Introduction This post is the first in a series oriented as a real estate private equity guide book through my process of underwriting the value of a publicly traded company. This skill is helpful for anyone interested in pursuing an acquisitions career at a real estate private equity fund. This analysis is the type of […]
Public REIT Valuation, Part One: Start with the Filings Read More »
Introduction This article continues our discussion on life as a real estate private equity analyst. If you’re looking to build a real estate private equity model or learn to calculate private equity real estate returns, we recommend you check out our hard-skill resources. But without further ado, onto the Q&A. How long does a typical
Life as an REPE Analyst, Part Two Read More »
How are you staffed on deals? Every real estate private equity fund has a staffer. Sometimes it’s a formal role and sometimes it’s informal. If you’re on a larger team, the staffer knows who is working on what and how much effort each project requires. Being a staffer is not an enviable job since they
Life as an REPE Analyst, Part One Read More »
Leveraged Breakdowns helps teach real estate private equity for beginners. We have plenty of materials focused on hard skills, from our courses and interview guides to our free case studies. This series continues our focus on a softer, yet equally important, skill set: networking into real estate private equity firms. This information is hard-earned after
Eight More Critical Habits for Successful Real Estate Private Equity Networking Read More »
Networking into real estate private equity jobs is no cake walk. I know from personal experience, having broken into one of the top Manhattan mega funds as an industry outsider. Regardless, networking is the among the most important real estate private equity skills for an outsider candidate to master early on. Fortunately, there are several
Six Critical Habits for Successful Real Estate Private Equity Networking Read More »
Introduction The previous post described our calculation of the asset management fee and the preferred distributions. This post will focus on our calculation of the catch-up and the profit sharing. Then, we will tie it all together with a concise summary of the LP cash flows. Below is the overview of the waterfall we shared
Catch-Up Waterfall, Part Five: Catch-Up and Profit Sharing Read More »
Introduction This post is part of a deep dive into catch-up waterfalls, which can show up in the more technical portions of the real estate private equity interview process. Last post, we left off with the waterfall schedule below. This post will dive into the details of the asset management fee and the preferred distributions.
Catch-Up Waterfall, Part Four: Asset Management Fees and Preferred Distributions Read More »
Introduction The previous post answered the first question of the prompt, “what are the gross returns of this investment?” by building a simple real estate LBO model. This post will begin our journey to answer the second question of this REPE case study, “what net return should the LP expect to earn?” Of course, net
Catch-Up Waterfall, Part Three: Introducing the Waterfall Read More »
Introduction Catch-up waterfalls are a common staple throughout a career in real estate private equity. And comprehension thereof is frequently tested in REPE interview questions. Luckily, we’re here to help! The first post in this series introduced the case prompt. Now, this post will seek to address question one in that original prompt. Namely, this
Catch-Up Waterfall, Part Two: Modeling the Gross Returns Read More »
Intro This case study will focus on building a catch-up waterfall. Catch-up waterfalls will be fairly common throughout your real estate private equity career path. The other common waterfall is promote-based, which we build live in the REPE Starter Kit. Private equity analysts and associates must often model waterfalls, so pay close attention. Keeping it
Catch-Up Waterfall, Part One: The Prompt Read More »