By the numbers
Question: how do top capital markets teams stack up against the BB investment banking firms (or even the boutiques) in dollars sold?
(aka a $1 billion dollar class a building sold by a capital markets team equals a $1 billion dollar software company sold by an investment banking team)
The problem with this comparison is how regional it is. I know an investment sales team that does $11B in sales, but they do all the sales in the same state (and really the same submarket).
How does this stack up against IB'ing teams (even though they are national/international)?
Fees are worse for CRE but I'd love to hear feedback.
Fees are worse?
What are fees for IB'ing? 1 billion dollar tower sale= maybe 20 basis points.
200 bps used to be the standard rate, although it's come down in recent years. Think it's more like 100-150 now, for a moderately sized deal, though I'm admittedly more familiar with Asian markets. Is that the case in the US, too?
Bigger the sale the lower the (relative) fees, though. A quick Googling says Skype paid JPM and GS approx $35M total (half each) for its $8.5B sale to MS, which is approx 40 bps.
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