ANALYZING AND BUYING DISTRESSED REAL ESTATE – FALL 2009

Course Objectives:

This advanced course presents techniques to analyze, purchase, manage and reposition distressed real estate. Examine legal and bankruptcy issues, development and management strategies as well as traditional and creative methods of finding investors, structuring acquisitions, and financing deals. Purchasing distressed debt is addressed in this course. Various commercial property types are covered including apartment building, mixed-use developments, retail and office properties and hospitality deals. The course utilizes case studies and offers numerous lectures from well known real estate developers, work-out professionals, opportunity fund managers and lenders. This course is useful to owners and developers as well as government officials, corporate real estate officers, brokers, land planners and other real estate professionals. Prerequisite: Real Estate Investment and Income Analysis (X62.9351), The Real Estate Development Process (X62.9402) and Analyzing the Real Estate Investment Deal (X62.9110) or equivalent experience. Please note that guest speakers may be changed as circumstances dictate. This is a graded course with credit toward the Certificate Program.

Recommended Textbooks and Readings:

The course will focus on the Course Study Guide and handouts; however, it is highly recommended that students read the following:

Periodicals
The New York Times (especially Sunday)
The Wall Street Journal (especially Wednesday)
Crainís New York Business
The Real Deal

Course Schedule:

Course is Tuesday evenings 6:00 PM to 8:00 PM on the dates indicated below. On speaker dates the Lecture will be 6:00PM to 7:00 and the guest speakers will arrive at 7:15PM. Course held at Norman Thomas, 111 E 33rd St- (Park Ave.) Room 815

  • 9/22/09 Session One: Introduction- The Documents control the Deal- Contract / JV and Partnership Agreement / Title Policy / Leasing
  • 9/29/09 – Session Two: Money is Everything- Almost – sources of Financing / Mezzanine Lenders / CMBS
    Material: Handouts
    Case Study – to be determined
    Guest Speaker: Ed Adler – Managing Director – Citigroup (Ed supervises Citigroup ís Real Estate Finance Group Worldwide)
  • 10/6/09 – Session Three: Finding the Right Partner- Raising Equity / Opportunity Funds / PPMís / Joint Venture Partners
    Material: Handouts –
    Guest Speaker: – Billy Procida – www.procida.net (Billy previously ran Palisades Regional Investment Fund and is now the principal responsible for the origination and closing of $500M in senior subordinated and mezzanine loans, joint venture equity investments and distressed debt acquisitions).
  • 10/13/09 – Session Four: Turn Lemons into Lemonade Value Creation / Foreclosures / Bankruptcy / Bank REO
    Material: Handouts
    Case Study – Global Securitization Crisis
    Guest Speaker: Marcus Giancaterino – Marcus is the Managing Director of Citigroup and the Global Head of Real Estate Finance for the Fixed Income Division of Citigroup. He formerly ran all of Citigroupís securitisation businesses in Europe. Citigroup has ranked #1 in the European league tables for securitisation for three of the past four years and has won numerous awards in leading close to $100 billion in transactions.
  • 10/20/09 – Session Five: Beware of the Unknown – Legal Issues
    Material: Handouts
    Case Study – to be determined
    Guest Speaker: Donald Glascoff – Special Counsel – Cadwalader Wickersham and Taft (Don has 25 years experience as a development attorney with one of the most established real estate firms in the Country)
  • 10/27/09- Session Six: Buying REO, Buying Debt and Review
    Material: Handouts
    Case Study – Distressed Debt and Bank Purchases
    Guest Speakers: Jonathan Ross and Richard Bosworth – Canyon Capital Realty Advisors  HYPERLINK “http://www.cc-ra.com” www.cc-ra.com – Canyon manages a diverse portfolio with a total value in excess of $9.5 billion. Jonathan is also Co-Manager of the Canyon -Johnson Urban Fund  HYPERLINK “http://www.cjuf.com” www.cjuf.com
  • 11/3/09 – Session Seven: Sourcing the Right Opportunity
    Material: Handouts
    Guest Speaker: Ezra Hay – Morgan Stanley-Fisher Brothers – City Investment Fund
  • 11/10/09 – Session Eight- Final Exam