July 28, 2020
Episode #94 – Carl Gomez – Developing a Bigger Picture
“One of the great things that’s going to come out of this pandemic is the innovation that could potentially happen to drive something different. These innovations could spur a productivity jump that could help to drive incomes and could help to move the world forward.” – Carl Gomez
- Selected links and people mentioned from this episode:
- RBC Housing Affordability Report
- Bentall Kennedy
- REIN
- CERB
- Connect with REIN Canada
- REIN Canada
- [email protected]
- Twitter
- Show Notes
- [02:08] Patrick introduces his next guest, Carl Gomez.
- [03:51] Carl and Patrick get their conversation underway with Carl’s elevator speech and wow is he speaking the real estate investor language! Linking economics and real estate to drive the best performance of that asset – woah.
- [05:15] Carl takes us back to where he started with economics after grad school in Canada and shares his stopping points along the way from west to east.
- [11:01] The interesting allegiance that comes with working for particular institutions as an economist who has a public presence.
- [13:46] Even with the calculated research that Carl does, when a development such as unexpected global events, tenancy laws being upended, or a pandemic it blindsides everybody. Rental housing providers shoulder a lot of that impact and having economists to offer perspective is a tremendous support.
- [15:16] Carl explains how the politics of pandering to the loudest voice in a constituency can lead to decisions being made that can create frustration for business owners.
- [17:05] Economics and COVID. Using the re-sale market as an indicator, what is Carl currently observing in Canada’s broad housing market and what’s to come after the limitations and distancing begin to subside? Where may there be opportunities?
- [22:31] Patrick offers his view for Carl’s assessment, of what he feels is to come. Innovation will unfold, but not without real challenges riding shotgun.
- [27:35] Carl and his colleagues are also considering Canada’s economic recovery, risks, and the possibilities around what that make look like. U, V or W?
- [33:47] The difficulties that come with government investing in employment benefits, and a consumer-focused economy without creating an environment that stimulates and incentivizes innovation and growth for small business and enterprise. The policy underneath it, is reflective of Canada’s current economic lag even before the pandemic.
- [39:30] Looking at the positive side of this pandemic Carl explores the potential positive outcomes that look like technological innovation and a productivity renaissance.
- [41:49] Carl addresses the challenge of “back to normal” thinking, going back to a world we used to know, when so many of the systems and ways we used to operate are fundamentally altered.
- [43:40] Carl and Patrick discuss the shift towards smaller centres and country living vs. the one-time allure of concentrated urban centres and downtown living. For Boomers and Millennials alike, it hosts a range of barriers. Adaptability to the environment we need to create for our personal well-being is critical.
- [50:05] Demographic pressure may change where developers thrive and the housing market will shift, but Carl gives his opinion of the puzzle piece that needs to be put in place for that to happen. Rental housing providers will also need to consider how they can adapt living space for their work-from-home tenants.
- [51:38] Carl shares some trends he was seeing in the major centres before the pandemic hit Canada, with the type of rental units on the market and the value of rents. New factors stemming from the pandemic effect, may now impact the demand side of the rental market.
- [57:22] Carl provides his outlook on inflation and where he sees it going.
- [60:55] The precarious future of retail, commercial space, Calgary office space and the oil industry
- [65:04] Multi-family: there are a lot of interesting pieces to consider as a viable investment option in the current and prospective environment. In Carl’s view CMHC is setting up safeguards behind the scenes to mitigate the risk of speculative activities and keep the financial system stable.
- [70:37] The World According to Carl. His overall guidance for listeners in this uncertain time.
- [72:36] Shifting gears to get a more personal perspective of Carl. With a healthy curiosity for the way the world works and an analytical mind, he found economics to be the hook for explaining it in a way he could relate to.
- [75:15] Carl describes his parents’ journey from Kenya to Canada, the kind of upbringing they provided for Carl and his siblings and the aspirations he sought as a result. As part of an artistic family, Carl has a few more aces up his sleeve than economics alone!
- [79:08] The immigrant story is such an admirable one, and Carl and Patrick discuss how beneficial it has been for Canada to have immigrants with a strong entrepreneurial spirit bring their ideas and businesses to this county.
- [81:35] At this point in his life, Carl is prioritizing living an authentic life that feels true to who he is. After a period of self inquiry, some course corrections have occurred along with identifying new opportunities.
- [85:54] What are some of Carl’s self-care practices?
- [87:11] Let’s roll into some rapid fire! A job he doesn’t much like, but does it anyway because he’s good at it, favourite inspirational quote, his rock star alternate life, message at the pearly gates, low position on the weirdness scale, what he’s not very good at, favourite tune today, room-desk-car, favourite swear word, favourite movie.
- [90:37] Carl’s gratitude.
