While Sloan’s MBA program does not offer a dedicated real estate major, two of its three tracks are well suited for careers in the industry: Finance Track and Entrepreneurship & Innovation (E&I) Track. Tracks provide an opportunity for students to dive deep in their areas of interest and tailor their curriculum, while also allowing significant latitude to experiment across subjects. Sloan offers real estate specific courses, which are cross-listed with the MIT Center for Real Estate (CRE). In addition, Sloan students can cross-register for additional MIT real estate related coursework. Below are some of the courses our members typically pursue as part of MIT Sloan's flexible curriculum. Course offerings and professors are subject to change.
Real Estate Economics
Develops understanding of the fundamental economic factors that shape the market for real property, as well as the influence of capital markets in asset pricing. Analyzes of housing as well as commercial real estate. Covers demographic analysis, regional growth, construction cycles, urban land markets, and location theory. Exercises and modeling techniques for measuring and predicting property demand, supply, vacancy, and prices.
Professor: W.C. Wheaton
Real Estate Finance and Investment
Concepts and techniques for analyzing financial decisions in commercial property development and investment. Topics include property income streams, urban economics, discounted cash flow, equity valuation, leverage and income tax considerations, development projects, and joint ventures.
Professor: D. Geltner
Real Estate Capital Markets
Introduces real estate capital markets for institutional investors. Topics include real estate investment trusts (REIT), commercial mortgage-backed securities (CMBS), and private equity. Concepts and techniques for investment analysis include portfolio theory and equilibrium asset pricing. Additional topics may include price indexing and derivatives.
Professor: D. Geltner
Tools for Analysis: Design for Real Estate and Infrastructure Development
Introduction to analytical tools to support design and decision-making in real estate, infrastructure development, and investment. Particular focus on identifying and valuing sources of flexibility using “real options,” Monte-Carlo simulation, and other techniques from the field of engineering systems. Integrates economic and engineering perspectives, and is suitable for students with various backgrounds. Provides useful preparation for thesis work in the area.
Professor: D. Geltner, R. de Neufville
Securitization of Mortgages and Other Assets
Investigates the economics and finance of securitization, a practice that allows illiquid assets to be transformed into more liquid securities. Considers the basic mechanics of structuring deals for various asset-backed securities. Investigates the pricing of pooled assets, using Monte Carlo and other option pricing techniques, as well as various trading strategies used in these markets.
Professor: W. Torous
Leadership in Real Estate
Designed to help students deepen their understanding of leadership and increase self-awareness. They examine authentic leadership styles and create goals and a learning plan to develop their capabilities. They also participate in activities to strengthen their “leadership presence” – the ability to authentically connect with people’s hearts and minds. Students converse with leaders to learn from their insights, experiences, and advice.
Professor: G. Schuck
*** BELOW ARE CROSS-REGISTRATION COURSES OFFERED THROUGH OTHER DEPARTMENTS ***
International Housing Economics and Finance
Presents a theory of comparative differences in international housing outcomes. Introduces institutional differences in the ways housing expenditures are financed, and the economic determinants of housing outcomes, such as construction costs, land values, housing quality, and ownership rates. Analyzes the flow of funds to and from the different national housing finance sectors. Develops an understanding of the greater financial and macroeconomic implications of the mortgage credit sector, and how policies affect the ways housing asset fluctuations impact national economies. Considers the perspective of investors in international real estate markets and the risks and rewards involved. Draws on lessons from an international comparative approach, and applies them to economic and finance policies at the local, state/provincial, and federal levels within a country of choice.
Professor: A. Saiz
Real Estate Development Studio
Focuses on the synthesis of urban, mixed-use real estate projects, including the integration of physical design and programming with finance and marketing. Interdisciplinary student teams analyze how to maximize value across multiple dimensions in the process of preparing professional development proposals for sites in US cities and internationally. Reviews emerging real estate products and innovative developments to provide a foundation for studio work. Two major projects are interspersed with lectures and field trips.
Professor: D. Frenchman, K. Shen
Entrepreneurship in Construction and Real Estate Development
Develops skills necessary to incubate concepts for new real estate/built environment ventures and to evolve those ideas into viable startup ventures. Addresses the progression of an idea, from inception to opportunity to sustainable business. Students develop a business plan. Guest lecturers share their entrepreneurial paths and relevant experience. Explores the role of real estate developers in developing/emerging markets, with a focus on solving social development challenges, innovating new development strategies/products, and generating triple bottom-line returns with development projects.
Professor: J. F. Kennedy
Real Estate Ventures I: Negotiating Development-Phase Agreements
Focuses on key business and legal issues within the principal agreements used to control, entitle, capitalize, and construct a mixed-use real estate development. Through the lens of the real estate developer and its counter-parties, students identify, discuss, and negotiate the most important business issues in right of entry, purchase and sale, development, and joint-venture agreements, as well as a construction contract and construction loan agreement. Students work closely with attorneys who specialize in the construction of such agreements and with students from area law schools and Columbia University and New York University.
Professor: W. T. McGrath
Real Estate Ventures II: Negotiating Leases, Financings, and Restructurings
Focuses on key business and legal issues within the principal agreements used to lease, finance, and restructure a real estate venture. Through the lens of the real estate developer and its counter-parties, students identify, discuss and negotiate the most important business issues in office and retail leases, and permanent loan, mezzanine loan, inter-creditor, standstill/forbearance, and loan modification (workout) agreements. Students work closely with attorneys who specialize in the construction of such agreements and with students from area law schools and New York University. Single-asset real estate bankruptcy and the federal income tax consequences of debt restructuring are also addressed.
Professor: W. T. McGrath
Real Estate Products Development
Introduces core components of developing commercial real estate. Explores the process of developing, from initial site selection to site and design planning, entitlements, deal financing, and construction. Includes faculty and industry leader lectures, field trips, and group work on a real-time development case study.
Professor: J. Cookke
China Urban and Real Estate Research Seminar
Examines the behavioral foundations and key policy issues of urban development, real estate markets, and sustainability in China. Discusses urban agglomeration economies and location choice behaviors; real estate price formation and dynamics; land use, transportation, and smart growth; financial knowledge and innovations in real estate asset market; land property rights, land markets and policies; housing affordability policies and regulations; green cities and environmental policies; entrepreneurship and governance innovation in providing livable cities; and social responsibility in urban and real estate development, focusing on China but with some international comparisons.
Professor: S. Zheng
Financial Decision Making in Real Estate and Other Markets
Provides a rigorous introduction to the fundamentals of modern finance including valuation, risk analysis and investment decisions. Where possible, applications and examples drawn from real estate and mortgage markets.
Professor: W. Torous