This course introduces the major public capital market real estate vehicles, mortgage-backed securities and real estate investment trust (with major emphasis on commercial mortgage-backed securities). It also covers basic equilibrium asset pricing and modern portfolio theory. This course is designed to provide students with an elementary introduction to the public capital real estate, as well as how markets value capital investments.
- Understand public capital market sources of financial capital for real estate, and how those markets value such capital investments.
- Understand the size, structure and players of the real estate capital markets for public and private debt and public and private equity.
- Recognize the risks and returns inherent in the real estate capital markets and how to measure assess investment performance.
- Appraise the operation and future of commercial securitized mortgage markets.
- Learn how equity investors and mortgage lenders analyze, manage and hedge risk.
- Identify real estate’s role as part of a mixed-asset portfolio.
- Recognize trends and patterns in the evolving and turbulent real estate capital markets