1858 – Create desirable spaces with Matias Daroch of MIK Architecture

Josh (00:00:04) - Hey there, thoughtful listener. Would you like consistent and predictable sales activity with no spam and no ads? I'll teach you step by step how to do this, particularly if you're an agency owner, consultant, coach, or B2B service provider. What I teach has worked for me for more than 15 years and has helped me create more than $10 million in revenue. Just head to up my influence. Com and watch my free class on how to create endless high ticket sales appointments. You can even chat with me live and I'll see and reply to your messages. Also, don't forget the thoughtful entrepreneur is always looking for guests. Go to up my influence. Com and click on podcast. We'd love to have you.

Matias (00:00:58) - With us.

Josh (00:00:59) - Right now. Mathias. Mathias, you are the owner of Mike architecture. Your website is Mike architecture.com. Matias, thank you so much for joining us.

Speaker 3 (00:01:12) - Thank you so much for having me. I'm excited.

Josh (00:01:14) - Yes, I'm on your website and I'd highly recommend to our friend that's listening to us.

Josh (00:01:18) - Go ahead and pull up Matias website. It's Mike architecture.com. What we're talking about is visually beautiful. So I'm hoping to our friend that's listening. You won't just listen to a word. You'll actually look at some visuals and follow along, particularly on Matias your work, which I'll have you start off and explain what is the work that you do.

Speaker 3 (00:01:43) - Yeah, well, I'll just go into it and jump., so we are an architecture firm that works with residential developers and investors, building these beautiful homes to later sell to someone who wants to live in, of course. And the interesting thing about it is that we myself, I come from a background of real estate developments, so I'm really tuned with what that that developer real estate investor wants or needs when information, what are they looking for? But also on the architectural side, what the market is, is looking for and what the end user of that house and that's going to end up buying the property is looking for in that specific, you know, neighborhood or region or local zones.

Speaker 3 (00:02:35) - So what we basically do is design with you real estate investor,, these beautiful dream homes for that person to buy. And you get a return on investment, of course.

Josh (00:02:48) - Yeah. Tell me about the market or the business plan when dealing with residential properties that are. Well, I mean, again, what you designed, these are luxury homes., would you I don't know if you can give us just because this is outside of my world. Maybe just kind of give us a 101 of, you know, the luxury home investment opportunity and the folks that you work with.

Speaker 3 (00:03:11) - Well, in Miami, we have a particular market, which it's a pretty big market. It's a very all encompassing place where you can have a bunch of different types of products. So so we're talking about, you know, homes that sell from an in the high end, you know, market between $2 million. You can find, you know, not so high end but high end still. And it can go all the way up to $40 million.

Speaker 3 (00:03:37) - Of course those don't sell that much. And it's a, you know, it's very, very, very niche to market. But you got this whole range and, and then you've got waterfront properties, you have one acre lot properties, you've got school district properties, of course, because that's very important. And then all these things you have to put together and it depends very specific to a site. And you have to do what we call the pro forma, of course, to actually understand if that project is going to be profitable or not. And the put in all the factors of design time, construction,, and of course the, the sell, that's like a big summary. I don't know if you want to go deeper into it, but yeah.

Josh (00:04:22) - Well, I'm curious, just because, you know, there are investors that maybe, you know, investors that participate in commercial real estate,, you know, maybe they've done smaller properties., you know, maybe they've done a lot of residential properties, but maybe they haven't touched luxury yet.

Josh (00:04:39) - And you know what type of investor invests in luxury residential?

Speaker 3 (00:04:47) - Oh, that's a great question.

Josh (00:04:48) - That right I'm calling it luxury. I don't know if that's what you call it.

Speaker 3 (00:04:53) - , I like to call it high end because it's a bit. It's a bit more open, but the luxury is already, I don't know, I like to call anything that is above $8 million of sale value luxury. And it's a great question because that investor and we got a lot of type of investors that come to the luxury market. Some of them come from real estate backgrounds, but in the commercial or more in the in the multifamily projects, you know, buildings or lots of townhomes, like more in the serial construction. But they then they realize that because Miami is this particular market, that the effort for one house is and to obtain the same profit of that multifamily or, or lots of townhomes is is less so then you can. And I'm talking about effort and time, effort and investment. And yeah, it could be a bit more risky.

Speaker 3 (00:05:45) - Yes, it is a bit more risky because you have one project versus a lot, but at the same time you have when you do it right, and when you get lenders involved and you leverage the banks, you have also that option to have instead of 100 properties to sell and manage. And, you know, the after sale is also complicated. You can do the same with, I don't know, four. So we're talking about investors that are coming from that background, but also newer investors that are not ready to get into that complexity of multifamily. But they are professionals that have a lot of bank, and they want to, you know, keep growing their wealth., we're talking about CEOs. We're talking about,, I'm professionals. I met like doctors, attorneys and that sort of stuff. We got CEOs and of course people that are also have their own businesses, some in my case, because I'm actually from Chile. My background is from Chile. We got a lot in a lot of Latin persons coming to Miami, investing their money from their countries and bringing it here so that they can invest in these homes.

Speaker 3 (00:06:51) - , so I don't know, I would say we got a big range. I mean, and we're all about education. So if you want to just start, give us, you know, just let me know.

Josh (00:07:01) - Yeah. And so your work or like what delineates or what separates you from other architecture firms that maybe investors or developers would work with.

Speaker 3 (00:07:14) - . Like I said before, I, I like to think that my background as,, also real estate investor and developer, because I also partner with another,, a builder and a developer, and we do our own homes too. But of course, it's a small scale which is starting. So we still need a couple of cycles to get fully independent if we ever want to,, which we do. But I would say that that that specific knowledge of having the other side of the coin also, or the other side of the field is something that not all architects have. And and what I mean about that is that we look on efficiencies without on efficiencies during construction, efficiencies of the design so that the, you know, minimize any risks in the in mistakes during construction or during the permitting process.

Speaker 3 (00:08:11) - And we also look at what the developer is looking for, you know, which is, the return on investment. See what is better to pay off and what we can, you know, manage around. And then we got this side of the architect, which is I'm going to want to have a nice project, a nice architecture. I don't want to sacrifice. I don't want to do shoe boxes. This is high end. So how can we combine both without having a super expensive, you know, amazing luxury home that is, you build it and then you sell it. You earn zero because it's way too expensive to build,, versus a shoebox. So we're right in that middle and we're always looking for that balance. And I would say that is one of I like to think that's one of the biggest,, things that we can offer against other architects.

Speaker 4 (00:09:02) - Yeah. Matias, I know.

Josh (00:09:03) - You just simply because you talk about this looking at your social media, I'm wondering if you could comment on this.

Josh (00:09:08) - And that is the environment that we live and work in. Why do you believe that that influences or impacts us? And why might we be a little thoughtful about the aesthetic or just the like I said, you know, the environments, the physical spaces that we reside and work in, why is why do you think that there's value in being mindful of that?

Speaker 3 (00:09:33) - Wow. Yeah. You went directly to my latest blog post.. Everything that surrounds us influences us. Either ups us an energy or down to us. And there's a bunch of things like color or light, you know that. And again, all these other luxury items I'm talking about in that blog post. But it's.

Speaker 5 (00:09:57) - It's a.

Speaker 3 (00:09:59) - Well, of course everything is balanced. So my personal opinion on that is that. You get to live the space. When you're mindful of that space. So to rephrase it, if I'm in an amazing, you know, like very. White room, that is. It has low noise and it's a great place to meditate.

Speaker 3 (00:10:24) - But I'm there doing anything but meditating. Of course, I'm not going to be mindful of that influence of that space with me. But in that blog post and that's one point of view. And then that blog post, what I'm talking about is being mindful of the design during the design, you know, during the schematic design of the project or doing the transformation of the spaces for you, for your for what you need specifically. That is what you want to achieve. Of course, for that, each space and one thing that we like to do is try to make the spaces as flexible as it can be for the end user, because you as a developer or you know the person selling you're trying to sell it to, you know, for the best price, of course, but you try to open it up because if you need it too much, it's going to be very hard to find that person to actually buy that property. So you're trying to open it up without, you know, making it massive.

Speaker 3 (00:11:22) - And the way to do that is to be very flexible in those spaces. So then the end user can, you know, get that impact of your design the way they need to use it. I don't know if I answered your question, I think.

Josh (00:11:35) - Yeah, well, no, I just think it's yeah, I think it's I think it's relevant, you know, for all business leaders, regardless if you're in this space or not, you know, just thinking about the environment that we create. And this could be just as simple as well. We are already in a space. I just know that, you know, just kind of looking at some of the things that you've shared, you know, just around the environment that we live in. Like if you are in a cramped, messy, awful working space or that's what you're providing for your employees, there's cost to that. Like it's it has an effect on us. Whereas, you know, you kind of shift your environment and it just feels differently.

Josh (00:12:13) - And I think that we it gives us the opportunity to me to perform at a different level than when we're encumbered with, you know, just mess.

Speaker 3 (00:12:24) - Mess. Yeah, I absolutely agree. And well yeah that's then the different business topic that. Yeah we can go way deep there too. And yeah.

Josh (00:12:32) - Yeah. Just you know, if you're looking in your crystal ball here, you know we're recording this, you know in the early part of 2024 you know who knows. But on the higher end residential side of things, any feelings in the investor community about you know, obviously right now we have higher than normal interest. Well, I shouldn't say normal. I mean we've higher compared to years a few years past interest rates. So that's certainly affecting things. But any other things to look out for in the year ahead, just in terms of like the higher end residential.

Speaker 3 (00:13:07) - So whenever I get that question, I always ask back, are you talking about just Miami or like the whole country?

Josh (00:13:13) - Well, you tell me.

Josh (00:13:14) - Yeah. Is Miami is its own unique ecosystem for sure.

Speaker 3 (00:13:19) - Yeah. So that's the thing. Miami is,, I don't like to call it. It's a, it's a bubble because bubbles burst. But like you said, it's own ecosystem and it's still being, you know, feed it with more and more immigration money and a policies both from the state and the city. So I don't think it's going to exponentially grow like it did during after Covid. It's more stable right now, and I'm pretty sure that it's going to stay that way. Stable going up. I'm not going to go down, at least not in the next year. The rest of the country, though, that's a different story, and I'm not prepared to give that answer yet.

Josh (00:14:06) - Yeah, sure. Well, for the meantime, everybody come invest in Miami. How's that?

Speaker 5 (00:14:10) - I would say so, yeah, I would say.

Josh (00:14:12) - They come, Mathias. They come and work with you. Your website is Mike architecture.com. When somebody goes there other than look at all of the beautiful work that you've done.

Josh (00:14:25) - , what would you recommend that they do.

Speaker 3 (00:14:28) - , they could go by through the blog section. We're trying to put more and more content,, every month. They're,, they're interesting things that you can find. And then, of course, go and see about us. We're pretty proud of what we've tried to communicate to the world of what we do and how we feel, and of course, our history., but. Yeah.

Josh (00:14:50) - Well, awesome again. Matias. Darcy, thank you so much for joining us again. Your website, MC architecture.com. Thanks, Mathias.

Speaker 3 (00:14:59) - Josh, thank you so much for having me and have a great and amazing weekend.

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