ANALYZING AND BUYING DISTRESSED REAL ESTATE – FALL 2010

Course Objectives:

This advanced course presents techniques to analyze, purchase, manage and reposition distressed real estate. Marketing and Sales strategies covered extensively. 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)  Crain’s New York Business
Real Estate Weekly
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

  • 9/28/2010 – Session One: Introduction- The Documents control the Deal- Contract / JV and Partnership Agreement / Title Policy / Leasing
  • 10/5/2010 – Session Two: Money is Everything- Almost – sources of Equity / Mezzanine Material: Handouts

    Case Study – Distressed Debt and Bank Purchases Guest Speaker: Jonathan Roth- Canyon Capital Realty Advisors – www.cc-ra.com Canyon Capital Realty Advisors LLC has a diverse portfolio with a total value in excess of $9.5 billion. Co-Manager of the Canyon – Johnson Urban Fund.

    www.cjuf.com

  • 10/12/10 – Session Three: Finding the Right Partner – Value Creation / Foreclosures / Bankruptcy / Bank REO

    Material: Handouts

    Case Study – Preferred Tower Exchange – 290,000 SF office building Guest Speaker: Jordan Paul – Senior Managing Director – The Related Companies Investment Fund, Miami Florida. (Jordan is managing a $1 Billion fund purchasing distressed residential properties in the Southeast.)

  • 10/19/2010 – Session Four: Turn Lemons into Lemonade – Value Creation / Foreclosures / Bankruptcy / Bank REO

    Material: Handouts

    Case Study – Global Securitization Crisis

    Guest Speaker: Ed Adler – Managing Director – Citigroup (Ed supervises Citigroup’s Real Estate Finance Group Worldwide). Citigroup has ranked #1 in securitization for three of the past four years involving $100 billion in transactions.

  • 10/26/2010 – Session Five: Real Estate is Local – Marketing and Equity Issues
    Material: Handouts

    Case Study – to be determined

    Guest Speaker: Billy Procida – www.procida.net (Billy is the principal for Procida Inc. and previously ran Palisades Regional Investment Fund responsible for the origination and closing of $500M in senior subordinated and mezzanine loans, joint venture equity investments and distressed debt acquisitions)

  • 11/2/2010- Session Six: Joint Venture discussion

    Material: Handouts

    Case Study – to be determined

    Guest Speaker: To be determined

  • 11/9/2010 – Session Seven: Marketing and Sales Techniques – Can you sell the product?

    Material: Handouts

    Guest Speaker: Ezra Hay – Morgan Stanley-Fisher Brothers – City Investment Fund

  • 11/16/08 – Session Eight- Final Exam