Moving on from Agency Debt
For those in Agency roles, particularly those with 5-7 years of experience, what are your exit plans? I see many around me will probably become lifers and will do what they are doing now for the next 25+ years but for those who want to move on, which sector of CRE have you seen get the most traction? And will you have to sacrifice on the pay and quality of life ($200K+ and 30/40 hours worked)?
do multi family shops have capital markets opportunities that you would be most Interested in or do those shops only have acquisition or asset management opportunities, and how competitive are you for those roles? Appreciate any insights, thank you!
Based on the most helpful WSO content, here are some insights for those in Agency roles looking to transition:
Exit Plans and Sectors with Most Traction:
Capital Markets Opportunities in Multifamily Shops:
Pay and Quality of Life:
Additional Considerations:
For more detailed discussions and personal experiences, you can refer to the following threads on WSO: - https://www.wallstreetoasis.com/forum/real-estate/life-in-acquisitions-…</a">Life in Acquisitions (Analyst/Associate) - https://www.wallstreetoasis.com/forum/real-estate/career-advice-acquisi…</a">Career Advice: Acquisitions vs. Development
These threads provide valuable insights from professionals who have navigated similar transitions in their careers.
Sources: Career Advice: Acquisitions vs. Development, What are characteristics of a "good role" in CRE?, For those of you in multi-family, Life in Acquisitions (Analyst/Associate), Lunch & Learn -Ins and Outs of Multifamily
Recently made a switch to a BB's CRE group after ~4 years doing agency production as an analyst. My salary increased a good amount but bonus potential not as high compared to my agency shop but that's all right, I knew I didn't want to be there for too long and get pigeonholed.
How's pay at the analyst level for agency originations?
Shit unless you’re with an originator getting paid on deals closing
My firm pays analysts well. I’ve taken home over $150-160k+ per year my entire time there.
Is your all in comp roughly the same now or slightly better and how are your hours now compared to your previous Agency role? I come from the BB CRE world and did that for several years before transitioning to the agency business. I moved over because I felt I could earn more (at least it was the case at that time, not sure now) also work fewer hours and have a better quality of life. Sure, work can get monotonous with Agency work but even with the BB CRE job there was always a rinse and repeat nature to the work.
On base and bonuses, I have noticed banks with an agency platform can have a higher base ($150K+ for associates) but bonuses will be smaller and non banks will have it the other way around. I would take higher bases any day.
when you were searching for a job, did you get the most traction in lending and not the equity side?
Comp is slightly better now compared to when I was doing agency lending. But agency side gave better bonuses while the bank has a higher base salary. Hours at the bank are a bit more, which was expected.
My bank doesn't have an in house agency platform so can't speak to how pay would be doing agency at a BB. I now cover all asset types, geographies, and capital structures, so a bit of a learning curve coming in based on my agency background.
When I was searching, I would get initial rounds with owner/operators but the conversation always ended up with them wanting someone who had equity experience to begin with. I always thought I wanted to be on the equity side of things but after being in debt for awhile, the pay (in my personal exp.) has always surpassed my friends doing acquisitions or asset management.
What does a BB CRE look like? What type of firm and nature is the work? Is this like debt and equity originations at Starwood/Apollo/KKR?
REPE firm that focuses on high yield debt (bridge, construction, mezz, etc).
Should get strong comp if the firm focuses on the origination of large loans ($25mm+). Work life is pretty good with it only getting bad around tight deal deadlines.
OP, could you PM me? I am interested in your background with agency work. Can't really speak to agency exits but if you're up for exchanging some PMs, would be interested in hearing a little about what you do and maybe throw some q's your way.
Bump
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