Broker marches to the beat of his own drum

In work as in life, Andy Gamez marches to the beat of his own drum.

Las Vegas-based, the loan originator recently secured $10 million in financing associated with four retail sites in the Miami area on behalf of Eastern Union – one of the nation’s largest commercial real estate financing firms. Three of the transactions involved cash-out refinancings, while the fourth was an acquisition.

The properties belong to a Cuban-American-owned real estate investment and management company headquartered in Miami Lakes, Fla., the company said in a Press release.

A Cuban immigrant himself, Gamez specializes in dealing with Latino-owned businesses Eastern Union places at a premium. The Miami/Fort Lauderdale/West Palm Beach metropolitan area that is one of Gamez’s sectors is the nation’s most fruitful toward that goal: According to a 2018 study by Stanford University, the region is home to the most Latino-owned businesses by far of any US region – with 47% of the national total.

Read more: Foreign owners are moving in on US real estate

“This owner has a strong record of success in real estate investing, but that’s often not the case for Latino-owned business,” Gamez told Mortgage Professional America. “Hispanic-owned firms frequently face cultural and language hurdles that impede their progress. Eastern Union is equipped to help Spanish-speaking companies overcome these challenges – and build bridges that expand their access to real estate financing.”

Eastern Union provided details on Gamez’s latest financing deal.

 In the first transaction, Eastern Union arranged a $2.5 million refinancing for three contiguous retail properties in the Palm Springs North section of Miami. With space for four tenants, the estimated value of the 29,754-square-foot, one-story site is $5 million. 

• The second refinancing loan, in the amount of $4 million, was for a 51,061-square-foot, single-floor property in Pembroke Pines. With an estimated value of $8 million, the site comprises nineteen retail units.

• Mr. Gamez’s third deal was for the $1.5 million refinancing of a two-floor property in Hialeah. The 18,038-square-foot site, valued at approximately $3 million, comprises contiguous retail and office space for a total of eleven tenants.

• The final transaction was a $2 million loan toward the acquisition of a 21,896-square-foot, single-floor retail property in Pembroke Pines. The site’s estimated value is $4.25 million.         

The three refinancings all extend over a 10-year term, the company said, with the first seven years set at a 3.5% interest rate. Over the final three years, the interest rate will be tied to a market index. The loans carry a 25-year amortization period. The three refinancings were executed on a full cash-out basis with no refinancing of debt.

The acquisition loan carried a fixed rate of 3.50% over a 10-year term, with the first 12 months payable on an interest-only basis. The financing carries a 25-year amortization rate.

 To ensure efficient and timely execution of the four transactions, Gamez assembled an Eastern Union team that included himself, Eastern Union managing director Marc Tropp, and Barry Dollman, the company’s director of underwriting.

Read next: Eastern Union ends year with closed transactions across 32 states

MPA interviewed Gamez over the telephone to learn more about his specialty serving a Latino clientele. Relatively new to the business, he has risen the ranks a mere few years after immigrating to the US from Cuba to now be comfortably ensconced in a niche tailored to Latino investors.

“I was born and raised in Cuba, and when I first started in this career, I was dealing – I’m still dealing – with a wide variety of backgrounds with clients coming from different places,” he said. “I’ve always been aware that culture and language might be a barrier for people to reach their goals”

One of the most evident hurdles was the language barrier itself, he said. Upon embarking on his commercial brokerage career, he immediately noticed how some of his clients leaned heavily on relatives already well accustomed to business transactions given the absence of Latino brokers who understood their language and culture.

“I noticed there was a gap to fill in the way they carry on the tasks of growing their commercial real estate,” he said. “I have Hispanic clients who still rely on some of their relatives to accomplish some of the commercial loans because of miscommunications with lenders during negotiations. I noticed it was easier for me to build rapport with them. We belong to the same culture, and we understand ourselves better.”

With his Spanish proficiency, Gamez doesn’t limit his work only to fellow Cubans. With a service area that encompasses Chicago, New York, New Jersey and Las Vegas, he said he deals with many other cultures – among them people from Ecuador, Guatemala and Mexico and more.

That’s a good pace for someone who just entered the commercial real estate business two years ago – after immigrating a mere seven years ago from Cuba where he worked as a drummer. “I used to be a musician before I left Cuba, a completely different background. But I always liked math and numbers. This country, for me, is just amazing, it completely changed my mind and way of thinking. I started to find new passions, including real estate work. I reached a point where I was finally able to mix two of my passions – finance on one side and real estate on the other – to where it was what I wanted to do.”

Once established in his field, he noticed a pattern to the type of client he encountered. “My clientele was growing and coming from a Hispanic background,” the 31-year-old said. “I saw the potential of focusing on this niche. I’m trying to dedicate a higher percentage of my time to find and work with these kinds of clients.”

Asked what kind of advice he’d give to others intent on starting a new life in America, his guidance was succinct: “In my experience, what has worked for me is being humble. There are many sources to get knowledge from – however, you stop learning when you think you know it all. You’ve got to be humble, listen and ask for advice. This is an amazing country that gives you a lot of opportunities if you’re willing to do what it takes. Everything takes sacrifice and hard work. If you’re willing to do it, you will be compensated at a certain point.”

Founded in 2001, Eastern Union is a leading, national commercial mortgage brokerage firm that employs more than 90 real estate professionals and closes an average of $4 billion in transactions annually. Headquartered in New York, Eastern Union secures financing for transactions of all sizes across the US. Transactions – which can include multi-state and multi-site portfolios – encompass conventional commercial mortgages, structured debt, healthcare, hospitality, mobile home parks, self-storage, single-family rentals, investment sales. In addition, transactions, handled in conjunction with company affiliate Eastern Equity Advisors, can involve equity placement.