NFL player LeSean McCoy wants to build a real estate empire
NFL player LeSean McCoy wants to build a real estate empire using opportunity zones
LeRon played in the NFL for the 2005 season with the Arizona Cardinals. LeSean played 12 seasons, was selected to six Pro Bowls, and was on the Kansas City Chiefs team that won Super Bowl LIV. LeSean has made $63 million in his career, according to Spotrac.
LeSean asked his brother to help operate Vice, which he launched in 2018, while he maintained his NFL career.
“The hard part for players is trusting,” LeSean said. “My brother is a guy that I trust like no other, so that’s probably why it works so well with real estate. He’s constantly teaching me.”
During Covid-19, LeSean trusted LeRon to handle losses accumulated for the firm, as construction was halted and residents occupying units had eviction protection. LeRon didn’t disclose financials to CNBC but said Vice’s losses were less than $2 million.
“We’re brothers, but he would fire me,” LeRon joked. “The biggest loss that I can pinpoint isn’t dollars but the opportunity.”
Before the pandemic, LeRon said Vice Capital was in negotiations to purchase a property near La Salle University in Philadelphia’s Germantown neighborhood. The property decreased in value, but when Covid-19 spiked real estate prices, the owner took it off the market then relisted it at double the previous price, putting it out of Vice’s range.
LeRon said the pandemic “put a strain on things” as materials like lumber have soared, increasing construction costs. “But I would also say it’s made the seller’s market more magnified,” he added. “Interest levels are cheap, and everyone wants to buy.”
It’s here that LeSean is trusting his brother again. LeSean’s in favor of selling some properties with prices high in a red hot real estate market. LeRon is against the idea.
“Sometimes we agree on things, and sometimes we don’t,” LeSean added. “But the good thing about our bond is that I can trust him with business.”
The McCoy brothers can’t unload the Opportunity Zone properties, though. Investors get tax breaks on their capital gains if they leave their money in a selected community for at least 10 years.
This content was originally published here.