Warren Buffett Once Received A Unique Offer From A Fan: 'You're My Role Model. I'll Pay You $500 A Week For The Opportunity To Intern For You' — Buffett Didn't Take Him Up On It, But He Did Land A Paid Role At Berkshire Hathaway

In a move that echoes Warren Buffett's value investing principles, Ian Jacobs is making a contrarian bet on San Francisco’s beleaguered downtown real-estate market. 

Jacobs, who cut his teeth in the world of high-stakes investing by once seeking an apprenticeship with the legendary Buffett, is no stranger to going against the grain. 

“He wrote Warren a letter that said, ‘You're my role model and I'd like to make you a value proposition — I'll pay you $500 a week for the opportunity to intern for you,'” Robert Salamon, one of his cousins, told The Wall Street Journal.

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Taking His Knowledge To The Real Estate Industry

Despite a backdrop where most investors are shying away from the city’s commercial properties, Jacobs, with a lineage tied to the Toronto-based Reichmann real estate empire, is diving in headfirst.

The Reichmann family, known for their strategic acquisitions in distressed markets — most notably New York City during the 1970s — has passed down a legacy of bold investment moves to Jacobs. 

Now 47, Jacobs is stepping into the family’s business wheelhouse with a plan to revitalize San Francisco’s downtown office spaces, a sector that has been hit hard by the shift to remote work and the resultant decline in demand.

With $75 million in commitments for his initial investments, Jacobs is setting his sights on acquiring 3 million square feet of office space at rates significantly below replacement cost, drawing parallels to the Reichmanns' transformative deals in Manhattan decades ago. 

His project, dubbed Project Uris, is a homage to the family’s historic 1977 acquisition spree in New York, a city then facing its own challenges, from crime to economic instability.

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Jacobs’s strategy is not just an investment in real estate; it’s a testament to his belief in the eventual rebound of San Francisco’s office market. Despite current sentiments predicting a grim future for downtown areas, with some analysts forecasting a “doom loop” of rising vacancies and corporate exodus, Jacobs is betting on a recovery. His plan hinges on the premise that the technology sector, a major driver of the city’s economy, will eventually return to physical offices.

This bold move is rooted in Jacobs’s extensive background in value investing — a philosophy he sought to learn directly from Buffett. 

Despite Buffett’s initial refusal to take Jacobs on as a paid intern, Jacobs’s persistence landed him a role at Berkshire Hathaway Inc., where he honed his skills in financial analysis and investment strategy. 

Jacobs’s career, marked by a cautious approach to stock investments and an eye for opportunities during downturns, reflects the lessons learned from Buffett, particularly the importance of timing and value.

As Jacobs navigates the complexities of the San Francisco real estate market, he faces challenges not just from the current economic climate but also from local investors with similar aspirations. His blend of value investing experience and a legacy of real estate success positions him as a noteworthy player in the potential revival of San Francisco’s downtown.

This venture into San Francisco’s real estate market is a significant pivot for Jacobs, merging his investment acumen with his family’s real estate legacy. It represents a new chapter in his career, applying the principles of value investing to the tangible world of property, with the hope that patience and strategic acquisitions will lead to a successful outcome reminiscent of his family’s past triumphs.

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