Press

Many and varied avenues to the industry pinnacle

Tertiary qualifications, while increasingly common in the industry, are not yet obligatory, writes Peter Woods.

Reaching the upper echelons of the property business now seems to require a degree - and a degree in property management is the instrument of choice. However, agency commentators say they are looking for much more than a degree.

Many skills are required to succeed in the modern property business. Many pathways are open and a property-specific degree can be collected along the way.

CB Richard Ellis’ Sydney-based human resources regional director, Elaine Wilson, confirms a degree in property economics or a related discipline is becoming the norm in the commercial and industrial property business. But a background in professional services or consulting in property related industries, investment banking and, in some cases residential real estate - but only if supported with strong tertiary qualifications - is also good.

"Commercial property is significantly different from residential real estate," she says. "Most core revenue is derived from long-term client relationships and successful sales staff have to be willing to spend the time developing trust and the relationship with a client before looking to take a ’quick fee’.

The general manager of human resources at Colliers International (and heads of programmes at rpo group), Alfy Nunez, confirms property economics gives candidates a broad  understanding they can use. "Many universities are now offering property economics degrees, but the training for cadets - degreed or not - can often start in the retail side for a few years," he says.
"Those with a property economics degree also may then become a valuer and then both [streams] will move on to associate membership of the Australian Property Institute."

Many who have gone into property economics degrees, he says, do so with a view to becoming asset managers or valuers. "Now, we see the teaching broadening," Nunez says. 
"Graduates may go directly into the brokerage or agency side. Where that knowledge is valuable is in understanding and dealing with customers’ needs. It’s the breadth of knowledge that used to be won in an  ’apprenticeship’ through the early years working in an agency or brokerage."

Everywhere, however, says managing director of property services company DTZ in Queensland, Andrew King, "success in the industry demands the ability to commence and complete projects - and sticking power."Recruits are coming to the industry from vocational degrees such as property economics, but alsofrom areas such as business management, commerce, economics, architecture, built environment, valuation, town planning, surveying and more."

Nunez confirms that a property degree may be a second or third degree. Not only cadets but mid-career workers are also taking them. "The Colliers culture requires that we assess candidates as much from the viewpoint of the past life experience they can bring to the company," he says.
"Are they capable of further development - do they have the knowledge and understanding to make further progress? "The degree is not the deciding factor - it’s more whether they have the competency to get the degree. We look at the life before the degree. The more specialisations you can have the better. "Bringing to bear the knowledge is the core skill - that’s the business reality."

Recruits who have experience in business and in the workforce have an advantage. "Those without degrees who have work/life experience, entrepreneurial spirit and are assessed with the capacity to succeed may be selected, and go on to do the degree, perhaps as a second or third  qualification," he says.

Jonathan Rivera, Colliers International’s residential research director, recommends his own discipline as a good way into the industry.
"Research is the gateway to the property industry," he says. "It’s a key stepping stone for those entering the property market as it provides insight into the various facets of the property market." Rivera says analysts will preferably have a tertiary education in business marketing, commerce, town
planning, urban design, economics or property economics.

King sees the bigger property organisations’ training programs providing new recruits with a broad understanding and capability in the industry. "The training turns out knowledgeable, disciplined, networked people for the whole industry," he says. "Starting out, the best place is in the agency side.
That will deliver a broad training, a solid grounding and a set of skills that can make them successful in all the sub-sectors of the industry".

KEY POINTS

• A degree in property economics or a related discipline is now common in the commercial and industrial property business, as is experience in professional services/consulting in property-related industries, investment banking and real estate.
   
• Life experiences,varied specialisations and sticking power are also valuable.
   
• Agency work also delivers invaluable training and a solid grounding.