Hi everyone,
I'm an asset manager for a small REPE firm with roughly $1B AUM in shopping centers. My 1 year mark is approaching this summer and I'd like to make my pitch for a more competitive comp package, but I also want to be realistic with my expectations given the size of the firm.
In my short time with the firm, I've taken on a significant role within our small asset management team and contribute significantly to our financial analysis and cash management. Our executive team regularly makes it a point to praise my contributions and the elevated level of work performance compared to previous managers.
My comp is currently $72k base with a $16k bonus in quarterly payments. I was active duty military before college and have an additional year of real estate investment experience before this gig. This is in the DFW area so I know that plays a factor in comp.
My previous experience was in residential real estate so this firm took a chance and gave me the opportunity to jump to retail, but our CFO, who I report to directly, made it a point to say that we would renegotiate salary at the one year mark. I think they wanted to see how I handled the role, but I'm comfortable saying that I'm exceeding the executive teams expectations significantly. We've added more complex layers to our asset management practices due to my ability to get up to speed quickly.
In short, what is a reasonable comp package for an asset manager with VP responsibilities for a firm with $1B AUM?
I appreciate any and all input!
How many hours do you work a week?
40-50 hours a week.
I oversee budgeting & forecasting, debt service analysis, and other aspects of our asset management practice. It's a very small firm and the asset management team consists of the CFO, EVP, myself, and another asset manager. I handle most of the financial analysis and the other asset manager deals with investor relations.
Strongest hand in negotiating is getting an offer that shows the market values you at a higher pay
I second this your pay is in the middle. Non HCOL does play a factor. Lots of CRE shops have a decent size office in the area for back of house staff so they can pay less. But that also means plenty of others to maybe get a competitive outside offer. AM at smaller shops don’t pay that well till 3-5 yrs in.
now Texas did have a large influx of tech companies office staff so you could get a nice offer from one of them for a FP&A analyst and it’ll pay roughly 100k-110k all in with 1-3yeo
That's good to know at least. I'm optimistic about getting $100k+ all-in between base and bonus when raise negotiation comes later this year, so I may not test the open market if they give me a respectable bump.
When I was in an AM role at a retail shop, with 1-2 YOE exp I was at $100k + 20% target
I’d shoot for $100k + 20% bonus and let them walk you down from there if that’s not doable. Compliments and praise aren’t enough
As an AM myself, I think this is a great post. AM comp doesn't usually get much traction on this forum.
I'm in a similar position as you. I've been in my role as an Associate/AVP for about 1 year now. Before that I had less than a year somewhere else in CRE (though like you, I'm a little older than my YOE would suggest). My firm is also small (both headcount and AUM), in a non-major market, and I also have elevated responsibilities and have outperformed.
I recently got a raise/promotion from $100k to $118k all-in (bonus is fixed and pretty insignificant). I still feel a bit underpaid. But compared to you and seeing what others have said, sounds like I'm not doing too bad so I'm also grateful.
But that might also just mean I'm underpaid, and you're severely underpaid. Like others mentioned, if you really want a raise, come with actual offers from companies willing to pay more. That said, you haven't hit a year yet. There are dividends in being a little patient and seeing what happens. I didn't ask for a raise, it came to me because I took on a large project for the company. If I need to ask for a raise in the future, it'll be the only time I've asked - not the second, or third. In a small company where the owner is just a level or two above you, it helps your relationship for the owner not to constantly be worried about your comp. Getting a raise as a reward rather than an appeasement is just better for everyone. I know this probably goes against the majority opinion when it comes to jobs, employers, etc. But that's been my experience.
Best of luck!
Edit: Our asset class is value-add/core+ office and industrial, no retail.
Lmaoooo is this stripmallguy's firm?
What are you talking about?
No. We don’t own “strip malls”.
Referencing this dude offering a $70k base in SF (which is severely under market for the area): https://twitter.com/realEstateTrent/status/1729191217412391290
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