John T. Patterson


John Patterson is a co-founder and CEO of First Floor Capital Management where his core focus is on management and growth of the firm. Prior to co-founding First Floor, John worked as a product manager for Microsoft Corporation and as an advisor for Apex Real Estate Network. John has a BS in applied mathematics from the University of Arizona and an MBA from Harvard Business School.

Benjamin A. Riehle


Benjamin Riehle is co-founder and Managing Partner of First Floor Capital Management. Ben’s core focus at First Floor is on operations and strategic execution. Ben has acted as both an advisor and investor in the real estate space for 11 years. He has been involved in over $100MM of real estate transactions and has produced hundreds of successful outcomes both for himself and investors.

Investment Thesis

First Floor Capital’s primary investment thesis is that small real estate properties comprise a highly inefficient market. This inefficiency is caused by several factors. First, the market is highly illiquid. Unlike public stocks, there are not hosts of buyers who bid for each property that comes up for sale. Second, many real estate properties are not simple, passive investments and require active effort and ownership.

While property managers promise to provide such care, they are typically not motivated to do so and require owners to be highly involved. As such, owners (especially older owners) are often keen to divest these properties at a discounted price in search of easier and less involved returns elsewhere. As investment managers, our job is to exploit the inefficiencies in this market and to invest in properties and projects where potential returns are asymmetrically higher than the associated risk