Kara McShane

How Did You Get Your Start In CRE Finance?

I became interested in commercial real estate at a young age. When I was 8, my parents bought an old house, which I thought we were going to move into, but instead they turned it into apartments. As I got older, my parents continued acquiring apartment units. I helped with the business, which was my first exposure to learning about commercial real estate and income-producing properties.

Then during college, I had an internship at CB Commercial (now CBRE) in industrial sales and leasing. However, my first paid job was in finance, working at Sanford C. Bernstein & Co., an investment management and research firm. As a portfolio manager and trader, I was exposed to various fixed-income products. When CMBS emerged as a sector, I was immediately drawn to it because I liked the idea of bonds being backed by income-producing properties. CRE finance ended up being a perfect combination of my interest in finance and the exposure I had to commercial real estate growing up.

Why Specialize In CRE Finance?

Math was always my favorite subject in school, and when I started exploring a career in finance, I liked how commercial real estate finance was the perfect marriage between financial modeling and brick-and-mortar.  I like that you can analyze the cash flows, run the numbers and then walk the properties.

Are Women Represented Enough In CRE Finance?

No.  Commercial real estate finance is a male-dominated industry, and we have a long way to go before there are ‘enough’ women represented in CRE finance. That isn’t to say that firms aren’t trying; I see that firms are actively looking to recruit more women. However, in order to hire more women in CRE finance, women have to show interest in the field and apply for the jobs. Unfortunately, there are negative stereotypes in both industries (commercial real estate and finance) which can prevent women from pursuing this career path.  When we are hiring for a position on my team, the number of male applicants far outweighs the number of female applicants. One way to address that is through education and exposure to these fields before young women decide on which careers to pursue.

Can You Speak To Your  Experience/Treatment As A Woman In CRE Finance?

I don’t think there’s anything easy about succeeding as a woman in CRE finance or finance in general.  At every meeting, event or conference I attend, I am one of a small handful of women present, and that’s a testament to all the barriers there are to truly succeeding as a woman in this field.

The treatment of women in CRE finance has evolved over time and strides have been made, but there is still a long way to go.  Women have to work harder and be better than their male counterparts to achieve the same success, and it generally takes longer. Women are promoted on accomplishments and men are promoted on potential.

What Can The Industry Do To Encourage Bringing More Women Into The Finance Space?

In order to bring more women into finance, there have to be efforts starting at an early age.  By the time young women get to college, it’s too late. If we educate girls beginning in elementary and middle school in a way that encourages an interest in math and science, and we foster confidence that they can succeed in those fields, we’ll have more young women majoring in finance in college and then pursuing careers in the field. I have hope for future generations of our workforce; however, I don’t think that mentorship or recruitment efforts alone can materially change the current workforce. There simply just aren’t enough women who have an interest in finance.

What Advice Would You Offer Your Former Self About Navigating The World Of CRE Finance?

My advice for any woman starting off her career, but especially in CRE finance, is to be confident in yourself, in your abilities and in your value. Don’t be afraid to fail, and don’t pass on opportunities out of fear. Women inherently think they need to be overqualified for a position before going for it, while men are more likely to think they deserve a stretch position. Women need to believe that if someone else can do it, so can they. I also tell women to be true to themselves, whoever that is. Early in my career, I worked hard at fitting in and being one of the guys. I cringed at the idea of sticking out as the only woman in the room. Now, I embrace who I am and recognize the strengths I bring to the table because I am a woman and because I think differently.  As women, we are better managers, listeners and communicators. It’s important to focus on what makes you different — and better — than your male counterpart. Finally, it’s critical to focus on relationships. At the end of your career, the people you worked with won’t remember what your title was or what deals you closed. They’ll remember how you treated them.