We were lucky to catch up with Chad Tepley recently and have shared our conversation below.
Chad, appreciate you joining us today. Risk taking is a huge part of most people’s story but too often society overlooks those risks and only focuses on where you are today. Can you talk to us about a risk you’ve taken – it could be a big risk or a small one – but walk us through the backstory.
I was 3 years into my first job after college, it was a great position in Chicago with a big company, steady pay, and nice benefits…it was a “safe” job, but I was working so many hours, grinding it out, staring endlessly at a computer, and the thought of climbing the corporate ladder was daunting. I felt stuck and I wasn’t truly happy. I’ve always had the entrepreneurial itch and I had big dreams of becoming a real estate developer…I just had no idea how to make it happen. I didn’t have connections, I wasn’t born into wealth, and the real estate development world felt incredibly intimidating. In February, 2006, I had a freak medical incident that left me in a coma. When my family arrived at the hospital, they were told by the doctors to say their goodbyes to me. My parents and my sister sat bedside talking to me for days, sharing old memories, praying, holding onto the smallest hope that I might miraculously come back to life. Then, after 5 long days, I took a turn for the better, started showing vital signs, brain swelling subsided, and eventually I did wake up…but the joy was short-lived. A day after waking up I had a stroke, lost my speech, and I lost all sensation in my legs. But again this miraculously subsided…until I realized I had lost my short-term memory due to severe brain trauma. It was a rollercoaster ride for months, and there were times I thought I might never have the ability to work or think or operate like a normal person again. I did fully recover, however — it was a difficult period of my life, but it left me with the most overwhelming appreciation for how precious and fragile life really is, and how lucky I was to be alive. I remember taking a walk through my north side Chicago neighborhood after my recovery, crying tears of every emotion, and I thought…”there’s more out there that I need to experience, and life is too short…I was given a second chance and I need to make the most of it.” A few months later, I quit the corporate job and booked a one-way ticket to Ecuador. This led me on an 18-month trip around the world to 35 countries and 5 continents, I volunteered and lived in Argentina and Kenya, I met people from all corners of the globe, but most importantly, I found myself again. I had a new hunger for life and the pursuit of my dreams, and nothing felt impossible. I returned home, and though I was offered the same corporate job, I turned it down and decided to work as a local commercial real estate broker in the neighborhoods of Chicago. My timing was terrible — it was the very beginning of the Great Recession and the worst time to be 100% commission-based; however, those following 4 years – though I barely made ends meet financially – left me with solid relationships and experience that I was eventually able to leverage as the market turned around. I joined a development company, turned my relationships into development projects, and learned the business in the meantime….and a few years later I ventured off on my own to pursue my own real estate developments. I was doing what I had dreamt about for so long. Looking back, if I hadn’t nearly died, if I hadn’t booked that one-way ticket, if I hadn’t turned down the “safe” job, I might still be here dreaming about being a real estate developer….but instead, I took a big risk, followed my dreams, and I’m so thankful that I did.
Chad, love having you share your insights with us. Before we ask you more questions, maybe you can take a moment to introduce yourself to our readers who might have missed our earlier conversations?
I didn’t grow up around the real estate development industry, but I was fortunate to realize at a young age how well it fit my interests. Construction, design, architecture, business, relationships, creative thinking…it’s a perfect storm of the things I find most inspiring, and every project offers a new set of challenges and opportunities. One piece of land or one old building can be turned into a beautiful and vibrant destination where people can live, work, shop, or visit, and if it’s done well, it might be around in 100 years or more. There are plenty of developers and plenty of new buildings going up in all corners of every city, but what I strive to achieve most is creating something unique. I believe that a building should reflect its surroundings, a neighborhood’s history, and the people that will eventually flow within its walls. Its design should be memorable but functional, and every square inch of every floor should be thoughtfully considered in developing spaces that serve specific functions. It has always been my goal to not just develop projects and buildings that I can be proud of many years from now, but more importantly, to develop projects that are valued by their community many years from now.
We often hear about learning lessons – but just as important is unlearning lessons. Have you ever had to unlearn a lesson?
It’s never easy to admit our weaknesses or the fact that we never know ALL of the answers. One of the earliest and most important lessons I have ever learned was that it’s ok to say “I don’t know, but I’ll find out.” I was two years into my first job, and I was representing a corporate client in a portfolio sale of their properties. A buyer asked me a specific question about the financials of the transaction, and though I did not know for certain, I replied with an answer that turned out to be painfully incorrect. The buyer relied on my response as part of their valuation of the portfolio, and when the offers were received, it was clear there was a misunderstanding. The only reason for the misunderstanding was me. I felt terrible, I let my group down, and I let the buyer down. It was not a mistake I would ever make again.
It doesn’t matter whether it’s business or life…people will always have more respect for the person in the room who admits they don’t have all of the answers.
Can you open up about how you funded your business?
My first development project was an existing 3-story building in Chicago. The property was 150 years old and an absolute mess, but I knew it had the potential to be converted into amazing loft apartments and retail space, so I made an offer and negotiated a contract. The problem was I didn’t have the equity to purchase it. I had recently met a prominent real estate developer in Chicago. To me he seemed like the most intimidating individual on the planet, but I knew he was well respected and clearly very good at what he did. I figured the worst he could do is say no, so I called him and told him about the project. To my surprise he was incredibly complimentary of my efforts, my communication, and my knowledge of the project. After a few meetings he wrote a check to fund the balance of equity I needed to get the project closed. It felt like I had won the lottery- my dream of development was finally moving forward, and it was all because I just picked up the phone and called.
Contact Info:
- Website: www.cdtrealtycorp.com
- Instagram: @firesidechad
- Linkedin: https://www.linkedin.com/in/chadtepley1/
- Other: www.1000mainstreet.com www.burlaplofts.com