Adventuring into the World of CRE - S1E1

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Welcome to the Adventures in CRE Audio Series! In the first episode of the series, we talk with the creators of the Adventures in CRE website, Spencer Burton and Michael Belasco. We discuss the site’s inception, evolution, and growing and evolving community. We also discuss the audio series and preview how it provides insights and answers to many of the questions Spencer and Michael field regularly from their readers on topics such as real estate financial modeling, careers, education, and the commercial real estate industry in general.

Interested in being a guest on our Audio Series? Click here to contact us with your idea.

About this Episode – Adventuring into the World of CRE

Michael and Spencer tell the story of their initial ambitions with the site, which was primarily meant to fill a lack of online resources related to real estate financial modeling. The goal was to also help the both of them expand their knowledge and skill sets in areas that were of critical importance to their careers and share that work and what they learned with others.

Over the years, the site has grown to cover other topics its readers have asked about. A.CRE focuses on sharing quality content around three main areas our readers care about most:

Learning and using advanced concepts in real estate financial modeling.
Gaining the education needed to be successful in commercial real estate.
Preparing for and advancing a career in commercial real estate.

Show Notes – S1E1: Adventuring into the World of CRE

[05:20] The Importance of Financial Modeling

Spencer and Michael discuss late nights in the library trying to figure out real estate finance and financial modeling.
They have a mutual passion for financial modeling – which is absolutely essential in commercial real estate.

[06:55] The Adventures in CRE Website

In 2014, their first blog post went live.
In general, if you want to know something you Google it. As they began to research real estate terms like waterfall modeling and terms in commercial real estate – there wasn’t a lot of readily available information. They could only find expensive courses online.
There was not a lot of convention around many financial modeling terms. When you googled a term online, you would receive contradictory information.
The website was a way to share their knowledge with others. It grew so fast because there was a need. Eventually, it grew on its own – they learn just as much from feedback and questions that are asked.

[13:00] Where content and idea come from

An MIT student wrote a thesis on Stochastic Analysis using Monte Carlo Simulations for real estate, which isn’t done.
This thesis was shared by one of their Adventures in CRE readers.
The blog became an outlet for concepts they wanted to learn more about.
Learn more about using Monte Carlo Simulations in Real Estate Analysis

[16:40] The Evolution of the Adventures in CRE Website

They started with a basic WordPress blog theme.
The quality of the blog posts themselves was not formatted well to be easy to digest. The audio quality of the early videos was pretty bad.
However, the underlying content itself hasn’t changed, but the quality of how it is delivered has vastly improved.

[20:10] Events Calendar

The younger professionals don’t know what opportunities are available to them, organizations are they should be part of.
Michael and Spencer are working on compiling all the events in one space for people to track.
Content comes organically based on what they hear and their own personal interests. So the event calendar came up naturally.

[23:45] Becoming Fully Efficient in Real Estate Financial Modeling

To become fully efficient in real estate financial modeling, go the Adventures in CRE website, read their posts, and download the models.
Use LoopNet for case studies and practicing financial modeling.
People will go to a weekend boot camp to understand financial modeling and feel more lost than ever.
Spencer and Michael understand what it’s like to know nothing; they know how to explain it to someone starting from the ground up.
If you want a proven program to learn financial modelling in less time, visit adventuresincre.com/accelerator

[30:40] What to Expect from the Audio Series

The goal is to answer questions they get from listeners and readers of the site.
Many of the questions they get from listeners are the same, so having the audio will help make the information readily available to everyone.
Because commercial real estate is a huge business, it will be the goal of the audio series to bring on industry experts to share career and other insights into the industry.
and much more!

Resources from this Episode

Adventures in CRE: https://www.adventuresincre.com/
A.CRE Accelerator: https://www.adventuresincre.com/accelerator
ULI Hines Competition: https://americas.uli.org/programs/awards-competitions/

Frequently Asked Questions about Adventuring into the World of CRE (A.CRE Audio Series S1E1)

What inspired the creation of the Adventures in CRE website?

Spencer and Michael created the site to fill a lack of online resources related to real estate financial modeling. It also helped them expand their own knowledge in areas critical to their careers and share what they learned with others. “There wasn’t a lot of readily available information… The website was a way to share their knowledge with others.”

What are the three main focus areas of A.CRE content?

The content on A.CRE focuses on:

Learning and using advanced concepts in real estate financial modeling

Gaining the education needed to succeed in commercial real estate

Preparing for and advancing a career in commercial real estate

How did the A.CRE website evolve over time?

Initially, it used a basic WordPress blog and had poor formatting and audio quality. Over time, the quality of delivery improved significantly while the underlying content remained valuable. “The quality of the blog posts themselves was not formatted well… but the quality of how it is delivered has vastly improved.”

Why is financial modeling considered essential in CRE?

Spencer and Michael emphasized that financial modeling is “absolutely essential in commercial real estate.” They shared their early struggles and passion for mastering it, which ultimately led to the site’s founding.

How can beginners become efficient in real estate financial modeling?

They recommend reading posts on Adventures in CRE, downloading and practicing with the models, and using LoopNet for case studies. They also suggest the A.CRE Accelerator for structured learning. “People will go to a weekend boot camp… and feel more lost than ever.”

What is the purpose of the A.CRE Audio Series?

The audio series aims to answer frequently asked questions from A.CRE readers and listeners, while bringing in experts to share insights on careers and commercial real estate. “Many of the questions… are the same, so having the audio will help make the information readily available.”

Where does A.CRE get its content ideas from?

Content is inspired by questions from the A.CRE community and personal interests of the creators. For example, a reader once shared an MIT thesis on Monte Carlo Simulations, which sparked a blog post and exploration of that topic.

What resources are recommended for aspiring CRE professionals?

The episode recommends the A.CRE website, downloadable Excel models, LoopNet for practice, and the A.CRE Accelerator program. They also mention the value of participating in events like the ULI Hines Competition.