Real Estate Investment Sales
CO
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(Chimp, 5
Points)
on 2/25/11 at 12:14pm
Can someone please explain the main differences between real estate investment sales analyst roles and real estate acquisitions? What career path can each lead to? Compensation? I'm interviewing at an real estate investment bank, but the investment sales position seems a lot like brokerage... (not eastdil)






hate to break it to you but
hate to break it to you but investment sales is brokerage.
Investment sales is
Investment sales is brokerage, acquisitions is ... well, acquisitions.
Life on the Buy Side
www.lifeonthebuyside.com
.............
Mergers & Inquisitions
www.mergersandinquisitions.com
How come investment sales
How come investment sales firms all refer to themselves at real estate investment banking firms? How would the commercial real estate investment banking group at a firm like goldman differ?
Actual REIB groups (like GS
Actual REIB groups (like GS you mentioned) offer traditinal investment banking products (equity, debt, M&A, etc) to public REITs, gamging/leasure companies and the like (and also private equity funds lookign for jv or m&a opportunites). It is just another coverage group like TMT or or healthcare is.
Smaller places that say they do real estate investment banking dont really (in the wall street sense of the word). This has been discussed before- do a search. They do things like debt placements, equity and loan sales, etc.
One is corporate level work while the other is asset level.
On a side note, the GS REIB group is not that great (blasphemy i know). Generally, large comerical banks with good lending relationships (baml, jpm, citi, and wells for example) are much more successful because they can cross sell so many products real estate companies need.
I am at the Real Estate
I am at the Real Estate investment sales side, and what I am doing here is analysis of the market research, sales/lease valuation, property due diligence and some legal documentation review, etc.
We have a lot of brokers here, but I am not on the brokerage side. Actually brokers don't necessarily know how to evaluate a property or a market. Brokers need supporting staff to help them with the presentation materials, memos, etc.
From my personal experience, I think the real estate investment sale at the asset level is a good practice before entering the PE world. PEs are usually the buyers who need to do the due diligence and property valuation themselves, which means the skill set from the investment sales side can be transferred here. At the same time, you can also learn much stuff such as zoning codes, counseling, taxes, deed, and financing—things really about real estate. I don’t think the banking side will cover those aspects at the M&A or loan sales projects.
Riri83 wrote: Actually
Actually brokers don't necessarily know how to evaluate a property or a market.
I think you are just a bit misinformed. That is their job.
porter9900 wrote: Riri83
Actually brokers don't necessarily know how to evaluate a property or a market.
I think you are just a bit misinformed. That is their job.
I think it really depends on how large the firm he is working on. Usually brokerage people spent most of their time on getting the business and deals, therefore they need supporting people to work with.
Riri83 wrote: I think it
I think it really depends on how large the firm he is working on. Usually brokerage people spent most of their time on getting the business and deals, therefore they need supporting people to work with.
Hence the reason big time CRE brokers hire analysts.