Acquisitions/Developments Analyst Bonus Expectations
Background: transitioned to a new position ~6 months ago from mid-tier equity research (1.5 years), so 2 YOE with only 0.5 YOE in RE.
The firm: New England regional arm of a national developer, $300M+ of annual acquisitions, ~$2B of developments in pipeline. Lean acquisitions (4 ppl) and developments teams (8 ppl). Majority focus on industrial & lab, a few office/resi/other mixed in.
Position: 70% acquisitions; hands on with underwriting, DD, debt & equity placement, research/comps etc. 30% developments; supporting role for budget creation, cost tracking/forecasting.
Question/issue: When interviewing, bonus was mentioned but no # or target % was given, I was eager to beak into the industry so wasn’t too concerned. They offered $55k, but after negotiating settled on $75K. Concerned that may impact overall bonus. Overall, wondering what a realistic YE bonus expectation should be?
Having a higher base should not really impact your bonus, I wouldn't worry about that. I would expect 10-25% bonus depending on how well the firm does on the year and how intense the shop is (shops where you really rack up 60+ hours tend to be very bonus-centric).
Thanks for the response, that’s good to hear. Firm seems to be very positively trending. Hours are 50 on average, with a few 55+ and weekends sprinkled in. Is it more common for bonus to be tied to a % of salary or rather off acquisition/development fee bucket?
I'm a little surprised they didn't mention a percentage in your offer letter. Regardless, development usually doesn't compare to PE when it comes to bonuses, I'd expect something within the 10-20% range, that's what I've seen for analyst/associates.
Yeah the furthest mention of a bonus was “we just closed a deal and got x amount as an acquisition fee and you will get a portion of that”. From what you have seen, do analysts get paid a % of the fee pool?
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