Yes, they can!
Over the last seven years, Costello College of Business graduate students at George Mason University have successfully financed real estate development through an actively-managed private equity fund. These students are enrolled in George Mason’s Master of Science in Real Estate Development (MRED) program; and manage the multimillion-dollar Patriot Real Estate Fund as part of their coursework in the program. The student managers evaluate, participate, and oversee a portfolio of commercial real estate projects inside the fund.
Since 2018, $2 million of investment capital has been raised from investors through Patriot Real Estate Fund I and II. Sixty-five MRED students have gained hands-on experience in every facet of real estate fund management. The two funds have thus far invested in sixteen different projects in the National Capital Area across multifamily, retail, industrial, office, and self-storage asset classes, providing students opportunities to understand how to analyze opportunities on the project level as well as on the portfolio level. Financially, the funds successfully exited from two projects and have distributed over $300,000 to investors and provided exposure to a diversity of commercial real estate investments. The funds continue to seek out new opportunities that are profitable and provide significant educational value.
A Bold Experiment
The vision for a student-managed real estate investment fund was born inside the Center for Real Estate Entrepreneurship (CREE) at the Costello College of Business. The CREE Advisory Board envisioned a real estate education beyond classroom learning. The goal was to create a living laboratory that would empower MRED students to learn the skills and realities of real estate finance not from a textbook—but from the deployment and management of investors’ hard earned money into projects that they had personally vetted.
This vision became a reality in 2018 when the Patriot Real Estate Fund I secured an initial $750,000 from 13 investors. In 2022, the Patriot Real Estate Fund II was launched, raising $1.25 million, approximately 30 percent of which came from MRED alumni.
A Hands-On Apprenticeship in Real Estate Investing:
Today, our student managers proudly oversee the two funds. While the program generates income for investors, its profound impact lies in the unparalleled learning experience it offers. Student managers embark on a rigorous, year-long commitment that begins with essential foundational knowledge. Under the guidance of seasoned real estate professionals Roger Lin, MS Real Estate Development ’16 and Tyler Kasak, MS Real Estate Development ’18, they delve into critical investment concepts of risk and reward, real estate entrepreneurship, joint-venture structures, capital stacks, and various legal matters. Beyond the core curriculum, the program brings in leading real estate experts offering real world experiences through guest lectures.
When new investment opportunities emerge, the class collectively analyzes and votes on whether to proceed with underwriting. If an opportunity passes this initial scrutiny, the student managers craft a detailed investment memorandum and present their findings to the Investment Committee—a panel comprised of some of the region's most accomplished real estate professionals.
The semester culminates in a robust demonstration of their expertise. Student managers prepare a comprehensive annual report on both Fund I and Fund II and a formal oral presentation of each investment's status to the Investment Committee. The hands-on engagement continues throughout the summer and fall. Student managers and faculty advisors conduct site visits to each investment property, collaborating directly with sponsors. Throughout the year, the class evaluates new opportunities as they arise. This is not old school education; it's an immersive apprenticeship in the complex world of private equity and real estate investment.