#16 - TRT Subscriptions, Cord Blood Banking, Digital Museums

**Shaan Puri** (0:00)
Okay, so we're here, it is Friday morning. I'm here with Sam from The Hustle, the CEO, the big baller shot caller of The Hustle. Sam has probably the most ideas in his head of anyone I know, so let's dump them out every week and see if this is a fun podcast. This will be different than our normal interviews. We're not telling a story. In fact, Sam already came on and told his story earlier in this podcast history. So this is more, let's shoot the shit, let's talk about what's interesting. I want to start with, what are you experimenting with right now?

**Sam Parr** (0:27)
So I'm looking to buy multi-family units or residences in St. Louis, Missouri, particularly because I'm from there, but also I think it's a good place for cash flow properties.
The appreciation is like non-existent, but it's frustrating because with like tech, like we'll double our revenue for another year at least and that's great. And you know, by year two or year three, we're making seven figures in cash flow.

**Shaan Puri** (0:54)
That's not how real estate works.

**Sam Parr** (0:56)
And we could have started that with, well, I started the thing with nothing.
So it's like you turn nothing into something, but it's far more volatile, I guess. Maybe.

**Shaan Puri** (1:03)
But what's making you want to do this? So those are the reasons it's bad, but you're still doing it. So why are you doing it?

**Sam Parr** (1:09)
Mostly to experiment. I think that it's important to take our internet winnings and put it elsewhere.

**Shaan Puri** (1:15)
Get it off the internet.

**Sam Parr** (1:16)
Yeah. Because like when you think about it, what happens is if I think that Google, I think their employees are all just going to mass quit or like something crazy is going to happen.
And I'm like, what will happen to Google? You know what I mean?

**Shaan Puri** (1:26)
So you're thinking like Armageddon style.

**Sam Parr** (1:29)
Yeah. I think that company is going to like collapse on itself. Though it's probably like...

**Shaan Puri** (1:33)
See, I just think about it differently. For me, the appeal of real estate is, okay, I have this money now. It's in the bank. That's doing nothing for me. I can put it in the stock market. That feels like sort of a sucker's game. Real estate. Okay, cool. I can own assets that are tangible assets, not like the internet and get a check every month without going to a job. That sounds good to me.

**Sam Parr** (1:51)
No, I like that. It's just if I see something interesting on the internet, I like to be able to have that cash and be able to plop some big check down and do it right away.

**Shaan Puri** (1:59)
So what's happening? So you're looking at four unit places?

**Sam Parr** (2:02)
Yeah.

**Shaan Puri** (2:02)
Multi-family, but not huge. So four unit, why? Just to learn?

**Sam Parr** (2:06)
Just to learn. Yeah, they probably range in cost between 300,000 and 600,000.

**Shaan Puri** (2:10)
You got to put down what? So let's say 400,000, you're going to put down 25% or something like that.

**Sam Parr** (2:15)
Probably 30

**Shaan Puri** (2:16)
30%. Okay, so you're putting down 120K.

**Sam Parr** (2:19)
Yeah.

**Shaan Puri** (2:19)
And then you said you got a 10% return annually. So you're profiting 12K. 12K profits every year.

**Sam Parr** (2:28)
Yeah.

**Shaan Puri** (2:28)
And how do you feel about that?

**Sam Parr** (2:29)
Slow.

**Shaan Puri** (2:30)
So are you going to do it?

**Sam Parr** (2:32)
Yeah, I'll do it because if yeah, I think it's good to learn. The reality is you have to have like huge scale. So like if you want to make a million bucks a year, you got to at least get levered up to 10 million.

**Shaan Puri** (2:43)
Right.

**Sam Parr** (2:43)
Or probably 12

**Shaan Puri** (2:44)
And are you who's managing this? Your parents are going to manage this? Are you a family back in St. Louis or? Because that's the other thing.

**Sam Parr** (2:49)
I threw around the idea of having them do it because they're retired. But you can get a property management company for 5% a month.

**Shaan Puri** (2:56)
The rent.

**Sam Parr** (2:57)
Yeah. Yeah.

**Shaan Puri** (2:57)
Okay.

**Sam Parr** (2:58)
That's what I think I'll do.

**Shaan Puri** (2:59)
Okay. So that's the hustle you got going on right now.

**Sam Parr** (3:01)
That's what I'm spending most of my time doing that.

**Shaan Puri** (3:04)
Can I tell you about my hustle?

**Sam Parr** (3:06)