Real estate is an attractive investment for those looking to earn a fixed income and grow their capital. This program is designed to provide participants with basic knowledge of the commercial real estate market, and how to best value real estate by evaluating and estimating the real estate asset class.
At the end of the training program, the participant should be able to:
1 Types of commercial real estate: Core asset classes and alternative
2 Performance characteristics:
Long-term performance
Liquidity
Risk-adjusted returns
Correlation to other asset classes
3 Entry points into the sector and sector ownership
4 Accounting considerations:
Finance vs. operating lease accounting treatment
Forthcoming changes and implications for sale and leasebacks
5 Corporate ownership: Should a company own property or rent, and how to approach an assessment?
6 The listed sector:
Real Estate Investment Trusts (REITs) as a tax-efficient wrapper
Entry criteria
Relevance NAV discounts
Premium considerations
Comparison of different REIT landscapes
7 Real estate cash flows:
The core component parts of a real estate cash flow
Rental cash flow
Leasing dynamics
Service charges
Letting and renewal fees
Agent’s fees
1 Yield-based valuation methodology: Initial, reversionary, and equivalent yields
2 Private equity valuation approach: Targeted Internal Rate of Return (IRR) methodology
3 Harmonizing surveyor, investment banking
4 private equity valuation approaches
5 Hotel valuation: Worked example of hotel portfolio analysis
6 Land valuation: Worked example of development appraisal/ residual calculation
7 Operating company
8 property company interaction and how to realize value from the separation
Not Available
Names of the training programs that are integrated (enriched) with the training program:
Names of the training programs that after the training program:
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