John Coe and Buwa Binitie
Bio
Buwa Binitie, Managing Principal
As Managing Principal of Dantes Partners, Mr. Binitie directs the acquisition, development, management, and financial activities ofthe firm. Mr. Binitie has an extensive tax credit financing experience (LIHTC, NMTC and HTC) and has closed on financing from nearly every public capital source available including HOME, HPTF, NSP, CDBG and NIF. Mr.Binitie maintains a narrow focus on creatively structuring deals that strive to address the need of his clients,community stakeholders as well as various government agency partners. By narrowly focusing on efficiently financing community development transactions, Mr. Binitie has been successful in adding value beyond the numbers. Mr. Binitie’s career is underscored by a commitment to creating and preserving affordable and workforcehousing. To this end, since founding Dantes Partners, Mr. Binitie and his team have closed over $1 Billion of unconventional real estate transactions that utilize low-income tax credits, new market tax credits, tax-exempt bonds, and various other forms of alternative financing. These efforts have led to the creation of over 3,000 units of workforce and affordable housing. Mr. Binitie speaks regularly at industry focused events, including sessions with The Minority Resource, African American Real Estate Professionals, Bisnow, DC Building Industry Association, Georgetown University, Colvin Institute of Real Estate Development at University of Maryland, and the Howard University Real Estate Club. Mr. Binitie is currently the Chairman of the DC Housing Finance Agency Board of Directors and serves as a Board Member for the DC Building Industry Association. Mr. Binitie previously served onCity First Bank’s board where he was a member of the Audit and Compliance Committee, the Business &Community Development Committee, and the Directors Loan Committee. He also Co-Chaired Reopen DC (RealEstate Task Force and Mayor Bowser’s Rental Housing Market Strike Force).
Education and Awards
- B.S. New York University
- M.S., Real Estate Development, Johns Hopkins University
- Leadership Greater Washington Class of 2016
- Alumnus, Urban Land Institute’s Real Estate Apprenticeship Program (Project REAP)
- 2010 African American Real Estate Professionals’ Economic DevelopmentAwardee
- 2015 Washington Business Journal Minority Business Leaders Awardee
- Washington Business Journal Power 100 class of 2021
Show Notes
Current Role
- He leads the companies. Dantes Partners is now a company of companies (5:00)
- Pandemic has caused them to be more focused and is positive for their company (6:25)
- Recession in 2008-9 were best years until 2020-21 which were even better (7:10)
- Moment in time that they could be propelled (7:50)
- Tap into social issues (8:00)
- Focusing on what makes company great (core competencies) (8:30)
- Deals need to be “quality deals” (8:50)
Origins
- Born and raised in Nigeria (Lagos) (9:30)
- Parents are successful entrepreneurs (9:45)
- Dad was a pioneer in dry cleaning (10:00)
- His Dad and Mom were college educated (10:30)
- Siblings were more studious (10:45)
- He wanted to be an entrepreneur and academics didn’t interest him (11:00)
- Not accepted in any college in Nigeria (11:50)
- Parents wanted to send him abroad to school (12:15)
- His siblings’ performance stimulated trips to London and New York as a child (12:30)
- He wanted to come to the US after visiting here (12:45)
- Educated Nigerians are the “1%” but didn’t feel that way (13:45)
- Employment opportunities are limited (14:40)
- When he visits Lagos he realizes how lucky he is to live in the US (15:00)
- Level of inefficiency in getting things done in Nigeria (15:30)
- Culture in Nigeria is such that there is little discipline on timing for meetings or obligations (16:00)
- Travel is inconsitent (16:45)
- Different cultural perspective (17:15)
- Lives vicariously through friends in Nigeria and feels too spoiled in the US and couldn’t envision returning there (18:15)
- Electrical power is not necessarily available (19:30)
- Resiliency in Nigeria (20:00)
Immigration To US
- Coming to America (New York) (21:00)
- Had gone to Military boarding school in Nigeria- drills every morning (boot camp) (22:30)
- Used to being alone and independent (
- Subway system in New York overwhelmed him when he arrived (24:00)
- Wanted to do the “hardest thing” (24:50)
- Going to New York to get a job and then went to community college (Queensborough) (26:00)
- Guidance counselor helped him go to NYU (26:30)
- Attended NYU and majored in communications (27:15)
- Allowed him to create his own curriculum (28:00)
- Finding his way by taking a wide range of classes (28:15)
- Needed to find a job prior to graduation from NYU (30:00)
- Parents paid 3/4 of tuition (30:30)
- He needed to pay for some of that and room and board (skin in the game) (30:45)
- Internships helped him to find opportunities (31:00)
- College roommate was very helpful and invited him to Rosh Hashanah & other religious holidays (32:00)
- He helped him assimilate to America
- His wife met him many years later working together with him at a law firm (33:15)
- Feels like adapting to multiple cultures is important to learn (34:00)
Initial Employment
- Company in NY wanted to start internet presence- Jive Records (36:15)
- Search the web for the clients of the firm including recording artists- Brittany Spears, Backstreet Boys (36:45)
- Promoting musicians
- Silicon Valley growth stimulated his company to move him out to San Francisco and open an office (38:15)
- New York wore him out and this was a new challenge (39:00)
- Lived in a hotel in San Francisco for six months because getting apartment was so difficult (39:40)
- Rented a 4 BR apartment and had to find roommates (41:15)
- Got the real estate bug there, but almost was homeless (42:15)
- Decided to help people with affordability in his mind (42:50)
- Began reading more- The Count of Monte Cristo was his inspiration- Edmond Dantes is the main character (43:30)
- Jumped into internet startup and became unemployed (44:30)
- Signed up for LSAT to become a lawyer (44:50)
- Not the “idea guy” but he takes the idea and runs with it (45:50)
Real Estate Career
- Real Estate Research Group- Heard about it from a Nigerian classmate of his (46:20)
- Moved to Washington, DC to take the job (47:15)
- Professional due diligence- matching legal terms with the business terms (48:00)
- Never been afraid to ask- kept digging for what he needed to know (49:30)
- Quality control person- auditing (50:00)
- Reading a lease- Abstracting leases (50:30)
- Attended Johns Hopkins to get his Masters degree and participated in the Real Estate Apprenticeship Program (Project REAP) (51:20)
- Exposure from Project REAP (See Mike Bush Episode) (52:00)
- Very much appreciated opportunity to attend (53:00)
- Networking with Mike Bush to join the program (53:45)
- Believed that the program changed his life (54:30)
- He was offered a job and turned it down (55:00)
- Wanted to start his own company and Mike Bush wondered why (55:30)
- Capstone project with Adrian Washington (56:00)
- He learned he had a niche in affordable housing as a fee consultant (56:45)
- At the time all of NDC’s portfolio was condominiums (58:00)
- He convinced Adrian to do an affordable rental project (58:45)
- Learned about all the programs in DC (59:00)
- Comfortable taking risk (1:00:00)
Dantes Partners
- Dantes Partners (name came from Count of Monte Christo main character) (1:00:45)
- Metaphor for doing the best he could in any situation (1:01:30)
- Serial networker (1:02:30)
- Curate a good experience- every day he had several meetings to learn more (1:02:45)
- Fee project management opportunities (1:03:30)
- Would look at feasibility and bring in affordable housing underwriting and financing (1:04:00)
- Bankers took notice and encouraged him to find his own projects (1:05:00)
- Minority partner requirements
- RFP opportunity- Eastbanc– West End project which the DC Government wanted a library built as part of a mixed use project (1:05:30)
- Affordable housing with squash courts (1:09:50)
- Need to add value, not just be a minority person
- Two transactions with Eastbanc (1:11:40)
- Partner with them and learned from those transactions (1:12:00)
- Learned about large scale projects (1:12:30)
- Immersed himself in the transactions (1:13:00)
- Anthony Lanier was a good teacher (1:13:20)
- Had to roll in to decisions he didn’t necessarily agree with (1:14:00)
- Gilbane relationship (1:14:30)
- Risk criteria
- Will I get the deal done? He is able to determine up front whether he can do it (1:15:15)
- Assesses the tasks and determines feasibility upfront (1:15:45)
- Acquisition in DC has TOPA requirement which requires one year to cultivate relationships to acquire a property (1:16:00)
- Community development deals are like running a political campaign (1:17:15)
- Grass roots strategies in the communities (1:18:40)
- Mayor hired him for the New Communities project (Fenty’s program) (1:19:00)
- Not gentrification (1:19:20)
- Talking with community members is his most important job now (1:19:45)
- Brought all of the transactions to Gilbane (1:21:50)
- Shopped transactions to multiple firms (1:22:00)
- Had prior relationship with Gilbane and his contact (Blaze) asked him about them and he said we can help him (1:23:00)
- Wanted a programmatic JV partnership for the project (1:24:00)
- Top executives at Gilbane came down to meet him and do the projects (1:24:30)
- 3 projects including two senior projects (1:25:00)
- Delta project– Located in NE DC on Bladensburg Rd., NE (1:26:00)
- RFP and Dantes was the only black team that responded (1:27:00)
- Awarded but didn’t deserve it due to the scale of almost 400 units (1:27:45)
- Needed to deliver a huge deposit and wrote the check but “knew” he could make it happen (1:28:45)
- 306 Southern Ave., SE- Affordable Assisted Living
- Look for a “hook” that was was unique (1:30:00)
- No facility available for assisted living (1:31:00)
- Elderly parents are difficult to help both physically and financially (1:32:00)
- Age restricted and needs assistance (1:33:30)
- Managed by PLC, a senior living manager (1:34:00)
- Every project is gratifying for affordable tenants (1:36:00)
- Relationships with DC Government (1:36:30)
- Mayor Fenty appointed him to lead the New Communities initiative
- Mayor Bowser has “doubled down” on affordable housing (1:37:15)
- Raising capital is challenging for him- has been rejected too many times (1:37:50)
- Getting involved with “in house money” (1:38:30)
- Strategic partnerships- Eastbanc & Gilbane (1:38:45)
- Dantes Community Partners (1:39:00)
- Open to discretionary partners (1:39:40)
- Four separate companies (1:41:00)
- Dantes Community Partners (Sharif Mitchell) has a line from Citibank and formed a venture with Jonathan Rose Company (1:41:20)
- Property Management Company is growing fast (1:42:30)
- Wants efficiency in running properties
- Started it six years ago (1:43:50)
- His assistant was his first employee (1:44:30)
- Only 100% black owned property manager for affordable housing (1:45:00)
- Dantes Partners New York (1:45:15)
- NY has a strong mandate and he responds to RFPs (1:15:30)
- Team in NY
- Closed on a 1,900 unit projects- Existing public housing units (1:47:10)
- Recapitalizing them with a JV ownership with NY Housing Authority (1:47:30)
- Land Sale Leaseback structures (1:48:00)
- Roadside relationship (1:50:00)
- Armond Spikell was a teacher at Johns Hopkins (1:50:15)
- City Market at O St.– Went to ICSC Convention in Las Vegas to stalk Richard Lake to do their affordable project at the mixed use project (1:50:50)
- Taught him about land value appreciation (1:52:50)
- Enjoys the partnership (1:53:30)
Public Involvement
- DC Housing Finance Agency (1:54:30)
- Help create innovative programs
- Make process more efficiently and transparently
- Provide guidance to a CEO (1:56:30)
- Bring best practices to the agency
- Need technical people on board to understand the transactions (1:57:00)
- No Board member can sit in on any transaction that he/she is involved in (1:57:30)
- Created an equity program for affordable developers (1:58:45)
- “Glutton for punishment” (2:01:00)
- Affordable Housing demand is 10x greater than supply in DC (2:02:00)
- Homeless by circumstance (2:03:00)
- Social problems start with housing sector (2:03:30)
- Subsidies from COVID Federal funding (2:04:15)
- Unintended consequences (2:04:45)
Philosophy & Company Culture
- Company characteristics (2:05:30)
- Buwa works hard and sleeps only 6 hrs. per night (2:06:00)
- Not afraid to get hands dirty (2:06:45)
- Looks for similar characteristics
- Influences (2:07:30)
- Racial Issues (2:11:00)
- Companies are spending more time with the social issues (2:12:00)
- More than a moment for the racial justice movement (2:13:30)
- Responsibilities as business leaders to establish relationships with minority resources (2:14:00)
- DC is a unique place as it has always required participation from minority companies (2:15:10)
- Private transaction leaders are now evolving to move toward minority activities in support professions (2:15:45)
- Educational needs (2:16:45)
- Connections from the classroom to the real world (2:17:00)
- Thrived in “practical” environments (2:17:30)
- Goes to classroom and tells students about the practical aspects of what owning property including how rents translate to value (2:17:45)
- Alternative ways to educate children to break cycle of poverty (2:19:00)
- Developer is not a word that young children understand without exposure and explanation (2:19:45)
- Magician allegory (2:21:00)
- ULI UrbanPlan (2:22:00)
- Life priorities (2:22:30)
- Family first, yet business is part of it (2:23:00)
- Daughters are fascinated with his business (2:23:30)
- Family foundation to give donations to larger environment (2:24:30)
- Wins-
- Wife who believes in him and encouraged him (2:26:30)
- Corey Powell– COO of Dante Partners who joined him a few years ago (2:27:00)
- Loss- Mayfair Mansions project where he learned about mistakes he made (2:28:30)
- Lesson is to make sure that expectations are codified in documents (2:29:15)
- Imperative to know the business (2:29:30)
- Surprise
- Crossing $1B amount of financing projects (now $1.5B in total projects) (2:30:00)
- Advice to 25 yr. old self (2:31:00)
- Don’t pay off school debt…which he did because he was afraid of debt (2:31:45)
- He would have bought property instead of paying it off based on what he knows today (2:32:00)
- Don’t be afraid of investing in tangible assets (2:32:15)
- Billboard Statement
- “There is no succession without successors” (2:33:30)
- Think about legacy
- Wanted a company that outlives him (2:34:30)
Postscript
- Colin Madden reflections
- Glass half full outlook that Buwa represents
- Cool to see his path
- Career strategies
- Specialization orientation
- Buwa recognized that affordable housing was the niche he could penetrate to be successful
- Become a “go to” expert in a specific path
- Project REAP (Mike Bush)
- Liked the concept of “long term thinking” with his billboard statement
- “Risk on” results- risk spectrum is wide in our industry
Similar Episodes
