Fall 2008: Real Estate

Many of us have heard the biblical parable about the wise and foolish builders, who built houses on rock and sand, respectively. Without a sturdy foundation, the foolish builder’s house on sand is washed away while the wise builder’s house on rock stands the test of time.

National real estate trends have riveted consumers for the past two years, yet the mantra “location, location, location” still holds true. Home prices and sales rates can be so volatile even within local markets that wide variances can occur even with the same neighborhood. But, on a national scale the subprime mortgage meltdown morphed into tumbling home values, rising foreclosures, slowing sales, and a credit crunch extending into financial transactions unrelated to residential real estate. The commercial real estate market, while impacted by the changing economic climate, has managed to avoid the implosion experienced in the residential sector.

Over the past year, the real estate industry has been making headlines and become a topic of discussion among most Americans-specifically, the housing market. After all, when most people think about real estate, they immediately picture a house. However, the real estate industry covers a vast spectrum of interdependent sectors. These featured alumni each discovered a niche within this multi-faceted industry that was signature to his or her skill set. Whether they are involved with construction, consulting, commercial and residential real estate, appraisal or investments, these alumni all have a true affinity for the industry.

The cost of progress made national headlines in 2005 with the case of Kelo vs. City of New London, in which the U.S. Supreme Court granted local governments the authority to seize private property for private economic development for “public use,” as interpreted in the Takings Clause of the Fifth Amendment. The issue of property acquisition resurfaces as we examine the proposed development of the Trans-Texas Corridor and its potential positive and negative impacts on property owners in the path of this development.

For most Americans, the closest they come to real estate transactions are the basics: purchasing a home, renting an apartment or leasing commercial office space. And most will agree, those transactions are complicated. To even begin to think about commercial and investment real estate can be downright intimidating.

Much has been made of the recent real estate market downturn. As the media decries the dismal state of the real estate industry, it’s been very eye-opening for me to observe the countless agents who have continued to thrive in this market. For many, 2007 and the first half of 2008 have been the most productive phases in their real estate careers.

It was Thanksgiving of 1909 when Baylor University held its first Homecoming celebration. Now, 99 years later, Baylor’s Homecoming tradition still evokes sentimental recollections as graduates return to campus this year on the weekend of Oct. 31-Nov. 2.

Their clients and co-workers say that the founding partners of Fuller Group Realty Advisors have fantastic chemistry. They work very closely with one another, and have the same set of values and goals. Their styles complement one another. Sometimes they even finish each other’s sentences. But that might be expected of Curt and Clint Fuller, since they’ve been working together since before they were born. They are twins, and are quick to point out that their bond began before birth and has grown stronger for 40 years. And they believe that’s not only an advantage to them, but also their clients.

Although she graduated from Baylor with a degree in Education, Nancy T. Richards has a passion for business. Richards’ determination and business savvy has led her to making quite an impact in the real estate industry.

Collaborative research among faculty members is common within the same fields of study but less common across different disciplines, even among related disciplines like real estate and finance. Yet conversations among Charles Delaney, associate professor of Real Estate; Steven Rich, associate professor of Finance; and John T. Rose, professor of Finance and the Harriette and Walter G. Lacy, Jr. Chair of Banking; recently led the three faculty members to join forces to examine an issue that crosses discipline lines.

1963

Raynor Reavis, BBA, senior vice president, marketing and sales of Gulfstream Aerospace, a subsidiary of General Dynamics, announced his retirement after a distinguished career in the aviation industry. Reavis joined Gulfstream in 1994 and leaves behind an impressive six-year sales record that has resulted in a Gulfstream revenue backlog in excess of $19 billion.

Baylor Unveils Its First PhD Program in the Business School: Information Systems

Baylor University’s Board of Regents approved a new doctoral degree program in Information Systems, the first PhD program to be offered at Baylor’s Hankamer School of Business. The program will be offered starting in Fall 2009.