Analyst 2 in RE - Comm

To the college kid reading this, Acquisitions is a role within a REPE (or literally any form of company that acquires properties). It's apples to oranges.

Please don't ask a stupid question comparing the two.

Except this isn't true?  A family office that does direct investment/development isn't engaged in what I'd consider "REPE" which sort of implies either raising third party capital, or deploying it to a Sponsor.

I mean, I agree with the generic point that these "which one is better or more prestigious?" questions tend to miss the point, but if you're going to make a blanket statement like that you should probably be certain it's correct.

 

It's still a role within the family office. I'm trying to point out that it's stupid to compare a role to a type of company.

Well, there are companies that focus solely on acquisitions, which... would make it a type of company.  And development shops that leverage third party capital.  These terms are all pretty fluid, I'm not sure why you are so fixated on this.  I work for a shop that does self-funded development in house and raises third party capital for acquisitions.  Are we REPE?  Development?  Acquisitions?  Some mix of all three?  This is why definitive labels are kind of stupid in an industry in which there is some overlap between almost every role you can have.

 
pudding

A family office is private equity. Anything that isn't a public reit which engages in purchasing assets is private and therefore private equity. 

Well this is a matter of discussion, I'd say.  A public REIT is using other people's private dollars... why isn't that private equity?  If I go on Crowdstreet, is that using private equity?  This is my point about overly narrow definitions.

REPE means raising money from unrelated LPs to go do deals, or that is how I envision it.  Whether you're raising that money to invest in a Sponsor's deal, or you're a Sponsor going out and syndicating it yourself, that's the thought process behind it.  Same as in regular private equity.  If you want to be this broad about it, everything you do in your daily life is "private equity".  Go out to dinner?  Private equity.  The definition can't be "if we use money that isn't the public's, it's a private equity transaction" because at the end of the day every dollar in circulation belongs to someone in particular, and is thus "private"

 

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