College Student Question About Getting Into Commercial Real Estate Development
Hi Guys! I already posted this on a different sub-reddit that got a few replies, and someone suggested that it would be helpful if I posted here and get your opinion a few things:


I am currently a student in college double majoring in Mathematics and Economics, and over the past 3-4 months, I've become more and more interested in the idea of working in Real Estate Development. I have a basic understanding of some things I should do to "sample" the real estate industry as well as prepare for a career in that field. But I'd extremely interested in hearing your perspective on what a student should be thinking about with the idea of a commercial real estate development career in mind(the end goal hopefully being working at a development firm).


If you guys would be willing to answer a few questions for me, that would be FANTASTIC! Also any other advice that I might've missed would be super helpful too!


**Questions:**

1.) Thoughts on MRED(Initially out of school vs 5 years into career vs not going at all)

2.)Things I could start doing now that will help me down the road

3.)Program/Software I should learn that the industry uses(Argus and Excel the only ones?)

4.)General Career Path

5.)Types of internships that are helpful

6.) etc.

Thank you for your help, you folks rock!
[{"id": "dddd9c9", "text": "I'd be happy to answer questions you have. I am a few years out of college and currently work for a developer. I studied liberal arts and had 0 connnections in the industry, so it definitely was a challenge getting in, but it's possible.\n\nTo answer question 1 and 2, you should start thinking about what *market* and what *product* you want to pursue. Want to work in NYC on major office developments? Great, hopefully you can get into Wharton and have an uncle who is a client or MD at the firm. Want to work in a smaller market for a regional developer? Don't waste your time and money on an MSRED and get out there and network. \n\n3) definitely become a pro at excel. Learn how to nest IF functions, learn all the date functions. Don't worry about ARGUS. If you are not using argus on a weekly basis, there's no point of trying to sell yourself up as having argus experience. On the math side of things, all you need to know is 8th grade level algebra and the *time value of money* (IRR, NPV, etc.). No need to pitch your calculus or statistics skills.\n\n4) There is none. Take Emmitt Smith for example - former NFL running back, now a developer. I have met developers who did not go to college. All you need are balls and money. Oh, and a good lawyer!\n\n5) Internships that are helpful would be anything you can get in the industry. Brokerage, property management, construction, private equity....development covers all facets of CRE, so the more you can equip yourself, the better.\n\n6) Wherever you decide to go into the industry, the most important thing is to network. CRE is truly one of those industries where it doesn't matter *what* you know, but *who* you know.\n\nHappy to answer any other q's you have!", "replies": [{"id": "ddea2dj", "text": "Thank you so much for the response! You're insight has been very helpful:)You're helping a nervous college student feel much less nervous!", "replies": [], "depth": 2}], "depth": 1}, {"id": "ddepknn", "text": "My thoughts as someone who has an MRED:\n\n1) Some MRED programs require that you get working experience, and I think for more practical degrees like the MRED or MBA, it generally helps to have some relevant work experience even if they don't require it.  So my thought would be just to get some experience in the industry.\n\n2) If you for sure want to get into development, I'd try to take some sort of entitlements/approvals class if there is one at your school. This class above all others was the most helpful in understanding the overall development process.  Oh, and of course NETWORK.\n\n3) Nothing beyond what you've listed.\n\n4) As previously mentioned, often times there's no set career path.  For someone in your position I'd try to find an internship or job with a company with an active pipeline of deals to get the most experience.\n\n5) What's already been mentioned above.\n\n6) NETWORK", "replies": [{"id": "ddfc944", "text": "Thank you for taking time to respond!! It's so incredibly helpful hearing from you. Thanks a million", "replies": [], "depth": 2}], "depth": 1}, {"id": "ddgffbb", "text": "1) General consensus is wait a few years before you go MRED, that way you might end up not even needing it and saving the 120k+ in opportunity cost. Or if you decide to go for an MBA that's left as a reasonable option\n\n2) Network. Read books about development, architecture, planning, real estate. Network. Become really good at excel. Network. Keep up on the local RE news in the cities where you want to pursue jobs. Network.\n\n3) Yup, just Excel and Argus. Argus is expensive though, so I wouldn't worry about it as much. Just learn how to put together DCF and equity waterfall models blindfolded. \n\n4) Analyst -&gt; Associate/Junior Project Manager -&gt; Project Manager -&gt; Partner with carry or start your own firm.  At the big super corporate firms there are a lot more rungs but this is the general path.\n\n5) Anything in real estate finance is the best. Then brokerage/leasing. Then probably anything finance regardless of asset. Then architecture/planning/construction/RE law/whatever\n\n6) Network", "replies": [], "depth": 1}, {"id": "ddgke8l", "text": "If you are set on heading down this career path, I would go ahead and read Poorvu's books and start thinking about your classes through the lens of a real estate developer. See if your school has a real estate center or club you can join, and see who your finance professors know. If you have a civil engineering, architecture, or construction management school at your university, see if you can take an intro class on construction methods, entitlements, or similar.\n\nAs other mentioned, understanding basic finance concepts and knowing how to correctly apply them to real estate scenarios in Excel is very helpful. Whenever my interns have basic questions, I tell them they need to look up the blog and search for the answer at propertymetrics.com before I will explain anything. I cannot vouch for their product or courses, but their blog does a good job explaining basic RE terms, so you might find it helpful. I would also check out Wall Street Oasis's forums.\n\nI did an part-time MBA with a real estate finance specialization at a non-target school over an MRED at a non-target school to build my resume. I never planned to work in one of largest markets, so it wasn't worth it to me to spend $100k on another degree and give up two years of salary when I already was working in the field, pretty well compensated, and have built a great network in my market and regionally. Evaluate where (figuratively and physically) you want to be in 10 years and figure out what you need to do to get there. ", "replies": [], "depth": 1}]