EIE311 Real Estate Development, Economic Analysis and Valuation
Credits (ECTS):10
Course responsible:Sølve Bærug
Campus / Online:Taught campus Ås
Teaching language:Norsk
Course frequency:Annually
Nominal workload:Ca. 40 hours of lectures and common supervision. Ca. 210 hours of self study or study in groups.
Teaching and exam period:This course starts in Autumn parallel. This course has teaching/evaluation in Autumn parallel
About this course
Introduction to DCF og NPV. Discount rates, Advanced micro-level valuation. Leverage and financing in practice. Real estate portefolios. Real options and land value. Leases and leasing strategy.
Learning outcome
Knowledge:
After completed course, the student should have knowledge on:
- tax and duties on commercial real estate
- characteristics of real estate leasing market
- development cost estimates
- commercial real estate profits
- investment value of commercial real estate and development projects
- the concepts of commercial real estate and real estate valuation
- the norwegian and english terminology of commercial real estate and real estate valuation of commercial real estate
- international valuation standards
- basic urban economics
- deep understanding of the risk and profits relation
Skills:
After completed course, the student should be able to:
- perform advanced economic analysis of real estate development projects
- perform advanced economic analysis in spreadsheets
- calculate shifts by the 4Q model
- efficiently search large information sets
General qualifications:
After completed course, the student
- knows the current practice in the Norwegian real estate business
- can extract relevant information from real estate business news
- can reflect on the ethical aspects of real estate development
- can reflect on the connection between economic estimates, real estate development and UN sustainable development goal 12
- can reflect on the connection between economic estimates, real estate development and innovation
- Lectures: aprrox. 4 h total per week by university staff and guest lecturers. Self study. Study in colloquium is recommended.
- EIE310 (Property market and analysis),
- BUS133 (Excel for Business) or equivalent knowledge of spreadsheets
- BUS220 (Finance and Investment) or equivalent.
- Basic knowledge of real estate and property development.
- A written 3 hour exam, graded A-F. An open-book exam where every aid is allowed, including the students own pc. Communicating with externals is not allowed. The design is intended to emulate a work-like situation under time constraint, where information seach also is a possibility.
Written exam Grading: Letter grades Permitted aids: C1 All types of calculators, other aids as specified - An external examiner will participate in the evaluatioin of all of the exams. A conference between the cours responsible and the external examiner will be held.
- Resyme of guest lectures. Alternatively, attendence at a number of guest lecturers' presentations, the number will be presented at the start of the course (usually 3). Must be deemed "passed", but do not count towards the grading.
- Ca. 40 hours of lectures.
- None
- Minimum requirements for entrance to higher education in Norway (generell studiekompetanse).