REPE compensation

Hello, 
People who works in the industry - let's get done with it once and for all:
what is your / someone you know compensation?


Market: (Where you based, not invest)
Experience: X years
Graduate degree: (if so - which one)
Role: 
Firm Size: $ X B AUM
Salary: $X
Bonus: Y%-X% of Salary
Carry: 
Hours: X hours/week


Let's get it boys!

 

Market: NYC

Experience: out of undergrad

Role: Acquisitions

Firm size: 20-40bn AUM

Salary: 100k

Bonus: 40-70% target range

Hours: 60-80 hours a week (usually closer to 80 than 60)

 
Most Helpful

There's been previous posts like these, but I think it's a good thing to get a new one going for where the world is today which is very different than the other posts from a couple years ago.

Market: Sunbelt (HCOL for a sunbelt city but not NYC/LA)

Exp: 8 years, no MBA

Role: Acquisitions and Asset Management

Firm Size: 1B AUM

Salary: $170k

Bonus: Last year was $100k, I'll be expecting the same or better this year and will be pushing to start having 100% bonus targets

Carry: 2.5% of a fund which should average to be about $100 - $150k a year if things go to base case but mine doesn't vest and our first payout is still years away so I value it close to $0. Especially with where we are in the market right now, I sort of expect the upside on anything we buy now to be limited, so I'm not expecting a big pay out here.

Hours: 20% of the time is 25 - 40 hours, 50% of the time is 45 - 55 hours, 30% of the time is 60 - 80 hours. We also work remotely 2-3 days a week. 

I've talked to recruiters/peers and have found that working in acquisitions for a fund at the 8-10 YOE is now pretty commonly $175 - $200k salary plus 100% bonus expectation (potential to beat it in a killer year) + some form of promote. This is almost regardless of your market, though most of the funds are obviously going to be found in the big city, HCOL markets.  I think this is up from a couple years ago when it was more like $150k salary + 100% bonus.  This does not apply to operators, developers, etc. Specifically referring to funds. I find that operators are more like $140 - $170k salary, 40 - 100% bonus depending on the year, and a more meaningful piece of promote that pays deal by deal so you make money over the years instead of one large payout at the end of a fund and could be enough to give you a 7 figure year on the best years (think maybe once or twice a decade if you're lucky) but other years are worthless. 

 

Exactly. Get to invest in other industries as well (firm also has a traditional PE arm and fixed income team, so I've been able to throw money into a car wash and garbage distribution roll up as well). Pretty sweet, and I'm not capped on my contributions. Just lucky to have saved up a lot since I've been working since I was a kid, and made a killing off of small cap upstream O&G plays during COVID in college

 

Market: California 
Experience: 10 years
Graduate degree: N/A
Role: Acqusitions 
Firm Size: $ 4B AUM
Salary: $200k - will push to $225k at YE
Bonus: $250k - will push to $275k at YE
Carry: 1% of fund / 1st promote was paid out in 2021/2022 at $1m / value next two fund at $1.5m - $2m with distributions every 3/4 years.
Hours: 40-50 hours/week

 

No two days are the same, we all wear a lot of hats. Right now for me, it's more focused on asset management and capital markets, while last year it was non-stop acquisitions mode. Part of my carry total is fees which are coming in already, while the other chunk is fund carry. I will know how much I believe in the latter by the end of next year when we are done with pre-dev on all the projects in the fund and we presumably have more clarity on the economy and the brave new world as a whole. As of now I'm pretty confident as all of our buys in the past year have been at an excellent basis (distressed deals) and our exits are 5+ years from now. If markets are still fucked at that point well, then we're all pretty fucked.   

 

Can someone cue up a jumping to concusions meme. Since you don't seem to understand how carry works let me clarify. 

As of today I valued my carry at 150-600k annually. This is my realistic 2sigma range, doesn't mean it can't end up outside this range whether higher or at zero. Most of that carry will hit in one year when the fund is fully realized. So no I didn't make 900k in my 8th year out of school. You must be mistaking this for the bond traders forum. Though I will concede one of my friends got his first 7 fig carry payout at 30 but this is NOT typical at all.  

 

Location: MCOL

Title: Associate

Role: Equity Acquisitions / Development / AM

Experience: 4-5yrs (1.5yrs acquisitions / asset management at startup LP, 3yrs multifamily value-add acquisitions / asset management at large GP)

Firm Size: $300mm AUM

Salary: $125k

Bonus: 20%

Carry: N/A until VP

Hours: 40-65

 

Market: NYC

Experience: 5 years

Role: Acquisitions - Associate

Firm size: Institutional firm (Hines, etc.)

Salary: $135k

Bonus: 55% target

Hours: ~40, been even less lately while its slow.

All in comp is ~$200k. Feels a little underpaid…but good WLB makes up for it I guess. Will be promoted at year end 5.5 years experience and comp should be closer to $240k all-in with that bump. 

 

Market: Major NE (not NYC)
Experience: 10 years
Graduate degree: MSRE/MSRED
Role: VP - Portfolio/Asset Mgmt
Firm Size: $ 250B+  AUM
Salary: $200k
Bonus: 50%-60% of Salary
Carry: ~15% of Salary / year 
Hours: 40-50 hours/week

 

Is this VP level? If so, how long until you anticipate the next move up? Any idea how comp would change then? 

 

Yes - quite honestly, I feel like I'm tapped out in terms of trajectory, just me personally. Over my 10 years, I've consistently been averaging ~10% bump or so every year. I'm probably going to do 5% bump or so for the next couple of years then reach a ceiling for me.

Most of my colleagues in my position, at my firm, (non-executive managerial positions) are probably maxed out at 400-450k all in. Anything beyond that you're talking about an executive level type role (head of east coast XYZ, executive VP, etc..) with a lot more risks involved - a lot of my colleagues don't want that and just stay where they are after they get into their 40s. You're going to have to manage PEOPLE, much harder to do than acquiring/managing RE.

You can probably make more going to one of those hardcore firms that work their people 60-70 hour/week. Or start your own venture. Neither of which I want to do at the moment. 

 

Market: West Coast (VHCOL)
Experience: Out of undergrad, ~ 1.5 years of internship experience (Brokerage, Acq, & AM)
Graduate degree: N/A
Role: Acquisitions/Asset Management
Firm Size: <$1bn
Salary: $40k
Bonus: 2.5% of acq/dispo fees 
Carry: 2.5%
Hours: 40 hours/week

 

Sounds very similar to my current role.

- London,

-<£1B AUM,

- Hotel AM/Acquisitions.

~ £35k base

~ 50-100% bonus

Let me know if you’d like to connect and share experiences! 

 

MCOL

4 YOE

AM

$3-5B AUM

Salary: $80K

Bonus: 75%

Carry: 1.5%

 

Just landed a new gig:

Market: Major NE (not NYC)
Experience: 5 years
Role: Acquisitions - REPE
Firm Size: $5B+
Salary: $150K Base
Bonus: +/-50% of base salary
Carry: none
Hours: 40-60 hours per week

 

Market: Midwest

Experience: 10+ years

Graduate Degree: None

Role: Debt Fund

Firm Size: $10bn+

Salary: $200k

Bonus: $300k+

Carry: Several points in fund

Hours: 50-60/week

 

For another old man comp

Market: NYC

Experience: 10 Years

Graduate Degree: None

Role: UHNW Family Office

Firm Size: $10b

Salary: $190k

Bonus: Bonuses are based on team production (leasing/acq/capital markets) and have ranged from 250K to 450K the last several years but last year was 700K (thank you industrial market)

Carry: None

Hours: 40 hours a week

 

Bring on the old man comp. I find the analyst/associate comp less interesting.

And for all the analyst/associates watching - this is why you shouldn't worry so much about making $10 - $20k more in salary at your age and worry more about being in a place that you can graduate to these level of comps. Take a look how widely comp varies at this experience level and think about how much of a bonus you'll leave on the table by having to jump ship halfway through the year to get to a better shop when you're at VP+ level. It trumps the $20k a year you're worrying about now. 

 

How did you find a gig at a family office? Was it through recruiters or network? Did you come in at a younger age and work your way up or did you come in recently?

 

Solid position. Can you give us more detail as to your background and how you were hired? 

 

West Palm Beach/Fort Lauderdale. Any South Florida CRE folk feel free to hit me up. Just moved to the area.

6 Yr (Development for Hines/Related/Brookfield/Tishman)

Undergrad

Acquisitions + Dev for PortCos

125K salary

Bonus has no cap, 100%+

Carry promote depending on deal/fund basis

40-50hr weeks, wfh flexibility based on my discretion and MD calendar. Can go as slow as 30hrs or as high as 60hr.






 

Market: East Coast LCOL
Experience: 3 years
Graduate Degree: MBA & MACC
Role: Acquisition & AM
Firm Size: $1B (slightly less)
Salary: $90k
Bonus: 20% - 30%
Carry: none
Hours: 40hrs

I did graduate degrees straight from undergrad.

Does this seem on par?
Should I be prompted to associate this upcoming year?
(I’m a very valuable team member & they’ve told me this-small team)

I was in financial consulting (1yr) & IB (1yr) for my first two years so only been in PERE for a year.

 

They liked it since I had focused on Finance/accounting during the MBA (undergrad was data analytics).
Didn’t have as big of an impact as if I had done it with a few years of experience.
I think it won’t matter though in a couple years on when my MBA was done. As long as I have one..

 

Market: MCOL Mountain

Experience: 0 

Role: Acquisitions

Firm size: 5-10bn AUM

TC: 120-140k

Hours: 40-60 hours a week, usually closer to 60

 

Market: NYC

Experience: Out of Undergrad. Internships

Role: Acquisitions/Originations

Firm size: MF

Base:115k-125k (to keep anon)

Bonus: ~50%

 

curious how’d you land this position. i’m not a recent graduate but what roles were your internships? and what size of fund qualifies as a MF

 

top 15 size fund on PERE list. Think BX/TPG/KKR size fund

would add I know some peer funds that have significantly higher bonus at same level (up to 100% in good years)

 

That's insane that someone is paying that high of a salary for straight out of UG. I've heard of high total comp numbers after bonus, but never a salary that high

 

meant to be competitive with banking since most of us also had BB or EB offers which range from 110-120k base. Also have friends in REPE with even higher bases. 

 

Market: Chicago
Experience: 4 years
Graduate degree: None
Role: Investments and Portfolio Management
Firm Size: ~$10Bn
Salary: $100k
Bonus: Unknown
Carry: None
Hours: 50-60 a week

Have had several weekends blown up. Have a significant amount of responsibility for my title and am constantly recognized for my work. Fortunate to have built a strong level of trust with the executives at the firm. However given the level of responsibility I have vs peers and sheer amount of work I have I believe I should be paid + bonus'ed a decent amount. 

Am I underpaid with my current base and what should I expect for bonus? 

 

Yes, you're underpaid for your experience + size of your firm + workload. I'd say salary should be closer to $120k but wouldn't be surprised to hear higher. Bonus probably in the 30% range. 

 

Feedback from team was that bonus is going to be around $10k...terrible.

Debating whether to leave (most of friends making significantly more than me) or if there is room to negotiate for higher pay and bonus.

 

Jealous. I want to work in Miami but seems like spots are very limited. Seems like great comp for 3.5 years too

 

Market: NYC

Experience: 5.5 Yrs now

Role: Acquisitions

Firm size: 20bn AUM for RE team but at a GIC type LP firm

Salary: 150k

Bonus: 70-100% target range ('22 was 70%, waiting to see '23 number)

Hours: 30-35 hours a week

 

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