COURSE SYLLABUS & OUTLINE Course Title: REAL ESTATE DEVELOPMENT X477.10 Quarter: Fall 2012 Instructor: MARK S. RUFF MBA MRED PDCM markruff@ucla.edu 818-432-1520 marksruff Meeting Times: Thursdays, September 27 th to December 13, 2012 6:30pm-9:30pm Location: Dodd Hall, Room 146 Office Hours: By appointment Course Description: Designed to provide students with a comprehensive understanding of the multidisciplinary field of real estate development, this course begins with an introduction to the basic roles and responsibilities of the real estate developer, then explores various issues specific to the development process, including market and site analysis; community planning; entitlements; the social, political, and environmental implications of real estate development; architecture and design; budgeting and financial analysis; construction; sales and marketing; and property and asset management. Various product types are studied, including land development, residential, multi-family, retail, office, hospitality, industrial, and mixed-use. Coursework includes lectures, case studies, guest speakers, homework, a Mid-Term, a Final Exam, and a team Feasibility Project. 1 Prerequisite: X475.1 Real Estate Principles or previous experience and consent of the Instructor. X477.9 Real Estate Investment Analysis is highly recommended as a prerequisite. Goals and Objectives: 1 We may complete the Feasibility Project in lieu of the Final Exam. We ll explore this more as the quarter progresses.
The objective of this course is to provide you with an understanding of the field of real estate development using a variety of teaching methodologies. We will take the perspective of a real estate developer and learn how to identify and analyze real estate development opportunities. After completing this course, you should be able to: 1. Understand the roles of the real estate developer and the skills and attributes necessary for success. 2. Know the major players in the real estate development process and their roles and responsibilities. 3. Gain familiarity with the risks specific to the real estate developer and the parameters that define success. 4. Perform limited financial analyses to assess the viability of any particular real estate development opportunity, regardless of the product type or asset class. 2 Required Readings: Grading: Professional Real Estate Development: The ULI Guide to the Business 3d Ed; Richard B. Peiser and David Hamilton, ULI Urban Land Institute 2012, ISBN 978-0-87420-163-5 Why this text? Rick Peiser was Executive Director of the USC Lusk Center for Real Estate Development while the Instructor was a student in its graduate Master of Real Estate Development program. The Instructor is familiar with Peiser s teaching methodology, terms, and style of writing and presentation. 503 Cricket Road Available for purchase from LuValle Commons bookstore or Harvard Business Online. William Levitt, Levittown, and the Creation of American Suburbia Available for purchase from LuValle Commons bookstore or Harvard Business Online. Course grades will be based on participation and completion of assignments as follows: % Item 10 Attendance and Class Participation 20 Homework and Case Studies 20 Mid-Term Exam (via Blackboard) 3 open book, open 2 The limited financial analyses presented will be a year-1 performance metric. A more thorough treatment of discounted cash flow models is reviewed in Investment Analysis or Advanced Finance.
note 25 Final Exam (via Blackboard) open book, open note 25 Team Feasibility Project Please consider the Instructor as the cranky seller who will not grant you an extension on your Due Diligence. Accordingly, unless arrangements have been made with the Instructor prior to the due date, no late homework assignments or case studies will be accepted NO EXCEPTIONS. Expectations: Students are expected to: 1. Read the assigned textbook chapter(s) and case studies prior to class and attend lectures prepared to discuss the material covered. Readings are to be completed prior to the corresponding lecture for that week. 2. Complete the Homework and Case Studies on time. Throughout this course, we will analyze both actual and hypothetical real estate developments of various product types and asset classes. It is imperative that you maintain current with the material we will cover each class session. Because the course is designed for one week s material to build on the prior week s, it is imperative to maintain current and thoroughly understand each Homework assignment and Case Study. 3. Participate actively in classroom discussion, the quality of which (not necessarily quantity) is a primary component of the classroom participation portion of your grade. Classroom participation will be measured on the basis of the Instructor s interpretation of the student s contribution to the group learning experience as well as attendance. Included in classroom participation is contribution in the Q/A sessions following guest speaker lectures (refer to the attached Course Outline for guest speaker schedules). 4. Thoroughly familiarize yourself with the Case Studies as presented and prepare case write-ups accordingly. Note that Case Studies are developments and/or developer biographies which we will analyze throughout the course and are an integral component of this class. Please note that ALL COURSE GRADES ARE FINAL. Blackboard: Although not a requirement of the course, the Instructor extensively utilizes the functions of the UCLA Extension Blackboard system. Please check the class Blackboard site frequently as the course will be supplemented with additional materials via Blackboard. Access to Blackboard requires Internet access. If you do not have Internet access, collateral materials will be provided by the Instructor in class. To 3 If you are unable to submit an exam by the due date, you must submit the exam prior to the due date, not after.
access the Blackboard system, go to: http://uclaextension.blackboard.com and enter your username and password which will be provided to you by the University. If you are unfamiliar with Blackboard or need additional technical support, please direct your inquiries to the Blackboard help desk. Help desk contact information is available at the Blackboard main page. Case Studies: A case study is a description of a situation, either actual or hypothetical, involving a decision(s) to be made or a problem(s) to be solved. The case study method of analysis is a learning tool in which students and the Instructor participate in direct discussion as opposed to the lecture method where the Instructor merely speaks and students listen and take notes. In the case method, students teach themselves with the Instructor being an active guide, rather than just a talking head delivering content. The focus through the case study methodology is on students learning through the joint, cooperative effort of student and Instructor. Case studies are used extensively throughout most graduate schools of business and real estate, and this course is no exception. To purchase the case studies, go to www.harvardbusinessonline.org. Further details on how to do your case study write-ups will be presented at the appropriate time. Networking: UCLA Extension openly supports networking opportunities among students, and the Instructor firmly supports this goal. Accordingly, periodically throughout the quarter, in-class networking opportunities will be provided and supported. Incompletes: The interim grade of Incomplete may be assigned when a student s work is of passing quality, but a small portion of the course requirement is incomplete for good cause (e.g., illness or other serious problem). It is the student s responsibility to discuss with the Instructor the possibility of receiving an I grade as opposed to a nonpassing grade. The student is entitled to replace this grade with a passing grade and to receive unit credit provided the student completes the remaining coursework satisfactorily, under the supervision of and in a time frame determined by the Instructor in charge, but in no case later than the end of the next academic quarter. At that time, the Registrar will cause all remaining incompletes to lapse to the grade F. Note: Receiving an I does not entitle a student to retake all or any part of the course at a later date. 4 Student Behavior involving cheating, copying another s work, or plagiarism in any form is not tolerated and will result in appropriate academic disciplinary action. Students are responsible for being familiar with the information on Student Conduct in the General Information section of the UCLA Extension Catalog or on the website at www.uclaextension.edu. The Instructor firmly adheres to the University s policy on academic integrity. 4 For further information regarding this issue, please consult the UCLA Extension catalog or other appropriate University personnel.
COURSE OUTLINE [This Course Outline is subject to revision at any time. Note that the Instructor will periodically assign additional readings and developer profiles for review and consideration. Collateral materials will be distributed via posting at Blackboard.] Guest speakers will be scheduled according to availability. Date/ Week # Sep 27 Wk 1 Oct 4 Wk 2 Oct 11 Wk 3 Oct 18 Wk 4 Oct 25 Wk 5 Nov 1 Wk 6 Nov 8 Wk 7 Nov 15 Wk 8 Nov 22 Wk 9 Nov 29 Wk 10 Dec 6 Wk 11 Dec 13 Wk 12 Topics and Activities Course introduction and overview of syllabus; class introductions; intro to real estate development; Chap 1 The development team; organizing for development Required Reading and Assignment(s) None prior to class; read Peiser Chap 1by 2 nd mtg Peiser Chaps 1 and 2 [creating the right team]; Assign Case Study #1: 503 Cricket Road Land development [part 1] Peiser Chap 3; Case Study #1 due; Assign Case Study #2: William Levitt, Levittown, and the Creation of American Suburbia Land development [part 2] Peiser Chap 3; Case Study #2 due; review Levittown case study; Movie: The End of Suburbia Multi-family development [part 1] Peiser Chap 4 Multi-family development [part 2] Peiser Chap 4; Assign Mid-term exam Office development Peiser Chap 5; Mid-term due; Industrial development Peiser Chap 6; Retail development [part 1] N.B.: No class 11/22 due to Thanksgiving Holiday make-up class date TBD Peiser Chap 7; Assign homework Retail development [part 2]; Peiser Chap 7; Homework due; Trends and issues Peiser Chap 8; Assign Final exam Team feasibility projects due Team presentations; [Final class] Final exam due