Hi guys,
I recently came across a Land Acquisition Analyst position at a multifamily development firm and was wondering if any one could shed some light on this kind of role.
It seems a bit different from typical RE related Acquisition role and I'd love to learn more.
Thank you in advance!
| +82 | LP coming into deal at higher land basis. How to model returns to GP? | 18 | 8h | |
| +76 | Increasing RE Industry's Cash Compensation, Collectively | 43 | 7h | |
| +72 | Major Decisions | 13 | 1d | |
| +28 | Niche down to an operator or stay an allocator | 9 | 2d | |
| +24 | Breaking into CRE late 20s | 7 | 3d | |
| +23 | Thoughts on joining an early-stage REPE fund | 7 | 7h | |
| +22 | Self Storage ECRI | 9 | 2d | |
| +20 | Doom Loop or Creative Urban Reemergence? | 3 | 6d | |
| +18 | Henderson Park London | 21 | 8h | |
| +18 | 3 Hour Condo/Rental Excel Test - What Can Be Expected | 2 | 4d |
Career Resources
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
Can you provide a little more color on the firm? This is typically a homebuilder role.
deleted
Hi cre_questions
My mistake, you are right. It is a position at a homebuilder firm. As you can probably tell by now I am total novice in RE..
Toll Brothers?
Nope, the position is for Hovnanian Enterprises
I have heard awful things about them.
Comp is probably like 40-55 all in.
Do you happen to know how they perform their valuation for acquisitions? Thanks!
Just guessing here, but I can't imagine they'd do anything else other than do a development pro-forma and then back into a land value / residual from there. Other than that really all you could do with land is use PLSF comps.
I would imagine it would entail finding sites in a particular market, estimating your GDV, your cost basis, throwing a 20% profit on cost assumption or GDV/(1+1/(Profit target%)) and either taking your cost+ profit away from GDV to get the residual or doing GDV/(1+1/(Profit target%))/(Profit target%) to get total cost estimate and then subtract the hard and soft costs(Which we estimate) with the remainder being what you would be willing to pay for the residual to make your profit % target. From what you mentioned it would be quite static modelling.
I work for a real estate development firm. I was financial analyst for three years. We make assumptions in our excel proforma regarding when homes will sell / for what price. We input the future cost estimates / any financing. We solve for the NPV (price of land) based on our IRR requirements. We also look at CFx, Profit, and Pk. Equity. I assume K. Hov does similar analysis.
Interested to know what was your comp and how many hours expected to work?
I interviewed for this kind of role with Toll Brothers (their apartment arm).
Comp was $50k, and it appeared that I would just be running market demographics and land sale comps. No modeling the actual deals, projecting returns, exit scenarios, etc. Might be a good entry level role if you are fresh out of school, otherwise pass.
Anyone know of exit ops of one of these roles with Toll Brothers?
Anyone with insight on what it's like to work as a land analyst/ land acquisition manager for giant public home builder (Originally Posted: 01/09/2018)
I have been talking to one of the giant home builders about a land analyst/ land acquisition manager role. I'm curious though what should I expect in a role like this. It seems that they are constantly scouting land deals, buying vacant lots and raw land in order to keep up with their growth. I feel as if this is one of the more interesting positions in all of the real estate field, as one could develop significant experience in buying vacant lots to construct new homes, as well as land assemblages, and experience in acquiring raw land. For me the goal is to strike out on my own as soon as possible, and my immediate goal is to start building 3-4 houses a year. Does anyone know what it's like to work for a giant public builder, and would doing land deals for these guys play well into eventually being able to do land deals on my own. I'm looking for more of a fast pace environment where I'm constantly being able to underwrite and close deals, instead of the commercial arena where everything moves slow as fuck. Are there any downsides to working for a giant public home builder. I'd appreciate the feedback.
Hey SECapital, I'm the WSO Monkey Bot and I'm here since nobody responded to your topic! Bummer...could just be unlucky but one of these topics will help shed some light:
If we're lucky, maybe I can guilt some users to help you out: UrbanCAREDev DrewP12 Bravo12
Fingers crossed that one of those helps you.
Land Acquisition/Development (Originally Posted: 02/26/2014)
Hey Everyone,
I'm reaching out to the community here for input on a development deal; I have significant office/retail experience, but and a basic knowledge of development, and am looking to those more experienced than I.
A little about the deal. I'll be partially tearing down an existing structure (converting a certain amount of the space to condos to sell), and erecting additional GBA for partially attached town-homes. Land is entitled. There will be senior debt, possible mezz debt, and an equity JV.
First and foremost I need to get a handle on the property level info. Once I have this info in, I'll move on to the capital stack, financing, timing and sales. If anyone is interested, I'd very much like to speak in further detail. Also, if anyone has a base model to build off of, please let me know! Looking forward to discussing this deal as it progresses.
I don't mean to hijack this thread but I wanted to ask you what you think the best role to begin in real estate is if my long term goal is to develop and own my own properties? Would love to speak to you as I am considering real estate as a career and am super interested in it as an asset class.
Est dolorem tempore deserunt impedit. Fugiat eum qui enim eligendi. Ut provident sunt ullam soluta repudiandae animi dignissimos. Ipsam eligendi a consectetur enim sint deserunt est.
Hic omnis voluptatem error praesentium fugiat id. Et inventore dignissimos pariatur voluptates.
Numquam rerum accusantium exercitationem labore pariatur beatae. Et vel tempora officia quibusdam a. Et quia perferendis et voluptas incidunt molestiae autem. Quis reprehenderit aperiam consectetur sed. Quasi voluptatibus pariatur voluptatem quasi magni. Laboriosam at quo dolorem ut.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...