Real Estate Investment and Capital Markets Online Course

Payment for a NAIOP Online Course entitles access for one person only to the course and all materials.

Note: All times noted are Eastern Time.

Thursday, May 17
Noon - 2 p.m.
Overview of the Real Estate Capital Markets
This session will address the interaction of real estate space markets with the real estate capital markets. Students will gain an understanding of the current size and participants of the public and private, debt and equity, commercial real estate capital markets and will be able to define the types of real estate financed by the real estate capital markets. We'll also explore the various real estate investment strategies and define the major indices that measure public and private real estate investment returns over time.

Thursday, May 24
Noon - 2 p.m.
Commercial Real Estate: Private Debt Market
We will discuss the commercial mortgage capital markets in regards to lenders, mortgage types and terms. Students will review and understand the contents of a loan submission package in addition to reviewing permanent loan underwriting guidelines and understanding how lenders make decisions on financing commercial property. Finally, students will take part in a case study in underwriting a commercial mortgage.

Thursday, May 31
Noon - 2 p.m.
Commercial Mortgage Analysis: Risk and Return Concepts
In this session, students will learn to identify and understand the differences between expected returns and stated yields on commercial mortgage loans. We will also discuss how to calculate an investment's yield degradation due to default and how to describe and calculate an expected return on a mortgage. Students will also participate in two case studies. The first case study will focus on computing expected return on a mortgage while the second exercise involves mortgage note valuation.

Thursday, June 7
Noon - 2 p.m.
Public Debt: Securitization and Commercial Mortgage Backed Securities: CMBS
This session will present a comprehensive overview of the residential and commercial mortgage markets as well as a discussion of the role and process of securitization. We will explore the structure of Commercial Mortgage-Backed Securities (CMBS), and students will demonstrate their understanding of the materials covered by working through a securitization example.

Thursday, June 21
Noon - 2 p.m.
Private Equity
During this session, students will take an in-depth look into real estate private equity markets. We will examine the sources of equity financing and discuss the investment vehicles used by private equity. Students will define the terms associated with private equity arrangements and gain an understanding of investment strategies pursued by private equity. We will also analyze the fees structures of private equity investment vehicles, discuss how joint ventures work and review two case studies detailing recent private equity joint venture deal structures.

Thursday June 28
Noon - 2 p.m.
Public Equity: Real Estate Investment Trusts
This session will provide an overview of Real Estate Investment Trusts (REITs) and discuss the requirements necessary to qualify as a REIT. We will identify the types of REIT structures and discuss the pros and cons of public investment in real estate. Finally, we will discuss REIT valuation methodologies.

Thursday July 12
Noon - 2 p.m.
Role of Real Estate in an Investment Portfolio
In this session, we'll discuss the attributes of real estate that make it attractive as part of a multi-asset investment portfolio and examine historical real estate risk and return performance relative to other asset classes. Finally, students will discuss, describe and provide examples of portfolio management.

Thursday July 19
Noon - 2 p.m.
Real Estate Investment Management and Hedging Real Estate Risk: Using Real Estate Derivatives
In this final session, we'll start by taking an in-depth look at how investors view real estate as an investment class alongside other investment alternatives. In discussing real estate investment management, we'll explore institutional portfolio management trends and strategies and present an overview of the real estate investment management industry. Students will learn about basic asset-pricing theory and investment performance evaluation and benchmarking techniques. Finally, we will address how to attribute investment performance at the portfolio and property levels.

The second part of this session will focus on hedging real estate risk through the use of real estate derivatives. We will examine the backgrounds and common types of derivatives and discuss their different types and uses. Students will be learn to identify the real estate derivative products that are currently in use, define the mechanics of a real estate return swap and understand the risks involved in a real estate derivative. We will also demonstrate how to use derivatives to reallocate and rebalance a real estate portfolio and finally, work through a hedge illustration using a return swap.