BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH 1 Further Education in Real Estate in Germany at the Example of MBA „International Real Estate Management“ Biberach – London – Zurich presented by Professor Dr. Hans Mayrzedt, MSc. Course Director of Biberach MBA ERES Seminar Vienna Dezember 4-5, 2009

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH 2 1.Market Conditions for Further Education in Real Estate in Germany 2.Presentation of Biberach MBA 3.Review of Different Approaches: Points for Discussion 4.Message: Challenges of Further Education in Real Estate Contents of the Presentation ERES Seminar Vienna Dezember 4-5, 2009

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH 3 1. Market Conditions for Further Education in Real Estate in Germany 1.Which Market? 2.Germany: Latecomer with Rapid Expansion 3.Choice between „Immobilienökonom“ and Master Courses 4.Supply Surplus 5.Alternative Approaches ERES Seminar Vienna Dezember 4-5, 2009

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH 4 1.Which Market? narrowly defined ① Part-Time Courses supplied by Private Providers, financed from Fees ② Conditions for Application - business experience in contrast to „consecutive Master Course“, provided by government, financed from tax - with or without first academic degree ③ Generalist Approach – in contrast to Specialist Approach 1. Market Conditions for Further Education in Real Estate in Germany ERES Seminar Vienna Dezember 4-5, 2009

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH 5 1. Market Conditions for Further Education in Real Estate in Germany 2. Germany: Latecomer with Rapid Expansion Germany as a „Latecomer“ compared to UK starting during the 90‘s with „Immobilienökonom“ courses: private supplers with private certificate Rapid Expansion in Germany during the last two decades, supplemented by Master courses during the present decade: private suppliers in cooperation with universities Important Role of RICS Accreditation: Access to RICS Membership Introduction of government financed courses: government real estate cources only during the present decade: undergraduate and graduate („consecutive Master“) ERES Seminar Vienna Dezember 4-5, 2009

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH 6 1. Market Conditions for Further Education in Real Estate in Germany 3. Choice between „Immobilienökonom“ and Master Courses Most of the Participants of Further Education in Real Estate still finish with the Private Certificate „Immobilienökonom“ A Rising Share of Participants finishes with a Master Degree What is the Difference? Higher Demand of Master Courses on Participants - a first academic degree - more time to be spent Internationaly Recognized Master Degree Without a first Academic Degree Employees miss this Option ERES Seminar Vienna Dezember 4-5, 2009

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH 7 1. Market Conditions for Further Education in Real Estate in Germany 4. Supply Surplus Some Providers supply Courses in several Real Estate Centres, accepting large numbers of participants Medium Term Perspective: Stronger Rise of Supply compared to Demand Short Term Perspective: Restructering of Enterprises and the Crisis diminished Demand for Further Education ERES Seminar Vienna Dezember 4-5, 2009

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH 8 1. Market Conditions for Further Education in Real Estate in Germany 5. Alternative Approaches Correspondence Courses vs. Vocal Teaching In-house Seminars - provided by External Suppliers - provided by Staff of the Enterprise to be discussed in the third part of this presentation ERES Seminar Vienna Dezember 4-5, 2009

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH 9 2. Presentation of Biberach MBA The first Master Course for Real Estate in Germany since April 2002 with 9 Intakes including 2010/ Initiative from Biberach – Why? 2. Location Biberach 3. Partnership Biberach – London – Zurich 4. Target Groups 5. Intentions 6. Subject Qualification Aims 7. Contents of the Course 8. Structure of the Course 9. USP 10. In-house Seminars ERES Seminar Vienna Dezember 4-5, 2009

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Presentation of Biberach MBA 1. Initiative from Biberach – Why? Four Excellent Pre-Conditions ① Biberach University of Applied Sciences specialized in construction since its foundation in 1964 ② The first Business Administration Course for Construction in Germany since 1978, extended to real estate in 2000 Degree: Dipl.-Betriebswirt (FH), now B.A. and M.A. …

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Presentation of Biberach MBA ③ Bauakademie Biberach – Partner of the University for Further Education in Construction and Real Estate since 1983, postgraduate degree, awarded by the University in Business Management for Civil Engineers and Architects since 1989 ④ London South Bank University – our Partner University since 1984, offering a Master Course on Real Estate since many years

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Presentation of Biberach MBA Initiative from Biberach – Why? Development of the MBA Course „International Real Estate Management“ by professors of two departments of Biberach aided by Hearings with German Enterprises of Real Estate Construction and Real Estate Management Project Management in cooperation with London South Bank University, Department of Property, Surveying & Construction and a Swiss partner

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH 13 Stuttgart: 140 km München: 150 km Zürich: 190 km Karlsruhe: 200 km Basel: 220 km Nürnberg: 240 km : 280 km Salzburg: 280 km Frankfurt: 330 km Genf: 460 km Entfernungen: Salzburg Biberach München Zürich Basel Stuttgart Karlsruhe Frankfurt Nürnberg F CH A Düsseldorf:550 Düsseldorf:550 Wien: 590 km Berlin: 650 km Hamburg: 730 km 2. Presentation of Biberach MBA 2. Location Biberach ERES Seminar Vienna Dezember 4-5, 2009

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Presentation of Biberach MBA 2. Location Biberach Building: Administration and Lecturing

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Presentation of Biberach MBA 3. Partnership Biberach – London – Zurich Bauakademie Biberach London South Bank University Wüest & Partner Zurch - Geneva - Frankfurt Wüest & Partner Zurch - Geneva - Frankfurt Biberach University of Applied Sciences public private international

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Presentation of Biberach MBA 4. Target Groups High potentials among junior and experienced staff with a first academic degree from real estate and construction: developers, investors, architects, engineers, consultants, asset managers, property managers banks and insurance: investment and finance in real estate industry and services: staff for construction and real estate from different real estate centres in Germany and other European countries

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Presentation of Biberach MBA 5. Intentions by the course providers aiming at career promotion of course participants in real estate management by: providing „best practice“ by experienced specialists of business in combination with theoretical background promoting interdisciplinary analysis and cooperation focussing on important tools and working processes focussing on international aspects of real estate strengthening management abilities along the micro cycle of real estate; leadership and communication skills promoting networking

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Presentation of Biberach MBA 6. Subject Qualification Aims Generalist Approach Specialists in some fields of real estate enlarge their knowledge in further fields of real estate Specialists in design and construction are being introduced to all important fields of real estate

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Presentation of Biberach MBA 7. Contents of the Course Direct Investment in Real Estate Management along the micro cycle of real estate Real estate project development Research, finance, marketing, law, taxes, controlling Buying and selling real estate, valuation, asset management Outsourcing concept for construction and operation Cross-border transactions; project development abroad – law, transparency, tax, finance …

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Presentation of Biberach MBA Indirect Investment in Real Estate Portfolio management, Real Estate Funds and Reits, different investment products Global investment strategies Analysis of Relevant Markets for Real Estate Renting out and investment market, construction market, credit market, capital market Influences of business cycle, investment strategies and real estate cycles

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Presentation of Biberach MBA 8. Structure of the Course Duration 11 contact weeks during 13 months Home work: preparation for the course, home work during the 13 month period, Master Thesis Altogether it takes about 2 years to receive the MBA degree Teaching Methods Teaching in blocks with small groups Cooperation of academics and practitioners Lectures, workshops, case studies …

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Presentation of Biberach MBA Teaching Languages English and German Teaching Locations 6 weeks Biberach, 4 weeks London, 1 week Zurich Accreditations RICS, FIBAA Fee

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Presentation of Biberach MBA 9. USP for the Course Internationality Recognized Master Degree RICS and FIBAA Accreditation Teaching in Blocks with small Groups, Supervised by Course Directors only one Intake every year Participants not only from one, but from different Centres of Real Estate contents languages partnership locations lecturers & participants …

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Presentation of Biberach MBA Strong Involvement of Advisory Board of Eminent Personalities of Real Estate Alumni Activities at the National and „Regional“ Level Furthermore:

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Presentation of Biberach MBA Topics depending on individual needs of enterprises Some examples: - management methods - calculation - real estate project development - real estate portfolio management - real estate asset management - environmental law - building contracts in the context of town planning Duration: 3 to 5 days Preparation and Moderation by a Course Director 10. In-house Seminars

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Review of Different Approaches: Points for Discussion 1.Weekend Lecturing vs. Teaching in Blocks 2.Enterprises as Sponsors of Courses 3.Correspondence Courses 4.In-house Seminars 5.Combination of Approaches

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Review of Different Approaches: Points for Discussion 1. Weekend Lecturing vs. Teaching in Blocks Really preferable for Enterprises? Convenience vs. Qualitiy Advantages of Block Teaching intensity of learning interdisciplinary cooperation between participants compatibility with family life Advantages of Teaching in Blocks with Small Groups under close Supervision stronger inclination for participants to raise questions and to contribute to exchange of views supervisors establishing the context with other parts – of the same module and with other modules of the course

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Review of Different Approaches: Points for Discussion 2. Enterprises as Sponsors of Courses: welcome, but not without problems Limitation of employees of an enterprise to a course sponsored by it? Restrictions on choice between courses: either employees are not allowed to apply for other courses or they may apply but have to accept that the enterprise will not cover the fee Why not enlarging the choice between courses? considering the wishes of the employee his superior and the Head of HR

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Review of Different Approaches: Points for Discussion 3. Correspondence Courses Really preferable for enterprises and employees? employees remaining on their work-places Disadvantages missing the advantages of lectures and workshops smaller pressure to finish the studies on time

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Review of Different Approaches: Points for Discussion 4. In-house Seminars Duration: much shorter than courses Lower Costs External Providers for certain Topics ordered by an Enterprise or Internal Providers either on certain topics or to explain the work of different departments of the enterprise

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Review of Different Approaches: Points for Discussion 5. Combination of Approaches Courses and In-house Seminars Enterprises cannot do without courses supplied by professional providers In-house Seminars can supplement such courses according to specific enterprise needs Internal and External Providers of In-house Seminars Depending on the aim and the topic of the In-house Seminar internal or external providers are more suitable

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Message: Challenges of Further Education in Real Estate ① Enterprises and Universities have constantly to review Appropriate Answers to Changing Needs of Real Estate Business ② Management and human resource department have to find Individual Solutions for Optimizing the Mix of Different Approaches for Further Education ③ The quality of Courses has to follow Best International Standards; important role of RICS …

BAUAKADEMIE BIBERACH RECHTSFÄHIGE STIFTUNG PARTNER DER HOCHSCHULE BIBERACH ERES Seminar Vienna Dezember 4-5, Message: Challenges of Further Education in Real Estate ④ Considering Expansion and Diversity of Courses Need for More Transparency on Their USP and for Open Competition ⑤ Over-Capacity of Courses such as in Germany since some years has to be Removed by Market Forces based on needs from all market partners, i.e. without any arbitrary interventions ⑥ Candidates for Further Education should be enabled to put Forward Their Needs in the decision making process of the enterprise on the choice between courses