MSRED Electives
Cross Registration Information for MIT and Harvard Students
Fall Course
Electives
11. 435 Mixed-Income Housing Development
Units: (3-0-6)
Instructor: Peter Roth
Location: 9-354
Monday, Wednesday, 8:30 - 10:00am
This course is intended to provide an overview of affordable and mixed-income housing development for students interested in the field, who wish to understand the fundamental issues and requirements of affordable housing, the process one undertakes to plan and develop such housing, and some practical experience assembling an affordable or mixed-income housing development proposal.
Course information will be presented in the form of lectures, guest presentations, site visits, and readings and other support material, paralleled by workshop/studio time each week during which students will work on a single semester-long project preparing a development proposal and public financing application for an affordable or mixed income housing project.
It is designed primarily for graduate students enrolled in Course 4 or 11 pursuing an MArch, MCP, MSRED, or related joint degree. There is no pre-requisite.
Course Evaluations (MIT Certificate Required)
15.401 Finance Theory I
Units: (3-0-6)
Instructor: Hui Chen
Location: E51-345
Section E, Monday, Wednesday, 1:00 - 2:30pm
Recitation: Friday, 1:00 - 2:00pm
Core theory of modern financial economics and financial management, concentrating on capital markets and investments. Topics: functions of capital markets and financial intermediaries, fixed-income investments, diversification and portfolio selection, valuation theory and equilibrium pricing of risky assets, the theory of efficient markets, and an introduction to derivatives.
11.345J/ 1.462J Entrepreneurship in Construction and Real Estate Development
H2
Units: (2-0-4)
Instructor: John Kennedy
Location: 9-354
Mondays, 3:00-5:00pm beginning October 31st
Explains the role of the entrepreneur in the Built Environment using case studies to outline different steps in developing
Real Estate, Construction, Architectural and related enterprises. Emphasis on strategic marketing and the implementation of the plan in the development of these businesses. Lectures address the progression of an idea to an opportunity to a sustainable business. Guest lectures from entrepreneurs in the built environment that outline the various entrepreneurial paths and characteristics they took to success. Team project consists of identifying an idea/opportunity and plan for developing a sustainable company.
Course Evaluation (MIT Certificate Required)
11.430J/ 15.941J Leadership in Real Estate
H1
Units: (3-0-6)
Instructor: Gloria Schuck
Location: 9-354
Monday, Wednesday, 10:30 am - 12:00 pm
The course provides theories, concepts and tools to craft, articulate and refine a "leadership point of view". Students converse with leaders in the real estate industry to understand the leaders' experiences and development.
Students complete multiple self-assessments to better understand their strengths and opportunities for growth. At the conclusion of the course, students have a deeper understanding of leadership; a better understanding of themselves and their authentic leadership style; an increased ability to "connect" with others, and a plan for the on-going development of their leadership capabilities.
Enrollment is limited.
11.351J Real Estate Ventures I: Negotiating Development-Phase Agreements
Units: (3-0-6)
Instructor: Tod McGrath
Email: wtod@advisore.com
Location: 9-354
Thursdays, 6:00 pm - 9:00 pm
This course will prepare students to negotiate the most important business issues within six of the principal agreements a real estate developer will negotiate in connection with the site control, entitlement, capitalization, and construction phases of a real estate development venture. More specifically, (i) the site control phase will focus on negotiating right-of-entry and purchase and sale agreements with a landowner, (ii) the entitlement phase will focus on negotiating a development agreement with a municipality, (iii) the capitalization phase will focus on negotiating equity joint-venture and construction loan agreements with capital providers, and (iv) the construction phase will focus on negotiating a construction contract and general conditions with a general contractor.
Students will spend 3 to 4 hours of class time discussing the most important business issues in each agreement, working closely with prominent real estate attorneys who specialize in the construction of such agreements. The journey through each agreement will end with a 1 to 2 hour negotiation session, with each party represented by counsel, just as in the real world. Students will generally alternate between negotiating the role of the developer and the role of the counter-party to the agreement. Due to this particular format of instruction, enrollment in the course is limited.
Course Description and Schedule
Course Evaluation (MIT Certificate Required)
Spring Course Electives
11.352J Real Estate Ventures II: Negotiating Leases, Financings, & Restructurings
Units: (3-0-6)
Instructor: Tod McGrath
Email: wtod@advisore.com
Location: 9-354
Thursdays, 6:00 pm - 9:00 pm
Designed as a continuation of Real Estate Ventures I (11.965), this course will prepare students to negotiate the most important business issues within seven of the principal agreements a real estate developer / investor will negotiate in connection with the value creation, financing, and restructuring phases of a real estate venture. More specifically, (i) the value creation phase will focus on negotiating
an office lease with a major law firm and a retail lease with a national retailer, (ii) the financing phase will focus on negotiating a permanent loan, a mezzanine loan, and an inter‐creditor agreement, and (iii) the restructuring phase will address the important financial, legal, income tax, and governance issues associated with the venture falling into financial distress and the need to negotiate standstill / forbearance and loan modification agreements.
Students will spend 3 to 5 hours of class time discussing the most important business issues in each agreement, working closely with prominent real estate attorneys who specialize in the construction of such agreements. The journey through each agreement will end with a 1.5 to 2 hour negotiation session, with each party represented by counsel, just as in the real world. Students will generally
alternate between negotiating the role of the developer and the role of the counter‐party to the agreement. Due to this particular format of instruction, enrollment in the course is limited.
Course Description and Schedule
Course Evaluation (MIT Certificate Required)
11.344J/ 1.472J Innovative Project Delivery
in the Public & Private Sectors
H1
Units: (2-0-4)
Instructor: Chris Gordon
Location: 9-354
Tuesday, Thursday, 4:00-5:30pm
Examines the compatibility of various project delivery methods, consisting of organizations, contracts, and award methods, with certain types of projects and owners. Six methods examined: traditional general contracting; construction management; multiple primes; design-build; turnkey; and build-operate-transfer. Consists of lectures, case studies, guest speakers, and a team project to analyze a case example. Key goal is a strong strategic understanding of how best to deliver various types of projects in the built environment.
Course Evaluation (MIT Certificate Required)
11.434/15.428 Tools for Analysis: Design for Real Estate & Infrastructure Development
H2
Units: (2-0-4)
Instructors: David Geltner, Richard de Neufville
Tuesday, Thursday, 2:30-4:00pm, 9-354
Recitations Thursdays, 4:00 - 5:00pm, 9-354
Introduction to analytical tools to support design and decision-making in real estate and infrastructure development. Particular focus on identifying and valuing sources of flexibility using “real options”, Monte-Carlo simulation, and other techniques from the field of engineering systems. The course integrates economic and engineering perspectives and is suitable for students with various backgrounds. Provides useful preparation for thesis work in the area.
Course Evaluation (MIT Certificate Required)
11.S945 International Housing Economics and Finance
Units: (3-0-9)
Instructor: Albert Saiz
Email: saiz@mit.edu
Location: 9-354
Monday, Wednesday, 9:30 – 11:00 am
The course will develop a theory of comparative differences in international housing outcomes. We will learn about institutional differences in the ways housing expenditures are financed, and about the economic determinants of housing outcomes, such as construction costs, land values, housing quality, and ownership rates. We will also study the flow of funds to and from the different national housing finance sectors, trying to understand the greater financial and macroeconomic implications of the mortgage credit sector, and how policies affect the ways in which housing asset fluctuations impact national economies. We will also consider the perspective of investors in international real estate markets and the risks and rewards involved. While we draw lessons from an international comparative approach, we will try to make them applicable to housing economic and finance policies at the local, state/provincial, and federal levels within your country of choice.
11.353J/15.429J Mortgage Securitization and Other Assets
Units: (3-0-6)
Instructor: Walt Torous
Email: wtorous@mit.edu
Location: 9-354
Tuesday, Thursday, 9:30 – 11:00 am
This course investigates the economics and finance of securitization. Securitization allows illiquid assets such as mortgages, leases, credit card and automobile loan receivables to be transformed into more liquid securities. Securitization also allows intermediaries to segment the risk and term structure characteristics of the underlying assets into a variety of alternative structures, thus expanding the domain of suitable investors. The basic mechanics of structuring deals for various asset-backed securities will be considered. The pricing of pooled assets using Monte Carlo and other option pricing techniques will be investigated as will be various trading strategies used in these markets.
