GY462 Half Unit
Real Estate Finance
This information is for the 2025/26 session.
Course Convenor
Prof Olmo Silva
Availability
This course is compulsory on the MSc in Real Estate Economics and Finance. This course is available on the MSc in Urban Policy (LSE and Sciences Po). This course is available with permission as an outside option to students on other programmes where regulations permit. This course uses controlled access as part of the course selection process.
How to apply: Priority: MSc Real Estate Economics and Finance (for whom this is a compulsory unit), then MSc Accounting and Finance students and then other students.
Priority is typically for students enrolled in Geography and Environment programmes, or joint degree programmes, however course specific availability is indicated via the 'Availability section' on the LSE course guide webpages. Guidance on how to apply to individual controlled access courses can also be found on LSE for You in the Graduate Course Selection system.
Please note: The number of students that can be accommodated is limited. If a course is over-subscribed, places will be allocated at the Department's discretion and a waiting list may be created. It is advised to have an alternative course in mind as a back-up in case you are unable to secure your first-choice course selection.
Deadline for application: Further guidance and information on course selection for Geography and Environment courses (GY4xx) will be available on the Geography and Environment Course Selection Moodle page which will go live from Monday 8 September and will be updated with course availability information daily throughout the course selection period. This page includes information on the timeline for course selection decisions in the Geography and Environment Department as well as the individual course application processes and requirements
A list of all taught master's courses in this Department are listed on LSE's course guide webpages.
For queries contact: geog.reef@lse.ac.uk
The number of students that can be accommodated is limited. If the course is over-subscribed, places will be allocated at the Department’s discretion and a waiting list may be created. For further details, please contact your relevant Programme Coordinator.
Course content
This course aims to provide students with concepts and techniques for analysing financial decisions in real estate development and investment. Topics include: basic real estate investment analysis and financial leverage; real estate investment performance and portfolio considerations; private equity in real estate, structured investment deals and waterfall analysis; fixed and flexible rate mortgage loans and mortgage payment issues; real estate development and development finance; and current and international trends in real estate (e.g., sustainability issues in real estate investment).
Teaching
2 hours of lectures in the Spring Term.
20 hours of lectures and 10 hours of seminars in the Winter Term.
This course has a reading week in Week 6 of Winter Term.
In the Department of Geography and Environment, teaching will be delivered through a combination of classes/seminars, pre-recorded lectures, live in-person and online lectures and other supplementary interactive live activities.
External interventions by real estate practitioners will be scheduled when feasible. Some enrichment (non-compulsory) activities related to the course might be scheduled during this period (e.g. sessions on cash-flow modelling in excel).
Formative assessment
Students will be expected to complete in-class exercises and up to two take-home case-studies.
A take-home mock-exam will be assigned to students towards the end of the term and marked prior to their exam. This is optional.
Indicative reading
Key texts are:
Brueggeman, W. B. and J. D. Fisher (2005) Real Estate Finance & Investments (13th edition or newer), New York City, NY: McGraw-Hill/Irwin [compulsory and essential]
Linneman, Peter (2004) Real Estate Finance & Investments: Risks and Opportunities, (2nd edition or newer). Philadelphia: Linneman Associates [optional]
A more detailed reading list will be handed out at the beginning of the course.
Assessment
Exam (70%), duration: 120 Minutes, reading time: 10 minutes in the Spring exam period
Presentation (30%)
The presentation will involve both individual as well as group work.
Key facts
Department: Geography and Environment
Course Study Period: Winter and Spring Term
Unit value: Half unit
FHEQ Level: Level 7
CEFR Level: Null
Keywords: real estate investment and finance, leverage, cash flow modelling, risk analysis
Total students 2024/25: 85
Average class size 2024/25: 21
Controlled access 2024/25: YesCourse selection videos
Some departments have produced short videos to introduce their courses. Please refer to the course selection videos index page for further information.
Personal development skills
- Self-management
- Team working
- Problem solving
- Application of information skills
- Application of numeracy skills
- Commercial awareness
- Specialist skills