Real Estate Development: Art and Science
Real Estate Development: Art and Science serves as a foundation course for the MPRE Development Track. However, it will also be of value to MPRE candidates focusing on other disciplines within the real estate profession, particularly the Finance and Construction Tracks. While intended as a survey course that introduces MPRE candidates to real estate development, the course also offers students an in-depth look at how development takes place from beginning to end.
This course provides a comprehensive overview of the real estate development process. Value creation and return on investment are concepts weaved throughout the course. The course begins with an analysis of the development team members and their roles. Development team members include but are not limited to the developer, architect, engineer, leasing agent, leasing broker, construction and project manager, attorney, financial analyst, appraiser and lender. The development process overview then follows with topic coverage ranging from idea identification and site selection, through design, construction, leasing and property operations.
After successful completion of this course, students will be able to discuss the development process, step by step. In addition, students will be able to identify the players and stakeholders involved in the development process, and the roles they play, both directly and indirectly. Students will be able to evaluate a land parcel which will include considering its highest and best use, developing a list of potential uses for the site, identifying zoning and entitlement requirements needed, designing project layouts, and creating basic proformas including sources and uses of cash, project value and investment returns. Students will develop project timelines, identify major milestones and consider risk management throughout the development process. Finally, students will be able to prepare a development proposal for submission to potential investors and lenders, along with an oral presentation of the proposal.
1.) Richard B. Peiser and David Hamilton, Professional Real Estate Development, The ULI Guide to the Business, Third Edition The Urban Land Institute, 2012 ISBN: 978-0-87420-163-5.
2.) Poorvu, William J. and Jeffrey L. Cruikshank, The Real Estate Game, The Free Press, A Division of Simon & Schuster, Inc., 1999, ISBN: 0-684-85550-X.