REA3013 - Real Estate Finance: Home

REA3013 - Real Estate Finance | Colin Riley

Course Description: This course is designed to provide real estate professionals with the critical tools of real estate finance. It begins  with a description of corporate finance principles such as risk, measures of return, capital budgeting, the cost of  capital and other key finance concepts.  Special attention is given to debt instruments such as mortgages, a key  source of financing for commercial real estate.  Mortgage math, a skill that is needed for developing financial  statements to be used in award winning presentations as a developer, receives significant attention.  Students  learn and use pro forma analysis along with assessment of sources of debt, market revenue assumptions, cost of  construction, operating costs and other critical financial components. Topics will also include leasing and property  income streams, equity valuation, tax analysis, the financial structuring of real property ownership and discounted  cash flow and internal rate of return analysis. There will also be a focus on developing an understanding of the  economic factors that shape and influence the markets for real property. This includes an analysis of housing as  well as commercial real estate, and covers demographic analysis, regional growth, construction cycles, and urban  land markets. This will be supported by exercises and modeling techniques for measuring and predicting property  demand, supply, vacancy and prices.  

Walter Burns. March 23, 2009. Liberty Harbor Townhomes in Jersey City. Retrieved May 31, 2020 from Flickr.

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