Commercial Real Estate Today: Jarrett Annenberg Of NewLake Capital Partners On 5 Things You Need to Create a Highly Successful Career in the Commercial Real Estate Industry Today

An interview with Aron Weiner

Aaron Weiner
Authority Magazine
Published in
9 min readNov 25, 2024

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Adaptability: The ability to move from one task to another and solve problems as they arise is essential. Whether it’s dealing with construction delays, budget overruns, or negotiation hurdles, seeing challenges as obstacles to overcome rather than brick walls is key. This adaptability helps you reach the finish line and is crucial in any industry, not just real estate.

The commercial real estate industry is a dynamic and challenging landscape that offers enormous potential for success. However, it requires a unique blend of skills, knowledge, and aptitude to truly excel. How does one establish themselves in such a competitive field? What does it take to consistently rise to the top in commercial real estate? How does one rise above the headwinds that are challenging the commercial real estate industry today? In this interview series, we are talking to commercial real estate professionals, brokers, investors, leaders of Real Estate Firms and Real Estate Investment Trusts (REITs), as well as anyone who’s found significant success in this industry. As part of this series, we had the pleasure of interviewing Jarrett Annenberg.

Mr. Annenberg co-founded NewLake and is our Senior Vice President, Head of Investments. In addition to investments, he assists in NewLake’s operations, portfolio management and capital raising efforts. Prior to founding NewLake, he spent ten years at CBRE where he was a Senior Vice President in CBRE’s Transactions and Advisory Services Group managing global real estate portfolios for high-growth companies. At the time of his promotion, he was CBRE’s youngest SVP outside of New York City, specializing in HQ transactions. During his tenure at CBRE, Mr. Annenberg worked on over seven million square feet of transactions with total value consideration in excess of $1 billion. Mr. Annenberg was a trusted advisor to fast growing companies such as GrubHub and Paylocity as well as established corporations like Caterpillar and AmTrust Financial. Mr. Annenberg received a B.S. from the Marshall School of Business at the University of Southern California with a concentration in real estate finance.

Thank you so much for joining us in this interview series! Before we dive in, our readers would like to learn a bit about your origin story. Can you tell our readers about the most interesting projects you’re currently working on?

NewLake Capital Partners or NewLake is an internally managed real estate investment trust (REIT). We’ve currently invested and committed about $445 million in capital to state-licensed cannabis operators across 12 states. As we continue to expand within the dynamic cannabis industry, every project offers a renewed level of excitement given the constantly evolving nature of each market. Our most recent project is a new cultivation facility in Connecticut, in collaboration with C3 Industries, a privately held multi-state cannabis operator. Additionally, we continue to actively explore opportunities in emerging limited license states, whether they are transitioning from medical to adult-use or establishing new medical programs.

None of us achieve success without some help along the way. Is there a particular person you are grateful for who helped you get to where you are? Can you share a story about that?

I’ve been fortunate to receive immense support throughout my career, and it’s challenging to single out just one person. My parents, especially my dad who is in commercial real estate, have been incredibly supportive. Additionally, I’ve had the privilege of working with great coworkers, partners, and mentors.

Having mentors who held me to high standards, kept me accountable, and gave me the freedom to take ownership of projects was immensely valuable. Their support and guidance have played a crucial role in my growth and success.

As with any career path, the commercial real estate industry comes with its own set of challenges. Could you elaborate on some of the significant challenges you faced in your career and how you managed to overcome them?

The commercial real estate industry is indeed full of challenges, which is part of what makes it so dynamic and engaging. When I started my career at CBRE as a broker, I made 50 cold calls a day, with a rejection rate of 49 out of 50 calls on a good day. It was a challenge just to talk to a decision maker each day, let alone secure a meeting. Overcoming this required persistence, determination, and a focus on relationship-building.

As I transitioned to New Lake, we encountered different challenges. Initially, many operators were hesitant to work with us, expecting federal legalization would soon open financing opportunities from major institutions like BlackRock or JP Morgan. More recently, rising interest rates and increasing construction costs have presented additional hurdles. In both cases, overcoming these challenges involved maintaining persistence, embracing failures as learning opportunities, and continuously moving forward. Each setback provided valuable lessons and an opportunity to improve. It’s important to learn from mistakes and keep progressing toward our goals.

What are the three things that most excite you right now?

There are three key areas that I’m particularly excited about right now:

  • Cannabis State and Federal Catalysts: The expansion of cannabis programs in new states is a major area of interest. We’re looking forward to Ohio’s adult-use launch, Kentucky’s medical program, and potential adult-use in Florida and Pennsylvania. Additionally, the potential rescheduling of cannabis to Schedule III would be a significant step forward for the industry, improving creditworthiness and attracting more capital.
  • Evolution of Commercial Real Estate: The commercial real estate market is evolving with changes in interest rates and the shifting use of office space post-COVID. This presents exciting opportunities as it redefines how cities and people interact with buildings. These changes will have a long-term impact on urban planning and real estate development.
  • Impact of AI and Technology: Traditionally, real estate has been slow to adopt new technologies, but advancements in AI will transform property underwriting, enhance decision-making, and revolutionize how tenants interact with buildings. The potential for technology to reshape real estate over the next 50 years is both exciting and promising.

If you had the power to implement three changes to improve or reform the industry, what would you suggest?

  • Reform Title Insurance and Property Documentation: The commercial real estate sector is still burdened by outdated practices such as cumbersome title insurance processes and archaic property surveys. Digitizing these documents and moving them to cloud-based systems would streamline transactions, reduce costs, and eliminate inefficiencies. This modernization would also help eliminate the need for traditional title insurance by improving transparency and accessibility.
  • Update Regulations to Support Housing Development: The regulatory environment often hinders housing development due to outdated or overly restrictive regulations. To address the current housing shortage, we need a more flexible regulatory framework that supports both private and public-private development initiatives. Streamlining these regulations would help meet the growing demand for housing and address the challenges posed by high construction costs and interest rates.
  • Advance Cannabis Industry Reforms: For the cannabis industry, pushing forward key reforms such as the rescheduling of cannabis to a Schedule III drug, SAFE Banking Act, and the STATES Act would be transformative. Aligning federal laws with state regulations would facilitate access to normalized banking, regular taxation, and stock exchange listings. This alignment would enhance industry stability, provide consumers with consistent products, and create a more equitable playing field for cannabis operators.

For a young person who would like to eventually make a career in commercial real estate, which skills and subjects do they need to learn?

For young professionals aspiring to build a career in commercial real estate, mastering certain skills and subjects is essential. First, the ability to accept and use critical feedback for continuous improvement is crucial. Persistence, balanced with professionalism, is vital to keep pushing through setbacks without becoming redundant. Building strong, trusting relationships through effective networking is the cornerstone of success. Additionally, adaptability is necessary to navigate the constantly changing landscape of projects and challenges. Finally, hard work and dedication, demonstrated by a willingness to put in the necessary effort and hours, are fundamental to standing out in this competitive field.

Can you please share the “Five Things You Need To Create A Highly Successful Career In The Commercial Real Estate Industry”?

1. Persistence and Benchmarking: Persistence is essential in commercial real estate. I used to make numerous cold calls, facing daily rejection. But I kept going back every day, learning from each experience. Measuring or having a benchmark for your hard work goes hand in hand with persistence. When I started, there was a senior broker who arrived at the office by 6:46 AM every day. My goal was to beat him to the office, getting in at 6:30 AM. I was told my first week that in order to get as skilled as the senior brokers, I would need to put in more hours to catch up to the amount of time they already put in and took that to heart.

2. Strong Communication Skills: Whether negotiating a lease, explaining a deal to an investor, or addressing a problem, clear communication is crucial. The ability to articulate problems and solutions transparently builds trust and helps in effective negotiation and relationship-building.

3. Failing Well: Failure is a part of life, especially in commercial real estate, where there are many ups and downs. The ability to learn from failures without internalizing them for too long is key. I always say, the ability to get punched in the gut at 10 AM and be completely fine by 10:05 AM is vital. The person you’re dealing with at 10:05 AM doesn’t know or care about what happened at 10 AM, so staying even keeled and positive is crucial.

4. Networking and Building Relationships: Relationships are everything in real estate. They lead to deal flow, better negotiation, and career advancement. Trust is the foundation of these relationships. I’m at NewLake today because I built a strong relationship for over seven years with a client of mine at CBRE who was the initial capital behind NewLake. He trusted me enough to join Anthony in starting NewLake and changed the course of my career.

5. Adaptability: The ability to move from one task to another and solve problems as they arise is essential. Whether it’s dealing with construction delays, budget overruns, or negotiation hurdles, seeing challenges as obstacles to overcome rather than brick walls is key. This adaptability helps you reach the finish line and is crucial in any industry, not just real estate.

What do you believe makes your commercial real estate company distinctive? Could you share an anecdote about that?

NewLake Capital Partners differentiates itself through our unwavering commitment to being good partners and doing what we say we’re going to do. We excel in working with our tenants and partners to find solutions that help them reach their goals. An example that illustrates this is our project with a tenant facing a significant challenge with their cultivation facility. Instead of taking a rigid stance, we worked closely with them to find a viable solution, addressing both financial and operational concerns. This not only strengthened our relationship with the tenant but also reassured our investors of our ability to navigate and resolve complex issues effectively. This approach forms strong relationships, leads to better deals, and results in long-term partnerships and repeat clients.

What is your favorite “Life Lesson Quote”? Can you share a story of how that had relevance to your own life?

“Life’s tough. Get a helmet” is a reminder that challenges are a natural part of life, and being prepared can help you face them more effectively. Just like a helmet protects you from physical harm, a resilient mindset helps you handle setbacks and difficulties. In my own career, this lesson was crucial. Early on, I faced many rejections and obstacles. Instead of seeing these as failures, I learned to view them as opportunities to grow and improve. By staying prepared and resilient, I was able to overcome challenges and achieve success.

You are a person of great influence. If you could start a movement that would bring the most amount of good to the most amount of people, what would that be? You never know what your idea can trigger. :-)

If I could start a movement that would bring the most good to the most people, I would focus on creating a community using sports and physical activities as tools for engagement and development. This is inspired from an organization I’m on the board of and have been volunteering with for more than three years on the west side of Chicago called The Bloc. The Bloc is an afterschool program that uses boxing to engage junior high and high school students from the south and west sides of Chicago. Boxing acts as the initial draw, but the program provides much more than that. It offers educational support and a structured environment to help these kids succeed in various aspects of their lives. I’ve been on the board for about a year, helping to guide the program’s growth and impact. Seeing firsthand the positive changes in the lives of these young people has been incredibly rewarding. This holistic approach can empower young people, build stronger communities, and create a positive ripple effect that extends far beyond the boxing ring.

How can our readers further follow your work online?

NewLake.com. You can also connect with us on LinkedIn at NewLake’s LinkedIn, and on Twitter at NewLake’s X. Additionally, you can follow my updates on my LinkedIn profile.

This was very inspiring. Thank you so much for joining us!

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Authority Magazine
Authority Magazine

Published in Authority Magazine

In-depth Interviews with Authorities in Business, Pop Culture, Wellness, Social Impact, and Tech. We use interviews to draw out stories that are both empowering and actionable.

Aaron Weiner
Aaron Weiner

Written by Aaron Weiner

Thought Leader & Trade Show Expert

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