How To Plan A Successful CRE Career Straight Out of UG

Before I get MS for sounding like a hardo, let me explain myself really quick - I immigrated from a third world country to the US for a better life so advice that goes along the line of "just relax, your early career doesn't matter that much" never sits well with me. I didn't leave my friends and family behind to live an ordinary boring life, so as a naive college kid, I want to hear your guys' opinions on how one can best prepare themselves for a real estate career right out of college, if his goal is to eventually to be as wealthy as possible, either it be starting his own shop or joining a fast growing one as a partner. I also want to note that although wealth is the measurement of success in this case, it is not a sole factor when it comes to defining it - other areas that should also be considered would be philanthropy and innovation to the world's economy.


To be more specific, here area some questions that I would love to hear your guys' thoughts on:

  1. What companies in CRE are best known for creating the best entrepreneurs that have started massively successful household names? (heard Trammell Crow and PGIM are pretty good here?)

  2. Education: seems like the most recognizable names such as Sam Zell, Barry Sternlicht, etc. all have their MBA, would this still hold applicable and efficient in today's world?

  3. How should one approach building a network that can successfully help him raise money outside of F&F?

  4. How should one build a personable brand that stands out even at a young age in his early career when there is little experience and credibility?

  5. What books would be great to develop a sharp view on real estate investing aside Real Estate Titans & The Art of The Deal?

  6. When should one be comfortable venturing out on his own?

  7. What areas of real estate (this can be asset class, geographical location or even investment thesis) do you think would be the next big thing in the future?

  8. Should one always aim for big names such as Brookfield, Starwood, etc. for the extensive network or should he go with a firm that is a better fit in terms of culture and learning experience?

  9. Any other advice you think can be helpful.


Thank you all & happy holidays!

 
Most Helpful

Totally get where you are coming from! I'm not an immigrant, but was really driven early on part due to my parents being shitty with money (went BK while I was in HS), so I was very driven not to be like that (this is of zero comparison to your story, not meant to be, strictly stating why I identify with your post! I think many of us in this industry do, not everyone came from 'well-born' circumstance). So, don't feel like you need to apologize, embrace it! (but, there is a reason people say what they say about early career not mattering, I do fully agree with that sentiment). Anyway, my two cent opinions to your questions...

1. Don't think any firms really stand-out or are better about making "entrepreneurs", those you reference (Old TC and PGIM) are super large and bring in lots of juniors, thus its just a size effect. Larger firms, more people, more chances some big "winners" emerge. Smaller firms, fewer people, just down to the odds I think. It is the person that matters, tbh. So, I really wouldn't get caught up on finding such "firms", good training, willingness to hire new, that is what those firms have in common, pretty simple. 

2. Ah grad school..... the value (or need) of such depends a lot on the contexts of what and where you want to work/do business. The basic jist (IMHO) is this... "back then" fewer people got MBAs (or any type of grad degree) so getting one (especially if from like Harvard or Wharton) was really valuable. Today, there are tons more people getting them, more schools offer them and in more formats (I think NYU Stern and other big names just launched online ones), and more types (like MSREs and MSFs weren't so common a few decades ago). Net result??? The relative advantage of one is lower, a lot lower, but the "need" of having one to get into many firms and even this industry at the high level has gone up. Will you want/need one?? Too early to tell, decide later, see how things play out. Many posts on WSO about this, really last thing you need to worry about today (assuming you are early in UG). 

3. Build a good track record/resume, hold leadership positions (not just at work, but in organizations both professional and civic/social), essentially be someone people want to invest or do business with. Until you are established, I wouldn't focus on this, but with LinkedIn and everything, never hurts to get to know people. But really, need to let your work/abilities/ideas speak for themselves (IMHO). 

4. There is a book called Be So Good They Can't Ignore You, best I've ever read on this topic. Bottom line, work ethic, dedication, quality via effort, etc. Just outwork everyone. You don't need to build a "brand", just be able to drive results (it's actually easier when younger as expectations are low). Key is not being cocky or stupid, know your limits and abilities for sure. If you are inexperienced, but young, you can supplement with more time (i.e. work longer), that is what you can control if you want to outshine your peers. (note, is this a recipe for workaholism?? YEP, but I mean, that is literally the context of OP's question....). I also found a lot of really good career type advice in the book Millionaire Mind by Thomas Stanley, good for your overall thought process on this! 

5. Eh, not sure, I think there are lists on WSO. I read a lot of business books, I think urban econ type books are very good/smart for real estate people (like stuff by Richard Florida, Edward Glaeser), special shout out to Aerotropolis (Greg Lindsay). My point is don't just read finance stuff, get a more global perspective. 

6. No idea very personal. FWIW, I'd say (anecdotal observations) the most successful people ventured out in early-mid 40s (some late 30s rarer) to start own, sure there are notable ones in late 20s (and in 50s also), but I'd think mid-40s is the median range (successful track record, network, and built up pile of personal capital, makes sense in my view. Again, my observations, the fun part of "venturing out" is you decide when to do it. 

7. Since it is part of my job to answer these type of questions for my firm (and thus don't give out for free), I'll just tell you to pay attention to news, speakers at conferences, and your own eyes. This is a question you want to learn how to answer..... 

8. NO... I mean sure big names are great places to work (and can help for sure if first place out of college, no lie there), but smaller and unheard of names can be great places for first jobs, second jobs, full careers, whatever. One of the best parts of CRE (and makes it difference from finance tbh), is that small time players can do big deals. There are firms virtually no-one on here has heard of that do mega deals, and will do mega deals in the future. You can be very rich and successful never working at a place most of WSO has heard of. 

9. Assuming you are in college (or just out, really doesnt matter for this last point), and really really want to "get ahead" (i.e. blowout your college peers)... then my advice is get in the game. What do I mean..... intern/work as much as you can, join industry orgs like ULI/NAIOP/ICSC/etc. (all offer dirt cheap student memberships), then actually volunteer and run for leadership in those (this is so easy, as few want to do the work). You can network with people via cold intro (like via LinkedIn), attend conferences and industry luncheons (assuming you have the financial means), lots of stuff. FEW do this in college or even as young professionals. This could cost your time/life quality of being in college, which if you don't care (given your story, I can understand if you don't), but that is life all tradeoffs. The really rich/successful people out there really were the types that CHOSE to work late nights and weekends and be obsessed about their careers/businesses. It's not glamourous, but we all get 24 hrs in day, you get to pick how you use them. 

Final note, to OP and other readers..... my advice above comes a lot from what I actually did (note, I am not out venturing on my own, but have worked in the past for start-ups by flow outs of big firms). There is a sort of dark side, you can really be obsessed and not live with balance. To be clear, I have zero regrets about ever working too much in my past, but as I get older... I feel obliged to the warning. Not going to lie... some of the seemingly happiest, most balanced people (meaning they have money and toys but also a life) are not big time fund managers and developers... they are appraisers, consultants and (some) lawyers. I'd add some asset mngt people and commercial bankers as well, but know many in that world who are on the opposite side. I guess my point is every path has costs, no free lunch or magic path (at least I haven't found it!). 

 

I want to start by saying I love your passion and evident drive. I want you to keep that, but I am going to give some advice here since it seems like you might be early in your UG degree (if you are already far along/graduating please disregard).

In my humble opinion, since you are just starting this journey, do everything you are doing here for all of the big finance tracks. Instead of building hardcore on one vertical right away, lay foundations for multiple verticals first and then focus in on what you want to recruit for. There is a temptation when you are young to marry an idea/carry path too soon and close yourself off from learning about others. Saying this because as much as this forum can give the illusion of control, a significant portion of success comes from being open to opportunities and prepared for them. It’s actually quite rare to get exactly what you want. I heard someone give some really good advice regarding MBA recruiting that applies here. Essentially they said “sell the admissions that you have made up your mind while you are still making up your mind.” Meaning to convince them that you are 100% certain you are going for one of the IB/PE/MBB while you are still researching and deciding between three. The reason I am giving this specific advice is because you do not know what you do not know. The volume of posts on WSO of people who were prepping for one track and want to switch but are too late is high. Do yourself a favor and eliminate that variable first to the best of your ability as you are so early you have time to do this.

My suggestion would be to do exactly what you have done in your post here for CRE, IB, PE, HF, corporate (Corp dev and FP&A), and consulting (MBB/B4). Do due diligence on all of these tracks early. The biggest head start you can give yourself is one where you informational interview and investigate your options. This won’t take but a week or two to do, but it will also give you some insights on how all of these roles work together to create “finance”. Again, don’t spend 3 months on this, but do some adjacent research.

If you need to know why I say this, just look at the volume of “am I screwed” posts that detail a change of heart.

 

Went into real estate thinking I was dead set on development. Built out a whole, 10-20 year plan based on this. Got a job in development. 1 year in, I realize I'd actually way rather be on the debt side. Could not agree more about going broad. Even if you think you have all the necessary info while in school to make a decision, you still don’t. Only till you start full time (internships are not even truly enough to understand) will you start truly exploring your interests and where they lie.

 

Loved the advice & thank you so much for sharing! I’ll make sure to keep my mind open - for more context for everyone I’m currently a junior joining a lifeco (PGIM/MetLife/AIG) next summer doing acquisitions & AM. I think corporate PE on the real estate side would be super interesting since I have only worked on single asset deals, and recently also dabbled with some public market stuff lately as well in which I’ve found my knowledge is extremely extremely limited.

Would 100% discover more in these areas to your advice!

 

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