Post-MBA: REIB or Roll the Dice on REPE

I am at a M7 program and finished my summer associate position in real estate coverage at a BB universal bank (think BAML, JPM, Citi) with a return offer. The question now is, take the offer and signing bonus, or say no and recruit for REPE if that is the ultimate goal? BIG decision considering the costs of an MBA.

Comments (9)

Sep 8, 2017

What is your pre-MBA experience? Are you looking for top tier REPE shop? Do you know what your ultimate goal / dream job is?

I went to an M7 program as well (H/S/W). The cost is crushing. The cost of selling yourself short and not pursuing your ultimate passion are greater. Most important thing coming out of school is to set yourself up for success. It is rare to get the ideal gig right out of the gates. However, if you can position yourself well, you can make moves relatively soon.

Congratulations. The good news is that you will be successful, the only unknown is the pathway to such success.

-SD

    • 3
Sep 12, 2017

Pre-MBA experience is a few years in public accounting, then as a cost and financial accountant for a RE Developer. Not an investment analysis or underwriting role. As such, I don't think REIB will be detrimental, but do agree with cpgame's assessment in terms of a strategy. If the ultimate goal is to raise a fund on the west coast focused on retail - I think a stint on Wall Street definitely sets up the pedigree, but the concern is actual deal making experience at the asset level.

Also seems like we are at a point in the cycle where hiring activity appears to be down/sluggish, but will continue pounding the pavement until I hit the deadline. Thanks for the advice!

Array

Best Response
Sep 8, 2017

You have identified your ultimate goal. It is one thing to reach your goal. It is completely different to reach your goal and to also excel. Accordingly, think about what will set you up for long-term success. What skill set do you need to develop now in order to one day successfully raise capital from people who will have a lot of other options? What knowledge do you need to gain now in order to one day be a strong, decisive leader who has answers when you are top dog and people come to you with questions? Perhaps most importantly, you need to be able to answer the following: when I pull the rip cord, say f*** you to corporate america, and launch my own fund, how am I going to do this successfully and be able to support myself and my family? What will allow me, with decidedly less experience, less of a reputation, and sure as shit a lot less money, to beat everyone else?

Do not pursue the quickest, most direct route. Do what you think will set you up to get to where you want to go and stay there. You will have a lot of people depending on you and your ability to do this when you are head honcho.

I don't know the career path on the capital side, but I would use my remaining time as a student to speak with as many people as possible that are already where you want to end up. If you are at an M7, you have invaluable resources at your disposal. The value of these resources, for purposes of figuring out your career path, will decrease once you graduate.

-SD

    • 4
Sep 12, 2017

This is exceptional advice, thank you. The way I currently see things is that spending time working in capital markets at a BB investment bank is a hell of a foundation. Plus, I could always partner with a "deal guy" who has done a lot of asset level transactions / development projects and we could bring together complimentary skill sets. "Wall Street" experience seems to count for a lot on the west coast.

Couldn't agree more with your assessment of talking to folks while in school. Senior people have been willing to speak with me and it is a great time to expand my network - I'll definitely continue to do so.

Array

Sep 16, 2017

good answer

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Sep 8, 2017

You can lateral in with IB experience and not the other way around.

Sep 9, 2017

Go for REPE, but only if you have real estate experience pre-MBA. Tough to sell otherwise. Better yet, hop on the phone with as many firms as you can between now and your deadline for the bank and see if they consider hires in your position. Some firms do not require REIB and others might/do not. Important to determine, as is which REPE groups will even hire from an MBA. Some just don't take MBAs, but the ones who do usually like to see previous RE experience.

Sep 9, 2017

If you want to do REPE, just do it. Life is too short to be doing what you don't want to do.

Sep 12, 2017
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