Modul Real Estate Principles
The module Real Estate Principles aims at providing students with a thorough understanding of real estate development, urban planning and development theories, the fundamentals of real estate law and national valuation approaches. Students will get deeper insights into the reciprocal relationships and influences between real estate valuation, real estate law, urban planning and real estate development. The thorough focus on the development of various property types is reflected in presentations of well-regarded practitioners and case studies. They enable the students to work with a focus on the value-creation of real estate projects as well as to structure the required steps in the process.
After completion of the module students are able to understand the basics of real estate decision making.
1st Course: Fundamentals of Real Estate Development
The course Fundamentals of Real Estate Development aims at introducing students to the development of different types of real property as well as urban planning and development theories. The students will learn to appreciate the importance of location, its surroundings and their joint development as well as to apply these in feasibility studies. The first session will take place at one of the leading German real estate banks namely Aareal Bank. The students will listen to several presentatons delivered by senior managers of Aareal bank. This half-day excursion serves as the kick-off event in order to introduce the students to the real estate industry.
After completion of the course, students are able to judge a commercial property (office, retail) itself from the point of view of functionality as well as its urban context and how it fits to it (feasibility analysis).
2nd Course: Real Estate Valuation
The course Real Estate Valuation aims to introduce students to national real estate valuation approaches as well as to the fundamentals of tenant law. Students will get deeper insights into basics of valuation (German Verkehrswert, Fair Market Value, Mortgage Lending Value) and the different valuation methodologies. Furthermore, the data necessary for real estate valuations (location, quality) and their influence on valuation results will be discussed.
After completion, students know how to apply valuation methods (income, sales comparison as well as cost approach) in a German context. This serves as basis for the decision making process in real estate investment and finance.