The mission of the Guthrie Center for Real Estate Research is to educate students, to support and foster research on real estate finance, real estate markets and urban economics, and to provide a forum for the engagement and continuing education of real estate professionals.
The Kellogg Real Estate Conference and Venture Competition Aims to Create Innovative Solutions
For the first time ever, the Kellogg School of Management hosted its Kellogg Real Estate Conference in conjunction with the Real Estate Venture Competition on April 27, focused on creating innovative real estate solutions and exploring the latest technologies in the commercial sector. The Real Estate Conference portion featured high-powered panels of experts discussing amazing adaptive re-use case studies and and capital markets, while the Venture Competition brought together 14 student teams from 12 international universities to pitch real estate venture ideas and compete for $100,000 in cash and prizes.
Real Estate Conference
The Kellogg Real Estate Conference focused on two panels and a keynote. The first panel included adaptive re-use, with presentations on redevelopment work for Twitter’s San Francisco office by Bob Underhill of Shorenstein, Google’s Chicago office by Scott Goodman of Sterling Bay, and an Apple building in New York City by Paul Pariser of Taconic.
The second panel focused on capital and markets, featuring Cia Buckley Marakovits of Dune Real Estate Partners, Jeff Horowitz of Bank of America, Mark Myers of Wells Fargo, and Mike Nash of Blackstone.
The fireside chat featured Linda Darragh, The Larry Levy Executive Director of the Kellogg Innovation & Entrepreneurship Initiative, as well as Larry Levy ’67, who shared his insights and experience transitioning from the role of restaurant entrepreneur to real estate developer.
The Kellogg team of Kendra Zehentbauer, Shane Corcoran, Frank Cohen, Tom Smithburg, Edward Yu, and Patrick Aylward (left to right in photo) took first place in the Kellogg Real Estate Venture Competition on April 27, 2016 with their idea of shared medical office space for physicians. Fourteen teams from twelve schools globally competed in the competition. Photo @ Eddie Quinones.
The 14 student teams pitched their ideas in the morning to a preliminary investment committee comprised of private equity investors. The top four teams – including teams from Kellogg, Oxford, University of Texas (McCombs), and Harvard – then presented to all conference attendees and a panel of judges, later in the afternoon. The structure of the competition simulated the real-world process of real estate entrepreneurs soliciting equity funds from private equity investors. Judges based their decisions off of criteria including quality of idea, feasibility, presentation persuasiveness, and the written plan.
An all-star panel of three judges were able to ask each team of finalists questions and provide feedback. The panel comprised of Neil Bluhm, Northwestern Pritzker Law School graduate and Co-Founder / Managing Principal at Walton Street Capital, Jeffrey Johnson, Kellogg graduate and CEO at Dividend Capital Diversified Property Fund, and Maury Tognarelli, CEO at Heitman.
Ultimately, one of two Kellogg teams won with their idea of a co-working shared office space for physicians in Chicago. The team, named Envoy Physicians, pitched a real estate opportunity that would consist of medical suites that would act as both office and exam rooms, as well as common areas for doctors to collaborate. In order to create a warmer and more comfortable environment for both patients and practitioners, the structure and design would intentionally stray from the traditional hospital aesthetic. The idea is tailored for Direct Primary Care (DPC), the next evolution of concierge medicine in which patients pay physicians directly every month. Envoy would provide the real estate and operation management for physicians seeking to practice DPC who might not have the business acumen or desire to run a business.
The other three finalists pitched a range of ideas, including McCombs’ concept of Home Run Derby, an entertainment venue specifically centered around baseball simulation games, similar to TopGolf, for cities like Austin or Houston. Harvard also advanced to the final round with a south Atlanta multi-family project in which a currently vacant apartment property would be rehabilitated for workforce families and managed to foster community engagement. The last team finalist Oxford pitched AgRomania, a venture that would aggregate agricultural land in Romania to be sold at premiums. Other ideas from the competition included high street urban retail spaces, micro unit apartments in Manhattan, and workforce housing in ski towns.
To learn more about the Kellogg Real Estate Conference and Venture Competition, contact Denise Akason