Broken Chandeliers and Oven Fires: What Happens When a Real-Estate Pro Damages a Listing?
It was a total accident, and their worst nightmare
By ROBYN A. FRIEDMAN
Fri, May 17, 2024 9:34am
4 min
4 min
Have you ever accidentally damaged a client’s home?
Debby Belt, senior associate, Hammond Residential Real Estate, Chestnut Hill, Mass.
I was representing the seller of a four-bedroom Cape Cod-style home in Newton, Mass., just west of Boston. It was May 2016 and the house was listed for $929,000. It had a beautiful kitchen, with wood cabinets, granite countertops and stainless-steel appliances.
The house went under contract, and it was scheduled for a home inspection. I wanted the house to look pristine for the inspector and buyers, but the kitchen counters were cluttered, so I frantically threw things into drawers, and I put some glassware, baking tins and plates into the oven. When the inspector walked into the kitchen, he turned on the oven to test it without looking inside first. I was in another room at the time, but I smelled something burning, and then heard explosions as the glass shattered.
When I ran into the kitchen, I saw smoke and a small fire in the oven. There was broken glass all over the place, and the kitchen was smoky. Since it was a gas oven, it could have been much worse. The oven was damaged, and the seller wasn’t happy, so I gave her a $500 discount on the commission to offset any damage or credits she would have to give to the buyers. The buyers weren’t too upset, fortunately, because they were probably planning to update the appliances. The home ended up selling for $920,000 with the oven not functioning perfectly. Now, when I meet the inspector, we both still laugh about it.
Jeffrey Kahn, broker, Broker Associates Realty, The Villages, Fla.
In 1995, early in my real-estate career, I was representing the seller of a condominium in a luxury high-rise building on the ocean in Lauderdale-by-the-Sea, just north of Fort Lauderdale. My seller had the mistaken impression that the dining room chandelier was excluded from the sale, so she had it taken down just before closing and replaced it with a less-expensive fixture.
When we did the walk-through the day before closing, the buyer noticed that the original chandelier, which was about 3 feet wide and custom-made from oyster shells and glass on a wrought-iron frame, was missing and, since the contract said that the unit was being sold furnished with everything included in the sale we needed to rectify the situation. The buyer was refusing to close because she loved the chandelier, and my commission—about $30,000, which I was going to split with the other agent—was in jeopardy. The original chandelier was packed in a box on the dining room table, and to make the deal happen, I told the seller I would replace her chandelier with a comparable one if we would rehang the original.
It wasn’t a difficult chandelier, and I’ve done a lot of electrical work in my own homes, so I took down the one hanging from the ceiling. As I started to remove the oyster-glass chandelier from the box, a hairless Sphynx cat jumped on the glass dining room table and rubbed against me. I had never seen a cat in the apartment during the entire listing process, so it scared the heck out of me. I dropped the chandelier, which broke, and I ended up having to pay $8,000 for two new chandeliers and electrician fees. Thankfully, the unit sold for $978,000 and my commission was sufficient to cover the costs. I was just happy the glass dining-room table didn’t break because then my whole commission would have been gone.
Joshua Garner, real-estate agent, The Agency, New York City
In October 2022, I was representing the owner of a Classic Seven co-op on the Upper East Side that was listed for $3.1 million. It had three bedrooms and 2,575 square feet of classic prewar details, with 13 windows and high ceilings. It also had the most particular seller ever. She trusted no one but myself to open up and show the apartment, and it took no less than 30 minutes to prepare and close up each time. There was a written checklist I had to follow, in a specific order, that included the proper angle at which to pull the string for the blinds, how to pick up and strategically fold, stack and put away the series of white sheets she had laid out as runners to protect the bedroom carpets and wearing shoe covers and gloves. She would watch everything from Switzerland via her security cameras and would call me to correct the smallest details.
Prospective buyers were told not to touch anything and to stay on designated walking areas, which were placed a distance from the Ming vases. If they wanted to see the interior of a cupboard or closet, I would refer to myself as Vanna White and would respond to what they instructed. I always warned them ahead of time that she was probably watching and that anything they said or did would be recorded. Buyers would enter with their guard up, which made it difficult. One day, after a showing, I couldn’t get one of the blinds to lower properly. I panicked, but I notified her immediately, and she had a maintenance worker inspect it. The cord had come off the internal spool, and even though it was a quick fix, the seller was livid and ready to withdraw the exclusive.
The only thing that saved the listing was offering to pay $300 to fully replace the mechanism to restore it to new condition. Although there were incidents that upset her during other showings, thankfully, nothing else was ever broken. This co-op, which ended up closing for $2.95 million in October 2023, was the most high-stakes deal I ever worked on.
—Edited from interviews by Robyn A. Friedman
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A student-run real estate investment fund is proving that hands-on experience can deliver real results. Managing $12 million in equity, the undergraduate team recently achieved a 65% gross return on its first property sale, highlighting the growing role of experiential learning in preparing the next generation of real estate professionals.
By
Tue, Aug 4, 2026 5 min
5 min
On a recent summer Sunday afternoon, Brooks Hiller was hunkered over his laptop at his apartment in Chicago, dialing in to hour three of a marathon series of conference calls on real-estate deals.
The 21-year-old isn’t a professional, and he doesn’t make a dime from this work. He is a rising senior at Indiana University’s Kelley School of Business, where he leads a team of 20 undergraduates who manage about $12 million in equity.
Those students operate their own real-estate investment business, called Sample Gates Management, named for the Gothic-style limestone arches that are the gateway to the Bloomington campus.
Unlike the many student investment clubs that deploy university money or rely on donations, the Indiana group raises funds from third parties and invests in properties across the country, such as apartment developments and industrial parks.
As a high schooler, Hiller was so enamored with the program—by most accounts, the undergraduate-run real-estate investment group that manages the most capital—that he chose to attend Indiana with hopes of being a part of it.
“Students get the experience, the school gets a better education for their students, and the investors are making their money back and get to be a part of the program again,” Hiller said. “I really wanted to be part of that.”
The group’s success is emblematic of changes transforming both higher education and the real-estate industry.
An industry that once revolved around information shared at private clubs or events has become a highly digitized landscape. It’s now flooded with standardized public-market data, so much so that undergraduates can readily peer inside and participate on nearly equal footing.
Meanwhile, colleges in recent decades have championed what is called “experiential learning,” encouraging students to do the hands-on work that will teach them the practical job skills they can’t learn in traditional classroom settings. Plus, dozens of universities now offer real-estate degrees, minors or concentrations for undergraduates.
“At its core, this program wouldn’t have existed 30 years ago,” said Harvard University real-estate professor Avis Devine.
This summer, Sample Gates Management sold its first investment, an industrial warehouse development in Indianapolis. In about 16 months, the fund earned a 65% gross profit on that property.
“That’s a really fantastic return in this environment,” one that would be “good for sort of any professional firm, not just students,” said Tim Morris, a member of the board responsible for approving the students’ investments, who is a founder and co-managing partner of the real-estate firm Proprium Capital Partners.
That property was an “easy yes” investment, Tom Peck, the students’ faculty adviser, recalled. It would diversify the group’s investment portfolio, and a reliable tenant was committed to leasing the building once it was finished, Peck said.
Most of the fund remains tied up in investments, making it difficult to gauge exactly how well it is performing overall.
A decade ago, there were only a few student-managed real-estate funds in the country. Today, there are at least 18, and two more are set to launch this school year, according to Mariya Letdin, a real-estate professor at Florida State University who has researched student-managed investment funds and advises one herself.
And yet, although a program like Sample Gates is an attractive resume line that provides unique experience among undergraduates, it isn’t necessarily a launching pad to help students secure jobs. Because of Wall Street’s summer-internship pipelines and early recruiting timelines, many of the 20 seniors in the group have already secured full-time jobs at global giants before they even touch Sample Gates funds.
In fact, the students’ professional experience—some of them participate in internships all three summers of college—is often a boon for Sample Gates. Students’ stints at institutional shops have left them with a “networking mindset” that “snowballs very quickly into a really, really good Rolodex,” Morris said.
At the Kelley School, where currently 278 students are majoring in real estate, faculty picked only 20 to manage the private-equity fund. The rising seniors were selected from Kelley’s already competitive roughly 60-student commercial real-estate workshop, in which students analyze deals and pitch them to mock committees.
In 2022, for the group’s first round of fundraising, Sample Gates raised $4.2 million from 46 investors, 40% more than their goal of $3 million. Last year’s cohort raised $7.8 million from 74 investors in the second round of fundraising, with one investor forking over $700,000. Some investors put money into both funds.
Many of the investors are Indiana alumni now working in the real-estate industry themselves. They expect the students to return a profit, but they are also enthusiastic about fostering the young program and meeting standout students.
The student managers screen between three and eight deals each week, which could mean they evaluate up to 400 potential investments a year. However, between 2023 and 2025, they selected only 12 investments, ranging in location from Indiana to Arizona.
Once a potential investment passes an initial screening, a team builds financial models and meets with prospective partners to pressure-test the viability of a deal.
For students to move forward with an investment, they must present it to their investment committee, a board of 10 seasoned real-estate executives. The committee has to sign off on all deals, and they reject roughly a third of the ones the undergraduates bring to the table.
And if the students think they can pitch an investment without getting their eyes on the physical property—regardless of where it is located— they would best think again.
Some observers predict that students might be disappointed when they start their full-time jobs because of the shift from doing the highest-level work of managing a fund to being a lowly analyst at a large firm.
“To have all of these skill sets in a short period of time and then to go be an associate for Blackstone would be mentally defeating,” said Rhett Trees, an investor in Sample Gates and Indiana alum who is the chief executive of a Denver-based real-estate private-equity firm.
