Charles Carillo is an American businessman and entrepreneur. He was educated at Connecticut State University and is currently a managing […]

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Charles Carillo is an American businessman and entrepreneur. He was educated at Connecticut State University and is currently a managing member of the payment processing company, Power Online Solutions, LLC. Power Online Solutions specializes in payment services for all types of businesses both; online and offline. Most clients are small internet startups that require; web design, web hosting and marketing services in addition to payment processing.

 

In addition to working for a payment processing company, Charles is a real estate investor with a focus on residential multifamily and commercial mixed use properties. His company; acquires, renovates and leases the properties.

 

“Charles K. Carillo” is a US based entrepreneur and businessman presently working as a managing member of Power Online Solutions, LLC. Born and brought up in America, Charles completed his graduation from the Connecticut State University. His company specialized in various forms of payment services for different types of businesses both online & offline. A big fraction of his company’s client base includes small internet startups that need web hosting, web design and marketing services along with payment processing.

 

Episode Highlights Here:

 

Charles:

We’ve been more of a seller this year, not so much as a buyer. And our last property we purchased earlier this year 157 units in Gainesville, Georgia. And so that’s about 50 miles outside of Atlanta. And we’re having great success with that property. But really just, we’re starting to see stuff loosen up now. And I think we might have one more acquisition this year.

 

Brett:

So Charles, I’m curious, like, what are you seeing right now? Right cap rates, interest rates, things are shifting pretty pretty quickly. What’s your take on the health and the status of multifamily investment, real estate? Where are you buying? If you’re buying? And how are things changed in the past three months for you guys for underwriting?

 

Charles:

For the last three months? Well, we’ve seen over this whole year, over the last six months, I would say that we’ve seen a lot of sellers come to terms with the higher interest rates. So we’re seeing we’re seeing cap rates expand a little bit and different markets we’re looking at, we’re seeing sellers come back to us that we turned away deals of six, nine months ago. So really stuff we’re looking at, you know, beginning of this year, end of last year, we’re actually seeing come back. And it’s I think we’re seeing a lot of floating rate. owners with a lot of floating rates are really coming back to kind of bite them if they didn’t have any type of cap rate a lot, you know, cap, when you call it Cap,

 

Brett:

cap or a fixed fixed interest rate or a cap on how high it could go?

 

Charles:

Yes, correct. Yeah, I’m sorry, I’m losing my words here. And if if you don’t have any type of interest rate cap on what you’re doing with floating debt, I mean, it’s really kind of like a bloodbath for a lot of owners out there. And those we see that coming into the market now. And we’re seeing, you know, we’re seeing the beginning of it, we’ll see what happens. We’ve been more of a seller this year, not so much as a buyer. And our last property we purchased earlier this year 157 units in Gainesville, Georgia. And so that’s about 50 miles outside of Atlanta. And we’re having great success with that property. But really just, we’re starting to see stuff loosened up now, and I think we might have one more acquisition this year. So.

 

Brett:

So you’re seeing sellers coming back to you and saying, hey, you know, what, Charles, that offer you gave us six, eight months ago, it looks pretty attractive. And we didn’t make a deal for whatever reason with these other buyers? Are you still a buyer? Do you want to deal for those sellers? who are doing that? Are you changing your offer? Are you making the deal? Talk to us about that.

 

Charles:

In most cases, we we don’t we always want to make the deal. But we are editing numbers. And most if not all the cases because of the debt. I mean, where we are now, you have the LIBOR that’s gone up three and a half percent and since the beginning of the year, and that’s something that really rides on that and so for for your floating rate debt. So we really have to be careful with what we’re doing there. And then getting recaps and knowing how many years we’re gonna get that recap for if we’re going to get two years or longer. And just make sure you have like a really clear plan when you’re dealing with that. Fixed rate is something that we’ve always been interested in. We’re also looking at sellers that are coming back that have assumable loans with fixed rate. We did a deal like that end of last year, which was great. It was at that point it was a higher interest rate because it but it is now it’s a it’s we knew that we’re going to have this coming up. So it’s something that turned out to be a great deal and we’re working on that deal as well. Yeah, absolutely.

 

 

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About Charles Carillo

Passive CRE Investing with Charles Carillo

Charles Carillo is the founder and managing partner of Harborside Partners. He has been actively involved in over $200 million worth of real estate transactions since 2006 and carries extensive knowledge in renovating and repositioning multifamily and commercial real estate.

In addition to being an active investor; Charles passively invests in many different asset classes including; commercial real estate, ATMs and early-stage technology and agriculture (AgTech) startups.

Charles oversees all acquisitions, investor relations and strategic partnerships at Harborside Partners. He is also the host of the popular podcast, “Global Investors,” where Charles interviews successful real estate investors in addition to his weekly strategy episodes.

Prior to launching Harborside Partners, Charles co-founded an online payment processing company that has since processed over $1 Billion in payments for clients in 5 continents across the globe.

Charles is an Eagle Scout and holds a Bachelor’s Degree from Central Connecticut State University.

 

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