Founder, Conversant Capital. Problem solving with great real estate & related companies across public & private markets. Views are my own; not investment advice
Joined November 2020
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Mike Simanovsky retweeted
🏢 Conversant Capital has closed its first private fund, CPIF, at $845M — more than 40% above its $500M target.
Backing came from sovereign wealth funds, endowments, pensions, and family offices, with capital already deployed across seven investments.
Mike Simanovsky retweeted
The only failure is when you are now middle-aged and are still blaming your parents, your circumstances, your country for the life that you have. Agency starts with believing that at any point in your life, things could still get a hundred times better. Then you just need to pay the price to become the kind of person who could get there. Failure is a mindset.
Mike Simanovsky retweeted
.@danawhite says one of the keys to longevity is to block out all negativity:
“It never even crosses my mind that something's not going to work. I just keep going until it does work.”
“There's this Bruce Lee quote where he says, ‘Never say negative things about yourself or what you're working on even if you're joking, because your body doesn't know the difference.’”
“I never take in any negativity.”
Mike Simanovsky retweeted
Current State of Senior Housing
The operating environment for senior housing continues to strengthen materially, and public market performance increasingly validates what we are seeing firsthand across the Cardinal portfolio.
Mike Simanovsky retweeted
the way to build shareholder value is to build a workplace that brings out the best in people.
companies that focus excessively on might-be shareholders at the expense of their teams will bleed talent at the moment in time when talent matters the most.
it’s unfashionable to talk about culture, and near uncouth to bring up the “work environment”. while surely the cold-brew-on-tap office perks of the 2010s were useless, and stock comp may be frittered away in uneconomic ways, the returns to building camaraderie and a winning locker room have never been higher than they are today.
the best CEOs are building their companies both for their customers and for their teams. the shareholders will take care of themselves.
Mike Simanovsky retweeted
Great message!
Learning about athletes like Gary Hall was incredibly heartening when I found out I was T1D too.
Love to see people highlight this
Mike Simanovsky retweeted
An extra special Merry Christmas to all those in healthcare working today and tomorrow.
You’re still a hero in my book.
Mike Simanovsky retweeted
“Judgment begins,” writes Timothy Gallwey in The Inner Game of Tennis, one of the best books I’ve ever read, “when the serve is labeled ‘bad,’ causing interference when a reaction of anger, frustration, or discouragement follows. If judgment could stop at the label and not spiral into ego reactions, interference would be minimal.”
The same applies to trading. Instead of labeling a trade as a “failure,” simply see it as a result. What did the market tell you? What can you adjust? By releasing judgment, you free yourself to focus on what truly matters: the next opportunity.
ALT photo by Todd Trapani on Unsplash
Mike Simanovsky retweeted
Near every major regime change in investing (value vs growth, tech vs commodities), the underperforming style (or sector or asset class) was thought of as permanently impaired. It’s the same with value investing today.
Mike Simanovsky retweeted
commercialobserver.com/2024/…
Excited for the future!
Mike Simanovsky retweeted
One of history’s greatest baseball players is now a world-class photographer.
While much of the world was rightfully locked in
on Rory McIlroy’s Masters win, something else was quietly unfolding at Augusta.
Ken Griffey Jr.—the 13-time All-Star and
10-time Gold Glove winner—was there too, as a credentialed photographer. And his work was extraordinary.
It can teach us a lot about craft, mastery,
and identity.
Griffey could be retired on a beach somewhere.
Instead—as a way to stay connected to his kids as they played sports—he picked up a new passion and pursued it with humility and joy.
Maybe it’s hard to abandon the spotlight of sport. Maybe he just loves the craft.
Whatever the reason, it’s a powerful reminder of what it means to grow.
Research shows that the more complex our sense of self—the more domains we explore, the more interests we have—the more resilient we become.
Self-complexity protects against burnout, helps us play to win instead of not to lose, and makes it easier to be bold. When your whole identity isn’t fused to one thing, you can take risks.
You can fail. You can thrive. And you can learn from both.
It’s proof that mastery isn’t a destination, it’s a mindset. A way of moving through the world.
Yes, talent matters. But so do curiosity, drive, and the willingness to keep showing up—traits every great athlete carries with them, no matter the arena.
Griffey’s photography is more than a hobby. It’s a metaphor for the excellence that is possible when we stay curious, keep learning, and remember we’re never just one thing.
There’s power in trying something new.
There’s power in not clinging so tightly to who you have been that you miss who you could become.
There’s power in staying open, curious, and willing to learn—no matter where you are in life.
Mike Simanovsky retweeted
Agency is your ability to shape circumstances instead of being shaped by them.
Mike Simanovsky retweeted
Listen to this interaction between Coach K and Kobe Bryant in the 2008 Olympics
“Those are Lakers shots, not shots that are trying to win a Gold Medal. I can’t let you take them”
“Is that all? I agree. I won’t take them”
Players want accountability
Mike Simanovsky retweeted
Let’s do the math.
Building an IL/AL/MC community currently costs around $425k per unit. If we build 100 units, that totals a $42.5 million project.
We can secure a Fannie loan at $27.6 million (65%) with a 6.5% interest rate and a 30-year amortization. Our equity investors seek a 15% cash-on-cash return.
The debt service amounts to $2.1 million, while the return on equity stands at $2.23. We will need $4.4 million in annual cash flow.
New construction of 90% occupied senior housing typically achieves a 32% margin, including a capex reserve.
To generate $4.4 million in cash flow, we must bring in $13,750,000 in revenue.
This revenue will come from renting out 90 units, which means we need to set monthly rates around $12k. Currently, average rates in most of the country are between $5k and $6k.
Interest rates must return to near zero for building to make sense in most parts of the country.
More likely, demand will increase, driving rates above $10k a month, making the math work because we can achieve those rental rates.
Mike Simanovsky retweeted
Looking for examples of great capital allocators at public companies. Who is on your list?
Mike Simanovsky retweeted
$SNDA Sonida Senior Living stock up 142% YTD
Has been written about here
Great leadership team
Latest earnings show NOI margin up 18%
Amazing to see our technology referenced in the earnings readout
helping deliver faster more efficient care while also driving tangible financial results
Great things to come!
Mike Simanovsky retweeted
Senior housing is a great industry to enter right now.
After a five-year downturn, it’s set to grow significantly over the next 15 years, offering a chance to contribute to a better society.
Skate to where the puck will be—by 2030, senior housing will be the hottest real estate asset class.
