I got my foot in the door at a well known real estate development firm in a major metro area by bringing the managing director a deal. It took a lot of legwork on my part to formulate the deal package. The tasks I performed ended up being the responsibilities I undertook for the 4 year duration I was at the firm, "uncovering new opportunities". I'd like to switch asset classes from commercial real estate to private equity investment (Private Equity Firm or Venture Capital Firm), particularly in a business development type role where I would act as the preliminary screen for potential deals. Coming from a real estate financial analysis and project management background, my skillset doesn't have as much carryover as I would like to make the switch. However, to compensate for this shortfall, I'd like to bring a firm a deal like I did previously for the real estate development firm I worked for. My question becomes is this possible? and what steps would need to be taken to formulate a deal package?
If someone in this PE forum is thinking about making the switch to RE Development, below is a rough task list I completed in order to bring my managing director a deal package. I'd greatly appreciate the guidance to help get started in the private equity investment world.
Market & Competitive Analysis:
-Local Supply and Demand Analysis
-Estimate Rents
-Estimate Predevelopment and Building Costs
-Perform Preliminary Market Analysis
-Evaluate Marketability Options
-Determine Highest and Best Use
Physical & Design Analysis
-Estimate Project Scope
-Evaluate Programmatic Options
-Obtain Rough Construction Costs
Political & Legal Analysis
-Evaluate Zoning/Planning
-Evaluate Local Politics
-Identify External Stakeholders
-Identify Permits and Approvals needed
Financial Analysis
-Back of the Envelope Pro Formas
-Evaluate Investment Threshold
-Financial Underwriting ‐ 1st Draft
-Update Financial Underwriting
-Run different Capital Structure Scenarios
Project MGMT
-Define a Broad Strategy
-Identify Land Opportunities
-Outbound Calls and Emails to Land Owners
-Network with other professionals to inquire about sites
-Evaluate Land Control Options
-Roughly Estimate Project Timeline
-Showcase findings in Presentation Format
Corrupti vel commodi nesciunt. Harum consequuntur est repellat blanditiis tenetur soluta laboriosam.
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