The Commercial Space Post-COVID – With Cove CEO Adam Segal

A recent Q & A we had with Adam Segal, CEO + Founder of Washington D.C. based Cove offers a picture window into the future of business. What was intended to be a real estate technology informative, turned out to be a glimpse of what the post-COVID world of real estate may look like. Initially focused on creating a network of co-working spaces to foster efficiency and productivity in the digital age, Segal’s company’s ship may have just arrived in the form of a world cataclysm. 

Cove logo

The coronavirus pandemic is forcing a paradigm shift for every business and institution on Earth. The world is turned upsidedown, and the only sure thing people can cling to, for the moment, is uncertainty. The daily grind, the 9-5, in contrast to the homogenization of the digital and the physical world, is creating catastrophes and vast opportunities for the future. And Cove sits smack in the middle of what most experts think will be the transition of transitions not just in real estate, but for business in general. I exchanged emails with the Cove CEO this past week, since catching up with him via phone proved impossible. Here’s the brief interview, followed by some takeaway points. 

RealtyBiz: How do you see commercial property marketing shaping up in the post-COVID era?

Adam Segal: At Cove, we believe commercial real estate will still have a place in a post-COVID era. In fact, it will transform from a place for your dedicated desk into an absolute key business resource to define culture and engagement. Traditionally, there has been a strong emphasis on your everyday desk or office. Moving forward, companies will consider where and how people are most productive, thereby enabling employees greater flexibility to choose when and where they work. The office will morph into a place to come together as opposed to being the required 9-5, everyday solution. For employees, this is an incredibly exciting future — as soon as you are no longer tied to a single desk or office, you have the freedom to design your life without your employer’s office location and long commutes as the deciding factor. At Cove, we provide the technology and service to support that future world for companies, while empowering office building owners a partner to create modern experiences integral to the future of work.

RealtyBiz: Some experts see the negative pricing trend for commercial property continuing to spiral downward. What is your view on this trend, and how can owners/developers prepare?

Adam Segal: When there is an increase in demand, differentiation becomes the absolute key. For those assets that are able to capture the future of work and unlock a differentiated experience, there will not be a downward spiral — in fact, just the opposite.

RealtyBiz: How do you see your business at Cove changing to address this new landscape? 

Adam Segal: Cove implements a modern consumer approach to the future of work for companies and owners of office buildings. Our focus is on building an experience around the office by building robust tools to bring everything online — from scheduling and coordinating your team to reduce capacity, unlocking onsite services and delivery, real-time updates — really a gateway to a modern work experience. The post-pandemic office will look nothing like the office of yesterday. In the future, the office will no longer be a home for your desk. Instead, the office will be a resource to bring people together for meaningful engagement. As a result, every company will need more intentional and coordinated office days for collaboration. The future of work for any company will include a mix of working remotely, in office, on travel — but now a real focus on productivity as opposed to a default 9-5, Monday through Friday culture. 

The Takeaway

According to Crunchbase, Cove is funded by Early Light Ventures. My takeaway on their investment, given the current state of transformation in business, is that those investors are smiling great big about now. $8.4 million in total funding could well turn into 100 times that figure. Here’s why.

Whatever benefits the remote office had before COVID-19, those benefits have been multiplied by 10,000 now. Furthermore, whichever businesses chose to optimize their buildings using Cove services before the pandemic, those clients are the leading edge of what physical office space will be in the future. Think about the whole situation like this. Once corporations and smaller entities make the adjustments for distancing, access assurance, safety measures, and added efficiency, how many do you think will switch back to business as usual? I should not have to spell out Cove’s potential here. From custom virtual events to building access management, Cove had a finger on the pulse of office buildings to start with. The next generation of office space will be all about remote work and managing a new kind of physical space. Who better to help transform the work at home corporate synergy? So, Cove has one of those rare opportunities brought about by the cosmos.

The post The Commercial Space Post-COVID – With Cove CEO Adam Segal appeared first on RealtyBizNews: Real Estate News.

Source: realtybiznews.com

More money, less happiness: When money makes you miserable

More money, less happiness: When money makes you miserableMoney, the conventional wisdom says, doesn’t buy happiness. Modern psychology seems to back this up, with studies suggesting that beyond an income of $75,000, money doesn’t make you any happier.

This conclusion is simultaneously obvious and counter-intuitive.

As an abstract principle, most us acknowledge that money doesn’t buy happiness. But, at the same time, we all want more of something material — a nicer house, nicer vacations, the ability to live in a certain neighborhood or eat at fancier restaurants — that we think would make us happier. (If you’re J.D., you think maybe season tickets to your favorite team might make you happier.)

So, we’re left with a conundrum. Or, rather, a series of conundrums: Does income in excess of $75,000 make us happier? And if not, why not?

When Money Makes You Happier

In answer to the first question, I believe that all else equal — and as we’ll see below, this is a huge qualifier, as things are rarely equal — more money generally makes you happier.

To be clear, money won’t solve every problem. If you’re lonely or bitter or angry, for instance, more money won’t make you any happier. But just because money doesn’t solve every problem doesn’t mean that money won’t solve any problems.

Money can make many things easier, or better. With more money you can:

  • Build a nest-egg.
  • Pay off your house or car.
  • Go on more vacations.
  • Have more kids.
  • Be a stay at home parent.
  • Eat better food.
  • Retire early.

With more money, you can do any number of other things that people enjoy and that make them happier. And if you’re a victim of systemic poverty, more money can change your world.

As much as we pay lip-service to the idea of money not making us happy, it often does, and it’s okay to admit this. It doesn’t make us materialistic or greedy to want retirement savings, a nicer home, a paid-off car, or a trip to Europe.

When Money Makes You Miserable

Assuming that you buy the premise that (in theory) more money should (generally) make us happier, it raises the question of why (in practice) income beyond $75,000 annually doesn’t make us any happier.

I think the explanation for this seemingly irreconcilable conflict is that most people spend the extra income poorly. Most people use money ways that make them less happy.

Their Job Makes Them Miserable.

People who earn a lot of money often assume that they’re paid well because of their intelligence and skills. And that is undoubtedly often the case.

But often they’re paid well in whole (or in part) because they’ve accepted a very difficult, demanding job that pays well precisely because it makes people unhappy! A job with long hours, lots of stress, lots of travel and time away from family and friends will generally pay well, but also significantly impair happiness.

It shouldn’t then be surprising that people with high incomes are often unhappy. The high income and unhappiness have the exact same origins.

They Spend Money on Things That Bring Them No Happiness.

People are generally conformists. Drive through a rich neighborhood, and you’ll see people dressed similarly, driving similar cars, going on similar vacations.

This isn’t just a happy coincidence, that all these kindred spirits serendipitously found each other and formed a happy community. Rather, people succumb to keeping up with the Joneses and continually buy stuff — not because they enjoy it, but because they’d be embarrassed not to have it.

To a large extent, individuals let their peers dictate how they spend their time and money. Living on somebody else’s terms — living somebody else’s life — is not a recipe for happiness, and if you do it, extra money won’t make you any happier. You’ll be spending it how other people want you to, not how you want to.

They Take on More Debt.

When people begin to earn more money, they generally upgrade their lifestyle — buy a nicer home and buy a nicer car. The problem is, they don’t pay cash for these things. Rather, they use their new, higher income as a means to borrow more money. Far from providing financial security, the extra income often makes their financial position more precarious.

Instead of using the extra income to buy freedom and peace of mind — which would make them happier — they incur more debt, which makes them more anxious than ever, with the added fear that if they lose their job, they’ll be humiliated at having to ratchet back their newly lavish lifestyle.

Extra money won’t make you happy if it tethers you to a heavily indebted lifestyle.

The Bottom Line

The lesson here is simple: If you come into more money, it can make you happier — provided that you use it in a way that provides you security, freedom, and sincere pleasure, not merely conformist consumption.

Money, in short, is neutral. It’s a tool that can make you happier, or less happy, depending on how you choose to spend it.

Money will make you happier only if you choose to spend it in accordance with your values and your preferences. Nobody — not your parents, not your friends, not your neighbors, and certainly not a blogger! — knows what makes you happy better than you do. But, this doesn’t stop people from assuming that they know what is best for you: what neighborhood you should live in, what car to drive, what education you “owe” your kids. If you listen to them, more money won’t make you any happier; in fact, it may make you less happy, because you’re working hard and incurring debt to live out somebody else’s life.

Our family’s life is a microcosm of this.

In our twenties, my wife and I both had good jobs in a large city. We had it made by what society values, but we weren’t very happy; we worked long hours at demanding jobs. We did however live frugally relative to our incomes.

Burnt out on our jobs, we eventually moved to a smaller city and my wife quit her job so that we could have three kids that she stayed home with. Those were expensive decisions, both in terms of cash outlays and opportunity cost. But they were good decisions; we had less money, but far more joy.

This trade-off was only possible because we had spent many years saving our money, deferring gratification — ignoring a culture that told us to spend as a reward for our hard work — so that when we finally spent the money, we spent it on something that we valued, namely our family. It was the best decision that we’ve ever made (all the credit goes to my wife!), but it was only possible to live that way in our thirties because of how we had spent, or more accurately not spent, in our twenties.

The point isn’t that we’re so smart, and that you should have a bunch of kids too. It is in fact the opposite: I have no idea what your best life is.

But then again, neither does anybody else besides you. If you find the courage to decide for yourself what you value, and you use money wisely to pursue your goals and your dreams, you will find that, contrary to popular opinion, money will buy you happiness.

Source: getrichslowly.org

7 Ways to Make Frugality a Joyful Choice, Not a Burden

Frugality is quite popular these days, but it’s hardly a novel concept. Frugality kept many families going during wartime and the Great Depression, and it has the power to improve our homes and lives today.

While circumstances can force us into frugality, and that’s not much fun, you can also enjoy life while being frugal. Here are some great ways to make a thrifty lifestyle a joyful choice and not a burden.

First, clarify your why

Why do you want to be a frugal person? What benefits will a frugal lifestyle bring that you can’t find any other way? To make your frugality a joyful choice, you need to have a solid reason for it.

Most of us don’t live frugally for the sheer fun of it—at least not at first. You probably have a reason to be frugal. Perhaps you’re saving for a downpayment on a home, paying off student loan debt, or reducing your budget to enjoy greater career freedom.

You must have a reason for being frugal that is greater than your desire to spend money.

Clarify why you're planning to be more frugal. (You might have several reasons). Every time you struggle with forgoing a purchase to save money, remind yourself of the purpose behind it. You must have a reason for being frugal that is greater than your desire to spend money.

Your reasons are likely things that will add to your happiness one day. Buying a home, becoming debt-free, or cutting back on work hours may significantly improve your life, so those goals are worth the effort to be frugal.

7 strategies to make frugal living more enjoyable

1. Try a frugality challenge

Join a no-spend challenge where you only spend money on essentials for a month to see how much money you might save. This kind of thing isn’t meant to be a long-term change in habits, although some people might continue after the challenge is over.

The point of a frugality challenge or no-spend month (or year) is to reset your baseline. Change the default of how much money you spend each month. You may struggle at first, but it gets easier the longer you avoid spending.

When the month of extreme frugality is over, don’t automatically resume spending at your former levels.

When the month of extreme frugality is over, don’t automatically resume spending at your former levels. Take some time to evaluate how you felt, what triggers tempted you, and what things you discovered you don’t really need or want anymore.

It’s OK if you start spending a bit more again, but be mindful about what you purchase. It’s like the Konmari method of decluttering your house, except with your finances: Let go of what is no longer serving you, and joyfully spend on the things that matter.

2. Focus on gratitude

Gratitude can make you a happier person. When you think about what you’re grateful for, it’s pretty hard to dwell on what you don’t have. Research has shown people who regularly express gratitude often feel more positive emotions, savor good experiences, and improve their health.

It’s much easier to save your money when you focus on your blessings. Writing a list of things you’re grateful for daily can help you feel more content and less likely to crave the temporary high of buying something new.

You can still have so much without spending a lot.

Frugality doesn’t take away things you enjoy. Yes, it often means shopping around to get a lower price or doing without something you didn’t need. But you can still have so much without spending a lot.

Examples of things that might be on your gratitude list:

  • Running water
  • Internet service
  • Virtual connectivity to friends and family across the globe
  • Food and drink
  • Modern conveniences (electricity, dishwashers, lawnmowers, etc.)
  • Family
  • Friends
  • Nature

3. Notice the benefits of frugality

The longer you follow a frugal lifestyle, the more benefits you’ll observe. As you forgo spending on things that perhaps were luxuries, pay attention to the benefits you experience, whether expected or unexpected. Some of the common benefits you might see include:

  • Feelings of joy for the small things
  • Preferring homemade meals to dining out
  • Appreciation for what you have
  • No more temptation to buy to impress people
  • Learning a new skill
  • Adopting other, healthier habits

The more you appreciate the benefits of your frugality, the easier it will become to keep following frugal principles.

4. Make bargain-hunting a game

When you need or want something, look for low- or no-cost ways to get it. Buy Nothing groups, Facebook Marketplace, local garage sales, or thrift stores may have the item you’re seeking for much less (or even free).

Frugality often means spending a little more time researching the item you need before rushing out and buying it. But you usually don’t need something instantly and can afford to wait a few days, weeks, or months. That time can save you a great deal of money. Plus, you get to enjoy the satisfaction of snagging a great deal.

5. Enjoy learning to DIY

If you’re just starting with frugal living, you may find yourself trying to fix something you usually would have replaced. Do-it-yourself tasks are an opportunity to learn.

Look at frugality as a part of your identity rather than a difficult phase.

When you choose to repair or reuse something rather than replacing it with a new one, think about how cool it is to learn something new. My husband loves YouTube for teaching him a ton of valuable skills, such as how to replace car brakes. Yes, this takes more of his time in a hands-on way, but he enjoys the challenge, saves money, and guess what? Now he knows how to do the same job in the future, saving us money for years to come.6. Make frugality your identity, not a phase

Look at frugality as a part of your identity rather than a difficult phase. Habits expert James Clear writes about this in his bestselling book Atomic Habits: “To change your behavior for good, you need to start believing new things about yourself. You need to build identity-based habits.”

For instance, rather than stating your goal as “I want to save $200 this month,” try identifying yourself as someone who is joyfully frugal. Reframing your identity by saying, “I’m a frugal person” can be more effective than thinking, “I can’t wait until I can start spending money again.” All those little spending decisions are more manageable when you view everything as a means of honoring your values rather than temporarily denying yourself something.

7. Cultivate an abundance mindset

Consider how you talk about money in your day-to-day life. Try to pay attention to what you think and say about money throughout a typical week.

You’re making an intentional choice to prioritize what matters.

If you often say things like “I can’t afford that,” you’re negatively framing your frugality. But if you say something like “I choose not to spend money on that,” you put the power in your hands. You’re making an intentional choice to prioritize what matters.

There’s a subtle yet essential difference in these perspectives. If you have a scarcity mindset where you don’t have enough and you always want more, it won’t get you anywhere. But if you cultivate an abundance mindset, you’ll see opportunities for the future and believe in your ability to realize those opportunities.

Frugality is fun … for real!

Honestly, frugality is a fantastic lifestyle that brings me endless joy every day. It’s exciting to look for ways to save money without sacrificing any of the things you love to do. I hope you’ll start finding the joy in frugality too.

Source: quickanddirtytips.com

Should I stay or should I go? Wrestling with the decision to quit a career

J.D.’s note: In the olden days at Get Rich Slowly, I shared reader stories every Sunday. I haven’t done that since I re-purchased the site because nobody sends them to me anymore. But earlier this year, Mike did. I love it. I hope you will too.

Earlier this year, I sent my wife a text message: “On a scale of 1 to 10, how freaked out would you be if I quit my job this afternoon?”

My wife and I had only been married a short while, but she’d known since our second date that I didn’t plan to work in my traditional job until normal retirement age. She also knew that I hadn’t been very happy at work in recent months.

We’re very compatible financially — both savers raised in working-class families that didn’t always have a lot. We make a point of having what we like to call “Fun Family Finance Day” from time to time. On Fun Family Finance Day, we do everything from competitively checking our credit scores to discussing questions that get at the root of our money mindsets to help us create our goals.

But this question wasn’t part of the plan. Not then.

And it was never on any of the lists of questions that we’d discussed with each other. It was like a pop quiz, a pothole in the smoothest relationship road I’d ever traveled…and I was the one putting it there.

Dreams Remain Dreams Without Doing

My wife and I rarely argue, but when we do it’s usually about food. It’s the kitchen and the grocery store that are our battleground. Our finances are fine. Thankfully, when you’re confident in the life you’ve created and the person you chose to build it with, it’s a lot easier to be honest about what’s on your mind.

That still doesn’t always mean you get the answer you want. Or the answer you were expecting. She responded: “Wait what. Kinda. What would you do?”

A completely reasonable and fair question. Not to mention one that I’d probably have to get comfortable answering from a lot more people.

I think my immediate reaction was: We talk about this stuff all the time, where is my, “No worries baby, YOLO!”? (I must have watched too many romcoms back before we cut cable from our lives.)

Being a grownup, it turns out, is actually really hard sometimes. I was about to learn that talking about something, and actually doing it, are a world apart.

Life is full of dreamers and doers. Sometimes those two personalities cross over. But there are plenty of people who go through life talking about so many things they’ll never have the courage to try — or the discipline and determination to follow through with.

Which person was I? The dreamer? The doer? Or that fortunate combination of both?

Standing on the Ledge

There’s a quote perched atop my bucket list of long-term goals:

“At some point, you will need to take a long look in the mirror and ask yourself not just if this is something you wanted to do at one point, but if this is something you will want to have done.”

Words are meaningless without action. It was time for me to take that long look in the mirror. I thought back to one of the questions that my wife and I had previously discussed: What does money mean to you? To me, once I grew out of the “stuff accumulation” phase of my early- to mid-20s, my answer had always been freedom. Money meant freedom. To my wife, the answer was security. Money meant security.

You can probably see how freedom can conflict with security. That was the case here. Not only that, but I was asking to change the perfect plan, one that she was comfortable with and excited about.

That’s not one, but two shots against financial security. If I’d thought more about our financial blueprints and how they differ, I might have seen this coming from a mile away!

As I was standing on that ledge, about to quit my job, thoughts started to race through my mind. What did I actually have to lose if made the leap? Lots.

  • A happy relationship and marriage.
  • A secure job with solid income, not to mention a sixteen year investment in my career.
  • Great benefits, including lots of time off, health insurance, 401(k) — even a pension.
  • The ability to afford anything at any time without any real worry. (Our finances were already on autopilot.)
  • My work friends and work prestige.
  • The general day-to-day purpose of a job.
  • The opportunity to create generational wealth. If we worked until 65, the power of compounding would likely make us ridiculously wealthy.

Today at Get Rich Slowly, let’s perform a little exercise. Come stand in my shoes for a minute, won’t you? Join me on the ledge. Do you see the beautiful view? The endless opportunity? The excitement that’s felt only at the beginning of a grand adventure, an adventure where anything is possible?

Or do you get a queasy feeling in your stomach? Do you feel like you’ve lost your balance, like you’re on the edge of some great catastrophe? Do you see a frightening fall from grace? Does it make you want to back away immediately?

Let’s go back to what it felt like to make this decision…

Sitting on the ledge

My Situation

I’m 38 years old. I’ve worked for the same company since I was 22. Corporate insurance is all I know. I’m well paid. I work from home for a solid company with good benefits, plenty of time off, and I really enjoy most of the people I work for and with.

It’s the definition of stability — a solid guardrail protecting me from what lies over the ledge. So what’s the problem?

A year ago, I took a new position that seemed like a great opportunity. Only it wasn’t. The first misstep of my career. A year in, that spot has killed my enthusiasm and engagement. For the first time at work, I’m struggling to get things done.

As an extrovert that derives meaning from helping others, this feels like a prison. My job isn’t hard because it’s stressful. It’s hard because it’s boring me to death! And what are any of us doing thinking about personal finance and early retirement if we aren’t trying to make better use of our limited time on this planet?

There’s a project looming that would require some weekend work once in a while for the foreseeable future, I’ve avoided it in the past, but my luck is running out. My team — and, more importantly, my position — need to take it on. I understand completely. I just don’t want to do it.

At this point in life, my time is way more important to me than money. The weekends and vacations are what I live for. Adventures in the mountains with my friends, quality time with my wife, our dog, and our families – that’s what makes me feel alive.

Insurance? Meh.

No little kid ever said they wanted to work for an insurance company and play with spreadsheets and Powerpoint presentations when they grow up. I wanted to be a baseball player, a sports writer, even a professional forklift driver. (Because what’s more badass than a forklift when you’re a little kid and your dad works at a marina?)

A Glimpse of the Other Side

My wife and I just got back from a delayed honeymoon to Alaska. To say it was incredible would be an understatement. Denali. Kenai. Majestic train rides. Fjords. Glaciers. Bears. Bald eagles. Whales. Hikes.

Life slowed down.

I somehow managed to read five books while doing so many other amazing things. During our more than two weeks off, I got to see what my mind was capable of when it wasn’t drowning in useless information and mundane tasks that consume my braindwidth.

We talked to people who had ended up in this wild place through a history of taking risks. Parents that had hitchhiked cross-country and ended up there back in the 70s. Can you imagine? Where we live, a fair number of people never leave their town or state!

Before the trip, I had tried to apply for a few positions. For whatever reason, it just didn’t work out. I came home from an amazing glimpse into what life could be to a job that seemed like the polar opposite. (Isn’t that every vacation though?) I’ve felt like a square peg trying to fit in a round hole for a while now. Maybe normal life just isn’t for me anymore. Maybe I need something just a little less ordinary.

Should I Stay or Should I Go?

I’ve been practicing the classic tenets of personal finance since I was in my mid- to late-20s. I found an awesome woman in my mid-30s who just happens to be down with this lifestyle as well. We’re probably two to three years short of where we want to be based on our master plan of a fully-paid house and a really comfortable number in invested assets.

We’d likely fall somewhere between Agency and Security on the stages of financial freedom.

I know good jobs don’t grow on trees, especially where we live. The seasons of the economy are always shifting and there’s a chill in the air. Economic winter can’t be too far off. My wife still has a solid job, and we live a pretty simple life — albeit in an expensive part of the country. Our main splurge is travel, but otherwise we live well below our means.

All of this knowledge and preparation comes with a cost. Having options can be a burden too, because then you’re responsible for making hard decisions. And you’re responsible for the outcomes of those choices.

What other options are there?

  • Be a crappy employee/teammate, and still get paid? Plenty of people have played that game. Get a surgery or two, go out on leave, let performance management run its course for however long that takes, and keep cashing checks the whole time. I don’t think I have it in me to put people I respect through that. It’s just not who I am.
  • I work from home, and I still can’t bring myself to abandon my laptop. What if someone needs me?
  • Am I giving up too soon? The finish line seems just around the corner — somehow so close yet so far away.
  • Should I just suck it up and sell a little more of my soul? Slump my shoulders a little bit more as I trade another piece of myself for money I don’t need to buy things I don’t want?

As I go back and forth, sometimes I briefly wish I’d never found the personal-finance community. Like Neo in The Matrix, why’d I have to take the damn red pill? Being a mindless consumer wasn’t so bad. I would have invested 6-10% in my 401(k) with a traditional pension on top of it.

Forty years on autopilot would have produced a comfortable life of work, nice things — and maybe some time in old age to relax and travel.

Facing Freedom

The whole point of everything I’ve done since I started this journey was to be in control of my own life. To not be owned by things or circumstances. To have options. Freedom of choice. F-U money.

I have the corporate battle scars and survivor’s guilt to understand why that’s important.

I’ve sat on the phone while I heard that my old department was closing down. The sadness and tears in the room. Everyone that had taken me in, given me my chance, taught me the job…basically gone, casualties of a business decision.

I’ve seen people get laid off who are petrified because they don’t know how they’ll pay their bills in a couple of weeks. People will be okay eventually though, right?

What about my friend who was struggling last year and left the company? He committed suicide a few months later. Maybe everyone won’t be okay eventually. Depression runs in my family. Am I really built for this? That thought is haunting.

It’s been said that one of the hardest decisions you’ll ever make in life is whether to walk away or try harder. Every bone in my body tells me it’s time to walk away, to bet on myself.

The End?

About six months after the text exchange that blindsided my wife, with her support, I hit send on the scariest, most exciting and important one-line email of my professional career. It would also signify the unofficial end of it: “I will be resigning from my position effective Wednesday, June 26th.”

To combine a few lines from my favorite movie, The Shawshank Redemption, some birds just weren’t meant to be caged. It’s time to get busy living, or get busy dying.

Source: getrichslowly.org