Valuation vs Production vs Capital Markets at a brokerage firm

Hi everyone, 

Trying to understand the difference between these roles at a brokerage firm like CBRE/JLL/Colliers. Seems a bit blurry even after going through search results

From what I understand so far

  1. valuation = appraisal work (also not sure why appraisal work is frowned upon or less prestigious) 
  2. production = supporting an originator which i guess you prepare and underwrite a deal to submit to a lender
  3. capital markets = the similar to production but you work on larger deal size? ie commercial banking clients vs corporate banking type clients

I imagine debt structured finance/investment sales is basically the same as capital markets but i think the term debt structured finance is used only at CBRE.

Follow up question: ARGUS certification. Should i do this through a NAIOP workshop or try and get an employer to pay for it during the training process if hired for a role. It's definitely not make or break when hiring right?


Real Estate Modeling Course

  • Real-life RE Modeling Tests from actual Interviews
  • Various asset classes including multi-family, commercial and more
  • Huge discount - until more tests and cases added

Comments (2)

  • Analyst 1 in RE - Comm
Apr 30, 2021 - 12:12pm

Its blurry because each firm has a slightly different way of naming their departments. 

1. Valuation- you are correct, appraisal work. As to why its not prestigious, in my opinion the perception is that it is more "back office" despite them actually generating revenue. And because real estate is full of giant ego's and the biggest amount of money made in the brokerage game is from the "producers" 

2. Generally in my firm the "producers" are referring to any one who is producing revenue ( debt/ equity, investment sales), as opposed to the analysts/ support staff. ) (Edit: so it appears that JLL's "Production associate" is graphics and admin heavy and is not an analyst role. ) 

3. Capital markets - this is where it gets a little fuzzy as sometimes it can mean both the debt/ equity team and investment sales depending on the firm. Sometimes when people refer to capital markets they are referring to just the debt/equity team.

I will let others chime in if they think differently 

As for ARGUS cert, if you can get it on the cheap through NAIOP, definitely do it. Otherwise at a decent firm they will likely have some training or just give you the ARGUS cert manual and have you work through it on the side.  

Start Discussion

Total Avg Compensation

May 2021 Investment Banking

  • Director/MD (9) $911
  • Vice President (35) $364
  • Associates (195) $233
  • 2nd Year Analyst (110) $151
  • Intern/Summer Associate (96) $145
  • 3rd+ Year Analyst (26) $145
  • 1st Year Analyst (404) $131
  • Intern/Summer Analyst (330) $82