Property Finance & Funding |
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| Access
to the module information
When you have sucessfully applied for this course,
and payment received, you will be sent a letter
which will outline the information required for
this module. This will include a direct link to
the private area of the module website. |
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Introduction |
This module explores the complex issues surrounding
property finance and funding. It aims to provide
an understanding of the conditions surrounding the
provision and use of debt and equity in corporate
and project form at an advanced level. These themes
are supported by a case study approach and a computer
demonstration to explore the quantitative analysis
necessary to fully appreciate the risk return implications
of different forms of finance. |
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Learning Aims and Objectives |
To develop participants’ ability to: |
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Measure and critically evaluate
the risks associated with finance for investment
projects, taking account of individual investor
preferences; |
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Evaluate the advantages and disadvantages
of different sources and types of finance
and funding on investment risk and return,
with reference to the principal lenders and
their typical finance terms and conditions,
matching them to individual investor profiles;
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Explain the implications of ‘leverage’
in property investment; |
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Analyse the cash-flow implications of structured
finance to individual investors; |
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Demonstrate critical awareness of the application
of hedging techniques to limit interest and
equity risks. |
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Module Requirements |
Successful completion of (or exemption from) the
foundation modules. |
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Indicative Content |
· Types and sources of equity and debt
finance, with reference to the principal lenders
and their typical lending terms;
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Risk limitation techniques;
· Mezzanine
Finance / Participating Mortgages;
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Property finance markets;
· Future
evolution of the finance market
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By the end of this module, you should be able
to: |
· Investigate and analyse critical current
trends in the UK property finance market, explaining
the implications of these trends to individual
investors;
· Critically evaluate and select forms
of property finance according to their appropriateness
in different investment scenarios;
· Evaluate the relative characteristics
of a) debt and equity and b) corporate and project
finance, with regard to their application to investment
projects.
· Evaluate, select and apply risk-reduction
techniques that can be appropriately applied to
property finance;
· Analyse and explain the form, content
and obligations of contracts containing finance
arrangements;
· Evaluate the taxation implications of
different forms of property finance.
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Recent participating organisations: |
Warner Estate Holdings |
Lehman Brothers |
Dechert |
Workspace Group |
Nelson Bakewell |
Grosvenor |
Morley Fund Management |
Standard Life Investments |
Nationwide Building Society |
Morley Fund Management |
ING Real Estate Investment |
Cushman & Wakefield Healey & Baker |
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Module Leader: Werner Bäumker, Grosvenor |
Werner
normally works at Grosvenor as Group Projects & Investments
Manager, reporting directly to the Group CEO and Group Projects
Director, and is responsible for business development and strategic
planning in achieving better practice across the Grosvenor Group. He is
currently on sabbatical. Previously, he worked at Deutsche Bank AG in
Frankfurt am Main, Germany in the areas of fund management and real
estate investment banking.
Werner
holds a BSc International Business (Hons) from Warwick Business School,
University of Warwick, an MPhil in Real Estate Finance (Distinction)
from Cambridge University, and is currently pursuing a part-time PhD in
Real Estate Finance at Cambridge University. |
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Recent Contributors: |
William Rodney – Cass Business School
Morgan Garfield – Deutsche Bank
Hans Vrensen – Barclays Capital
Andrew Petit – Revcap
Melville Rodrigues – Mayer, Brown, Maw &
Rowe
Alex Price – Palmer Capital Partners
Ian Marcus - CSFB
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