This course aims to provide students with knowledge and techniques to formulate and solve models in modern urban and real estate economics. Emphasis will be placed on models which generate testable implications and carry important policy implications. In the term project, students are expected to be able to critically evaluate the existing literature, or even propose new research possibilities. In the final examination, students are expected to solve economic models, which are variants of the existing literature, and to relate the implications of those models to the empirical stylized facts.