PE Interview Question - Part 2

Welcome to S1E4 installment for community members!

This week we’re going to take a look at a question from a data scientist case study for a job at a private equity firm. How would you go about solving this? What is the thought process that you’re applying for this answer? What is the best way to deliver this answer?

Here’s the question:

Oftentimes, the best way to start understanding a new real estate segment is by gathering a holistic repository to understand the total addressable market. Due to recent changes across consumer preferences, many new trends are emerging that require a general understanding of certain unique property types. Commercial real estate that is specifically built for a designated-use is oftentimes very hard to replicate (or in other words the replacement cost is extremely large). (*)