Curriculum and Course Description
The Global Real Estate Master (GREM) program is an intensive, full-time commitment. All instruction is in English. There is one intake per year in the fall semester. Your semester at UW-Madison runs from mid-August to December, during which you will complete the following:
- Minimum of five courses in real estate for three credits each
- One-week introductory real estate course in the first week of the program
- Study trip to a major U.S. real estate market
GREM graduates are effective leaders in cross-border investment, development, and finance in real estate. Specific courses include:
RE710 - Real Estate Finance (3 credits)
The trend in globalization of the world’s economies impacts all industries, especially real estate. Global investment capital continues to flow into new markets, multi-national corporations are demanding quality space in whichever country they operate, and best practices in the industry are developing and expanding across the global real estate professional community.
The course includes evaluating the role of financing and leverage in real estate investment analysis; identifying alternative types of financing; valuation of financial structure; sources of equity financing for real estate; mortgage securitization and the operaion of secondary mortgage markets.
RE715 - Real Estate Valuation and Feasibility Analysis (3 credits)
Since real estate assets are unique, expensive, complex,
infrequently traded, and often rely on capital from third party investors or
lenders, estimating the value of property is both critical to an efficient
capital market and challenging given the complexity of the market. Systematic
valuation methodologies have been developed for analyzing property
characteristics, gathering and evaluating market data, and applying multiple
methods to ensure reaching a reliable value conclusion. The successful real
estate professional is an expert in valuation. GREM graduates are able to
analyze any property type, apply a solid foundation of valuation tools and
techniques, and recognize value creating opportunities in the market.
The course uses commercial property appraisal techniques
to determine the feasibility of alternative programs of real property use.
Students work in teams to apply the techniques learned in the classroom to an
actual commercial property using current market data.
RE720 - Real Estate and Urban Economics (3 credits)
At the core of any successful investment strategy in real
estate is a fundamental understanding of the underlying dynamics of urban
markets. Real estate investment professionals are continually faced with
deciding which cities, locations, and properties offer the best long-term
investment potential. The course equips GREM graduates with a deep
understanding of what drives the growth and wealth of cities.
In the course, students analyze spatial relationships in
the urban economy, including urban land, labor, and housing markets; urban
transport; city governance and finance; and regional models. Particular
emphasis is placed on the economics of real estate, both residential and
commercial. Through a range of exercises—including a student paper with
original empirical work—we improve skills in data analysis, presentation, and interpretation
in urban and regional contexts.
RE740 - Real Estate Capital Markets (3 credits)
With the expansion of global capital flows comes the
development of increasingly sophisticated financial innovations in real estate
capital markets. Building upon a solid understanding of real estate equity
investment and mortgage debt financing, the course covers advanced financial
innovations, including securitized debt instruments, publicly traded real
estate companies, and private equity investment funds. Portfolios of mortgage
loans are often pooled and securitized, creating mortgage-backed securities with
a range of income, risk, and performance characteristics. GREM students learn
the economics of loan securitization from both the borrower and security investor
On the equity side, real estate investment trusts—publicly
traded investment vehicles with unique tax treatment and legal structures—are
becoming increasingly common in markets throughout the world. GREM students
learn the typical tax and governing structures, investment characteristics,
stock return behavior, dividend and capital structure policy, and relations
with the broader capital markets. Private equity investment funds in real
estate have developed common fund structures to align the interests of and
create incentives for investment managers and the capital providers. Examples
include pension funds, sovereign wealth funds, insurance companies, and high
net-worth individuals. GREM students learn to analyze fund structures and
governance—including waterfall models and deal prospectives—to be able to make
sound investment decisions.
GREM graduates are prepared to lead financial innovation
in real estate capital markets as they continue to expand across the globe.
Case studies, problem sets, and outside speakers will be used to enhance
RE750 - Commercial Real Estate Development (3 credits)
Real estate professionals drive the process for the development
of new real estate projects, thereby creating the urban built environment where
current and future generations will live and work. The quality of this built
environment has tremendous long-run consequences for the economic growth,
quality of life in our society, and sustainability of our planet. Sound
stewardship of the capital invested is critical to preserving and growing
wealth in society.
This capstone course provides an overview of the real
estate development process from project conception to asset disposition, with
particular focus on the role of the developer as the strategic coordinator of
many disciplines. GREM students will be exposed to best-known methods and
practices that developers utilize to conduct market research, site selection,
financial feasibility, regulatory review, neighborhood negotiations, design,
construction contracts, construction management, debt financing, private placements,
equity waterfalls, leasing, asset management, and disposition.
The course utilizes several learning methods, including
lectures with significant student participation, presentations by industry
experts, short case studies, a field trip to a development site, and analysis
of a local development opportunity followed by a presentation to a panel of
industry professionals. At the conclusion of the course, students will have
developed an interdisciplinary understanding of the many facets of the development
process and have an insightful understanding of the risks and rewards that
accompany each step of the process.