September 26, 2005
by Daniel G. Jacobs
Real estate is often about location, location, location. And while that’s true for Sol Margolias in the properties he buys and sells, it was even more important in deciding where to establish his business. Margolias, CEO of Margolias Realty Group, left his native South Africa after 16 years as a real estate investor in Johannesburg to make his fortune in the United States and settled in Atlanta.
“We did well in South Africa, but when we decided to emigrate, we were limited in the amount of money that we were allowed to bring out — $40,000,” Margolias says. “Once I bought cars for my kids and put some money down for furniture, I had nothing left. So I started, literally, all over again. That was at the age of 42.”
In the past two decades, Margolias has build at portfolio that exceeds $350 million in a variety of markets.
“My passion is real estate,” says Margolias who completed his first real estate deal at age 20 while still in college. “I’m passionate about what I do. No two days are ever the same. There are a lot of problems and challenges to overcome, and we’re dealing with big amounts of money, but it’s very exciting.”
Smart Business spoke with Margolias about why he left his successful South African venture and what he did to make his American venture thrive.
Why did you leave a successful enterprise in South Africa to start over?
If you look at the nature of the business that I’m in, you need to have a long-term prognosis. Real estate by its very nature is long term. It was very difficult in the politically uncertain times to make a long-term prognosis of what you thought would happen to the real estate market.
A cycle would last for one year. I decided the best thing would be to get out of that environment.
Coming to America was the right decision because I can buy a property and say my investment term on this is seven years or 10 years and (provide) reasons why I buy it for that time period. I know I can do that here, and I couldn’t have done it there. Even now, I could not do it there.
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