HOW%20REAL%20ESTATE%20EDUCATION%20IS%20PERCEIVED%20AT%20AN%20ARCHITECTURE%20COLLEGE%20

1
HOW REAL ESTATE EDUCATION IS PERCEIVED AT AN
ARCHITECTURE COLLEGE BUILT ENVIRONMENT OR ASSET
MANAGEMENT?THE 5th EUROPEAN REAL ESTATE SOCIETY
EDUCATION SEMINAR

• João Manuel Carvalho
• Economist, MAS Urban Regional Planning, PhD
  Urban Planning,
• Professor at Universidade Técnica de Lisboa /
  Faculdade de Arquitectura

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TWO BASIC APPROACHES FOR REAL ESTATE EDUCATION

• Designation under which some schools have real
  estate and construction departments focused on
  non-economic subjects
• In Portugal there is no school in which all real
  estate subjects are grouped in such a way
• Overall designation for the economic and
  management approach to real estate
• Real estate as a scientific subject has mostly
  been developed under this approach and is mostly
  seen as belonging there.

BUILT ENVIRONMENT

• ASSET
• MANAGEMENT

3
CONTENTS

• What is the point?
• Context of analysis
• What is Real Estate?
• What should Architects be taught on Real Estate?
• How should Real Estate be inserted in College
  curricula?
• Conclusion

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CONTENTS

• What is the point?
• Context of analysis
• What is Real Estate?
• What should Architects be taught on Real Estate?
• How should Real Estate be inserted in College
  curricula?
• Conclusions

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WHAT IS THE POINT ? TO CHECK WHAT THE PLACE OF
REAL ESTATE CAN BE IN ARCHITECTURE COLLEGES

• 1) CHANGES HAVE OCURRED IN THE FINANCIAL MARKETS
  THAT REDUCE THE FINANCIAL CLOUT OF REAL ESTATE

2) ENVIRONMENTAL ITEMS ARE GAINING WEIGHT AND CAN
ONLY BE DEALT THROUGH PHYSICAL VARIABLES
3) THE BOLOGNA COMPETENCES APPROACH MIGHT
RECCOMMEND ARCHITECTURE TO BE TAUGHT REFERRED TO
MARKETS
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THE PLACE OF REAL ESTATE IN ARCHITECTURE COLLEGES
SHOULD IT BE ENHANCED IN THE NAME OF REAL
ESTATE EDUCATION?

• 1) PROBLEMS IN THE FINANCIAL SYSTEM ARE QUITE
  INTERTWINNED WITH REAL ESTATE MARKETS AND VALUES

Reputation effects for real estate that might
make real estate education funding more
difficult Real estate education being seen as
already included in finance education and
therefore not needing a place of itself
Possible consequences
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THE PLACE OF REAL ESTATE IN ARCHITECTURE COLLEGES
A NEW ROLE FOR PHYSICAL ITEMS IN REAL ESTATE
EDUCATION?

• 2) DESIGN BECOMES MORE IMPORTANT AS ENVIRONMENTAL
  ISSUES COME TO THE FOREFRONT

The social relevance of real estate may become
more centred on environment and less on
finance Real estate education would have a new
focus on sustainability, energy and management of
externalities Public space production may
acquire a stronger role in private developments
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THE PLACE OF REAL ESTATE IN ARCHITECTURE COLLEGES
A NEW ROLE FOR MARKET ISSUES WITHIN COLLEGE
ARCHITECTURAL EDUCATION?

• 3) BOLOGNA COMPETENCES MAY SHIFT ARCHITECTURE
  TEACHING FROM THEORETICAL/PUBLIC
  ORDER/NON-COMMISSIONNED TO MARKET ARCHITECTURE

• Architectural education will have a stimulus to
  approach real estate education
• Design issues would then be seen as value
  enhancing devices, through higher sales
  procceeds, lower costs (construction and
  operation) or both
• Real estate education would find in the
  relationship design-value a promising research
  and training field.

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CONTENTS

• What is the point?
• Context of analysis
• What is Real Estate?
• What should Architects be taught on Real Estate?
• How should Real Estate be inserted in College
  curricula?
• Conclusions

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CONTEXT OF ANALYSIS(the survey weighted
preferences)

• PhD Professors 32 valid questionnaires
• Architects (17), Urban Planners (4), Engineers
  (4), Landscape Architects (1), Geographers (4),
  Economists (1), Historians (1)
• The Faculdade de Arquitectura of Universidade
  Técnica de Lisboa (the largest and oldest
  Portuguese school of Architecture) first
  launched in the XVI century 1.800 pupils
• Small questionnaire with 5 questions
• what do you preferably associate real estate
  with
• what should be real estate in Architects
  education
• what are the European schools of Architecture
  you would take as reference
• how should real estate education curricula be
  provided
• how do you see yourself in-between university
  and professional market

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CONTEXT OF ANALYSIS(the rationale)

1. Find out up to what point Real Estate is a
   shared notion in the Architecture College culture
2. Verify if the dominant Real Estate concept
   complies with a contemporary market itemization
3. Know which might be the assigned purpose of Real
   Estate education within the Architecture
   curriculum
4. Check the previous results with what has been
   considered a good school of Architecture (e.g.,
   does it have Real Estate chairs?)
5. Acknowledge what would be the preferable way to
   have Real Estate education integrated in College
   curricula (e.g., is the Architecture College the
   best institution to provide it?)
6. Check it all with the interviewees degree of
   direct dependence on any kind of market (they
   mostly see themselves as academics i.e.,
   outside the market)

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CONTENTS

• What is the point?
• Context of analysis
• What is Real Estate?
• What should Architects be taught on Real Estate?
• How should Real Estate be inserted in College
  curricula?
• Conclusions

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WHAT IS REAL ESTATE IN THE ARCHITECTURE COLLEGE?

• 38 Real Estate Development 20 Real Estate
  Agency
• 17 Construction 14 Housing
• 6 Speculation on urban land 5 Real Estate
  Funds
• 0 Mortgage credit
• Relatively low proportion for Real Estate
  Development which is intriguing as Architects
  clients tend to be Real Estate Developers
• ConstructionHousing adds to 31 reflecting
  Architects perspective of client being a Housing
  Developer which is mostly seen as a Builder
  i.e., Architects seem to find it difficult to
  tell a Developer from a Contractor
• Financial aspects of Real Estate are only
  marginally mentioned
• On the other hand Agency has a strong image on
  Real Estate

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CONTENTS

• What is the point?
• Context of analysis
• What is Real Estate?
• What should Architects be taught on Real Estate?
• How should Real Estate be inserted in College
  curricula?
• Conclusions

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WHAT SHOULD ARCHITECTS BE TAUGHT ON REAL ESTATE?

• 24 real estate market 25 optimization of
  architectural design
• 14 real estate value 15 building
  management
• 13 quantity surveying 5 BIM procedures
• 4 real estate marketing
• Only 44 (optimization value BIM) can be seen
  as directly connected to design, which is the
  nuclear Architect s concern
• 28 (building management quantity surveying)
  relate to non-Architect specific professional
  fields and where construction features weight
  significantly
• Non-physically targeted knowledge (i.e., economic
  management issues) represents only 28.

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CONTENTS

• What is the point?
• Context of analysis
• What is Real Estate?
• What should Architects be taught on Real Estate?
• How should Real Estate be inserted in College
  curricula?
• Conclusions

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HOW SHOULD REAL ESTATE BE INSERTED IN COLLEGE
CURRICULA?

• 25 specific chairs in the Architecture
  curriculum
• 20 specific chairs in the Economics
  curriculum
• 20 specific chairs in the Engineering
  curriculum
• 18 specific chairs in the Management
  curriculum
• 10 specific course at an Architecture
  College
• 6 specific course at an Economics or related
  College
• 1 specific course at an Engineering College
• 73 dont seem to consider Real Estate should be
  dealt through specific courses, but rather as a
  complementary education
• Anyway, if a course, it should mostly be a
  Management Course

18
CONTENTS

• What is the point?
• Context of analysis
• What is Real Estate?
• What should Architects be taught on Real Estate?
• How should Real Estate be inserted in College
  curricula?
• Conclusions

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CONCLUSIONS

1. Lack of an educated approach to Real Estate
   which is detected through the underrating of the
   Developers and of the Investors roles.
2. Real Estate agency manages to introduce itself as
   the Real Estate, even among the highly
   educated.
3. The plight for a Built Environment approach in
   Real Estate education seems to be mitigated by
   the acknowledgement that Real Estate, if taken
   autonomously, is a Management concern.
4. When Built Environment is the major concern in
   Real Estate education it seems to be more focused
   on building than on design.

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CONCLUSIONS

1. Preferences envisage Real Estate education more
   as complementary (e.g., asset management chairs
   in Architecture and Engineering) than autonomous.
   
2. Architecture Schools of reference include, with
   high and similar weight, a school where Real
   Estate education is important (Delft) and another
   where it is not (Barcelona) and, for scattered
   mentions (9), 3 schools where Real Estate
   education is relevant (Valle Giulia, Viena and
   FAUTL itself) and 6 where it is not (Porto,
   Milan, Lausanne, Navarra, Leuven and Karlsruhe).
3. The overall feeling is that Architecture Colleges
   are an underdeveloped market for Real Estate
   education that deserve a try.