Applied Real Estate Investment Track (formerly the Applied Real Estate Security Analysis Program)

The Applied Real Estate Investment Track (AREIT) was the first program of its kind in the country, providing a team of MBA students the opportunity to manage a $1 million portfolio invested in REITs.  AREIT students develop fundamental research and portfolio management skills by blending a thorough theoretical foundation with the first-hand experience and challenges of managing real money and working successfully as a team.

The program reflects the increasing dominance of the capital markets in real estate and provides state-of-the-art education in understanding not only real estate as an asset class, but also the emerging capital markets associated with the asset.  AREIT was created as a joint venture between the James A. Graaskamp Center for Real Estate and the Applied Security Analysis Program (ASAP).  Students benefit from the combination of the resources of two outstanding educational programs.

Benefits to Students in the AREIT Program:

Students Learn and Develop:

● fundamental research and portfolio management skills

● a thorough understanding of real estate  and capital markets

● successful teamwork skills

● polished and professional presentation skills

● a skill set that can be applied to either the public or private real
   estate markets upon graduation

Students Experience:

● the rigors of managing real money

● the challenge of being responsible to a demanding client

● the necessity of thorough research and clear communication

● the demands of decision-making

● frequent interaction with real estate professionals

 

AREIT Program Structure:

 

Up to 4 students are selected to participate in AREIT during the 2nd year of the MBA program.

 

        The Team: Beginning in September of the academic year, each team is given one month to form an investment management "firm" that has an organizational structure, an economic outlook, an investment philosophy and a disciplined strategy that will be executed throughout the year.  The teams present their portfolio management proposal to the ASAP Board of Advisors (the Client) for approval and subsequent release of funds to manage.

 

Following approval from the Client, the teams meet multiple times each week, often with faculty and with the many investment professionals that serve as guest speakers for the program.  Individual members of the team are responsible for conducting rigorous company and property sector research, making recommendations on the composition of the portfolio, and participating in the team decision making process for management of the funds.

 

        No Safety Net:   Students maintain complete flexibility and independence over all investment decisions, subject to endowment guidelines.  Students cannot rely on a "safety net" as they walk the tightrope of active portfolio management.

 

        The Client:   The overall client for the funds is the AREIT Board of Advisors.  The Board is comprised primarily of alumni of the program, all of whom are active investment professionals.  Three times each academic year the teams make a professional presentation to the Board and receive a strong critique on the management and performance of the funds. The Advisory Board members, despite being alumni and supportive of the program, take seriously their charge to challenge the students and create the environment and experience of the most demanding client-manager relationship.

 

        The Stephen L. Hawk Center:   ASAP and AREIT are housed in the Stephen L. Hawk Center - a suite of rooms in Grainger Hall.  Within the Hawk Center, students have individual workspaces and group meeting space.  In addition, the Hawk Center provides the students with access to state-of-the-art research tools and data.

 

        Program Faculty:  Associate Professor Mark Ready is the academic director of ASAP. David Shulman is assistant director of AREIT.  Tim Riddiough serves as faculty advisor to the AREIT team. For more information on the AREIT program, contact Tim Riddiough.

 

Job Placement:

 

Many of the graduates of the AREIT Program have indicated that the real-world experience of managing a $1 million dollar REIT fund gives them a major competitive advantage during the interviewing process.   Here are some job titles and employers of our recent graduates:

 

Analyst, Perry Capital

REIT Analyst, Heitman Real Estate Securities

Investment Manager, Alere Property Group

Business Development Manager, The Bascom Group

First Vice President-Senior Trader, WAMU Capital Corporation