17. Real Estate (REIT) Modeling

COURSE
Wall Street Prep
8 hrs 21 mins

17. Real Estate (REIT) Modeling

COURSE
Wall Street Prep
8 hrs 21 mins
$339per person
$339per person

Course Overview

This course is designed to teach REIT modeling to students and professionals pursuing a career in finance, with a specific focus on analyzing REITs. First, we will learn about the REIT industry's unique drivers and challenges. We will then build REIT financial and valuation models from scratch, using a step-by-step approach for an actual company, BRE Properties. Along the way, we will cover modeling best practices for same store properties, acquisitions, developments, and dispositions. In addition, we will model and deconstruct critical REIT profit metrics like FFO, AFFO, and CAD. The second part of the course will involve valuation modeling, with a focus on the Net Asset Value (NAV) approach.

Instructor - Matan Feldman

Matan Feldman is Wall Street Prep’s Founder and Managing Partner. His responsibilities include business development, development of courses, and overseeing training programs. Matan has overseen training programs for clients including Morgan Stanley, Credit Suisse, Raymond James, Stifel Nicolaus, FBR Capital Markets, Sagent Advisors, Giuliani Capital Advisors, JP Morgan, Cerberus, Wharton Business School, London Business School, Kellogg, Booth, Stern (NYU), and Cornell. Prior to founding Wall Street Prep, Matan served in several capacities on Wall Street — first as an Analyst in Chase Manhattan Bank's Mergers & Acquisitions Group in New York, and subsequently as an Associate within JP Morgan's Equity Research Group, covering Food & Drug Retail Equities.

Learning
Chapter 1: REIT Industry Overview
17.1.1 Welcome to REIT Modelingvideo • 1 min
17.1.2 REIT Industry Overview, Part 1video • 16 mins
17.1.3 REIT Industry Overview, Part 1video • 19 mins
Chapter 2: Modeling a REIT's Income Statement
17.2.1 Modeling the Income Statement, Part 1video • 10 mins
17.2.2 Modeling the Income Statement, Part 2video • 17 mins
17.2.3 Modeling the Income Statement, Part 3video • 7 mins
Chapter 3: Understanding & Modeling REIT's Segments
17.3.1 REIT Segments: Same Store Sales, Part 1video • 11 mins
17.3.2 REIT Segments: Same Store Sales, Part 2video • 12 mins
17.3.3 REIT Segments: Same Store Expenses and NOIvideo • 7 mins
17.3.4 REIT Segments: Lease Ups, Renovations & Acquisitionsvideo • 14 mins
17.3.5 REIT Segments: Dispositions & Discontinued Ops, Part 1video • 9 mins
17.3.6 REIT Segments: Dispositions & Discontinued Ops, Part 2video • 5 mins
17.3.7 Modeling Segments: Same Store Propertiesvideo • 22 mins
17.3.8 Modeling Segments: Acquisitionsvideo • 9 mins
17.3.9 Modeling Segments: Dispositionsvideo • 26 mins
17.3.10 Modeling Segments: Discontinued Ops and Dispositions Cleanupvideo • 20 mins
17.3.11 Modeling Segments: Developmentvideo • 2 mins
Chapter 4: Ancillary Income & Non-Operating Items
17.4.1 Modeling Ancillary and Other Incomevideo • 12 mins
17.4.2 Modeling Non-Operating Income and Finishing the Income Statementvideo • 16 mins
Chapter 5: Understanding the REIT Balance Sheet
17.5.1 Understanding the Balance Sheet: Assets and A/Pvideo • 17 mins
17.5.2 Understanding the Balance Sheet: Non-Debt Liabilitiesvideo • 20 mins
17.5.3 Understanding the Balance Sheet: Debtvideo • 8 mins
Chapter 6: Modeling the REIT Balance Sheet
17.6.1 Modeling Real Estate Assetsvideo • 16 mins
17.6.2 Modeling CIP and Accum. Depreciationvideo • 12 mins
17.6.3 Modeling Other Assetsvideo • 4 mins
17.6.4 Modeling Non-Debt Liabilities and Equityvideo • 12 mins
17.6.5 Modeling Non-Revolver Debtvideo • 5 mins
17.6.6 Balance Sheet Cleanupvideo • 6 mins
Chapter 7: Cash Flow Statement & Model Cleanup
17.7.1 Understanding the Cash Flow Statementvideo • 18 mins
17.7.2 Modeling the Cash Flow Statementvideo • 19 mins
17.7.3 Pre-Revolver Model Cleanupvideo • 3 mins
Chapter 8: The Revolver, Interest Expense & Circularity
17.8.1 Understanding the Revolvervideo • 10 mins
17.8.2 Modeling the Revolvervideo • 10 mins
17.8.3 Understanding Interest Expensevideo • 9 mins
17.8.4 Modeling Interest Expensevideo • 19 mins
17.8.5 Understanding Circularityvideo • 6 mins
17.8.6 Handling Circularity in a Modelvideo • 6 mins
Chapter 9: Modeling Future Developments
17.9.1 Understanding a REIT's Developmentsvideo • 13 mins
17.9.2 Modeling Developments, Part 1video • 12 mins
17.9.3 Modeling Developments, Part 2video • 12 mins
17.9.4 Modeling Developments, Part 3 & Finishing the Modelvideo • 10 mins
Chapter 10: Funds From Operations (FFO) & CAD
17.10.1 Understanding EBITDA, FFO and CADvideo • 10 mins
17.10.2 Modeling EBITDA, FFO and CADvideo • 19 mins
Chapter 11: REIT Valuation & The NAV Model
17.11.1 Introduction to REIT Valuation & NAVvideo • 18 mins
17.11.2 NAV Modeling, Part 1video • 4 mins
17.11.3 NAV Modeling, Part 2video • 22 mins
17.11.4 The Endvideo • 1 min
Supporting Documents
Step-by-Step Course Manualdocument
BRE-2012-10Kdocument
BRE-2012-CCTdocument
BRE-PR-Supplementdocument
Supporting Documents - Excel Model Files
BRE 2012 Historical Financialsdocument
REIT Segment Mechanicsdocument
BRE_Operating_Modeldocument
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