funds have been loading up on this asset class for many, many years.” “We saw that as an opportunity 20 years ago, so we started building this rental product. We’ve kept some doors and we’ve sold some doors and it’s worked out to be a very good business for us.” The only downside to the rental business, Dak adds, is the high barrier to entry – which Molnar Group can clear, but not a lot of other businesses can: “You have to have a lot of cash, you have to have a lot of experience,” Dak explains. “There’s a lot of gatekeeping from government and politicians – who cry for housing, but when you show up to ask for a permit it takes five years to get one. And it’s not like selling a condo – you’re not getting a big revenue cheque upon completion, it takes some time to get your money back. It’s a science and not everyone can do it, but we saw that as an opportunity, and it’s worked out very well.” As a fully-vertically-integrated real estate company, Molnar Group developers and constructs their own rental properties all in-house. As Dak says, they do everything from “acquiring the land, to doing the rezoning and development work, to doing the actual construction.” That means doing their own construction management, rather than relying on third party builders. Dak believes that self-performance makes the company “a bit more nimble.” “We’ve done it that way since the inception of the Molnar Group,” he explains. “We’ve always built our own product. We have our own team that THE CONSTRUCTION SOURCE CANADA
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