WHU – Otto Beisheim School of Management

Master Thesis

Leveraging the Transformation of the Built Environment:

A Business Plan for a Tech-Driven Real Estate Investment Firm

WHU – Otto Beisheim School of Management

Academic Year 2026

Supervisors:

Prof. Dr. Burcin Yurtoglu
Prof. Dr. Peter Witt

By

Leuker

Jan Philipp

10.08.2001

Part-Time Master in Management (MA)

Böhme

Benjamin

01.04.2004

Part-Time Master in Management (MA)

Thesis Tracker

Last updated: 29 May 2026
Planned59
Draft4
4 / 63 sections drafted or further

Table of Contents

A: Theoretical Part
1.

Introduction

Draft
1.1The Shift From Digital to Physical Value CreationDraft
1.2The Mismatch That Became the ThesisDraft
1.3Bricks, Buildings, Real EstateDraft
1.4Lestate Real: Our Venture at a GlanceDraft
1.5Structure of this Business PlanPlanned

Chapter Contents

  • -Frames the thesis as an entrepreneurial business plan — a written stress-test of the venture before committing capital and reputation
  • -Observes the digital-to-physical value rotation: AI commoditises, physical world underinvestment creates the next decade's opportunity
  • -Introduces Lestate Real as the market's missing integrated operator: capital discipline + software backbone + construction execution
  • -Outlines the five-component value architecture (RE assets, Realaize, Werkr, brokerage, PM) and the structure of this thesis
2.

Transformation Imperative: Market & Regulation

Planned
2.1The Existing Stock: Scale and CompositionPlanned
2.2Functional Obsolescence & Habitability DeficitsPlanned
2.3Demand Shifts: What the Market No Longer AcceptsPlanned
2.4Densification: The Untapped PotentialPlanned
2.5The Renovation BacklogPlanned
2.6The Value-Add Premium: What Transformation Delivers in NumbersPlanned
2.7Regulatory Tailwinds & Subsidy ProgrammesPlanned
2.8Target Market: Düsseldorf & NRW as Primary GeographyPlanned

Chapter Contents

  • -~43.8M dwellings, ~75% pre-1979: Europe's largest ageing residential stock — physical obsolescence is the primary investment driver, energy class secondary
  • -Renovation backlog runs at one-third of the required rate; 200,000+ unfilled trade positions create both constraint and structural opportunity
  • -Regulatory architecture (GEG 2023, EPBD, KfW BEG subsidies up to €150k/unit) enlarges the addressable market with every legislative cycle
  • -Düsseldorf & NRW anchor market: +29% transactions YoY, vacancy ~0.9%, 15–25% value uplift post-transformation; NRW B-cities at 4.5–6%+ gross yield
B: Empirical Part
3.

Investment Strategy & Asset Lifecycle

Planned
3.1Acquisition Profile & Investment MandatePlanned
3.2Deal Sourcing: Channels & Pipeline BuildPlanned
3.3Market Research & Underwriting GuidelinesPlanned
3.4Target KPIs & Return ThresholdsPlanned
3.5Acquisition ProcessPlanned
3.6Financing StructurePlanned
3.7Planning, Concept & Permit StrategyPlanned
3.8Project Management: Tenders, Timeline & Budget ControlPlanned
3.9Letting: Approach & ChannelsPlanned
3.10ValuationPlanned
3.11Sale, Exit & Capital RedeploymentPlanned
3.12Asset ReportingPlanned
3.13Portfolio construction and multi-SPV logicPlanned
3.14Case Study: Golzheim, DüsseldorfPlanned

Chapter Contents

  • -Defines acquisition mandate: Düsseldorf primary, Ruhrgebiet secondary; €5–10M/deal; Value-Add to Opportunistic risk class
  • -Full deal lifecycle in four parts: Acquisition → Conversion → Divestment & Reporting — each phase fully operationalised through Realaize
  • -Target KPIs: NIY >4.5%, Development IRR >20%, Hold IRR >12%, equity multiple >1.5x, LP preferred return >8% p.a.
  • -Golzheim, Düsseldorf as live proof-of-concept case study anchoring every subchapter with real acquisition data, financials, and Gantt
4.

Realaize: Operational leverage & Single Source of Truth

Planned
4.1The Origin: One Interconnected SystemPlanned
4.2Architecture: The Connected Investment Stack & Data FlywheelPlanned
4.3Market Research Agent: The Data FoundationPlanned
4.4Deal Radar & Screening: The Hero Workflow BeginsPlanned
4.5Underwriting: The Interlinked ModelPlanned
4.6Acquisition Pipeline ManagementPlanned
4.7Development Management: Budget, Gantt & ControllingPlanned
4.8Portfolio, Debt & Covenant MonitoringPlanned
4.9Cash Flow, Reporting & Investor CommunicationPlanned
4.10AI Copilot: The Conversational LayerPlanned
4.11Werkr App: Shared Technology FoundationPlanned
4.12The Efficiency Case: 15 People, 100M€ AUMPlanned

Chapter Contents

  • -Seven-module connected investment stack: one data entry flows from Market Research Agent through all phases to Reporting — zero re-entry
  • -Single source of truth: change the purchase price and every downstream output (IRR, LP return, covenants, investor reports) updates simultaneously across all SPVs
  • -Data flywheel: each deal writes back actual benchmarks — self-calibrating assumptions after 10 deals, proprietary Capex benchmarks after 50 Werkr jobs
  • -Efficiency case: <15 FTE for €100M AUM vs. 40–60 FTE at a traditional operator — Golzheim time audit as the first turn of the flywheel
5.

Corporate Structure & Value Architecture

Planned
5.1The Logic Behind the StructurePlanned
5.2Why The Corporate Structure: HoldCo / OpCo / PropCo / IPCoPlanned
5.3SPV Architecture: Deal-Level Structure & KAGB CompliancePlanned
5.4Team & GovernancePlanned
5.5Werkr: The full modelPlanned
5.6Vertical Integration as MoatPlanned

Chapter Contents

  • -Four-entity architecture (HoldCo / OpCo / PropCo / IPCo) as intentional value design: IP protection, Gewerbesteuerkürzung, investor separation, exit optionality
  • -One SPV per acquisition: KAGB-compliant ring-fenced deal structure, LP participation via Genussrechte (€200k+ ticket, max 5–6 investors)
  • -Werkr franchise infrastructure: Meister-level tradespeople, 50% capacity guarantee to Lestate Real, SaaS subscription + royalty revenue model
  • -Vertical integration as compounding moat: cost, data, and speed advantages grow with every deal added and every franchisee onboarded
6.

Funding, Financial Model & Fundraising

Planned
6.1Business Model & Revenue StreamsPlanned
6.2Deal Economics: The Value Creation WaterfallPlanned
6.3The Three Monetisation Paths: Sale, Refinancing & NOIPlanned
6.4LP Return Model & Capital AllocationPlanned
6.5The Equity Redeployment & the Self-Sustaining PortfolioPlanned
6.6Five-Year Financial ProjectionPlanned
6.7Third-Party Mandates: Fee Income ExtensionPlanned
6.8HoldCo Raise: Mechanics & Use of ProceedsPlanned
6.9Valuation RationalePlanned
6.10SPV Raise: Club Deal Mechanics & Track Record BuildPlanned
6.11Dataroom OverviewPlanned

Chapter Contents

  • -Deal economics waterfall: €7M representative investment → >50% value uplift → GDV ~€10.5M+ → ~30% net equity profit on cost after LP return and financing
  • -Three monetisation paths: sale (capital gain, LP repayment, equity recycled), refinancing (equity extracted, asset retained), NOI hold (yield portfolio)
  • -Equity redeployment loop: no HoldCo dilution per deal — €100M AUM achievable from a €2M seed raise through recycled SPV capital
  • -HoldCo raise: €2M for 20% at €10M post-money; SPV raises per deal via KAGB-compliant Genussrechte with 8% LP preferred return
7.

Scale Path: From Seed to 100M€ Platform

Planned
7.1AUM Milestone RoadmapPlanned
7.2NRW B-City Expansion: The Geographic Scale PathPlanned
7.3Werkr: Franchise Rollout and CalculationsPlanned
7.4Realaize Product RoadmapPlanned
7.5Broker & Property Management NetworkPlanned
7.6Team ScalingPlanned
7.7The Case for Lestate Real: Closing ArgumentPlanned

Chapter Contents

  • -AUM roadmap: proof-of-concept today (Golzheim, €500k NAV) → €10–15M by year 3 → €100M+ by year 6–7, deal-by-deal with specific operational triggers
  • -NRW B-city expansion in three waves: Düsseldorf anchor → Essen + Dortmund → Münster + Bonn + Aachen; entry requires 3 pipeline deals + Werkr franchisee active
  • -Werkr national rollout: pilot Düsseldorf → 10 NRW franchisees by year 3 → 50 franchisees national by year 5–6 → independently VC-fundable
  • -Closing argument in four points: the market is right · the model is proven · the window is open · the team is built for it