Does CBRE have a Financial Consulting Group presence in the New York City region?

bernie madoff's picture
Rank: Baboon | banana points 166

looking to make a career transition at 29 years old. probably impossible, but who knows.

anyway, if i did want to get into underwriting and modeling, what would be the easiest way to do that. (i am coming from middle office trade management at MS).

thanks!

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Comments (16)

Dec 7, 2015

Yes CBRE does have a FCG in the New York Region. For the Financial Analyst positions, almost all hires come from the wheel program or straight from undergrad. They do hire Sr. Analyst's with 5-7 years of experience every so often, so that may be something you can look into.

Dec 7, 2015

You don't need to have experience in CRE to get hired in this group. All you need to do is be able to network. I would suggest trying to network with people in the group or even the brokerage professionals. The consulting group supports all brokerage activities and if you hit it off with a broker, the broker can put you in touch with the appropriate contacts in the consulting group.

Many financial analyst hires do come from undergrad, but, at CBRE in NYC, it is who you know. 100% tried and true. Network with the office and you can get what you want. If you are really interested in this, JLL, Cushman, Avison Young, all have consulting groups where you will get a similar experience.

You will definitely learn underwriting and modeling within this group. You will support the tenant reps and landlord reps. On occasion you will support a team selling a building, but that is probably more rare. Within this group, however, you will be working on the largest and most complicated leases in the city assisting with modeling lease cash flows and finding the appropriate space. It is a great way to meet people throughout the firm and if you play your cards properly you could move to the investment sales team or equity / debt brokerage teams.

If you just want underwriting and modeling experience, and want to be on the sell side, target the investment sales teams and debt / equity brokerage teams. Cast a wide net, you will learn to analyze the properties from all of these areas. Another route, though difficult, is go do investment sales brokerage for a few years and transition to acquisitions eventually. This is something that I know many people have done - it is hard, but very doable. You won't get the modeling work right away, but once you move to acquisitions you will begin to model.

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Dec 8, 2015

"Another route, though difficult, is go do investment sales brokerage for a few years and transition to acquisitions eventually. This is something that I know many people have done - it is hard, but very doable. You won't get the modeling work right away, but once you move to acquisitions you will begin to model."

Also, why is this a hard thing to do? Acquisitions is probably the most reasonable and applicable transition from investment sales. An analyst of the sell side and buy side do the same exact thing except the buy side underwrites their expenses more conservatively and vets the build outs more specifically along with the tax implications. Investment sales -> acquisitions is extraordinarily common in every market.

Dec 7, 2015

In my opinion, skill set. Most brokers understand a pro forma and finding appropriate comps, but they can't model. I know many brokers who have made the transition, but it was extremely difficult. Many of those that did make the transition (that I know) did not end up at a quality firm.

Dec 8, 2015

If you're in a top 3 shop and in a top 5 market, everyone on the investment sales team knows how to model with the exception of MAYBE the breadwinner/sourcer (and obviously the admins). When I say model, I'm talking about creating cash flows from Argus, dropping them into into excel and sprinkling debt on top of the BDCF numbers. Then investigating lease up projections, lending terms, commission projections, build outs via an array of sources (hopefully in your 1 stop shop). Load em up, package them in and pitch it as a team. Everyone from the junior analyst all the way up to the exec VP--they all do the same thing just some are more tenured than others---BOV's, Proposals, OM's rinse and repeat.

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Dec 8, 2015

No mean to offend but what is an example of "The most complicated lease in the city"?

I assume FGC is similar to a GCS type gig (Global corporate services) where you're on a team that reps large companies all over the world (there are brokers on the ground and brokers at HQ who coordinate everything-- financial analysis, build outs/project management, red-line leases, clients requests/issues etc). Yes?

Dec 7, 2015

Although CBRE recommends the consultants are brought onto all deals which are 20,000 square feet and above, what you normally find is the consultants are working on the leases which are 100,000 square feet and up. A 100,000 square foot lease is a lot more complicated. Source: I was a broker at CBRE in NYC.

There are also only about 20 people in the consulting group. The financial analysts will work on anything but as the analysts learn, they focus on larger and larger projects. It's actually a great way to make a living. Worry less about killing as you are brought onto deals. Make a salary and a get a nice bonus from the commissions the deals you work on generate.

If you go to CBRE's website and look up the professionals in the Consulting group, you will see that the consultants have worked on monster deals.

Dec 7, 2015

I was a tenant rep at CBRE. I have also spent time on a top investment sales team in the city. I can say on the team I worked with, the only one(s) who could use argus properly were the financial analysts. Not going to say where I am currently as I will out myself.

Dec 8, 2015

So what did the associates, senior associates, directors etc do if they couldn't model? Stacom and Shanahan were doing the sourcing---what was everyone else doing in-between the Financial Analysts and them 2?

How were you involved in this group if you were in Tenant Rep? Did they bring you in for pitches to show what the demand was for the space or did you just get quoted on rents?

Dec 7, 2015

@cre123 I never said I was in CBRE's institutional properties group. The way the group is set up though, is you have different people focused on different areas. The senior vice president's and executive vice presidents all specialize in a product type or raising capital (buyers). Associates, senior associates, and first vice presidents are helping to run the deal. Tour properties. Write offering memos. Research. I was at a different firm for investment sales.

Dec 8, 2015

Ok. Sorry, but if you were tenant rep, how were you involved in Investment Sales at all? They really aren't cross pollinated other than rent quotes.

I totally get that there are those "specializing in property types"--- I left out that at top shops that happens everywhere too. But other than the "Leads" of those property types and I call them the "sourcers" or "breadwinners" everyone on the team models. At least from my experiences and conversations. That's the only thing left to do, reall---, after the team wins a spot in the race/proposals at least. That being said, the deal transaction people (model leads) don't really do tours from my perspective. That's still the lead's job.

Dec 7, 2015

I was at a different shop for the investment sales role. On the team I was on, the only people who could model were the financial analysts. The team leads were focused on sourcing and winning new mandates. The junior brokers supported the new incoming deals as well as worked on the current deals. They were also focused on winning their own business. The juniors also did the majority of the work when it came to touring properties, writing the offering memos, and analyzing the market / comparable properties. The seniors than signed off on all the work etc.

In the end, all the teams have different models which work for their business. The senior guys I worked with, this was their model and it worked extremely well for them. Some of the most successful and prolific brokers in the area I am from.

Dec 8, 2015

Got it, but this is just it: "The junior brokers supported the new incoming deals as well as worked on the current deals." if they can't model I truly don't understand what they were doing. They were collecting DD info and offers? Any monkey can do that. How can you support current and new deals if you don't know how to model--or at the very least tweak models. Were they privy to the capital markets and lenders?

Dec 7, 2015

Once the financial analysts ran the numbers, the job was interfacing with investors and finding the buyer. Organizing the DD info and sending it out. Answering questions regarding the property and the area. Touring the property. Getting more info if an investor needed it. If there was a question on the analysis, it went to the financial analysts. But even there, the investor was running their own numbers over ours. Finally, it was abstracting offers and helping the seller decide which offer to pick.

Dec 8, 2015

And IMHO that stuff that associates do can be done by a monkey. I like the way other teams do it better---everyone knows how to model and truly understands what they're selling (a risky, active bond).

Dec 7, 2015