Leveraged Breakdowns

REPE Case Study

Underwriting a Construction Loan – Borrower Analysis

This is the second post in our ongoing REPE Case Study on how a real estate private equity construction loan is underwritten by potential lenders.  This installment will focus on borrower analysis.  If you haven’t had a chance to read the first post, you can do so by clicking here. The intent of this article …

Underwriting a Construction Loan – Borrower Analysis Read More »

Catch-Up Waterfall, Part Three: Introducing the Waterfall

Introduction The previous post answered the first question of the prompt, “what are the gross returns of this investment?” by building a simple real estate LBO model. This post will begin our journey to answer the second question of this REPE case study, “what net return should the LP expect to earn?” Of course, net …

Catch-Up Waterfall, Part Three: Introducing the Waterfall Read More »

Preferred Note Case Study, Part Six: Conclusion

Introduction This is the final installment of the preferred note REPE case study. You should begin at part one, otherwise this section won’t make much sense. But if you’re joining us from part five, we’re going to improve the sensitivity table that we ended with. This sensitivity table looks great, but let’s expand it. I’m …

Preferred Note Case Study, Part Six: Conclusion Read More »

REPE Interview Prep: Pro Forma Interview Questions, Part One

Understanding real estate pro formas is critical for any real estate private equity interview case study. The revenue and expense items for each major asset class should be in your muscle memory. Even if you haven’t made it to an repe case study round, the questions below will likely arise in your screener interviews. Make …

REPE Interview Prep: Pro Forma Interview Questions, Part One Read More »

Using Real Estate Investment Case Studies To Sharpen Your Skills

What exactly is a real estate investment case study? It’s basically a story problem like you had in algebra class. But instead of a train leaving Chicago going west at 45 mph, we have a building that is leased to Walgreens for 45 years. A case study is a set of facts that are used …

Using Real Estate Investment Case Studies To Sharpen Your Skills Read More »

Scroll to Top