Student consultants tackle data-driven challenges for real estate developer

A team of student consultants recently completed a semester-long project through the Center for Experiential Learning’s CFAR Practicum for Subtext, a nationwide real estate developer.

Subtext has over $1.6 billion in student and multifamily assets totaling 10,000+ beds across 15 major university and high-growth markets nationwide. The company’s CFO, Jim Brueggeman, described the consulting process and the value contributed by the students from the Center for Finance & Accounting Research (CFAR).

How did you decide to engage with students from WashU Olin’s CFAR Practicum? 

I was introduced to WashU CFAR by one of my colleagues in the industry who had participated in the program. He was confident that Subtext would be a good fit for the experience and was kind enough to introduce me to Tim Solberg and Buddy Soubra.

The CFAR program is a solid opportunity for students to get real-world experience in real estate. Because we truly care about creating places where students live their best lives, where they can grow and thrive, this goal resonates with us.

We are invested in the growth of St. Louis as St. Louisans ourselves, and we feel CFAR is a way to foster the partnerships and innovation that the universities here are doing to attract, engage, and grow talent in our region.  

Jim Brueggeman

What challenge did the student consultants tackle? 

We challenged the student consultants to research and evaluate 28 university markets, then further research student housing properties within those markets that would be attractive for a real estate acquisition. One of our core values at Subtext is being fueled by data. The project was designed for the students to really dig into the data, crunch the numbers, and use their own research and observations to determine whether a market or property would meet acquisition criteria.   

 What was the consulting process like with your student team? 

The process was very structured and organized. We provided the student consultants with data, data sources, and a template presentation model. The students were divided into 14 teams, each focusing on two markets. The teams did the research and presented their findings every Friday morning during the semester so that the Subtext team could provide feedback on the research, analytics and conclusions.

What kind of insights did the students provide? 

As Subtext develops student apartment complexes, the student consultants were able to provide a unique perspective. We asked for their thoughts on the ideal student housing experience in each market, including room size, unit configuration, features and amenities, safety and walkability. This insight into the desires and needs of an actual student group is invaluable to us.

Have you acted on any student recommendations? 

Subtext has extended our acquisition due diligence to several markets the students researched. While we have not purchased a project yet, we have several that are in contract negotiation.

How satisfied were you with the experience? 

I was very satisfied with the CFAR experience. I believe we achieved the goal of providing the students with hands-on experience and real-world perspective into the real estate business. It was refreshing to watch the students’ progress in their analysis and conclusions throughout the semester. Subtext extended internship offers to two project team leads, both of which were accepted. 

The opportunity to coach and mentor these bright and highly driven students was very meaningful to me. I have worked as an accountant for 30 years in private industry and had always been curious about teaching. The CFAR experience solidified my desire to teach for the last part of my career. I hope the relationship with WashU CFAR can last many projects into the future.

To learn more about the Center for Experiential Learning’s student consulting programs, email cel@olin.wustl.edu or visit olin.wustl.edu/external-partners.