David Taran is a firm believer in pursuing a diverse and balanced life. David is a licensed real estate broker in the state of California and a practicing lawyer for California, New York, Florida, and Quebec. As the co-founder of Sunstar Capital, David brings more than 26 years of experience that includes many different aspects of the investment process including negotiation, acquisition, finances, development, redevelopment, construction, and investment and property management.
Sunstar Capital is a recently launched commercial real estate company focused on high-growth markets in the Western United States. The venture utilizes the merging of several seasoned professionals, including co-founder, Mark Skeen.
Prior to his work at Sunstar, David was the founder of Divco West Properties, and also worked as a managing partner at his family’s manufacturing and retailing business. This venture, which operated on a global scale, gave him a perfect place to hone his diverse skill set that he continues to use today. As a partner, he worked on capital investments, strategic and financial planning, sales, real estate acquisitions, real estate negotiation, and currency trading and management.
David Taran also worked as a practicing attorney at Graham & James in Los Angeles. There, he specialized in Tax, Corporate, and Real Estate law. David holds a DEC degree from McGill University, an L.L.L degree from the University of Ottawa, a J.D. degree from Columbia University, and a Masters in Tax Law from New York University.
Throughout the span of his career, David has acquired $2.3 billion in real estate, which includes over 700 acres of land, 1,800 multi-family residential units, 449 hotel rooms, and 13.8 million square feet of buildings. David’s successful record is a testament to his diverse and balanced portfolio. David credits his rich portfolio to his earlier roles in as a managing partner and practicing attorney.
Meaningful, Mindful and Balanced
On a personal level, David is an advocate for creating a balanced, meaningful life. Despite his success, David upholds that a life filled with meaning and intent is far more enjoyable than a profitable one. To this end, he continues to support Project Happiness, a thriving non-profit started by his wife, Randy. Project Happiness is dedicated to providing the tools and resources needed for individuals to live an empowered, happier life.
David is proud to support the organization and serves on the board of directors. As a board member, David brings his unique experience and skill set to the table in an advisory capacity. His personal interest in the organization’s mission combined with his professional knowledge makes him an invaluable member of the board and his local community.
David’s continued passion for promoting greater happiness and meaning in everyday life continues to launch his career and leadership skills in exciting directions.
Connect with David
Recent Blog Posts from David:
A recent article detailed the almost stunning fall of New York City hotel prices, both at the retail and at the commercial level. The article discusses the nearly 50 percent drop in room prices that have been experienced since 2015 in a city that may be the most overbuilt in terms of hotel rooms of any in the U.S.
Oversupply Causing Price Drops
One of the most prominent examples of the kinds of price declines that have been seen throughout the New York hotel market is the Viceroy Hotel, a middle-of-the-road hotel at 157 West 57th Street. That hotel last sold for $143 million in 2013, a number that represented $620,000 per room. This year, the hotel sold for just $41 million or $170,000 per room, representing a huge decline in value of more than 70 percent. And this has occurred over the course of five years in a real estate market that has traditionally seen double-digit year-over-year appreciation.
Things Are Changing
But there are two main factors that point in the direction of a market bottom for New York’s hotel industry. The first is the fact that there has been a dramatic slowdown in new room construction. In 2007, there were about 73,000 hotel rooms in the city, a figure that represented a significantly under-built market. But by 2013, that number had exploded to more than 115,000, nearly doubling the city’s hospitality capacity.
Unsurprisingly, this led to a decline of nearly 50 percent in the average price of a hotel room throughout the city even as tourism and business travel soared throughout the region. But as demand has continued to increase year over year, it is likely that the market will once again need to begin adjusting the prices of hotel rooms upward.
Another main factor in the decline of both the average cost of rooms and the prices that commercial hotel properties command on the market has been the advent of Airbnb. The company counted New York City as its most thriving market as recently as a couple years ago. However, the city, where it is illegal to rent out any room for a term of fewer than 30 days without the proper hotel licensing, has begun cracking down on the appearance of bootleg hotels. It is anticipated that the hotel rooms that had been left vacant by Airbnb will once again be in demand soon.
Over the past several years, real estate rental properties have been the prime target for many real estate investors. Years of historically low interest rates and low-cost financing have produced strong investment returns. Although demand for rentals remains high in many areas, some investors could face problems if they buy in markets with low demand. To help avoid some of the rental markets with the lowest demand, here is a look at some of the hottest rental markets in the country.
Millennial Demand Drives Rental Markets
Millennials, whose ages range from 20 to 34, typically drive rental markets. Many in this generation typically make good money but are not ready financially to buy their own homes. Some Millennials prefer to rent in the current market as home prices and interest rates continue to rise. The thinking among many in this generation is the cost to rent is much lower than the overall cost of buying a house. Therefore, many investors looking for rental properties tend to target markets with a heavy population of Millennials.
Hottest Rental Markets
Orlando, Florida, the home of Disneyworld, tops the list as the hottest rental market in the country, according to research released by Roofstock, an online marketplace that lists single-family homes for rent. Second on the list is Raleigh, North Carolina, which is home to three of the top universities in the country within a few miles of each other. Real estate investors often consider universities with a heavy population of Millennials as a hotspot for buying rental properties. Third on the list is Austin, Texas, which is a popular location for many big tech companies to set up shop.
Local Economies and the Rental Market
The strength of local economies typically drives demand for rentals. Although the U.S. economy overall is strong, many of the new jobs driving employment are not well-paying. With rising home prices and interest rates, many residents of local communities cannot afford to buy a home. Therefore, they are forced to rent and real estate rental investors recognize this trend.
The real estate rental market in the U.S. is red hot. Home prices are on the move, especially for single-family homes. This rising trend forces many Americans to rent, and that signals profits for investors who recognize the income potential from rental properties.