From Engineering to Real Estate Finance: Sam Stephens' Internship at Lionstone Investments

PREVIOUS CAREER AND CURRENT INTERNSHIP

Previous position before MBA:

• Title: Graduate Engineer - Land Development
• Company: LJA Engineering, Inc.
• Location: Houston, TX

Summer Internship: 

• Title: Acquisitions Intern
• Company: Lionstone Investments
• Location: Houston, TX

HOW DID YOU SECURE YOUR INTERNSHIP?

I discovered Lionstone at an on-campus info session and connected with their team afterward. I reached out and had coffee chats with two different members from the acquisitions team. I applied for the internship position that was posted through OwlCareers and was invited to interview after winter break. I studied Wallstreet Prep real estate technical questions and practiced behavioral interview questions. Although I didn’t have any real estate experience or finance experience outside of my first semester at Rice, my preparation paid off during the interview process.    

WHAT ARE YOUR RESPONSIBILITIES DURING THE INTERNSHIP?

My role as an intern initially involved a lot of training and informational sessions with various teams and managers at Lionstone. The goal of these sessions was to give us (the interns) a better understanding of Lionstone’s role as a full-service, real estate investment manager and explain the firm’s fiduciary duties to our investors. These sessions gave me a much better understanding of how the firm operates internally and how Lionstone generates revenue for their clients and themselves. My responsibilities are to assist the acquisitions team in underwriting any new deals, gathering market data from comparable properties, and assisting wherever I can be helpful. I am currently working on a summer research project regarding potential investment opportunities for Lionstone’s upcoming fund.

WHAT DEPARTMENT IS YOUR INTERNSHIP WITH?

I work on the Acquisitions team. 

HOW DID YOUR MBA COURSEWORK PREPARE YOU FOR THIS INTERNSHIP?

Having no finance background before starting my MBA, core finance with James Weston was a pivotal part of my overall learning experience at Rice. Professor Weston taught us the frameworks to think about finance concepts that proved to be extremely useful in electives, like Applied Finance, Economic Environment of Business, and Real Estate Finance. Without these courses, it would have been much more difficult to understand Lionstone’s investment strategies, asset management practices, portfolio management, as well as the macro-economic factors currently affecting the real estate market. 

HOW DOES THE INTERNSHIP ALIGN WITH YOUR CAREER GOALS?

When I chose to pursue an MBA, my short-term goal was to pivot from civil engineering into a career in real estate on the principal side of the business. This internship directly aligns with my long-term career goal of being a real estate fund manager because Lionstone is on the “buy side” of real estate investment deals. 

HOW DO YOU THINK THE INTERNSHIP WILL HELP YOU WITH YOUR MBA STUDIES OR FUTURE CAREER?

This internship has given me exposure to the private equity business, and it has shown me different ways to assess risk in a real estate investment opportunity. It has shown me the career path of an investment manager, and it will provide me with an even stronger foundation for my real estate and finance electives next year.  

WHAT IS YOUR FAVORITE PART OF YOUR INTERNSHIP EXPERIENCE?

My favorite part of the internship is sitting in on high-level meetings with the acquisition team and valuation committee. I really enjoy listening to how the acquisition team thinks about prospective deals. Also, it has been very intriguing to listen to the valuation committee work through difficulties and constraints associated with various assets under management. 

WHAT ADVICE DO YOU HAVE FOR PROSPECTIVE STUDENTS?

Make sure to talk to as many people as possible from the industry you want to enter during your fall semester. Even if you don’t think you would be interested in working for that company, there is a lot of information you can soak up from a 30-minute conversation. Don’t be afraid to ask questions! However, your questions should indicate that you have researched their firm, and you have a basic understanding of what they do. 

Sam Stephens is a Full-Time MBA student in the Class of 2025.