00:00
Sean put something on here that I actually think I was telling,
00:04
a friend as I was researching. I actually think that this is one of the better ideas that we, and and you, you've ever come up with.
00:11
The Michael Jordan thing. Alright. You want me to yeah. You want me to explain it? Okay. So
00:17
I've been looking at this house for a long time. Michael Jordan's house has been for sale for, like, a decade and it hasn't sold. And this is his house kind of like, you know, in Illinois near Chicago where, you know, Michael Jordan was on the bulls and he had this fifty six thousand square foot home
00:35
in, Highland Park.
00:37
And
00:38
so this thing, originally, he put it up for sale in, like, I don't know, nine years ago, for thirty million dollars, twenty nine million dollars.
00:45
And now it's, you know, the price has been cut in half, and the thing is still not selling. And if you look at the photos, you could just go. It's like on Zillow. So you can go look at the photos. He's got like an indoor basketball court, you know, the gate leading up to the driveway has his big twenty three number, like, in Boston.
01:01
He's got, you know, everything you would want, like, huge, you know, closets because he's got, you know, all his air jordans or whatever. And so his house is
01:10
it's pretty unbelievable.
01:11
Right? There's there's all kinds of
01:13
epic shit here. But it's not selling, and it's not selling for, I think, a couple reasons. It's like, you know, it's very custom to Michael Jordan.
01:21
Like it just it's like it was custom made in in in many senses. So, you know, the other rich people don't necessarily wanna live in a house that's, like, made for another dude.
01:30
It's also, you know, it's very expensive for the area. The property taxes are really expensive, all that stuff. But I was thinking, okay. The price is now cut in half. Now it's it's a thirteen million dollar house or twelve, you know, thirteen million dollar home that you could buy
01:43
thirteen fourteen.
01:45
And
01:46
Now it's in range where maybe there's something fun you could do with it. Now you might be getting a value buy. So I was thinking,
01:51
alright, there's a bunch of people, obviously, that are basketball fans that love Michael Jordan
01:56
There's a bunch of, you know, new ways to crowd fund that we've been talking about NFTs
02:01
or,
02:02
Kickstarter or different different crowdfunding platforms.
02:05
So
02:06
The question is, should we buy Michael Jordan's house? Should we start a crowdfunding campaign
02:12
and buy Michael Jordan's house? So if you could get five thousand people to each put in twenty five hundred dollars, then you can own a fractional share of Michael Jordan's house. You could you you could own a piece of of this history.
02:24
And we could just buy it out, take it off the market.
02:28
And we could own this thing. And then the question is, like, what do you do with it?
02:32
And so I wanted to brainstorm with you, a, should we buy Michael Jordan's house and, b, what could we do with it if we did buy it? What do you think?
02:40
So the whole NFT thing, I wouldn't do that. I think that I think you've had two ideas here. One is to buy his house and twos to an do the NFT thing. One of those ideas is great. I think the other one is over complicating it. I would one hundred percent buy it. And the reason why I I think it's such a great idea is immediately
02:59
after you seeing you write this. My
03:02
thought right away went to Graceland. You know what Graceeland is? No.
03:06
That's funny that you don't know what that is. It's because it it's such a big deal in my family. Or Elvis's at least. So Graceland
03:12
is Elvis Presley's house.
03:14
It's in Memphis. It's in downtown Memphis. It's actually in a pretty crappy neighborhood now. Or the neighborhood is not nice. And it's, like, kinda
03:22
gross, but it's just, like, a cutesy thing to do if you visit Memphis. And I went and did research on it. And so around six hundred thousand people a year go to Graceland, which brings in something like where I have the numbers here. Okay. So Graceland, just in attendance,
03:39
just in ticket sales brings in twenty one million dollars.
03:42
So it's, yeah, pretty wild. Just on ticket, And then Six hundred thousand visitors a year,
03:49
thirty six dollars a ticket. Right? Yes.
03:52
And I got interested in this. So I thought one of the most visited homes in America. So I came up with a few, and I wanna fill you in on them. So the White House doesn't count because you can just I think you can get a tour, but you could also just walk outside of it. But Grace Land, six hundred thousand. The second one, I'm you guys are gonna make fun of me. I don't know how to pronounce this. What is it Monticello?
04:11
I think so. Okay. Monticello, that's, Thomas Jefferson's house. And so the interesting thing about this place, as well as a few other I'm gonna mention, is that they're non profits, which means all of their numbers are public. And so, the revenue for Machicello, which includes a ton of investment revenue was around
04:28
two hundred million dollars
04:30
in two thousand and ten, but around,
04:33
eight million, seven million came just from ticket sales. So eight million a year in ticket sales, which is crazy, and they have around five hundred thousand people. Another,
04:42
most visited home is never,
04:44
like, homes that people drive by, never land ranch. People don't go there. But the other another great one is Mount Vernon, which is, I think,
04:53
what's our first president? George Washington's house,
04:56
and they do
04:58
in in in,
05:00
food sales alone. This is crazy. Just in food, seventeen million dollars a year.
05:06
Wow. Is that crazy? The whole the
05:09
whole operation
05:10
And then they do fifteen million dollars a year in admission sales. And in total, they do about fifty one million dollars a year in total income, which includes ten million dollars from contributions.
05:22
Is that crazy?
05:23
No. That's absolutely insane. Let me ask you. These okay. So this all of a sudden, this starts to get really interesting. Right? Because I think Michael Jordan is on par with Elvis and you know, Thomas Jefferson. Michael Jordan's got TJ beat by a long shot. So, you know, MJ over TJ, I think is is part of the the the slogan we have when we when we buy this thing. But, if they're doing this much in traffic, I I gotta know, is there something else? Meaning, like, are these in really, like, popular areas where there's already just a lot of tourists or something like that. And this is just a pit stop because, you know, Michael Jordan Telson in a neighborhood, you'd have to only be going to go to this place.
05:59
I looked up Michael Jordan's address. Guess how far away it is from Chicago airport. One of the most popular airports in the world. I'm gonna guess forty five minutes.
06:09
Twenty minutes.
06:11
It's twenty minutes away. Okay? So it's at like, have you been in Memphis? Memphis is like, there's not that much going on in Memphis, and all these people are going to Memphis.
06:20
People are all Chicago is what? The fifth most populous city in America.
06:25
Or maybe third, something like that.
06:27
Something is interesting here. So what I would do is I wouldn't do the NFC thing. I would raise
06:33
two or three million dollars from much of rich people,
06:37
or I would try to use my own money if I had two or three million dollars that I wanted to spend on this. And I would buy it. And then it would probably cost a fair bit of money to
06:46
get it set up. It would probably cost a lot of money, another many more millions. But then you would have to convince collectors
06:53
to
06:54
lend you the stuff and you create a Michael Jordan Museum. Yes.
06:59
And
07:00
that's how you do this. And the companies that we've just mentioned,
07:04
Graceland, Montachello,
07:06
and,
07:07
Mount Vernon. So those, obviously, those
07:10
folks lived in the seventeen hundreds or probably died in the eighteen hundreds So they've been around those properties have been around as tourist destinations for a hundred plus years.
07:20
But
07:22
They've done fifty million revenue, which is a shit ton, but even if you've just done two or three million dollars in revenue, and you could do that and adjust for inflation, for fifty plus years. Kinda like Graceland has done it for sixty years. That's incredibly
07:33
fascinating.
07:34
Right.
07:35
Yeah. I I'm with you. So so I think you know, you're shutting down the NFT thing a little bit, but it's not about NFT. What I'm saying is crowd funding.
07:43
So I think that there's a benefit to crowd funding, which is that crowdfunding is a way to make the story more viral.
07:50
It is a it's a more PR worthy story that
07:54
you know, people from the internet, people from Reddit, whoever got together and bought Michael Jordan's home off the market for the for fifteen million dollars. They they raised fifteen million dollars and bought the house. Versus a rich guy, went to his rich friends, raised money. The second thing is those become, you know, the your your evangelist to spread the word and to come make the, the pilgrimage
08:13
to go see Michael Jordan's house. And I think you could do two or three things with it. I think you could make it a museum that's like a modern museum that we've been talking about. Like, the Museum of ice cream
08:22
or something like that where the tour is very heavy,
08:26
photo based. And so you're, you know, you're going through And it's all these different photo exhibits
08:32
of, you know,
08:34
you in Michael Jordan's bed and, you know, wearing, you know, a pair of his air Jordan standing in a pair of a giant air jordan or something like that, and you make it like a museum of ice cream where you're gonna walk out with, you know, ten photos that are Instagram worthy at the end of it. I also think give give give people
08:51
background on on ice cream Museum. Yeah. Britney, you can pull the latest numbers, but I think these guys raised at like a hundred million dollar plus valuation. And if you'd if you ever go to one, they're pretty cool. It's, you know, it's not the most amazing thing. I honestly I was a little bit disappointed, but the photos do turn out cool. It's a museum that you walk through. So it's like a guided path.
09:10
And you go through maybe like thirteen different rooms. And every room is something cool and you get a little, you know, you get an ice cream cone of some flavor and then you can take photos next to some, like, exhibit that they've set up. And the idea is not for you to look at the art, like a traditional museum, but for you to, like, take a photo in the art, and post it on Instagram, and that's their That's the free marketing that they get. And so Museum of IceStream. Oh, yeah. I hear everybody has it. They raised forty million dollar they raised a forty million dollar series a at a two hundred million dollar valuation last year. And,
09:42
and I think this could be bigger. I think this could be much, much bigger as a brand.
09:47
The other thing
09:49
the other thing that you could do is,
09:51
sports cards are having this incredible boom right now. And I think what you could do is you could have certain collectors
09:57
put their collection,
10:00
in in the house. The house could be basically the vault to store some of the most rare memberabilia in the sports world. Sign basketball, shoes, and sports cards, and that could be part of the museum. And you you basically store it and you
10:15
store it for some of these collectors. So I think I think there's a bunch of stuff you could do to make this work, but the idea is, like, can you buy this thing for thirteen million put another four or five million into, you know, getting it all set up. And then could you make five million dollars a year? Could you make ten million dollars a year like you're saying these other guys do?
10:33
As a pilgrimage for, you know, tourists going to Chicago and basketball junkies.
10:39
I think the answer is definitely yes, and I think it's so interesting.
10:43
I found a I found another example of one, and it's called the,
10:49
it's called the National Trust for Historic Preservation.
10:52
And it's a nonprofit. And all they do is buy
10:56
national,
10:58
historical
10:59
buildings.
11:00
And their store I looked at their numbers. They've been doing, like, fifty or sixty million in revenue for years.
11:06
And I'm still trying to figure out how to entirely read, nonprofit statements, but they have a buy, a line item that's revenue,
11:14
less expenses,
11:15
which
11:16
I guess that just means pro I mean, I don't know how they define Yeah. That's a good idea.
11:21
I don't know how they define either of those, but it was twenty six million.
11:25
And it's been doing that for years.
11:27
Is that nuts? So I like this idea. I like this idea a lot, and I kinda wanna dig a little further into how these
11:34
homes home museums work because I think this is pretty interesting. The other good thing about this, by the way, is that the basketball hall of fame sucks.
11:42
Nobody cares about it. Nobody goes to visit it. All the other sports, like, you know, Canton for football. These are, like, tourist destinations, you know, tons of people go there every year. It's really cool. And the basketball one, is known to be super lame because they let way too many people in and,
11:58
and it's not, like, it's not a thing that basketball fans really care to go do.
12:05
Can I give you two more examples that we what what we could consider doing instead of even doing a museum? Maybe this is even simpler. Yeah. So I'm staying at my friend Jack's house. It's a bad ass house.
12:17
Five doors down or ten doors down, something like that, nearby.
12:22
Is what's they call it the Obama House. And when Obama was in office from,
12:27
when was he in office? Oh, the o eight Oh. Twelve the sec the second term,
12:33
or whatever it was, he would stay at this house down here. And the owners let him stay, I think, for a massive discount, Now it's, like, it has its own Wikipedia page and it's called, like, the Obama House, and it's sold
12:47
ten years ago for seven million after he had already stayed there which are sorry, seven million I said I say seven for seven million, which is a lot of money, but they rented out right now on Airbnb for six thousand dollars a night.
13:00
Or if it's booked all the way up, a hundred and eighty k a month, and it's branded as the Obama House.
13:06
I think that you could absolutely crush it with a Jordan
13:10
Airbnb house. Would would you and a group of friends be willing to pull together three thousand dollars a day to stay there? Maybe I think the way you'd have to do it is you'd have to make it,
13:20
like, a Vegas alternative
13:22
for bachelor parties and stuff like that, birthdays. It's, like, What is the man cave man dream vacations? Like, dude, we're gonna go stay in Michael Jordan's house. Fourteen of us are going.
13:33
And it comes with, like, all the amenities and, you know, all that stuff. This is where you go. This is where you wanna go. If you wanna live, like, the sports fan's dream, I think you can do that. I do like the museum one better. What was the second idea you had? You said you had two.
13:48
Oh, what wasn't the second? I guess it was more so,
13:51
just another example, the Fresh Princess Bell Air House.
13:55
It's it's kind of interesting. But do you remember living in San Francisco, how there's, like, the what they call the painted ladies, which is the full the full house house, and then there's the missed out firehouse.
14:07
I would just wanna buy all these turn them all into it. So I lived a block away from the, from the full house house. And, literally, twenty four seven there is somebody standing outside of that house during the daytime,
14:19
taking a photo of it. So there's just a constant, and it's not like a it's not like a huge line of people. There's always like four people standing outside taking a photo in front of the full house house every single day for the whole year. It's kinda crazy. And then it just sold, actually, And it's sold at basically, like, I think one point five or two x the market rate in that area. So,
14:38
they got basically like a double premium because it is the full house house, which I think is, you know, kinda interesting.
14:43
But, okay, I think we should, I think we should buy Michael Jordan's house. I think we should crowd fund I think we should crowd fund five thousand people together. We should own this thing, or we could go to Raleigh Road and we could say, hey, rally. Let's put Michael Jordan's house on rally and,
14:58
you know, let's sell this baby out. I think if five thousand right now with if you go on rally roads, you'll get two thousand or three thousand people buying a fractional share of, you know, a pair of Jordans or assigned autograph or assigned rookie card or something like that. Fuck all that. With someone in the guy's house. So I think you could easily get five thousand people on Raleigh Road to, buy a fractional share of Michael George's house. I'm surprised they don't already do this. If they're listening to this,
15:22
you know, go go for it. Just give us credit and give me a share of the house.
15:28
I actually think that they wouldn't do that because do you liquidate that? It's been on the market for twenty or how long ten years. No one is obviously, no one's buying it. So, like, how do you get liquidity from that after seven years. I don't think you don't. I think the the game here is. Right? The point of rally is that they take things that are not assets.
15:47
And they make the not liquid assets, they make them liquid assets. So because you can own a fractional share, now there's liquidity. Any one person who owns a piece of Michael Jordan's house can swap it for anybody else who wants a piece of it. So you don't need a fifteen million dollar buyer because you could sell them in blocks of a thousand or fifteen hundred dollars. And so when you bring that price point down, there's people who wanna own a piece of the, a piece of the art, a piece of the asset, which is how they do, like, you know, they'll sell,
16:13
you know, of a Harry Potter first edition signed, you know, set of books.
16:18
And, you know, instead of selling it for twenty five thousand dollars, they'll get, you know, two thousand investors to each put in or whatever whatever the math comes out to, hundred fifty bucks to go buy,
16:28
you know, to to own a piece of that thing. So they introduce liquidity by making it fractionally owned.
16:36
Yes. But there's still no cash flow. You have to create an operation around this to
16:40
there's no cash flow based in a basketball card. There's no cash flow in Air Jordans. There's no cash flow in in a Harry Potter first position. Agent at Messer who's willing to buy it.
16:49
No, dude. You're you're you're you're still thinking like the old world. You haven't seen what's going on around. You're staying with Jack Smith. You should go ask Jack Smith about how this stuff works. He's the one who who taught me, and he's one of the biggest investors in this stuff. He's not buying it for cash flow.
17:03
You know, he's buying it because
17:05
Yeah. There are there is another there is another collector. And when you make it fractional, now way more people can get in on collecting it versus
17:12
just the rich deep pocketed people who could buy the whole asset hundred percent.
17:19
Yeah, bro. But who
17:21
like, who liquidates it after a handful of beers? On Raleigh Road,
17:25
someone actually buys the car after a few years. Very rarely. Occasionally, somebody comes and offers to buy out the whole the whole lot.
17:34
And and then they put it to a vote. I don't know if you've seen this, but like you know, let's say a box of Pokemon cards went on there, like a super rare Pokemon card set. They I don't know what the IP what the IPO was, but on rally, they IP owed it. Let's pretend it was fifty thousand dollars. And then what happened is a is a big, you know, Asian investor came in and said, we'll buy this thing out for eighty five thousand now. So you'll all get a profit, but we wanna own this thing. And they put it to the vote of all the share owners, and they said, no. They said we're gonna hold it. We think it's gonna go up. So they voted no. They voted to keep it. So they're not all trying to liquidate
18:05
soon. You know, some some people who are are buy and hold investors will will wanna own these assets for a long time because they think, hey, you know, if I just hold this now, you know, what's Michael Jordan gonna be what's Michael Jordan's fame gonna be twenty years from now? If Michael Jordan passes away, how much is this gonna be worth? And, there's people who are in it for the long term. So
18:23
I think there's I think the collectibles thing is a little bit different than I think about it differently than you do, I would say.
18:29
You basically need Jordan to have like a tragic accident.
18:33
Or, like, for example, the last dance came out. So so the last dance is ten part documentary that came out on Netflix and ESPN.
18:42
You know, millions and millions of people watch this thing. And Jordan's brand, you could see all the price of Jordan's went up. Jordan's like brand visibility and brand sentiment went up.
18:51
Because this documentary came out, and he's still alive. It wasn't a tragic event, but somebody told the Jordan story to the the younger generation who you know, grew up where, you know, they were two years old when when Jordan was at his prime. And so Jordan brand got stronger with the last dance coming out. I think that's just gonna continue, you know, over time because he's got all these different, you know, the legacy becomes bigger than the than the person itself.
19:13
But I have a different thing that's sports related. Okay.
19:21
I feel like I could rule the world. I know I could be what I want to. I put my dog in it like days on the
19:29
road. Let's travel never looking back.
00:00 19:33