Real Estate Investment School

The Real Estate Investment School is a four day course, that unravels the complexity of Investment Cash Flows through Advanced Modelling, Interpretation and Theory.

With a strong emphasis on practical application, you will gain a profound understanding of the complexities involved in analysing investment cash flows and interpreting their implications for effective decision-making.

Upon completion of the course, you will have the expertise to confidently model investment cash flows to a proficient level, empowering you to make informed financial decisions and drive positive outcomes for your investments.

The Investment focused school combines three of our courses:

On this course you will…

Construct Investment Financial Models starting from foundational principles
Learn how to value and appraise Property Investments
Gain a comprehensive understanding of modelling tenancy schedules, including lease structures, rental income projections, lease expiry analysis, and lease renewal
Develop proficiency in creating robust models
Understand how the application and use structure finance products in Real Estate
Learn advanced modelling techniques to analyse underlying asset risk
Appreciate the importance of data in Investment cash flow modelling

Who will benefit from this School?

Real Estate professionals at any level with exposure to real estate financial models on a frequent basis
Junior or new Real Estate Analysts who would like to start building their own Real Estate models quickly, rather than relying solely on coaching from existing team members
Mid-level to senior Real Estate Analysts
Real Estate Managers who would like to gain an understanding of the dynamics of debt and financial return fluctuations in more detail
Property industry modellers who would like to be fully proficient in building complex financial models

Course Outline

Day One

Real Estate Analyst I

Know how to build a property asset cash flow, analyse geared, and un-geared IRRs.

Term & Reversion and Layer Method Valuation (Intro to Excel)
Equivalent Yield (Solver, Scenario and Goal Seek functions)
Single-Let Discounted Cash Flow
Cash Flow inputs (Rents, Yields, Growth Rates, Target Returns)
Analysis and use of date series
Internal Rate of Return (IRR) and Net Present Value (NPV)
Comparing Value, Price and Worth
Adding borrowing and analysing geared returns
Introducing Rent Reviews and other ‘events’ into cash flows
The ‘Rent Function’ concept and Logic functions (IF,OR,AND)
Sensitivity analysis

Day Two

Real Estate Analyst II

Know how to build a multi-let property cash flow and apply the concepts on a hypothetical case study.

The ‘Rent Function’ and Multi-let cash flows
The ‘date problem’ and assumptions in property asset cash flows
Reducing the rent function, intermediate calculations and modelling theory
Modelling lease expiries, break clauses, voids, and upward only covenants
Incorporating time-varying rental growth rates
Analysing multi-let cash flows to see if the leases are sufficiently diversified
Further IRR analysis (XIRR, MIRR)

Day Three

Real Estate Modelling Masterclass

Mezzanine debt modelling
Joint Venture structures between developers and lender/equity partners
Promote and profit share structure calculations
Advance project cash flows with mezzanine debts
Key Real Estate and investment risks, risk adjustment of exit yields
Sensitivity and Scenario Analysis
Monte Carlo Analysis

Day Four

Understanding Key Principles of Real Estate Financial Modelling

Real Estate Financial Modelling Mathematics
- Time Value of Money
- Net Present Value (NPV)
- Internal Rare of Return (IRR)
- Growth
- What Discount Rate?
- Certainty of a cash flow
- Liquidity
Price, Value & Worth
- Comparing Price, Value and Worth
- Conventional Valuation Methods
- Term and Reversion, Layer Method
- Property Yields and Capitalisation Method
- Exit calculations across Europe
Discounting Cash Flow Models
- Investment Appraisal Models
- Cash flow inputs: Rents, Yields, Growth Rates, Target Returns
- Cash-on-Cash and Equity Multiple
- Discount Rates & Exit Cap Rate
- Operating Assumptions
- Adding borrowing and analysing geared returns
Model Interpretation and Analysis
- Sensitivity analysis and scenario analysis
- Growth and inflation
- Performance measures
- Contemporary issues for analysis (such as the rise in interest rates)

Course Testimonials

The Real Estate Analyst course was Excellent. It was delivered by a very competent, engaging and patient trainer. Very worthwhile.

Chartered Surveyor – Commercial Property Agency

The course content, manuals and excel models for the real estate modelling masterclass are excellent and overall a great value training day.

Managing Director – Property Investment Company

The final day of the training (Key Principles Course) where we talked through the theory of it all and understanding why we adopt certain approaches or use certain assumptions was particularly useful

Director – Real Estate Investment Trust (REIT)

Course Details

Number of days: Four days
Delivery: In-Person & Virtual
Course type: Schools
Course level:
Pre-requisite: None
CPD Hours: 22.5

Upcoming Dates – Public Course Dates

Price Per Person

In-Person

^£3500_/Course

Purchase Now

Course Delivery
Course Manual
Course Files
CPD Accredited Certificate
Online Learning Resources
Financial Modelling Proficiency Badge