Real Estate Development Practicum joint course offering by McCombs School of Business and School of Architecture RE 389 Real Estate Practicum; unique 04130 ARC 386M Real Estate Practicum; unique 01200 CRP 389C Real Estate Practicum; unique 01660 Fall 2017 Tuesday & Thursday 11:00 12:15, Sanchez 426 Professors: Greg Hallman (McCombs) and Simon Atkinson (School of Architecture) Prof. Hallman - CBA 5.161, Greg.Hallman@mccombs.utexas.edu Prof. Atkinson SUT 3.130, simonatkinson@austin.utexas.edu Class website: Canvas Office Hours: Prof. Hallman, Wednesday 1:30 3:00, Thursday 1:30 3:00 Prof. Atkinson, Tuesday mornings before class and by appointment Course Description This course is designed to provide MBA and graduate architecture, design, and planning students with the experience of working on a development project. This semester we will be working with a site known as the Travis County Expo Center, operated and partially owned by Rodeo Austin. The property is only 9 miles from the University and downtown Austin, and the current owners, which include Travis County, the City of Austin, and Rodeo Austin, would like to explore possibilities for development that could include upgraded entertainment, housing, retail, office, or some mix in a multi-use project. A consultant report regarding possible redevelopment prepared for the property owners in 2016 is included on the canvas site and provides a reasonable introduction to the property and a description of a full-entertainment redevelopment. 1
Aerial of the site. 2
A diagram from the consultant report on the class canvas site. 3
This class meets twice a week. A daily schedule is included below. In each class meeting we will either have a speaker talking on some aspect of the development process such as entitlements and permitting, design, construction engineering, marketing, etc., or the groups will be working and/or reporting on progress either to the class as a whole or to the professors in small group meetings. For the course to work correctly and provide all students with the full development experience, it is important that all group members work on all aspects of the project. The project teams include both design students (architecture, design, planning) and MBA students. We expect MBA and design students to work together as much as possible on the design aspects of the project including the choice of product type (housing, office, retail, entertainment, mixed-use) and project scale and phasing. We also expect design students to be involved with the MBA students in the economic projections related to demand and pricing and construction costs that provide the important inputs to the financial pro-forma used to evaluate the financial viability and profitability of different design alternatives. We understand there will be times when the design students work on the design without the MBAs, and times when the MBA students work on the pro-forma modeling without the design students not all the work needs to be done with everyone in the room but we want the whole group caught up with all the work at least once a week in our class workshops and in the meetings you will sometimes have outside of class. Grading / Deliverables Assignment date % Class attendance and ongoing group updates in-class 10% Progress report including product type, scale, and layout Oct-20 20% Progress report including full financial pro-formas Nov-17 20% Final report and presentation 1 st wk Dec 50% Course Materials The required material for the course will be provided on Canvas. There is no text for the course, but we will post material throughout the semester on the canvas site and expect you to keep up with the readings that we post and read them before we meet. When speakers allow us to share their presentation slides we will post those slides to the canvas site. 4
Course Schedule meeting DAY DATE TOPIC 1 Thur Aug-31 Introductions, meet and greet, discuss project site, construct groups with random number draws from the coffee bag 2 Tues Sept-5 Rob Golding, Rodeo Austin, property manager and our client 3 Thur Sept-7 Site Visit Travis County Expo 4 Tues Sept-12 Professor Simon Atkinson, School of Architecture, on general considerations in site design, and initial design thoughts on our subject site 5 Thur Sept-14 speaker Jake Wegman, Assistant Professor, School of Architecture, on considerations in site design 6 Tues Sept-19 speaker Todd LaRue, RCLCO, on market research, city growth patterns, the basics of projecting demand 7 Thur Sept-21 speaker Melissa Neslund, Armbrust & Brown, on CodeNext, Austin s new zoning map designed to deal with growth by, among other things, adding density and incorporating transit corridors 8 Tues Sept-26 speakers Patricia Buckholz, Look, Think, Make, and Terry Mitchell, Momark Development, on branding and visioning for the project 9 Thur Sept-28 speaker Mandy DeMayo, City of Austin, on affordable housing, a topic involved in all urban development 10 Tues Oct-3 speaker Andrew Linseisen, City of Austin, on permitting projects with the City of Austin 11 Thur Oct-5 Prof. Greg Hallman on real estate finance in the development process including valuing land and projects, the sequence and types of financing, capital sources, construction of a basic development project financial pro-forma model 12 Tues Oct-10 speakers Bailey Harrington, civil engineer, Big Red Dog, Chi Lee, architect, Gensler, and Brian Ott, landscape architect, Nudge Design, on civil engineering considerations, architecture, and landscape 13 Thur Oct-12 work session 5
14 Tues Oct-17 penciled site visit or work session 15 Thur Oct-19 speaker, TBD, contractor, on construction 16 Tues Oct-24 work session / ULI Fall Meeting in Los Angeles (some MBAs will be attending ULI and not attending class) 17 Thur Oct-26 work session / ULI Fall Meeting in Los Angeles (some MBAs will be attending ULI and not attending class ) 18 Tues Oct-31 work session and/or site visit 19 Thur Nov-2 work session, possibly with outside mentors for some final guidance/opinion/help 20 Tues Nov-7 work session in-class reporting at least once a week 21 Thur Nov-9 work session in-class reporting at least once a week 22 Tues Nov-14 work session in-class reporting at least once a week 23 Thur Nov-16 work session in-class reporting at least once a week 24 Tues Nov-21 work session in-class reporting at least once a week 25 Thur Nov-23 Thanksgiving Holiday no class 25 Tues Nov-28 dry-run in-class presentations given by 3 or 4 groups 26 Thur Nov-30 dry-run in-class presentations given by 3 or 4 groups 27 Tues Dec-5 class time to be replaced by an evening presentation by all groups, held in Architecture school following a short wine and cheese reception for all class speakers and interested guests 28 Thur Dec-7 class time to be replaced by an evening presentation by all groups, held in Architecture school following a short wine and cheese reception for all class speakers and interested guests 6