are currently at 108,000 pesos. Key points as a financier, as an investor, for

[33:20] all who understand, if you bought at 60,000 pesos per square meter, but you only gave 10% down payment and during those 3 or 4 years you paid 10,000, 15,000 pesos or 20,000 pesos, you paid a total of 20% of the apartment and the

[33:35] apartment went up 40,000 pesos per square meter, but you only paid 20%. Do hook, Andrés. Yes, yes, yes. Three to one with the hook. This project is iconic. We are next to

[33:48] Fundidora Park, and to give you an idea, Fundidora Park is a reserve of about 200 hectares that is connected to the entire city, Morones, Prieto, Constitución, Colón, and there are more than 800 events between Cermex,

[34:03] Arena Monterrey, and Fundidora Park. As real estate investors, you need to see this as a long-term investment. It gives you a return on investment, a cash flow return, and what else? A surplus.

[34:16] for nothing, one of the most coveted assets in the world. Today we are already in the final stage of the project. page for everyone interested.

[34:28] guide them on how to invest in this type of asset. Of course . Show me the Gus tower, please. These are amenities to see this, right? Well, go ahead. Here it is. Here

[34:43] Wow. And here we have, this is the launch lounge. Go, go, go, finish. The finishes. The finishes, the rendering. I mean, this is crazy. Then, and then you have your double-

[34:56] height lobby, see the beauty of a double- height lobby. It becomes a challenge and everything is missing, all the beautiful things, it goes. Everything has its access control. Look at the size Yes, yes, yes. We are installing the flooring.

[35:09] This is how it's going to end. The key is that I always tell my team, I want it to look better than in the render. That's a challenge. Yes, yes, yes. see the shots from when it's finished. There are the flights. It looks the same or just as

[35:23] pretty. Oh, and then here's the gym. gym out of a development. Ah, how beautiful the this because it's a gym, so what's going to happen? Marked hands and these are

[35:37] developers, you see, the only thing I want as a developer is for the assets to grow and for people to have to invest less. Let me tell you something, whatever you do when you buy a property, the key to success is operating and

[35:50] managing it well. So, yes, you can rent it, but you have to keep asking and be there, right? the nature of any asset. I'm going to tell you something that's very important. Always arrive, greet them, and make them

[36:02] sit down; they are external, it's a subcontract, right? So, for me it of the work because they do it with more affection. Believe me, all that human warmth that you infuse into your projects shows in the final result.

[36:16] projects shows in the final result. Hey, the Inus came and he treats us Sure, sure, sure, dude. Of course I come to the construction sites, and very often. personal safety equipment, so I would n't want to take any risks. And then over here

[36:30] we have these little machines you see here, the room. Look. That's it, that's it. So, this is how it's going to look, Andy. I mean, the three of them, the Pac-Man one, this one, Mario Bros, the little monkey, this one, that's how they put it together with the book, or that's how I asked for it. In other words, I

[36:44] tell the designers, if you can't sell these pieces of furniture, don't sell them to me. Sure, so just design it for me, show me what you're going to install and that's it, 've invested with you, that you 've invested with me.

[36:57] Hey Gus, where does this attention to detail come from? Because I think you have everything in detail and having such large works, I mean, here there are more than 5 billion pesos invested in this

[37:10] other two phases are coming. But still noticing things like the that happen? Well, the truth is that I came to understand and learn that it's the details that big investors notice

[37:25] . People with money take care of their assets and know that they will be able to rent the apartment more easily and that they will be able to build more easily. [music]

[37:40] people who want to start developing a lot? The first step is to a piece of land. What does that mean? You see a piece of land that isn't even yours, and the more you know about the guidelines and the

[37:52] market, the easier it will be to convince the owner to contribute, right? So, in n't have to be yours, right? I grew up with donated land, that's why you've seen exponential growth. But right now I'll cover the important points about

[38:05] when they contribute, how to convince the contributor, and why the company has grown so much social media and the exponential sales you can have by having doing right now, teaching, educating, inspiring and also making you known,

[38:19] dude, we're doing it together. letting us know that we can reach more people who can invest, who are good at finance, and that professionally. So you already understand your municipal guidelines and

[38:32] after understanding the municipal guidelines it tells you the land use. What does that mean? I can be multi-family and you can build as many homes per hectare. I can be a single-family home. Hey, you can build a house. Therefore, each

[38:45] plot of land has its own guidelines. And from there, with that guideline, if he tells you, you can build three houses. What does the minimum lot size of so many square meters mean? It always tells you the minimum lot area. Hey, the lot can be

[38:57] 200 m. You look around and surely, from an urban planning perspective, the area has lots and houses with 200 m² of land and 350 m² of construction. Yes. Okay. So, since that area has lots of 200 m and 350 m of

[39:13] construction, you're going to analyze who is selling houses in that area with those dimensions. And the other key part is for you to do your market research; it's an Excel spreadsheet. Look at how much the house costs, how many square meters it has,

[39:27] what kind of finishes it has, and the Enfield look, honestly. And you have the Excel spreadsheet, and average square meters of the house and the average square meters of the cost or the sale price. So, listen, they're 350 m² and they're priced at 7 million pesos or

[39:42] 200,000 or 300,000. That's the best market research. Now, there is something very important, that is the supply, but there is an important part which is the unmet demand. What product does the area need, and what are they not

[39:55] building? Hey, maybe you need a house with one more bedroom or one less bedroom. There is a product that a marketer tells you has real estate developer of this size knows how to structure a business, knows how to acquire

[40:08] prime land, knows how to sell, but the sale is through consistency. When people see that you look good to yourself, you'll look good to them too. would it suit them? Answer my question. Of

[40:21] a business structure, I mean, I admire you because you don't stop and you're there every day giving it your all. Suddenly our sweater catches fire, dude. But anyway, the caprate it's going to give you is really important.

[40:33] What does that mean? You have the cost of the apartment, the cost of equipping it, kitchen, closets, shower enclosures because it already has air conditioning. And if you want a short-term or long-term rental, you run your numbers, divide the

[40:46] total cost of the apartment plus the investment in finishes or the total rent. And that gives you a number, you multiply it return. To this, how much do you like to add the annual capital gain that a

[41:00] rents. Yes, the capital gain is missing. this type of project is between 7 and 10% at a minimum. Andrés Yes. So you bring a six, a seven plus a 7 annually. There are 14. It's 14 points. The

[41:14] bank is giving me 6.95, 6.9. Clear. And less and less, huh? Yes, the rate is going down right now. It's giving me 6.85, because I'm moving it around. Ah, that's why I have it for 7 days. Okay, or I'm

[41:28] investing it and buying land and putting it back into development. So, at the end of the day, a real estate developer who knows how to sell, who is consistent and who is involved in the construction, in their budgets, in their negotiations with clients, is

[41:40] going to say to me, "Gus, how do you do everything?" I was there for 9 years, now I've been developing for 18 years , 9 years one man show. Do you know what a one-man show is? I , but I handled the paperwork, administrative tasks, purchase offers,

[41:52] deeds, titling, guarantees, everything. And that's why a business model originated real estate development courses, that's why I have my sales courses, because in the end I did it. We all sell differently and we can all develop

[42:05] have my own way of being and I can share it with the world and show the world that without sale, as we saw with the two houses, or with very little. Okay, let me give you these three basic tips. These

[42:18] three basic tips have the contributor of the land. If you don't have the money for the architect to do the design for you. He draws up the plans for the paperwork. You submit the paperwork, the processing fee will cost you 2,000, 3,000 pesos, which is

[42:30] a lot of money, right? You tell the architect that you are inviting the land contributor to give 20% of the project's profit. The Earth usually has an X value, Earth usually has an X value, right? Plus Y and Z, which are soft cost and

[42:44] hard cost. Soft cost includes architecture, design, commissions, and obviously, if there is a . And then comes the hard cost, which is the construction, 100% of the construction. So, with soft cost you invite the first partner, right? And you bring in

[42:58] a feed, you're going to charge a 7% feed on the sale, which you can collect as a little salary, since the architect contributes. I didn't charge that, So, in order not to lose them, you have the land at the land carrier, you have

[43:11] a cost of X,000 pesos. Usually when you buy land that money has a the opportunity cost or the investor. Offer the Usually in a project like this it's worth 15% of your total sales. In a

[43:27] house, the profit might be 30% or 40%. Do your calculations, what is your cost so that your oversales cost gives you a 20%, 25% profit after all expenses. And you bring in a 20-25% profit. That 20-25% is divided among

[43:42] everyone. Look, you're not going to get rich overnight. I made 40 more houses, Andrés, like the ones I showed you, dude, with this methodology and then you scale something like that. You don't get stressed, no, that keeps you active,

[43:54] dude. That's the reality. That's what keeps me going. Duty keeps you active, keeps you in a rush and responsible. Hey, I owe it, dude. You have good things will end. And it's a way of taking risks. Well, the one who owes the most is

[44:08] also the one who grows the most. Here, 780 million pesos have been invested, plus the 1 billion, okay? Yes, yes, yes. That's what a developer with inertia really needs: to understand the market, to understand your prospect, who is

[44:22] going to sell it, and how to sell it. They really know that I sell through my personality, who I am, what I'm like, so that people get to know me, so they see that investing with me generates trust, added value, and returns. No, you're not going to become a

[44:37] millionaire. If you want to get really rich , you develop the towers, you reward, the greater the risk, the greater the reward. here to the construction site. Hey man, thanks for coming. You were

[44:50] Wow. Oh, it's okay. That's why, remember all the bus projects and developments, so if you're interested, the truth is that the scheme is really cool because it offers a 10% down payment. The 10%

[45:03] down payment includes units starting at 4 million pesos, but the truth is that we have projects up to millions of dollars in the middle section. In other words, we have houses of all types of projects. We'll have all the information there.

[45:16] 're watching. There's another video over there. Ciao.