Lawrence Dunning’s path to real estate investing was anything but conventional. Before becoming involved in real estate development and brokerage in Chicago, Lawrence worked as a trader, competed as a professional MMA fighter, travelled the world, and experienced both significant financial successes and difficult setbacks.

His story is ultimately about reinvention, resilience, entrepreneurship and learning how to build a career around long-term goals rather than short-term wins.

From Trading to Professional MMA

Lawrence began his professional career in trading, where he made significant money during his 20s. However, by the time he reached 30, he realised that he was no longer passionate about trading.

At the same time, martial arts had become an important part of his life. Rather than wondering what might have happened if he had pursued professional fighting, Lawrence decided to find out.

He took a five-year sabbatical from his previous career and dedicated himself to martial arts and physical competition. During that period, he competed in nine professional MMA fights, participated in Brazilian jiu-jitsu tournaments, travelled internationally, and completed events such as triathlons and marathons.

For Lawrence, the experience was about pushing himself physically and discovering how far he could go.

The Challenge of Starting Over

While pursuing MMA, Lawrence also experienced significant financial setbacks. He lost money during the 2009 stock market crash and invested in French startups that did not work out.

Eventually, he reached his final professional fight and began thinking seriously about what would come next.

His original plan was to return to the trading floor in Chicago. However, the industry had changed dramatically during the five years he had been away. Smaller trading groups had largely disappeared, while larger firms and high-frequency trading had become much more prominent.

Lawrence suddenly found himself without a clear career path.

Rather than returning to his old career simply because it was familiar, he began looking for a new opportunity.

An Unexpected Introduction to Real Estate

Lawrence’s transition into real estate began through a friend who lived in his Chicago high-rise building.

The friend was an attorney and also had a real estate licence. He wanted to establish a real estate company and encouraged Lawrence to explore the industry.

The idea appealed to Lawrence because it combined entrepreneurship, investing and the opportunity to work on property projects.

He had already purchased a commercial building during his trading years, which he later described as one of the better financial decisions he had made. That experience gave him an early connection to real estate, even though he had not yet built a career in the industry.

Lawrence decided to give real estate a serious opportunity.

Learning the Real Estate Business From the Ground Up

The transition was not immediately successful.

Lawrence’s first year in real estate was difficult, particularly because he had previously been accustomed to earning significant amounts of money through trading. His second year improved as he built relationships and became involved in rehabilitation and development projects.

He eventually began partnering with developers and gained more experience in the investment and construction side of real estate.

This period taught him an important lesson: success in a new industry often requires patience, relationships and a willingness to start over.

From Real Estate Investing to Development

Over time, Lawrence became increasingly interested in real estate development.

His work eventually expanded beyond traditional brokerage into development projects, particularly new construction in Chicago’s up-and-coming neighbourhoods.

Rather than focusing exclusively on already-established luxury areas, Lawrence works with developers who are building in areas with potential for long-term transformation.

He described the experience as being able to watch Chicago change “block by block” through the work of developers who are creating new housing and investment opportunities.

Many of the developers he works with also have unconventional backgrounds. Some started working on construction sites as teenagers, learned the trade over time, obtained their licences and eventually progressed from smaller rehabilitation projects to developing multi-million-dollar properties.

The Difference Between Brokerage and Development

Lawrence explained that brokerage and development provide very different experiences.

Brokerage can provide a more predictable source of income, while development involves considerably more risk but can also provide greater financial upside.

Development also gives Lawrence a deeper sense of involvement because he gets to participate in creating the actual properties rather than simply facilitating transactions.

His business relationships have become an important part of his success. Instead of constantly searching for new clients, he has developed long-term relationships with a group of developers and continues working with many of them year after year.

The Hardest Lesson: Losing Everything in a Development Deal

Lawrence’s real estate career also experienced a major setback.

Just before the COVID-19 pandemic, he had nine multi-unit developments at various stages. A significant amount of his own money, as well as money from friends and family, was invested in those projects.

Then circumstances surrounding one of his development partnerships changed dramatically.

Lawrence’s development partner experienced a serious family situation and ultimately declared bankruptcy. Lawrence was left dealing with lawsuits and substantial financial losses.

The experience became one of the biggest tests of his entrepreneurial career.

His wife was pregnant at the time, and the situation was particularly difficult because people close to him had invested money alongside him.

Despite the setback, Lawrence eventually worked through the situation and continued building his career in real estate.

Why Having a Backup Plan Matters in Real Estate

One of the biggest lessons Lawrence took from his experience is the importance of having multiple options when entering a real estate project.

A development may look profitable when the project begins, but circumstances can change before construction is complete.

Interest rates can rise. Construction costs can increase. Buyers can disappear. Economic conditions can change.

For that reason, investors should consider what they will do if their original exit strategy no longer works.

For example, a property planned for sale could potentially be retained as a rental property if market conditions make selling less attractive.

Having an alternative strategy can give investors more flexibility when unexpected events occur.

Understanding the Risks of Leverage

Lawrence also discussed the role of leverage in real estate investing.

Leverage can increase potential returns, but it can also magnify losses. Investors who rely too heavily on debt may find themselves vulnerable when property values, interest rates or rental income change unexpectedly.

For Lawrence, maintaining financial flexibility and being prepared for difficult periods are important parts of building a sustainable investment strategy.

The goal is not simply to make money when conditions are favourable. It is to structure investments so they can potentially survive when conditions become less favourable.

Why New Construction Appeals to Lawrence

Lawrence has observed that many developers who eventually move into new construction began with rehabilitation projects.

One reason he prefers new construction is predictability.

With a rehabilitation project, investors can uncover unexpected problems after purchasing the property. Issues hidden behind walls can create additional costs, including structural or foundation problems.

New construction can provide greater control over the project because the investor can establish expected costs for architectural work, permits and construction before the project begins.

However, new construction still involves significant risks, including changing construction costs, financing conditions and market values.

Three Lessons for New Real Estate Investors

For someone considering real estate development, Lawrence highlighted several important principles.

1. Find an Experienced Mentor

Learning from someone who has already completed development projects can help new investors understand the process and avoid costly mistakes.

A knowledgeable mentor can potentially help with everything from selecting architects and contractors to navigating permits and solving construction problems.

The right mentor can provide practical knowledge that is difficult to gain from studying real estate theory alone.

2. Research the Finished Property Value

Before starting a development project, investors need to understand what the finished property could realistically be worth.

Construction costs alone do not determine whether a project makes financial sense.

Investors should also consider the expected selling price, comparable properties, neighbourhood conditions and potential demand.

3. Build Multiple Exit Strategies

Real estate markets can change significantly during the time it takes to complete a development.

Instead of relying entirely on one outcome, investors can consider multiple possibilities, such as selling the property, renting the units or refinancing and holding the asset.

The important lesson is to think about the alternatives before they are needed.

Why Location and Neighbourhood Growth Matter

Lawrence’s development work focuses heavily on areas of Chicago that are changing and developing.

He described two broad approaches to development: building in already-established desirable neighbourhoods or identifying areas that are transitioning and may experience future growth.

Established neighbourhoods can require significantly more capital because land is expensive and buyers may expect higher-end finishes.

Developing in an emerging area can involve a different risk profile and requires investors to carefully evaluate whether the neighbourhood’s boundaries and demand are likely to change.

Understanding the local market is therefore essential.

Real Estate Requires Patience

Lawrence also emphasised the importance of taking a long-term perspective.

His own career has included periods of rapid success as well as years of setbacks. Looking back, he realised that his early success sometimes created unrealistic expectations about how quickly future achievements should happen.

His perspective has changed with experience.

Instead of expecting every goal to happen immediately, Lawrence now focuses on long-term objectives without placing unnecessary deadlines on them.

This mindset can be particularly valuable in real estate, where development projects can take years and market conditions can change along the way.

The Importance of Financial Resilience

Real estate investing is not simply about finding profitable properties. Investors also need enough financial resilience to survive periods when deals do not perform as expected.

Maintaining cash reserves, avoiding excessive leverage and understanding potential downside scenarios can help investors prepare for unexpected challenges.

Lawrence’s own experience during COVID reinforced this lesson.

A successful investor needs to consider not only what happens when everything goes according to plan, but also what happens when it doesn’t.

From Fighting in the Cage to Building in Chicago

Lawrence’s journey from professional MMA fighter to real estate investor illustrates how dramatically a career can change.

His experience in martial arts taught him discipline and persistence. His trading career gave him financial and market experience. His setbacks taught him the importance of risk management and having alternatives.

Today, his work involves real estate brokerage, investment and development, with a particular focus on working alongside developers in Chicago.

His story demonstrates that an unconventional career path does not necessarily have to be a disadvantage. Skills and lessons from one chapter of life can become valuable foundations for the next.

The Power of Gratitude

At the end of the conversation, Lawrence identified gratitude as the word of wisdom he would pass on to others.

For him, gratitude means consciously focusing on what you already have rather than constantly pursuing the next achievement.

He explained that people naturally tend to focus on what they want next. However, constantly chasing the next goal can make it difficult to appreciate the present.

Becoming a father changed his perspective. It encouraged him to pause, reflect on what he had accomplished and appreciate the people and experiences already in his life.

His message is simple: success is not only about achieving more. It is also about recognising the value of what you already have.

From the Fight to the Future: Lessons from Lawrence Dunning’s Real Estate Journey

Lawrence Dunning’s story is about more than the transition from MMA to real estate. It is a story of reinvention, risk, setbacks, resilience, and patience. From stepping away from a successful trading career to pursuing professional MMA, and eventually finding his place in real estate development, Lawrence’s journey shows that the path to success rarely follows a straight line.

His experiences also highlight the importance of learning from setbacks, building strong relationships, understanding the numbers, and having a clear plan when entering a real estate investment. For new investors, his story is a reminder that challenges are often part of the process and that long-term progress requires patience, preparation, and the willingness to keep learning.

That same focus on education is at the heart of Dwanderful, a real estate investing resource created by real estate investor and podcast host Dwan Bent-Twyford. Since understanding financing and investment strategies is an important part of real estate investing, Dwan offers resources designed to help investors build their knowledge and make more informed decisions.

Investors can explore resources such as the free Real Estate Lingo book, which explains essential real estate terms, and Five Pillars of Real Estate Investing, which provides practical knowledge for building a strong investing foundation. For those interested in distressed properties, LEVEL 1: Complete Foreclosure Investors’ Choice Program covers foreclosure investing strategies, while Foreclosure Fortunes explores how to identify foreclosure opportunities and avoid common pitfalls. The Fed Up Program focuses on helping homeowners experiencing financial distress while creating potential opportunities for investors.

Dwan also offers How to Sell a House When It’s Worth Less Than the Mortgage, which covers options such as short sales and subject-to strategies, as well as Short-Sale Pre-Foreclosure Investing, which explores opportunities involving short sales and pre-foreclosures.

If you’re still deciding on your next investment move, Dwanderful’s quiz game takes less than a minute and can help you explore how you could potentially generate six figures in the next six months, whether you’re buying your first property or your next.

With Lawrence’s journey as an example of how dramatically a career and investment path can evolve, the next part of the conversation explores his experiences, lessons, and perspective in his own words. Contact us now!