In this episode, The Real Estate Addicts throw it back to their roots as they are joined by Professor Jonathan Keefe of the BU Program for Real Estate Studies. REA co-host, Marc Savatsky met Jonathan in 2011 when he began exploring a career transition from construction to real estate development and enrolled in Jonathan’s evening course, Fundamentals of Investment Analysis. Aside from helping to run the BU program, Jonathan is also the Managing Director of Strategic Services at Cushman and Wakefield where he provides a unique blend of executive and consulting experience to help clients optimize their real estate organization, strategies, portfolios, transactions, projects, and operations.

In our conversation, we revisit some of the same the same analytical techniques covered in Jonathan’s course which each aim to help developers make effective decisions about the acquisition, development, financing, and disposition of investment properties.

Topics discussed include: Time value of money; aftertax discounted cash flow analysis; net present value; internal rate of return (IRR); investment decision rules; income capitalization and debt coverage ratios.