Career Options

Acquisitions

The Vault Guide to Real Estate Careers defines acquisitions as an advisory service that sources and closes on new properties to be added to an investor’s portfolio. Often, advisory firms (also known as private equity funds) will announce a fund that aims to purchase commercial properties and will solicit investors. Once the fund reaches its capital-raising goal, it identifies properties for potential acquisition based on an analysis of which markets and properties are most positioned for maximum appreciation. Firms that focus on real estate acquisitions are the Blackstone Group, the Carlyle Group, Goldman Sachs, Jones Lang LaSalle, and Lubert Adler.

Asset (Property) Management

Property management is an advisory service that manages existing assets within a portfolio, overseeing all financial aspects of owning a commercial property. Alongside Acquisitions, it is one of two functions typically handled by advisory firms, or private equity firms. After a property is acquired, the firm will manage this asset to ensure the investment performs as projected. Asset management entails decisions related to upgrades or repairs to properties, risk management, and strategies for increasing income and maximizing total returns. Firms that focus on real estate asset management are the Blackstone Group, the Carlyle Group, Cushman Wakefield, Goldman Sachs, Jones Lang La Salle, and Lubert Adler.

Brokerage/Leasing

Leasing agents or brokers lease space at a property on behalf of a third party, which is commonly a real estate investment trust (REIT) or the property owner. Sourcing tenants and effectively negotiating mutually beneficial lease agreements involves both a current and historical understanding of the local leasing markets and the property itself. Though not necessarily a traditional business student track, leasing allows an agent to develop a solid network within real estate and can serve as a means of entry into other real estate business endeavors. Brokerage/leasing firms include CB Richard Ellis (CBRE), Cushman & Wakefield, and Jones Lang LaSalle.

Real Estate Development

Real estate development, or Property Development, is a multifaceted business, encompassing activities that range from the renovation and re-leaseof existing buildings to the purchase of raw land and the sale of improved land or parcels to others. Developers are the coordinators of the activities, converting ideas on paper into real property. Real estate development is different from construction, although many developers also construct (Wikipedia). Development involves managing labor, monitoring construction crews, managing money, and establishing time estimates. This is not a traditional channel for those with business degrees, so networking is key to entering this field. Real estate development firms include JBG Smith, EDENS, and Jones Lang LaSalle.

Real Estate Investment Banking

Many investment banks have internal divisions specifically dedicated to real estate. Real estate investment banking entails connecting seekers of capital with providers of capital. These banks advise and raise money for real estate companies such as real estate investment trusts (REITs). Recruiting varies from firm to firm. Some firms recruit real estate investment banking summer associates separately from other departments. However, many recruit summer associates as generalists, then give them industry or product assignments based on each student’s top choices. Firms who focus on real estate investment banking include Bank of America, Wells Fargo (f/k/a Eastdil Secured), Goldman Sachs, J.P. Morgan, Morgan Stanley, and Credit Suisse.

Real Estate Investment Management

Real estate investment management, or portfolio management, involves the management of real estate assets to help investor clients meet their investment goals. This entails advising as to investment selection and the most efficient use of investor capital, performance measurement, and forecasting. Firms may include institutional investors, such as pension funds and insurance companies, REITs, and private wealth management companies. Investment management firms include Cohen & Steers, Invesco, MetLife, Prudential, and Washington Real Estate Trust (WRIT).

Real Estate Private Equity

Private equity real estate is an asset class consisting of equity and debt investments in property. Investments involve an active management strategy ranging from moderate reposition or releasing of properties to development or extensive redevelopment. Investments are typically made via private equity real estate fund which pools capital from investors. These typically have a ten-year life span including a 2-3 year investment period during which properties are acquired and a holding period when active asset management will occur and the properties are sold (Wikipedia). Real estate private equity firms include the Blackstone Group, the Carlyle Group, Colony Capital, Goldman Sachs, Morgan Stanley, and Tishman Speyer.

Global Opportunities

Large U.S. firms that are involved in real estate have a multinational presence and provide and source applicants for all possible locations.