Demand Assessment and Market Analysis

The 2008 collapse of the economy and real estate prices point to the critical importance of effective demand and return analyses in the success of real estate developments and investments, through difference economic cycles and in different real estate markets. Participants will also learn analytical techniques applicable to different property types, market segments and foreign countries.

No sessions currently available. Contact client services to get the next available date.
CPE CREDITS
7.0
Project managers and analysts, developers, fund managers, research analysts, consultants, sales professionals, individual and institutional investors, financial advisors, plan sponsors, investment committee members, pension board members.
No advance preparation required.
Students will be able to:
  • Identify the drivers of real estate demand and rates of return in different real estate markets
  • Analyze the dynamic interplay between economic trends and real estate cycles
  • Learn and apply analytical techniques to assess demand for different property types across market segments, real estate cycles, and in foreign countries
Financial calculator required. Knowledge of Excel.
The Economy and Real Estate
  • The drivers of real estate returns
  • Economic cycles and real estate returns

The Real Estate Cycle

  • Why is there a real estate cycle
  • How is the real estate cycle related to the general business cycle
  • Using the yield curve as an indicator
  • Understanding how government policies affect the real estate cycle

Real Estate Markets

  • Discussion of the characteristics of different real estate types and the associated cycles
  • Identification and calculation of real estate market variables, like vacancy rates and cap rates
  • Using the real estate market variables to identify the different real estate cycles and analyze opportunities

Replacement Cost Rent Model

  • What are the input variables for this model
  • What does the model tell us
  • How do the input variables change for different types of real estate and different stages of the real estate cycle

The Top Down Approach Part One

  • Analyzing global real estate markets, especially Asia
  • Drivers of institutional investing: Global real estate investors versus local real estate investors
  • Relating real estate cycles to risk and portfolio management

The Top Down Approach Part Two

  • Agglomeration effects: What are the benefits of concentrated real estate markets
  • How does infrastructure tie in and what to look for when analyzing real estate opportunities
  • Identifying development and ownership rights and their importance to the final investment decision

Clients who register for this course will receive a complimentary 4-month subscription to FT.com. The Financial Times is the world's most respected financial newspaper, providing a broad assessment on finance, business and the industrial sector. The move to the electronic version follows an ongoing review of our environmental responsibilities as a global business and as part of the Pearson group. FT.com also has features that are not available in hard copy, such as: Special Reports, Alphaville, editor blogs, education sections and much more! Subscriptions will start within 6-8 weeks of the start of class and are limited to one subscription per client. (Please note: as of May 1, 2011, the electronic subscription replaces the hard-copy 3-month Financial Times subscription.)

Lunch is included for all students taking day classes.