Looking to hire a development associate, competitive salaries?
Hello, my firm has been growing very quickly and I’m looking to hire some development associates. I am wondering what salaries I should offer for the positions. I will only be hiring those who hold masters degrees in the form of MBA or MSRED, or have 3 years of experience. My firm grew very naturally so this is new to me. I’m very excited for the next step. Thank you for your advice.
[{"id": "iw9n0ib", "text": "this depends 100% on location. and if you are a small business, you will likely want to structure part of the compensation as equity as well.", "replies": [{"id": "iw9obok", "text": "Thank you, my company office is hiring in a major market in the Carolina\u2019s, glass door was putting salaries around the 100k mark which seems high but I get that if I want top talent with masters degrees I\u2019ll have to pay up. That sound about right to you?", "replies": [{"id": "iw9qrlm", "text": "You want mba/mred candidates to work for you and pay less than 100k? If the base is that low, you\u2019ll need to offer a higher than normal bonus or offer carry (or a combination of both).", "replies": [{"id": "iw9qzw1", "text": "Thank you for the insight. Like I said the firms growth was very organic so I\u2019m new to hiring development associates, so anything helps.", "replies": [{"id": "iwa1gki", "text": "When you say your firm grew organically and naturally, what do you mean exactly?", "replies": [{"id": "iwa1n81", "text": "One property turned to two, two turned to four and so on, before we knew it our passive income had become a full time job and we realized we needed to hire", "replies": [{"id": "iwaagpb", "text": "Then it isn\u2019t passive", "replies": [{"id": "iwag5ie", "text": "Yeah OP's definition of organic growth is wrong .. They will realise it once they hit a bottom unfortunately", "replies": [], "depth": 8}, {"id": "iwagiqj", "text": "Obviously it\u2019s not anymore, that\u2019s why we\u2019re hiring", "replies": [], "depth": 8}], "depth": 7}], "depth": 6}], "depth": 5}], "depth": 4}], "depth": 3}, {"id": "iw9r3lg", "text": "Sounds low. I\u2019ve heard $110-$130k base + 30% bonus from friends in the South East", "replies": [{"id": "iw9t9au", "text": "This sounds about right to me.", "replies": [], "depth": 4}, {"id": "iwa5zny", "text": "This is the correct answer. Definitely not less than that with an MRED/MBA as a decent candidate.", "replies": [], "depth": 4}], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "iw9pek4", "text": "I\u2019ll give you what comparison points I can. In March, I was hired by a top 20 home builder as a land acquisition manager in Charlotte for 120k salary with a couple years of experience but no masters degree. My feel at the time is that was roughly the going rate if you\u2019re looking for someone that will provide a benefit to your organization and not just follow orders.\n\nI would also adjust that figure based on your local cost of living with maybe 10-20% increase for Raleigh, Asheville, or Charleston and 10-20% decrease for Columbia, Greenville or Winston-Salem.\n\nEdit: I realize this is just one data point, and I also dont work for this builder anymore either.", "replies": [{"id": "iw9pzaw", "text": "Thank you, that was exactly what I was looking for, the office is in one of those markets haha, very useful information.", "replies": [], "depth": 2}], "depth": 1}, {"id": "iw9up20", "text": "In Los Angeles, Development Manager with grad degree would be $150k base plus 30% bonus.\n\nAssociate is a pre-mba/mred title from what I\u2019ve seen here.", "replies": [{"id": "iw9wg24", "text": "Could be post MBA associate similar to banking. The DMs get carry right?", "replies": [{"id": "iwab7yg", "text": "Yes, generally DMs can invest in the deal.  A lot of variation on how and at what level.", "replies": [], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "iw9y15m", "text": "The MBA thing is overrated I\u2019d hire off of experience otherwise you\u2019re going to be \u201corganically\u201d training someone", "replies": [{"id": "iwcbr1z", "text": "Agree. I have an MBA, didn\u2019t learn jack from it\u2026networked a bit.", "replies": [{"id": "iweernk", "text": "Yeah my lady has a law degree and an MBA, she learned to do deals from working with developers and brokers. Not saying it hurt her but to think someone would consider that as equal to real world experience makes me wonder how long this business is going vertical", "replies": [], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "iwa3wai", "text": "Click below for the 2021 -2022 CEL annual salary survey. It\u2019s the industry standard bench mark for pay in commercial real estate. \n\nhttps://www.ggasearch.com/files/136564553.pdf", "replies": [{"id": "iwab59s", "text": "Bonus % is incremental to the salaries figures correct?", "replies": [{"id": "iwbejgc", "text": "That\u2019s what I see on the top right hand.", "replies": [], "depth": 3}], "depth": 2}, {"id": "iwb63tl", "text": "This.", "replies": [{"id": "iwbeezg", "text": "I know, right . \u2764\ufe0f\u200d\ud83d\udd25\ud83d\udda4\ud83d\udcaa", "replies": [], "depth": 3}], "depth": 2}, {"id": "izh1s5n", "text": "Sorry I\u2019m late here.. this doesn\u2019t include any promote correct? \n\nI\u2019m kind of surprised to see asset management is paid better than the acquisitions.", "replies": [{"id": "izh25sq", "text": "Someone has to manage it to appreciated sales price.", "replies": [], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "iwa8q4q", "text": "You don\u2019t need an candidate with a MBA, you need one with experience. Base salary depends on the market. But if you\u2019re looking with someone who adds value, in NYC that can mean $160k base plus bonus - and this is the low end for someone with 3 yrs experience and masters degree working in affordable housing ac/rehab. More if strictly more market deals, etc.", "replies": [], "depth": 1}, {"id": "iwaax99", "text": "Depends on the asset class. MF is paying 150 base +bonus.", "replies": [], "depth": 1}, {"id": "iwarsdx", "text": "Once I am in a position to hire others, one thing I'm for sure going to prioritize is Emotional Intelligence (EQ) over IQ. Good luck hiring someone who looks qualified on paper but ends up being impossible to work with and would leave as soon as another opportunity presents itself. Investing in people especially in this industry, you'll find much more success", "replies": [{"id": "iwasguo", "text": "I like that, thanks", "replies": [], "depth": 2}], "depth": 1}, {"id": "iwboz44", "text": "90k-140k with a 10-20% bonus is the going rate for dev associates at my PE multifam shop in Denver. Almost everyone has an advanced degree if your working on institutional assets.", "replies": [], "depth": 1}, {"id": "iwbqyur", "text": "I\u2019m actually getting my MRED right now. Please post an update on this for what you end up paying. Also what area of the country? From what I have seen in my area most dev associates start out around 50-60k with bonus potential. \n\nI see people mentioning 100k+ that sounds high but would make sense for a high cost of living area. However I\u2019m located in the sunbelt cost of living is much less. Associates here that I\u2019ve met with definitely do not make close to six figures. It\u2019s usually at the development manager or \u201csenior associate\u201d role that you hit six figures.", "replies": [], "depth": 1}, {"id": "iwbzkpw", "text": "Ive got 3 years development experience and am getting an MBA in the Midwest, interviewing at around $120k/yr with 25% bonus.  I\u2019d consider $100k/yr with equity, though.  Don\u2019t know a lot about NC but Atlanta is similar to that range and Florida Id expect a bit more.", "replies": [], "depth": 1}, {"id": "iwcbf2h", "text": "What are Job accountabilities?", "replies": [], "depth": 1}, {"id": "iwe56e6", "text": "West coast dev ANALYSTS can fetch 100k + 20% bonus without a grad degree.", "replies": [], "depth": 1}, {"id": "iwq7lrl", "text": "You should expect in the range of $120k-to-$140k, with some type of bonus structure.  $140k would be someone with both the upper level graduate degree and experience, while the lower end for either.\n\nBut I would always put more weight in the experience, and lean on individuals who have been doing it, not learning about it.  Real world experience always trumps education imo.", "replies": [], "depth": 1}]