custom redevelopment model - built from scratch for mixed use retail, office, multifamily
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8/12/2019 Custom Redevelopment Model - Built from scratch for Mixed Use Retail, Office, Multifamily.
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edevelopmentSummary
tions Return Summary Equity Cash Flow Summary
Assumptions Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10 Yr 11 Yr 12 Yr 13 Yr 14 Yr 15
Mixed Use Feb-12 Feb-13 Feb-14 Feb-15 Feb-16 Feb-17 Feb-18 Feb-19 Feb-20 Feb-21 Feb-22 Feb-23 Feb-24 Feb-25 Feb-26
ate 6.0% Project IRR 17.7% Project (1,574,247) (3,902,190) (21,304,589) - 15,041,541 1,850,147 1,854,097 1,863,076 2,017,310 2,373,913 1,912,105 2,036,088 2,161,513 2,306,387 23,769,613 6
d Return 8.0% Project NPV 44,826,111
plit 30%/70% Avg Current Yield 7.93% - - - 19.1% 6.6% 6.6% 6.6% 7.2% 8.5% 6.8% 7.3% 7.7% 8.3% 8.8%
Promote 52.5% Partner IRR 24.0% Partner (472,274) (1,170,657) (6,391,377) - 4,512,464 555,044 556,229 558,923 605,193 712,174 573,632 610,827 648,454 691,916 13,735,155 5
ent Third Party Inv IR R 12.1 % Third Party Inv (1,101,973) (2,731,533) (14,913,212) - 10,529,078 1,295,103 1,297,868 1,304,153 1,412,117 1,661,739 1,338,473 1,425,262 1,513,059 1,614,471 10,034,458 1
ate 5% Apartment check - - - - - - - - - - - - - - -
d Return 8% Project IRR 14.2% Project (716,571) (3,133,596) (20,349,832) - 10,707,001 1,267,427 1,269,464 1,276,474 1,412,308 1,550,070 1,081,614 1,203,380 1,326,522 1,451,035 1,576,914 6
plit 30%/70% Project NPV 27,080,301
Promote 20% Avg Current Yield 6.20% - - - - 17.3% 5.2% 5.2% 5.3% 5.8% 6.4% 4.5% 5.0% 5.5% 6.0% 6.5%
Partner IRR 16.6% Partner (214,971) (940,079) (6,104,950) - 3,212,100 380,228 380,839 382,942 423,692 465,021 324,484 361,014 397,957 435,311 473,074 2
e Assumptions Third Party Inv IRR 12.9% Third Party Inv (501,600) (2,193,518) (14,244,883) - 7,494,900 887,199 888,625 893,532 988,615 1,085,049 757,129 842,366 928,566 1,015,725 1,103,840 3
Retail check - - - - - - - - - - - - - - -
n LTC: 90.7% Project IRR 37.5% Project (857,676) (768,594) (954,756) - 4,334,541 582,720 584,632 586,602 605,002 823,843 830,491 832,708 834,991 855,352 22,192,699
3.0% Project NPV 17,745,810
an LTV: 65% Avg Current Yield 26.30% - - - - 35.9% 19.4% 19.5% 19.5% 20.2% 28.4% 28.7% 28.7% 28.8% 29.6% 30.5%
5.50% Partner IRR 54.2% Partner (257,303) (230,578) (286,427) - 1,806,848 480,744 482,322 483,947 499,127 679,670 685,155 686,984 688,868 705,665 18,308,977
1.25x Third Party Inv IRR 23.4% Third Party Inv (600,373) (538,016) (668,329) - 2,527,693 101,976 102,311 102,655 105,875 144,172 145,336 145,724 146,123 149,687 3,883,722
nst. 7.4% check - - - - - - 0 (0) (0) - - - - - (0)
ent Development Costs Mixed-Use Apartment Retail Stabilized Cash Flow Summary
n LTC: 80.30% Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10
0.03 Uses of Funds Year Ending: Dec-17 Dec-18 Dec-19 Dec-20 Dec-21 Dec-22 Dec-23 Dec-24 Dec-25 Dec-26
an LTV: 64.68% Land & Acquisition Costs 17,584,000 15,600,000 1,984,000 Mixed-Use PGI 14,201,614 14,426,064 14,655,003 14,888,521 15,363,751 15,613,673 15,861,484 16,114,251 16,372,073 16,802,817
0.05 Land Purchase Deposit Penalty 234,000 117,000 117,000 V+RC+C+ER (717,102) (842,935) (1,002,310) (1,019,377) (1,048,638) (1,066,743) (1,084,854) (1,103,328) (1,122,172) (1,149,780) 1.20x Total Hard Costs 113,828,929 89,995,263 23,833,666 EGI 13,484,512 13,583,130 13,652,693 13,869,144 14,315,114 14,546,930 14,776,629 15,010,923 15,249,902 15,653,036
nst. 6.4% Base Building Hard Costs 112,907,574 89,395,958 23,511,616 O&M+ReT+CapR (2,578,546) (2,671,182) (2,747,665) (2,826,420) (2,909,887) (3,549,430) (3,705,810) (3,814,800) (3,927,036) (4,155,757)
Owner Directed Hard Costs - - - NOI 10,905,966 10,911,947 10,905,029 11,042,724 11,405,227 10,997,500 11,070,819 11,196,123 11,322,865 11,497,280
ment Assumptions FF&E 350,000 350,000 - DS+Fin Fees (8,963,076) (9,135,894) (9,135,894) (9,135,894) (9,135,894) (9,135,894) (9,135,894) (9,135,894) (9,135,894) (9,135,894)
SF 82,285 Contingency 249,305 249,305 - Cap Events - - - - - - - - - - 22
SF 74,335 Retail Tenant Improvements 322,050 - 322,050 F in P ro ce ed s 1 0,1 47 ,6 60 - - - - - - - - - (13
Spots 44 Total Soft Costs and Fees 15,087,270 11,500,039 3,587,231 CF 12,173,029 1,858,533 1,851,614 1,989,309 2,358,685 1,952,333 2,025,652 2,150,956 2,277,699 2,335,297 8
Soft Costs 8,192,710 5,850,000 2,342,710
ent GSF 390,213 Initial Leasing C osts 808,097 - 808,097 Apartment PGI 11,222,497 11,446,947 11,675,886 11,909,403 12,147,591 12,390,543 12,638,354 12,891,121 13,148,944 13,411,922
ent RSF 247,082 Sponsor/Developer Fee 2,411,000 2,411,000 - V+RC+C+ER (568,146) (693,979) (853,354) (870,421) (887,830) (905,586) (923,698) (942,172) (961,015) (980,236)
Spots 271 Developer Contingency 2,000,000 2,000,000 $ 0 EGI 10,654,350 10,752,968 10,822,532 11,038,982 11,259,762 11,484,957 11,714,656 11,948,949 12,187,928 12,431,687
Op. & Fin. Deficit Allowance 1,675,463 1,239,039 436,424 OM+RET+Ca pRe (2,610,859) (2,705,403) (2,783,850) (2,864,629) (2,947,809) (3,589,429) (3,748,021) (3,859,288) (3,973,870) (4,091,865)
Project Oversight Fee - - - NOI 8,043,491 8,047,565 8,038,682 8,174,354 8,311,953 7,895,528 7,966,635 8,089,661 8,214,059 8,339,822
F in. Cost s Inc l. Cash & Cap. Int ./Fees 7,437,814 5,623,460 1,814,354 DS+Fin Fees (6,209,043) (6,773,501) (6,773,501) (6,773,501) (6,773,501) (6,773,501) (6,773,501) (6,773,501) (6,773,501) (6,773,501)
Tot al Dev'mt Cost (Uses of Funds) 154,172,012 122,835,762 31,336,250 Net Cap Events - - - - - - - - - - 16
Operating Deficit - - - Fin Proceeds 6,512,472 - - - - - - - - - (10
Lease Assumpti ons Total Dev'mt Cost In cl/ Op Def 154,172,012 122,835,762 31,336,250 CF 8,346,920 1,274,064 1,265,180 1,400,852 1,538,451 1,122,026 1,193,134 1,316,160 1,440,557 1,566,320 6
Rent PSF $43.87
ent PSF $34.29 Retail PGI 2,979,118 2,979,118 2,979,118 2,979,118 3,216,160 3,223,130 3,223,130 3,223,130 3,223,130 3,390,894
F $1.00 Sources of Funds V+RC+C+ER (148,956) (148,956) (148,956) (148,956) (160,808) (161,156) (161,156) (161,156) (161,156) (169,545)
RSF $0.36 Sponsor - - - EGI 2,830,162 2,830,162 2,830,162 2,830,162 3,055,352 3,061,973 3,061,973 3,061,973 3,061,973 3,221,350
$30.00 Partner 8,034,308 7,260,000 774,308 OM+RET+CapRe 32,313 34,221 36,185 38,209 37,922 39,999 42,210 44,488 46,834 (63,891)
om/RSF $14.81 Third Party Inv 18,746,718 16,940,000 1,806,718 NOI 2,862,475 2,864,382 2,866,347 2,868,370 3,093,274 3,101,973 3,104,184 3,106,461 3,108,807 3,157,458
Rent/RSF $38.68 Equity Total 26,781,026 24,200,000 2,581,026 DS+Fin Fees (2,754,033) (2,362,392) (2,362,392) (2,362,392) (2,362,392) (2,362,392) (2,362,392) (2,362,392) (2,362,392) (2,362,392)
M/GSF $5.47 Net Revenue 332,653 0 332,653 Net Cap Events - - - - - - - - - - 5
ax/GSF $10.53 Debt 127,058,333 98,635,762 28,422,571 Fin Proceeds 3,635,189 - - - - - - - - - (3
Total Sources of Funds 154,172,012 122,835,762 31,336,250 CF 3,826,110 584,469 586,434 588,457 820,234 830,307 832,518 834,796 837,142 768,977 2
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ABC RedevelopmentM i xe d -U se Ann u a l Sum m a r y - So u r c es a n d Uses o f Fu n d s
Year: 2012 2013 2014 2015 2016 2017 2018 2019
SES OF FUNDS Total
nd & Acq. Costs 17,818,000 401,082 - 17,416,918 - - - - -
ard Costs w/Cont., excl. TIs 112,907,574 - - 14,460,091 73,132,168 25,315,315 - - -eta TIs 322,050 - - - - 322,050 - - -
otal Hard Costs $113,983,529 - - 14,530,010 73,518,862 25,934,656 - - -tail Tenant Leasing Costs $2,047,136 - - - 697,815 110,282 1,239,039 - -
perations Reserve $1,675,463 - - - 72,451 363,974 1,239,039 - -
l Other Soft Costs $8,629,134 911,919 2,769,294 3,973,201 200,692 774,028 - - -
ig. Dev Costs for Funding $146,888,799 1,549,795 3,027,615 36,697,571 76,456,087 27,918,691 1,239,039 - -
nancing Costsp. (funded) Loan Int. Res. $4,953,415 - - 104,548 1,504,568 3,101,414 242,885 - -
an Interest - paid in Cash $355,172 - - - - 355,172 0 - -
otal F nanc ng Costs 7,437,814 - - 2,213,774 1,516,568 3,464,587 242,885 - -
D.C before Op. Deficit $154,326,612 1,549,795 3,027,615 38,911,345 77,972,656 31,383,277 1,481,924 - -perating Deficit $0 - - - - - - - -otal Development Costs (TDC) $154,326,612 1,549,795 3,027,615 38,911,345 77,972,656 31,383,277 1,481,924 - -
OURCES OF FUNDS Total
ponsor Equity Par i Passurect Project Costs Draw $8,034,308 464,939 908,285 6,661,085 - - - - -
ps. & Fin. Deficit Draw $0 - - - - - - - -
st-Refi Dev Cost Draw $0 - - - - - - - -
fin.Shortfall Draw $0 - - - - - - - -
pon so r E qu i t y T o t a l F und i n g $8,034,308 464,939 908,285 6,661,085 - - - - -
hird Party Inv Equit Par i Passurect Project Costs Draw $18,746,718 1,084,857 2,119,331 15,542,531 - - - - -
ps. & Fin. Deficit Draw $0 - - - - - - - -
st-Refi Dev. Costs Draw $0 - - - - - - - -
fi Shortfall Draw 0 - - - - - - - -
h i r d P a r t y I n v E q u i t y T o t a l F u n d i n g $18,746,718 1,084,857 2,119,331 15,542,531 - - - - -
onstruct on Loan
rect Project Costs Draw $119,976,235 - - 14,493,956 76,456,087 27,787,153 1,239,039 - -
an Fees - Front End $1,763,762 - - 1,763,762 - - - - -
an Fees - At Loan Draws $29,000 - - 9,000 12,000 8,000 - - -
nded Interest Reserve $4,953,415 - - 104,548 1,504,568 3,101,414 242,885 - -
sh Interest Payments, if any $355,172 - - - - 355,172 0 - -
an Repayment From Refi ($127,058,876) - - - - (28,423,114) (98,635,762) - -
an Repay Dispose of Apt & Retail $0 - - - - - - - -
pay from Shortfall Equity Draw $0 - - - - - - - -
ources of Funds after Shortfalls $154,172,555 1,549,795 3,027,615 38,911,345 77,972,656 31,229,220 1,481,924 - -
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BC Redevelopmentx ed -U se An n u a l Summ a r y - Ca sh F l ow
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026
Total
ket Rate Units Leased 293 - - - - 292 1 - - - - - - - - -
oss Potential Income 172,437,608 - - - 174,169 7,635,429 14,201,614 14,426,064 14,655,003 14,905,938 15,366,669 15,613,673 15,861,484 16,114,251 16,391,232 13,411,922
Vacancy ($8,113,287) - - - (8,708) (362,046) (669,907) (680,326) (690,953) (702,664) (724,848) (736,328) (747,832) (759,565) (772,491) (622,584)
Lease Comm. & Other L.C. ($1,428,020) - - - (174,169) (1,253,851) - - - - - - - - - -
fective Gross Income $159,649,325 - - - (8,708) 6,019,532 13,484,512 13,583,130 13,652,693 13,885,690 14,317,885 14,546,930 14,776,629 15,010,923 15,268,102 12,431,687
Exp. Reimb. $8,316,348 - - - 43,819 687,174 733,171 754,362 776,189 798,671 821,827 845,678 870,244 905,647 1,079,566 -
Credit Loss ($1,622,657) - - - (1,742) (72,409) (133,981) (136,065) (138,191) (140,533) (144,970) (147,266) (149,566) (151,913) (154,498) (124,517)
O&M & RE Taxes $28,484,149 - - - (105,820) 360,135 1,765,359 1,836,428 1,890,716 1,946,633 2,004,228 2,619,517 2,751,009 2,824,288 2,762,311 3,856,820
Operating Income $122,779,250 - - - (72,451) 5,017,678 11,005,144 11,014,101 11,010,247 11,167,470 11,519,595 11,112,475 11,189,243 11,318,099 11,466,510 8,450,350
CapEx Reserve ($1,248,692) - - - - (18,371) (99,019) (101,990) (105,050) (108,201) (111,447) (114,791) (118,234) (121,781) (125,435) (110,528)
after CapEx Res. $121,530,558 - - - (72,451) 4,999,307 10,906,125 10,912,111 10,905,197 11,059,269 11,408,148 10,997,684 11,071,009 11,196,318 11,341,076 8,339,822
tal Cash D.S. Exp.* $91,241,959 - - - - 552,038 8,571,435 9,135,894 9,135,894 9,135,894 9,135,894 9,135,894 9,135,894 9,135,894 9,135,894 6,773,501
p. Events Rev., Net $168,821,449 - - - - - - - - - - - - - - -
Rev. After D.S. $193,966,577 - - - (72,451) 4,199,503 2,417,168 1,858,696 1,851,782 2,005,854 2,362,294 1,952,517 2,025,842 2,151,151 2,295,909 1,566,320
nancing Cash Flows
ev Int Equity Draw ($8,034,308) (464,939) (908,285) (6,661,085) - - - - - - - - - - - -
v L.L. Costs & OpDef Draw $0 - - - - - - - - - - - - - - -
d Prty Intl Draw ( $1 8, 74 6, 71 8) ( 1, 08 4, 85 7) (2,119,331) (15,542,531) - - - - - - - - - - - -
d Prty L.L. Costs & OpDef Draw $0 - - - - - - - - - - - - - - -
v Paid To Late Dev Costs $0 - - - - - - - - - - - - - - -
nst Loan Draw $119,976,235 - - 14,493,956 76,456,087 27,787,153 1,239,039 - - - - - - - - -
nst Loan Repay't ($127,058,876) - - - - (28,423,114) (98,635,762) - - - - - - - - -
rm Loan Proc'ds $137,206,537 - - - - 32,058,303 105,148,234 - - - - - - - - -
rm Loan Repay't - Retail Sale $0 - - - - - - - - - - - - - - -
rm Loan Repay't - Apt Sale ($104,937,537) - - - - - - - - - - - - - - -
ect Levered Cash Flow $ 64 ,19 9, 14 0 ( 1, 54 9, 79 5) (3,027,615) (22,203,615) - 7,855,563 8,929,640 1,858,696 1,851,782 2,005,854 2,362,294 1,952,517 2,025,842 2,151,151 2,295,909 1,566,320
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BC Redevelopmenti x ed -U s e Pa r t n e r sh i p St r u c t u r e
a l Re qu i r ed Eq u i t y (Pu r c h a se + Ope r a t i o n )
$26,781,026 (Includes Operating Deficit Funding)
nsor 30.00% $8,034,310
d Party Inv 70.00% $18,746,716
100.00% $26,781,026
f i t Sh a r i n g
Preferred Return Residual Spli t
erfall #1 8.00%
tnership Structure % Total Equity Sponsor Promote
onsor 30.00% Profit >> Sponsor 30.00% 82.50% 52.50%
hird Party Inv 70.00% Sharing >> Third Party Inv 70.00% 17.50%
otal 100.00% Splits >> 100.00% 100.00%
: By its nature, the Preferred Return includes the Return of Capital.
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C Redevelopmented -U s e J o i n t V en t u r e Ret u r n De t a i l
Sponsor Third Party Inv Total Project
Investment $8,034,308 $18,746,718 $26,781,026
e of Equity Investment 30.00% 70.00% 100.00%
Return $76,788,479 $44,674,242 $121,462,722
fit (Return on Equity) $68,754,171 $25,927,524 $94,681,696
e on Equity 9.56x 2.38x 4.54x
l Rate of Return 23.44% 11.56% 17.17%
om Equity Investment to
eturn (mnths) 183 months 183 months 183 months
Sharing Summary - Sponsor/Developer and Third Party Investor Profit Sharing Structure - Sponsor/Developer and Third Party Investor
Tier Sponsor Sponsor Third Party Inv Third Party Inv Total Sponsor Sponsor Third Party Inv
Cashflow Share Investor Cashflow Investor Share Cashflow Promote Pro-Rata Share Profit (
IRR Hurdle Ranges Share
nd Pref Return $13,381,872 52% $12,477,638 48% $25,859,510 Preferred Return 0% through 8.0% 0.0% 30.0% 70%
$63,406,608 83% $13,449,886 18% $76,856,494 Residual Split Above 8.0% 52.5% 82.5% 17.5%
$76,788,479 75% $25,927,524 25% $102,716,004
quity Investment (8,034,308) 30% (18,746,718) 70% (26,781,026)
ofit (Return on Equity)$68,754,171 91% $7,180,806 9% $75,934,978
30.00%
70.00%
Share of Equity InvestmentSponsor Third Pa rty Inv
Share of Total ProfitSponsor Third Party Inv
$7,180,806
$68,754,171
$0
$20,000,000
$40,000,000
$60,000,000
$80,000,000Net Profits
Third Party Inv Sponsor
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ABC Redevelopmentetail Investment Summary
ssumptions Return Summary
evelopment Assumptions Return Assumptions Retail
etail GSF 82,285 Preferred Return 8.0% Project IRR 37.5%
etail RSF 74,335 Equity Split 30%/70% Equity Multiple 10.81x
arking Spots 44 Rodin LP Promote 52.5% Avg Current Yield 26.3%
Retail Terminal Cap 6% Rodin LP IRR 54.2%
everage Assumptions Market Cash Flow Assumptions BCC LP IRR 23.4%on Loan LTC: 90.7% Anchor Rent PSF $43.87
PR 3.0% In-Line Rent PSF $34.29 Development Summary
erm Loan LTV: 65.0% CAM/RSF $1.00 Uses of Funds
PR 5.5% RE TAX/RSF $0.36 Land & Acquisition Costs 1,984,000
SCR 1.25x TI/RSF $30.00 Closing Costs
ort Const. 7.4% Lease Com/RSF $14.81 Total Hard Costs 23,833,666
Building Permits
ent Roll Broker Fees 808,097
enant Annual Rent PSF Lease Comm. Term Retail Tenant Improvements 322,050
Whole Foods $38.00 1/1/2016 20 Years Sponsor/Developer Fee -
VS $49.00 4/1/2016 30 Years Soft Costs 2,342,710
Wells Fargo $60.00 5/1/2016 10 Years Op. & Fin. Deficit Allowance 436,424
et Value $35.00 3/1/2016 10 Years Project Oversight Fee -
orner Bakery $42.50 3/1/2016 10 Years Fin. Costs Incl. Cash & Cap. Int./Fees 1,814,354
Total Dev'mt Cost (Uses of Funds) 31,336,250
Operating Deficit -
Total Dev'mt Cost Incl/ Op Def 31,336,250
Sources of Funds
Sponsor -
Partner 774,308
Third Party Inv 1,806,718
Equity Total 2,581,026Net Revenue 332,653
Debt 28,422,571
Total Sources of Funds 31,336,250
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RedevelopmentCash Flow Summary
y Cash Flow Summary
Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10 Yr 11 Yr 12 Yr 13 Yr 14 Yr 15
Feb-12 Feb-13 Feb-14 Feb-15 Feb-16 Feb-17 Feb-18 Feb-19 Feb-20 Feb-21 Feb-22 Feb-23 Feb-24 Feb-25 Feb-26
t Cash Flow (857,676) (768,594) (954,756) - 4,334,541 582,720 584,632 586,602 605,002 823,843 830,491 832,708 834,991 855,352 22,192,699
ent Yield - - - - 35.9% 19.4% 19.5% 19.5% 20.2% 28.4% 28.7% 28.7% 28.8% 29.6% 30.5%
r Equity Investment (257,303) (230,578) (286,427) - - - - - - - - - - - -
er Capital and Preferred CF - - - - 1,300,363 174,816 175,390 175,981 181,501 247,153 249,147 249,812 250,497 256,606 6,657,812
er Promote And Residual CF - - - - 506,485 305,928 306,932 307,966 317,626 432,517 436,008 437,172 438,370 449,060 11,651,165
er (257,303) (230,578) (286,427) - 1,806,848 480,744 482,322 483,947 499,127 679,670 685,155 686,984 688,868 705,665 18,308,977
Party Inv Equit y Inves tment (600,373) (538,016) (668,329) - - - - - - - - - - - -
Party Inv Capital and Preferre - - - - 2,358,865 - - - - - - - - - -
Party Inv Promote And Residu - - - - 168,828 101,976 102,311 102,655 105,875 144,172 145,336 145,724 146,123 149,687 3,883,722
Party Inv (600,373) (538,016) (668,329) - 2,527,693 101,976 102,311 102,655 105,875 144,172 145,336 145,724 146,123 149,687 3,883,722
zed Cash Flow Summary
Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10 Yr 11 Yr 12 Yr 13 Yr 14 Yr 15
Feb-12 Feb-13 Feb-14 Feb-15 Feb-16 Feb-17 Feb-18 Feb-19 Feb-20 Feb-21 Feb-22 Feb-23 Feb-24 Feb-25 Feb-26Parking & Other GPR - - - 174,169 2,848,760 2,979,118 2,979,118 2,979,118 2,996,534 3,219,077 3,223,130 3,223,130 3,223,130 3,242,288 3,394,827
ancy - - - (39,430) (148,956) (148,956) (148,956) (148,956) (157,758) (161,156) (161,156) (161,156) (162,114) (171,285) (175,771)
ail Rent Concessions - - - (174,169) (1,253,851) - - - - - - - - - -
p. Reimb. - - - 43,819 687,174 733,171 754,362 776,189 798,671 821,827 845,678 870,244 905,647 1,079,566 1,003,290
edit Loss - - - (1,742) (28,488) (29,791) (29,791) (29,791) (29,965) (32,191) (32,231) (32,231) (32,231) (32,423) (33,948)
Operating Income - - - 171,863 3,081,629 3,542,342 3,565,614 3,589,640 3,779,919 3,869,418 3,895,850 3,923,136 4,127,317 4,215,711 4,328,438
M & RE Taxes - - - 33,369 2,111,157 3,533,542 3,554,733 3,576,560 3,615,413 3,847,760 3,875,420 3,899,986 3,935,389 4,127,317 4,194,427
ail CapEx Reserve - - - (105,820) (628,242) (656,599) (675,449) (694,864) (714,862) (735,460) (756,675) (778,528) (811,134) (982,175) (1,024,899)
NOI after CapEx Res. - - - (72,451) 1,478,285 2,862,634 2,864,546 2,866,515 2,884,916 3,096,195 3,102,157 3,104,373 3,106,656 3,127,017 3,150,859
Cash D.S. Exp.* - - - - 1,339,502 2,362,392 2,362,392 2,362,392 2,362,392 2,362,392 2,362,392 2,362,392 2,362,392 2,165,526 -
& Parking Sale, Net - - - - - - - - - - - - - - 53,500,306
ev. After D.S. - - - (392,331) 1,170,831 583,514 585,614 587,781 760,307 829,949 832,334 834,796 855,352 54,190,116 -
or Equity Draw (257,303) (230,578) (286,427) - - - - - - - - - - - -
Party InvEquity Draw - - - - 33,730 37,770 38,862 39,986 41,144 42,336 43,564 44,829 46,133 47,864 4,001
Loan Draw - - 5,647,451 16,348,998 4,967,484 - - - - - - - - - -
nent Loan Proceeds - - - - 32,058,303 - - - - - - - - - -
Loan Repay Retail Sale - - - - - - - - - - - - - (32,058,303) -
t Levered Cash Flow (857,676) (807,594) (748,657) 21,574 4,485,437 583,514 585,614 587,781 760,307 829,949 832,334 834,796 855,352 22,131,813 -
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ABC RedevelopmentRe ta i l & Of f i ce Space M i x De t a i l s
Re ta i l Space Componen t
Retail Rentable Rent Lease Lease Number Length of PSF Tenant TI
Space Tenant Square Annual Commence Term Expiration of Option Option Leasing Improvement Duration
Type Name Feet Rent PSF Date (Months) Date Terms Terms Costs Allowance
Anchor Whole Foods 55,000 $38.00 1/1/2016 240 1/1/2036 6 60 $8.18 $0.00 7
Anchor CVS 11,000 $49.00 4/1/2016 359 3/1/2046 5 60 $22.54 $0.00 1
In-Line Wells Fargo 1,135 $60.00 5/1/2016 120 5/1/2026 4 60 $18.90 $30.00 1
In-Line Pet Value 3,200 $35.00 3/1/2016 120 3/1/2026 2 60 $11.03 $40.00 1
In-Line Corner Bakery 4000 $42.50 3/1/2016 120 3/1/2026 2 60 $13.39 $40.00 1
TOTAL 74,335
GRAND TOTAL 78,200
To ta l Re imb u r sab l e Expenses - PSF Per Mn t h
Management -
Administration -
CAM $1.00
Utilities $0.40
Water & Sewer -
Repair & Maint. $0.15
Insurance
Taxes* -
Total Operating Expenses $1.55
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C Redevelopmentt a i l Cap i t a l S t r u c t u r e
(Bar heights are illustrative and are not to scale.)
Equity
Investment
% Equity % TDC Equity % TDC Debt % TDC Amount * Total Equity Total Debt * Deficits Funded including % TDC -
By Equity Deficit Liabilities Actual %s
Sponsor 0.0% 0.0% $0 $0 Sponsor 0.00%
Partner 30.0% 2.8% $774,308 $774,308 Partner 2.47%
9.3% $2,581,026 $0
Third Party Inv 70.0% 6.5% $1,806,718 $1,806,718 Third Party Inv 5.77%
$2,581,026
Const. Loan 90.7% 90.7% $28,422,571 $28,422,571 Const. Loan 90.70%
1.06%
ces of Funds (TDC) 100.0% 100.0% $31,003,597 100.00%
ces of Funds From Above $31,003,597
erty Cash Flow As Source of Funds $332,653
Development Cost $31,336,250
$422
le the equity slices are shown stacked vertically, note that this is simply the graphic representation and does not imply that there is any Preferred equity in the transaction.
Senior Loan Amount on a residual basis after designating the dollar amounts of the other sources of funds.
ncipal Amount includes Funded Interest Reserve and Funded Loan Fees.
ity amounts in this column do not include the pro-rata porti on of the Operating and Financing Deficits to be funded by the Equity in vestors. See Column S for adjusted totals.
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BC Redevelopmentet a i l P a r t n e r sh i p S t r u c t u r e
a l Re qu i r ed Eq u i t y (Pu r c h a se + Ope r a t i o n )
$2,581,026 (Includes Operating Deficit Funding)
nsor 30.00% $774,308
d Party Inv 70.00% $1,806,718
100.00% $2,581,026
f i t Sh a r i n g
Preferred Return Residual Split
erfall #1 8.00%
tnership Structure % Total Equity Sponsor Promote
onsor 30.00% Profit >> Sponsor 30.00% 82.50% 52.50%
hird Party Inv 70.00% Sharing >> ird Party Inv 70.00% 17.50%
otal 100.00% Splits >> 100.00% 100.00%
: By its nature, the Preferred Return includes the Return of Capital.
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C Redevelopmenta i l J o i n t Ven t u r e Ret u r n De t a i l
Sponsor Third Party Inv Total Project
nvestment $774,308 $1,806,718 $2,581,026
of Equity Investment 30.00% 70.00% 100.00%
eturn $25,508,306 $7,555,275 $33,063,582
fit (Return on Equity) $24,733,998 $5,748,557 $30,482,556
e on Equity 32.94x 4.18x 12.81x
l Rate of Return 49.80% 21.40% 34.59%
om Equity Investment to
eturn (mnths) 180 months 180 months 180 months
Sharing Summary - Sponsor/Developer and Third Party Investor Profit Sharing Structure - Sponsor/Developer and Third Party Investor
Tier Sponsor Sponsor Third Party Inv Third Party Inv Total Sponsor Sponsor Third Party Inv Total
Cashflow Share Investor Cashflow Investor Share Cashflow Promote Pro-Rata Share Profit (must be
IRR Hurdle Ranges Share 100%)
d Pref Return $1,010,942 30% $2,358,865 70% $3,369,807 Preferred Ret 0% through 8.0% 0.0% 30.0% 70% 100%
$24,497,364 83% $5,196,411 18% $29,693,775 Residual Split Above 8.0% 52.5% 30.0% 17.5% 100%
$25,508,306 77% $7,555,275 23% $33,063,582
quity Investment (774,308) 30% (1,806,718) 70% (2,581,026)
ofit (Return on Equity) $24,733,998 81% $5,748,557 19% $30,482,556
30.00%
70.00%
Share of Equity InvestmentSponsor Third Party Inv
81%
19%
Share of Total ProfitSponsor Third Party Inv
$5,748,557
$24,733,998
$0
$5,000,000
$10,000,000
$15,000,000
$20,000,000
$25,000,000
$30,000,000Net Profits
Third Party Inv Sponsor
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ABC RedevelopmentRe t a i l D e v e l o pme n t A s s ump t i o n s
BUILDING PROFILE DEVELOPMENT USES OF FUNDS Deposit/Fee % Total PER GSF
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ABC RedevelopmentRe t a i l D e v e l o pme n t A s s ump t i o n s
CASH FLOW RETAIL & OFFICE COMPONENT INCOME, TI & LC ASSUMPTIONS RETURNS SUMMARY, FROM MONTHLY CASH FLOWS
Annual Rent, OpEx and CapEx Inflation Factor 3% Retail Choose---> Anchor Anchor In-Line In-Line In-Line - - - -
Annual CapEx Reserve PSF Retail $0.15 Tenant Whole Foods CVS Wells Fargo Pet Value Corner Bakery Total Equity Invested * $2
Annual CapRx Reserve PSF Office $0.00 Suite # 5 Suites Suite 1 Suite 2 Suite 3 Suite 4 Suite 5 Going-In NOI $2
MANAGEMENT FEE 3% Lease Rentable Area 55,000 11,000 1,135 3,200 4,000 0 0 0 0 Going-In Yield
Taxes at Assessed Value at Delievery 1.34% 32.00% PDR 2,000,000 Rent Commencement 1/1/2016 4/1/2016 5/1/2016 3/1/2016 3/1/2016
Annual RE Taxes Inflation Factor 10.00 Yr Abatement 3% Lease Term (months) 240 months 359 months 120 months 120 months 120 months 0 months 0 months 0 months 0 months Net Cash Flow $30
Parking per 1K RSF 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Multiple on Equity **
Monthly Contract Parking Mnthly Prkng/Spot $0 $0 $0 $0 $0 $0 $0 $0 $0 Net Present Value 6.0% $13
Average Monthly Contract Parking Rate (Today) $0.00 Lease Type NNN NNN NNN NNN NNN NNN NNN NNN NNN
% of Monthly Contracts Sold (GPR) 0% Free Rent 7 months 4 months 1 months 1 months 1 months 0 months 0 months 0 months 0 months Internal Rate of Return
% of Monthly Contracts Sold (w/Vacancy) 0% TI Beginning Month month 47 month 42 month 51 month 49 month 49 month 0 month 0 month 0 month 0 Hurdle Rate
Public Parking TI Duration 7 months 1 months 1 months 1 months 1 months 0 months 0 months 0 months 0 months Project IRR
% of Monthly Contract Spots not utilized per Day 100% TI Allowance $0.00PSF $0.00PSF $30.00PSF $40.00PSF $40.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF
Daily Parking Rate (Today) $12.50 Other Concessions $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF Waterfall
Occupancy Rate on Daily Spaces (GPR) 100% Annual Base Rent PSF $38.00PSF $49.00PSF $60.00PSF $35.00PSF $42.50PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF Preferred Return
Occupancy Rate on Daily Spaces (w/Vacancy) 75% Monthly Base Rent PSF $3.17PSF $4.08PSF $5.00PSF $2.92PSF $3.54PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF Sponsor Residual Split
# of Work Days per Year 260 Annual Escalations 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Sponsor
Parking Rent Growth Per Year 2% Ann Step Rent PSF(%) 10.00% 0 10.00% 10.00% 10.00% 0 0 0 0 Third Party Investor
Profit Margin To Owner After Operator Costs (GPR) 75% Step Rent Month month 61 month 0 month 61 month 61 month 61 month 0 month 0 month 0 month 0
Profit Margin To Owner After Operator Costs (w/Vacancy) 75% Storage Rent (Base Yr) $0 $0 $0 $0 $0 $0 $0 $0 $0 Sponsor/Partner Waterfall Schedule
Annual Escalations 0% 0% 0% 0% 0% 0% 0% 0% 0% Equity Less Than $4MM
Vacant Space Assumptions Prking Rent (Base) $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 Partner
Retail Space O&M and RE Tax PSF/ Month $0.40 Annual Escalations 0% 0% 0% 0% 0% 0% 0% 0% 0% Third Party Inv
Office O&M and RE Tax PSF / Month $0.08 Percentage Rent 0% 0% 0% 0% 0% 0% 0% 0% 0% Equity Greater Than $4MM
Storage O&M and RE Tax PSF / Month $0.00 Gross Sales (mnthly) $0 $0 $0 $0 $0 $0 $0 $0 $0 Partner
Parking O&M Spot / Month $0.00 Gross Sales Grwth 0% 0% 0% 0% 0% 0% 0% 0% 0% Third Party Inv
Loss to Lease 0% O&M Expenses $0.68PSF $0.68PSF $0.68PSF $0.68PSF $0.68PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF
Annual CAM Expenses $1.00PSF $1.00PSF $1.00PSF $1.00PSF $1.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF
Market Leasing Assumptions CAM Expense Growth 3% 3% 3% 3% 3% 0% 0% 0% 0% Notes:
Market In-Line Retail Rent $2.86 Admin Fee (%) 0.0% 5.0% 10.0% 10.0% 10.0% 0.0% 0.0% 0.0% 0.0% * Includesequityfunding ofanyfunding shortfalls.Doesnot include anyPermanent Loan/Broker
In-Line Retail Downtime 2 Months Risk of Default Rate 3% 3% 3% 4% 5% 0% 0% 0% 0% Fee/Closing Costsasthese are assumed to be paid byRetained Earnings.
Free Rent 6 Months Real Estate Taxes $0.03PSF $0.03PSF $0.03PSF $0.03PSF $0.03PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF ** Ignoresthe time value ofmoney.
Other Concessions $0.00 Electricity $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF
Leasing Commissions 7.3% Leasing Commissions 2% 5% 3% 3% 3% 0% 0% 0% 0% PERMANENT LOAN TEST
TI Costs $30.00 Total Leasing Costs - $8.1 8/R SF - $22.5 4/ RS F - $1 8.90 /R SF - $1 1.0 3/R SF - $13 .39/ RS F $0.00/RS F $0.00/RSF $0.00/RSF $0.00/RS F NOI Test
Vacancy Loss 5% LC Terms 1st Yr Rent 1st Yr Rent 1st Yr Rent 1st Yr Rent 1st Yr Rent 1st Yr Re nt 1st Yr Rent 1st Yr Rent 1st Yr Rent Annual NOI at Point of Refinancing $2
Credit Loss 1% LC Lead Time 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months Capitalization Rate at Point of Refinancing
Market Anchor Retail Rent $3.66 # of Options Terms 6 term(s) 5 term(s) 4 term(s) 2 term(s) 2 term(s) 0 term(s) 0 term(s) 0 term(s) 0 term(s) Gross Valuation at Point of Refinancing $49
Anchor Retail Downtime 5 Months Option Term (Mnths) 60 months 60 months 60 months 60 months 60 months 0 months 0 months 0 months 0 months Maximum LTV
Free Rent 0 Months Option Rent Steps 10.0% 10.0% 0.0% 10.0% 10.0% Maximum Loan Proceeds $32
Other Concessions $0.00 Probability of Renewal 75% 75% 75% 75% 75% 0% 0% 0% 0%
Leasing Commissions 7.3% Debt Coverage Ratio Test
TI Costs $0.00 Office Choose---> Office - - - - - - - - Annual NOI at Point of Refinancing $2
Vacancy Loss 5% Tenant Office 2 3 4 5 6 7 8 9 Required Debt Service Coverage Ratio
Credit Loss 1% Suite # 1 Suites 6
Market Office Rent $0.00 Lease Rentable Area 3,865 0 0 0 0 0 0 0 0 Maximum Allowable Debt Service $2
Office Downtime 0 Months Rent Commencement 3/1/2016 1/0/1900 1/0/1900 1/0/1900 1/0/1900 1/0/1900 1/0/1900 1/0/1900 1/0/1900 Maximum Loan Proceeds $33
Free Rent 0 Months Lease Term 120 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months
Other Concessions $0.00 Parking per 1K RSF 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Leasing Commissions 0.0% Mnthly Prkng/Spot $0 $0 $0 $0 $0 $0 $0 $0 $0
Vacancy Loss 0% Lease Type NNN NNN NNN NNN NNN NNN NNN NNN NNN
Credit Loss 0% Free Rent 1 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months
TI Beginning Month month 49 month 0 month 0 month 0 month 0 month 0 month 0 month 0 month 0
Retail Miscellaneous Income $0.00 TI Duration 1 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months
Office Miscellaneous Income $0.00 TI Allowance $40.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF
Notes Other Concessions $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF
1. Floor Area to Lot Area Ratio Annual Base Rent PSF $22.00PSF
2 . G re at er o f ma rk et a nd zo nin g r equ ir em en ts; in cl ud es r et ail r equ ir eme nts Mo nth ly Ba se R en t P SF $1.83PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF $0.00PSF
3. Core, Mechanicals and other non-useable SF Annual Escalations 0% 0% 0% 0% 0% 0% 0% 0% 0%
Ann Step Rent PSF(%) 10.00% 0 0 0 0 0 0 0 0
Step Rent Month month 61 month 0 month 0 month 0 month 0 month 0 month 0 month 0 month 0
Storage Rent (Base Yr) $0 $0 $0 $0 $0 $0 $0 $0 $0
Annual Escalations 0% 0% 0% 0% 0% 0% 0% 0% 0%
Prking Rent (Base Yr) $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Annual Escalations 0% 0% 0% 0% 0% 0% 0% 0% 0%
DO NOT DELETE Total Equity Percentage Rent 0% 0% 0% 0% 0% 0% 0% 0% 0%
MANUAL SCHEDULE Assumptions Tab $2,581,026 Gross Sales $0 $0 $0 $0 $0 $0 $0 $0 $0
IMPORTED PROJECT SCHEDULE Capital Structure Tab $2,581,026 Gross Sales Grwth 0% 0% 0% 0% 0% 0% 0% 0% 0%
1 Cash Flow Tab $2,581,026 O&M Expenses $0.68 $0 $0 $0 $0 $0 $0 $0 $0
Waterfall #1 Tab $2,581,026 Annual CAM Expenses $1.00 $0 $0 $0 $0 $0 $0 $0 $0DO NOT DELETE Partnership Structure Tab $2,581,026 CAM Expense Growth 3% $0 $0 $0 $0 $0 $0 $0 $0
QUICK AND DIRTY Admin Fee (%) 5.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
DETAILED INPUT Real Estate Taxes $0.03 $0 $0 $0 $0 $0 $0 $0 $0
2 Electricity $0.00 $0 $0 $0 $0 $0 $0 $0 $0
Leasing Commissions 3% 0% 0% 0% 0% 0% 0% 0% 0%
DO NOT DELETE Total Leasing Costs 0% 0% 0% 0% 0% 0% 0% 0% 0%
Anchor LC Terms 1stYr Rent 1st Yr Rent 1st Yr Rent 1st Yr Rent 1st Yr Rent 1st Yr Rent 1st Yr Rent 1st Yr Rent 1st Yr Rent
In-Line LC Lead Time 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months
- Options Terms 0 term(s) 0 term(s) 0 term(s) 0 term(s) 0 term(s) 0 term(s) 0 term(s) 0 term(s) 0 term(s)
Option Term Length 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months
Option Rent Steps
DO NOT DELETE Probability of Renewal 0% 0% 0% 0% 0% 0% 0% 0% 0%
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C Redevelopmenta i l Annua l Summa r y - Sou r c e s and Uses o f Funds
Year: 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027
OF FUNDS Total
Acq. Costs $2,101,000 89,082 - 2,011,918 - - - - - - - - - - - - -
osts w/Cont., excl. TIs $23,511,616 - - 4,030,563 15,450,490 4,030,563 - - - - - - - - - - -Directed Hard Costs $0 - - - - - - - - - - - - - - - -
$0 - - - - - - - - - - - - - - - -
etail TIs $322,050 - - - - 322,050 - - - - - - - - - - -ard Costs $23,988,266 - - 4,030,563 15,450,490 4,507,213 - - - - - - - - - - -
easing Com. and L.C.'s $808,097 - - - 697,815 110,282 - - - - - - - - - - -
per Fee $0 - - - - - - - - - - - - - - - -on Reserve $436,424 - - - 72,451 363,974 - - - - - - - - - - -er Soft Costs $2,342,710 768,594 768,594 559,726 128,241 117,555 - - - - - - - - - - -oft Costs $3,587,231 768,594 768,594 559,726 898,507 591,810 - - - - - - - - - - -
ts Contingency $0 - - - - - - - - - - - - - - - -
ev Costs for Funding $29,676,497 857,676 768,594 6,602,207 16,348,998 5,099,022 - - - - - - - - - - -
ng Costsction Debt Financingnded) F.E. Loan Fee $284,226 - - 284,226 - - - - - - - - - - - - -nded) L.F. at Loan Draws $29,000 - - 9,000 12,000 8,000 - - - - - - - - - - -nded) Loan Int. Res. $932,786 - - 65,375 410,347 457,065 - - - - - - - - - - -t. -paid in Cash $355,172 - - - - 355,172 - - - - - - - - - - -ecording Tax - Cash $213,169 - - 213,169 - - - - - - - - - - - - -inancing Costs $1,814,354 - - 571,770 422,347 820,237 - - - - - - - - - - -
before Op. Deficit $31,490,850 857,676 768,594 7,173,977 16,771,344 5,919,259 - - - - - - - - - - -
ing Deficit $0 - - - - - - - - - - - - - - - -
Development Costs (TDC) $31,490,850 857,676 768,594 7,173,977 16,771,344 5,919,259 - - - - - - - - - - -
v. Less Int. $61,393,374 - - - (72,451) 678,481 582,720 584,632 586,602 605,002 823,843 830,491 832,708 834,991 855,352 54,251,002 -
CES OF FUNDS
or Equityroject Costs Draw $774,308 257,303 230,578 286,427 - - - - - - - - - - - - -
Fin. Deficit Draw $0 - - - - - - - - - - - - - - - -fi Dev Cost Draw $0 - - - - - - - - - - - - - - - -
hortfall Draw $0 - - - - - - - - - - - - - - - -Spons o r F und i ng $774,308 257,303 230,578 286,427 - - - - - - - - - - - - -
Party Inv Equityroject Costs Draw $1,806,718 600,373 538,016 668,329 - - - - - - - - - - - - -
Fin. Deficit Draw $0 - - - - - - - - - - - - - - - -fi Dev. Costs Draw $0 - - - - - - - - - - - - - - - -
ortfall Draw $0 - - - - - - - - - - - - - - - -P a r t y I n v E q u i t y F u n d i n g $1,806,718 600,373 538,016 668,329 - - - - - - - - - - - - -
quity Draws $2,581,026 857,676 768,594 954,756 - - - - - - - - - - - - -
Loanroject Costs Draw $26,963,933 - - 5,647,451 16,348,998 4,967,484 - - - - - - - - - - -es - Front End $284,226 - - 284,226 - - - - - - - - - - - - -es - At Loan Draws $29,000 - - 9,000 12,000 8,000 - - - - - - - - - - -Interest Reserve $932,786 - - 65,375 410,347 457,065 - - - - - - - - - - -
terest Payments, if any $355,172 - - - - 355,172 - - - - - - - - - - -epayment From Refi ($28,423,114) - - - - (28,423,114) - - - - - - - - - - -epay Dispose of Retail & Office $0 - - - - - - - - - - - - - - - -rom Shortfall Equity Draw $0 - - - - - - - - - - - - - - - -
s of Funds after Defi. & LDC Funds $31,336,793 857,676 768,594 7,173,977 16,771,344 5,765,202 - - - - - - - - - - -1 2 7 10 11 12 1 1 1
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C Redevelopmenta i l Annua l Summ a r y - Cash F l ow
41305 41670 42035 42400 42766 43131 43496 43861 44227 44592 44957 45322 45688 46053 46418 46783
TotalParking & Other GPR $31,087,571 - - - 174,169 2,848,760 2,979,118 2,979,118 2,979,118 2,996,534 3,219,077 3,223,130 3,223,130 3,223,130 3,242,288 - -ncy ($1,554,379) - - - (8,708) (142,438) (148,956) (148,956) (148,956) (149,827) (160,954) (161,156) (161,156) (161,156) (162,114) - -il Rent Concessions ($1,428,020) - - - (174,169) (1,253,851) - - - - - - - - - - -Parking R.I. $28,105,173 - - - (8,708) 1,452,471 2,830,162 2,830,162 2,830,162 2,846,708 3,058,123 3,061,973 3,061,973 3,061,973 3,080,174 - - Reimb. $8,316,348 - - - 43,819 687,174 733,171 754,362 776,189 798,671 821,827 845,678 870,244 905,647 1,079,566 - -Parking EGI $36,421,520 - - - 35,111 2,139,645 3,563,333 3,584,524 3,606,351 3,645,378 3,879,950 3,907,651 3,932,217 3,967,620 4,159,740 - -
dit Loss ($310,876) - - - (1,742) (28,488) (29,791) (29,791) (29,791) (29,965) (32,191) (32,231) (32,231) (32,231) (32,423) - -perating Income $36,110,645 - - - 33,369 2,111,157 3,533,542 3,554,733 3,576,560 3,615,413 3,847,760 3,875,420 3,899,986 3,935,389 4,127,317 - -
M & RE Taxes ($7,539,808) - - - (105,820) (628,242) (656,599) (675,449) (694,864) (714,862) (735,460) (756,675) (778,528) (811,134) (982,175) - -il CapEx Reserve ($149,994) - - - - (4,631) (14,309) (14,738) (15,180) (15,635) (16,104) (16,588) (17,085) (17,598) (18,126) - -NOI after CapEx Res. $28,420,843 - - - (72,451) 1,478,285 2,862,634 2,864,546 2,866,515 2,884,916 3,096,195 3,102,157 3,104,373 3,106,656 3,127,017 - -
venue Before D.S. $28,955,941 - - - (72,451) 1,230,519 2,945,113 2,947,025 2,948,994 2,967,395 3,186,235 3,192,884 3,195,100 3,197,383 3,217,744 - -
ash D.S. Exp.* $21,813,569 - - - - 552,038 2,362,392 2,362,392 2,362,392 2,362,392 2,362,392 2,362,392 2,362,392 2,362,392 2,362,392 - -
pital EventsParking Sale, Net $0 - - - - - - - - - - - - - - - -
mily Dev. Rights $0 - - - - - - - - - - - - - - - -ents Rev., Net $0 - - - - - - - - - - - - - - - -
v. After D.S. $7,142,372 - - - (72,451) 678,481 582,720 584,632 586,602 605,002 823,843 830,491 832,708 834,991 855,352 - -
ing Cash Flows **or Equity Draw ($774,308) (257,303) (230,578) (286,427) - - - - - - - - - - - - -in. Deficits Draw $0 - - - - - - - - - - - - - - - -cing Shortfall Draw $0 - - - - - - - - - - - - - - - -v. Cost Draws $0 - - - - - - - - - - - - - - - -
Party Inv Equity ($1,806,718) (600,373) (538,016) (668,329) - - - - - - - - - - - - -in. Deficits Draw $0 - - - - - - - - - - - - - - - -cing Shortfall Draw $0 - - - - - - - - - - - - - - - -velopment Cost Draws $0 - - - - - - - - - - - - - - - -
aid To Late Dev. Costs $0 - - - - - - - - - - - - - - - -
Loan Draw 26,963,933 - - 5,647,451 16,348,998 4,967,484 - - - - - - - - - - -Loan Repayment (28,423,114) - - - - (28,423,114) - - - - - - - - - - -
ent Loan Proceeds $32,058,303 - - - - 32,058,303 - - - - - - - - - - -oan Repay Retail Sale * $0 - - - - - - - - - - - - - - - -t Levered Cash Flow $8,289,856 (857,676) (768,594) (954,756) - 4,334,541 582,720 584,632 586,602 605,002 823,843 830,491 832,708 834,991 855,352 - -
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RedevelopmentEqu i t y J o i n t Ven t u r e Pa r t ne r s h i p P r o f i t Sha r i ng Cas h F l ow Pa r t i t i o n i ng S t r u c t u r e
Internal Rate of Return Ranges/Hurdle Sponsor Sponsor TotalSponsor hirdParty Inv TotalEquity ProRata Share Promote Profit Share Profit Share (mustbe 100%)
reerred eturn 0% through 8.00% 30.00% 0.00% 30.00% 70.00% 100.00%e s du a p t Above 8.00% 30.00% 52.50% 82.50% 17.50% 100.00%
sh Requ i r em en t s Sh a r e Am ou n t
92% $28,422,5718% $2,581,026
Requirment 100% $31,003,597
ect Equ i t y % Sp l i t Con t r i b u t i o n
70.00% $1,806,71830.00% $774,308
ct Equity 100.00% $2,581,026
P r e f e r r ed Re t u r n on Equ i t y
8.00%8.00%
o f Ex c es s Cas h F l ows A f t e r ROC & P r e f
r Tier1rdle Above 8.00%re ofTier 82.50%nv Share ofTier 17.50%WS ANDRETURNS
Totals Jan-12 Jan-13 Jan-14 Jan-15 Jan-16 Jan-17 Jan-18 Jan-19 Jan-20 Jan-21 Jan-22 Jan-23 Jan-24 Jan-25 Jan-26 Jan-27($1,806,718) - (600,373) (538,016) (668,329) - - - - - - - - - - - -
pitalandPreferred Return Distribution $2,358,865 - - - - - 2,358,865 - - - - - - - - - -alDistribution $5,196,411 - - - - - 168,828 101,976 102,311 102,655 105,875 144,172 145,336 145,724 146,123 149,687 3,883,722ow $5,748,557 - (600,373) (538,016) (668,329) - 2,527,693 101,976 102,311 102,655 105,875 144,172 145,336 145,724 146,123 149,687 3,883,722y Inv IRR (Monthly CF) 21%n InvestedEquity 4.18x
Totals Jan-12 Jan-13 Jan-14 Jan-15 Jan-16 Jan-17 Jan-18 Jan-19 Jan-20 Jan-21 Jan-22 Jan-23 Jan-24 Jan-25 Jan-26 Jan-27($774,308) - (257,303) (230,578) (286,427) - - - - - - - - - - - -
pitalandPreferred Return Distribution ($1,010,942) - - - - - (1,010,942) - - - - - - - - - -alDistribution $24,497,364 - - - - - 795,905 480,744 482,322 483,947 499,127 679,670 685,155 686,984 688,868 705,665 18,308,977ow $22,712,114 - (257,303) (230,578) (286,427) - (215,037) 480,744 482,322 483,947 499,127 679,670 685,155 686,984 688,868 705,665 18,308,977
RR (Mnthly CFs) 50%n InvestedEquity 32.94x
Totals Jan-12 Jan-13 Jan-14 Jan-15 Jan-16 Jan-17 Jan-18 Jan-19 Jan-20 Jan-21 Jan-22 Jan-23 Jan-24 Jan-25 Jan-26 Jan-27
tInvestedEquity ($2,581,026) - (857,676) (768,594) (954,756) - - - - - - - - - - - -tDistributions,Gross $33,063,582 - - - - - 4,334,541 582,720 584,632 586,602 605,002 823,843 830,491 832,708 834,991 855,352 22,192,699t Equity Flows $30,482,556 - (857,676) (768,594) (954,756) - 4,334,541 582,720 584,632 586,602 605,002 823,843 830,491 832,708 834,991 855,352 22,192,699y Inv Investme ($1,806,718) - (600,373) (538,016) (668,329) - - - - - - - - - - - -Ca pi t a l & P r ef Ret u rn I RR t h roug h: 8.0%e $0 - 3,731,904 10,786,998 21,242,256 25,325,419 24,730,031 - - - - - - - - - -nv Injections $1,806,718 - 600,373 538,016 668,329 - - - - - - - - - - - -nv Accruals $552,147 - 24,011 69,404 136,673 162,945 159,114 - - - - - - - - - -
f.Return AccrualDist. ($2,358,865) - - - - - (2,358,865) - - - - - - - - - -e $0 - 4,356,288 11,394,417 22,047,259 25,488,364 22,530,280 - - - - - - - - - -
y Inv Investme ($1,806,718) - (600,373) (538,016) (668,329) - - - - - - - - - - - -y Inv Distributi $2,358,865 - - - - - 2,358,865 - - - - - - - - - -y Inv CF Net 70.00% $552,147 - (600,373) (538,016) (668,329) - 2,358,865 - - - - - - - - - -quity CF 30.00% $1,010,942 - - - - - 1,010,942 - - - - - - - - - -
gCash toDistri $29,693,775 - - - - - 964,734 582,720 584,632 586,602 605,002 823,843 830,491 832,708 834,991 855,352 22,192,699
I RR above: 8.0%y Inv CF 17.50% $5,196,411 - - - - - 168,828 101,976 102,311 102,655 105,875 144,172 145,336 145,724 146,123 149,687 3,883,722quity CF 30.00% $8,908,135 - - - - - 289,420 174,816 175,390 175,981 181,501 247,153 249,147 249,812 250,497 256,606 6,657,812romoteCF 52.50% $15,589,229 - - - - - 506,485 305,928 306,932 307,966 317,626 432,517 436,008 437,172 438,370 449,060 11,651,165
gCash toDistribute $0 - - - - - - - - - - - - - - - -SUMMARYc t Cas h F l ow
34.59%30,482,556 - (857,676) (768,594) (954,756) - 4,334,541 582,720 584,632 586,602 605,002 823,843 830,491 832,708 834,991 855,352 22,192,699
quity $2,581,026 - (857,676) (768,594) (954,756) - - - - - - - - - - - -e 12.81x
y I n v Cas h F l o
21.40%$5,748,557 - (600,373) (538,016) (668,329) - 2,527,693 101,976 102,311 102,655 105,875 144,172 145,336 145,724 146,123 149,687 3,883,722
quity $1,806,718 - (600,373) (538,016) (668,329) - - - - - - - - - - - -e 4.18x
as h F l ow
ections ($774,308) - (257,303) (230,578) (286,427) - - - - - - - - - - - -uityCashFlow $9,919,077 - - - - - 1,300,363 174,816 175,390 175,981 181,501 247,153 249,147 249,812 250,497 256,606 6,657,812mote CashFlow $15,589,229 - - - - - 506,485 305,928 306,932 307,966 317,626 432,517 436,008 437,172 438,370 449,060 11,651,165low $24,733,998 - (257,303) (230,578) (286,427) - 1,806,848 480,744 482,322 483,947 499,127 679,670 685,155 686,984 688,868 705,665 18,308,977
49.80%quity $774,308e 32.94x
30.00%
82.50%
70.00%
17.50%
0.00%
20.00%
40.00%
60.00%
80.00%
100.00%
Preferred Return Residual Split
Developer & Third Party Investor Share of Profit
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ABC RedevelopmentRet a i l Pa r k i n g I n c om e Pr o j ec t i o n - T oda y ' s Va l u es
M o n t h l y C o n t r a ct s
GPR of Monthly With Vacancy
Contracts
Number of Striped Spots 44 spots 44 spots
Spots per 1,000 Rentable SF 0.00 spots 0.00 spots
Average Monthly Contract Parking Rate (Today) $0 $0
% of Monthly Contracts Sold 0% 0%
Monthly Contract Parking Revenues $0 $0 Total GPR Assuming
Annual Monthly Contract Revenues $0 $0 Monthly Contracts at
Less Than 100% and
Public Occupancy
Pu b l i c Pa r k i n g at 100%
GPR of Public
Parking
% of Monthly Contract Spots not utilized per Day 100% 100%
Total # of Spots available for lease per Day 44 spots 44 spots
Daily Parking Rate (Today) $12.50 $12.50
Occupancy Rate on Daily Spaces 75% 100%
Total Daily Revenue per Day $413 $550
# of Work Days per Year 260 260
Total Annual "Daily" Revenue $107,250 $143,000
Total Annual Revenue $0 $107,250 $143,000
Profit Margin To Owner After Operator Costs 75% 75% 75%
Net Annual Parking Income $0 $80,438 $107,250
Estimated Annual Vacancy Loss $26,813
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Whole Foods Retail Lease Summary
Anytown USA
Lease Terms:
Rentable Area 55,000 SFTerm 20.00 years 240 months
ng per 1K RSF & Total 0.00 spots 0.00 spotsMthly Parking Rent/Spot $0.00Type NNNent 0.58 years 7 monthslowance $0 $0.00 PSFLandlord Con $0 $0.00 PSF
Free Rent CalendarFree Rent At BegYr 7 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 month
Free Rent At EOY 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 month
l & Ave Rental Rates: Annual Average Projection Rent Step at Beg Yr - - - - - 10.0% - - - - 10.0Base Year Escalation Annual Rate Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10 Yr 1
Rent, PSF $38.00 0.00% $40.91 Base Rent, PSF 38.00 38.00 38.00 38.00 38.00 41.80 41.80 41.80 41.80 41.80 45.98ng Rent, PSF $0.00 0.00% $0.00 Parking Rent, PSF - - - - - - - - - - -e Rent, PSF $0.00 0.00% $0.00 Storage Rent, PSF - - - - - - - - - - -ursables, PSF $10.70 $11.81 Reimbursables, PSF 9.56 9.84 10.12 10.41 10.72 11.03 11.35 11.68 12.01 14.57 14.97
ntage Rent, PSF 0.00% $0.00 $0.00 Percentage Rent, PSF - - - - - - - - - - -Rent & Reimb $48.70 Total Rent & Reimb 47.56 47.84 48.12 48.41 48.72 52.83 53.15 53.48 53.82 56.37 60.95&M Expenses, PSF $8.20 3.00% ($9.70) Less O&M Expenses, PSF (8.20) (8.45) (8.70) (8.96) (9.23) (9.51) (9.79) (10.08) (10.39) (10.70) (11.02AM $1.00 $1.00 3.00% Less CAM (1.00) (1.03) (1.06) (1.09) (1.13) (1.16) (1.19) (1.23) (1.27) (1.30) (1.34
Management Fee, % 3.00% $1.14 Less Management Fee, % (1.14) (1.14) (1.14) (1.14) (1.14) (1.25) (1.25) (1.25) (1.25) (1.25) (1.38dmin Fee 0.00% $0.00 Less Admin Fee - - - - - - - - - - -eal Estate Taxes, PSF $0.36 3.00% ($0.92) Less RE Taxes, PSF (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (2.56) (2.60lectricity, PSF $0.00 3.00% $0.00 Less Electricity, PSF - - - - - - - - - - -
al Inc Net Exp, PSF $38.00 PSF $39.69 PSF Annual Inc Net Exp, PSF 36.86 36.86 36.86 36.86 36.86 40.55 40.55 40.55 40.55 40.55 44.60al Inc Net of Exp $2,090,022 $2,182,749 Annual Inc Net of Exp $2,027,321 $2,027,321 $2,027,321 $2,027,321 $2,027,321 $2,230,053 $2,230,053 $2,230,053 $2,230,053 $2,230,053 $2,453,05thly Lease Inc $174,169 $181,896 Ave Mthly Lease Inc $168,943 $168,943 $168,943 $168,943 $168,943 $185,838 $185,838 $185,838 $185,838 $185,838 $204,422
Average
r Cash Impacts: Value Base Year Annual Rate Other Cash Impacts:Rent 7 mths ($22.17) ($1.85) Free Rent (22.17) - - - - - - - - - -
Allowance $0 $0.00 $0.00 T.I. Allowance -2.05% $449,877 ($8.18) ($8.18) L.C. (8.18)
er Concession $0.00 $0.00 Other Concessions -ff. Rent w/% Rent $7.65 PSF $29.66 PSF Net CF PSF 6.51 36.86 36.86 36.86 36.86 40.55 40.55 40.55 40.55 40.55 44.60Rent $29.66 PSF
Net Cash Flow $19,617,817Net Cash Flow 10.00% $11,416,875 Total Ann CF $358,265 $2,027,321 $2,027,321 $2,027,321 $2,027,321 $2,230,053 $2,230,053 $2,230,053 $2,230,053 $2,230,053 $2,453,05
Retail Tenant Summary
($20.00)
($10.00)
$0.00
$10.00
$20.00
$30.00
$40.00
$50.00
Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10 Yr 11 Yr 12
Base Rent, PSF Parking Rent, PSF Storage Rent, PSF Reimbursables, PSF Percentage Rent, PSF
L es s O &M Ex pe ns es , P SF L es s M an ag em en t F ee , % L es s R E T ax es , PS F L es s E le ctr ic it y, PS F Ne t C F P SF
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CVS Retail Lease Summary
Anytown USA
asic Lease Terms:
ase Rentable Area 11,000 SF
ase Term 30.00 years 359 months
rking per 1K RSF & Total 0.00 spots 0.00 spots
itial Mthly Parking Rent/Spot $0.00
ase Type NNN
ee Rent 0.33 years 4 months
. Allowance $0 $0.00 PSF
her Landlord Con $0 $0.00 PSF
Free Rent Calendar
Free Rent At BegYr 4 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months
Free Rent At EOY 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months
itial & Ave Rental Rates: Annual Average Projection Rent Step at Beg Yr - - - - - - - - - - -
Base Y ear Esc alation Annual Rate Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10 Yr 11
se Rent, PSF $49.00 0.00% $49.00 Base Rent, PSF 49.00 49.00 49.00 49.00 49.00 49.00 49.00 49.00 49.00 49.00 49.00
rking Rent, PSF $0.00 0.00% $0.00 Parking Rent, PSF - - - - - - - - - - -
orage Rent, PSF $0.00 0.00% $0.00 Storage Rent, PSF - - - - - - - - - - -
imbursables, PSF $11.08 $11.54 Reimbursables, PSF 9.61 9.89 10.17 10.47 10.77 11.08 11.41 11.74 12.08 14.63 15.07
rcentage Rent, PSF 0.00% $0.00 $0.00 Percentage Rent, PSF - - - - - - - - - - -
otal Rent & Reimb $60.08 Total Rent & Reimb 58.61 58.89 59.17 59.47 59.77 60.08 60.41 60.74 61.08 63.63 64.07
ss O&M Expenses, PSF $8.20 3.00% ($9.55) Less O&M Expenses, PSF (8.20) (8.45) (8.70) (8.96) (9.23) (9.51) (9.79) (10.08) (10.39) (10.70) (11.02)
ss CAM $1.00 3.00% ($1.16) Less CAM (1.00) (1.03) (1.06) (1.09) (1.13) (1.16) (1.19) (1.23) (1.27) (1.30) (1.34)
ss Management Fee, % 3.00% $1.47 ($1.47) Less Management Fee, % (1.47) (1.47) (1.47) (1.47) (1.47) (1.47) (1.47) (1.47) (1.47) (1.47) (1.47)
ss Admin Fee 5.00% $0.05 ($0.06) Less Admin Fee (0.05) (0.05) (0.05) (0.05) (0.06) (0.06) (0.06) (0.06) (0.06) (0.07) (0.07)
ss Real Estate Taxes, PSF $0.36 3.00% ($0.77) Less RE Taxes, PSF (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (2.56) (2.64)
ss Electricity, PSF $0.00 3.00% $0.00 Less Electricity, PSF - - - - - - - - - - -
nnual Inc Net Exp, PSF $49.00 PSF $15.84 PSF Annual Inc Net Exp, PSF 47.53 47.53 47.53 47.53 47.53 47.53 47.53 47.53 47.53 47.53 47.53
nnual Inc Net of Exp $538,996 $174,275 Annual Inc Net of Exp $ 522, 82 6 $52 2, 826 $522, 826 $ 522, 82 6 $52 2, 826 $522, 826 $ 522, 82 6 $52 2, 826 $522, 826 $522, 826 $522, 826
e Mthly Lease Inc $44,916 $14,523 Ave Mthly Lease Inc $43,569 $43,569 $43,569 $43,569 $43,569 $43,569 $43,569 $43,569 $43,569 $43,569 $43,569
Average
her Cash Impacts: Value Base Year Annual Rate Other Cash Impacts:
Free Rent 4 mths ($16.33) ($1.48) Free Rent (16.33) - - - - - - - - - -
T.I. Allowance $0 $0.00 $0.00 T.I. Allowance -
L.C. 4.60% $247,938 ($22.54) ($22.54) L.C. (22.54)
Other Concession $0.00 $0.00 Other Concessions -
et Eff. Rent w/% Rent $10.13 PSF ($8.18) PSF Net CF PSF 8.66 47.53 47.53 47.53 47.53 47.53 47.53 47.53 47.53 47.53 47.53
/o % Rent ($8.18) PSF
otal Net Cash Flow $4,800,654
PV Net Cash Flow 10.00% $2,823,808 Total Ann CF $95 ,223 $ 522, 82 6 $52 2, 826 $522, 826 $ 522, 82 6 $52 2, 826 $522, 826 $ 522, 82 6 $52 2, 826 $52 2, 826 $522 ,826
Retail Tenant Summary
($20.00)
($10.00)
$0.00
$10.00
$20.00
$30.00
$40.00
$50.00
$60.00
Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10 Yr 11 Yr 12
Base Rent, PSF Parking Rent, PSF Storage Rent, PSF Reimbursables, PSF Percentage Rent, PSF
L es s O &M Ex pe ns es , P SF Le ss Man age me nt Fee , % L es s R E T axes , P SF L es s E lec tr ic it y, PS F N et CF PSF
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Pet Value Retail Lease Summary
Anytown USA
Basic Lease Terms:
Lease Rentable Area 3,200 SF
Lease Term 10.00 years 120 months
Parking per 1K RSF & Total 0.00 spots 0.00 spots
Initial Mthly Parking Rent/Spot $0.00
Lease Type NNN
Free Rent 0.08 years 1 months
T.I. Allowance $128,000 $40.00 PSF
Other Landlord Con $0 $0.00 PSF
Free Rent Calendar
Free Rent At BegYr 1 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months
Free Rent At EOY 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months
Initial & Ave Rental Rates: Annual Average Projection Rent Step at Beg Yr - - - - - 10.0% - - - -
Base Year Escalation Annual Rate Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10
Base Rent, PSF $35.00 0.00% $36.75 Base Rent, PSF 35.00 35.00 35.00 35.00 35.00 38.50 38.50 38.50 38.50 38.50
Parking Rent, PSF $0.00 0.00% $0.00 Parking Rent, PSF - - - - - - - - - -
Storage Rent, PSF $0.00 0.00% $0.00 Storage Rent, PSF - - - - - - - - - -
Reimbursables, PSF $10.71 $11.24 Reimbursables, PSF 9.66 9.94 10.23 10.52 10.83 11.14 11.47 11.80 12.14 14.71
Percentage Rent, PSF 0.00% $0.00 $0.00 Percentage Rent, PSF - - - - - - - - - -
Total Rent & Reimb $45.71 Total Rent & Reimb 44.66 44.94 45.23 45.52 45.83 49.64 49.97 50.30 50.64 53.21
Less O&M Expenses, PSF $8.20 3.00% ($9.40) Less O&M Expenses, PSF (8.20) (8.45) (8.70) (8.96) (9.23) (9.51) (9.79) (10.08) (10.39) (10.70)
Less CAM $1.00 3.00% ($1.15) Less CAM (1.00) (1.03) (1.06) (1.09) (1.13) (1.16) (1.19) (1.23) (1.27) (1.30)
Less Management Fee, % 3.00% $1.05 ($1.10) Less Management Fee, % (1.05) (1.05) (1.05) (1.05) (1.05) (1.16) (1.16) (1.16) (1.16) (1.16)
Less Admin Fee 10.00% $0.10 ($0.11) Less Admin Fee (0.10) (0.10) (0.11) (0.11) (0.11) (0.12) (0.12) (0.12) (0.13) (0.13)
Less Real Estate Taxes, PSF $0.36 3.00% ($0.58) Less RE Taxes, PSF (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (2.57)
Less Electricity, PSF $0.00 3.00% $0.00 Less Electricity, PSF - - - - - - - - - -
Annual Inc Net Exp, PSF $35.00 PSF $35.65 PSF Annual Inc Net Exp, PSF 33.95 33.95 33.95 33.95 33.95 37.35 37.35 37.35 37.35 37.35
Annual Inc Net of Exp $112,000 $114,072 Annual Inc Net of Exp 108,640 108,640 108,640 108,640 108,640 119,504 119,504 119,504 119,504 119,504
Ave Mthly Lease Inc $9,333 $9,506 Ave Mthly Lease Inc 9,053 9,053 9,053 9,053 9,053 9,959 9,959 9,959 9,959 9,959
Average
Other Cash Impacts: Value Base Year Annual Rate Other Cash Impacts:
Free Rent 1 mths ($2.92) ($0.29) Free Rent (2.92) - - - - - - - - -
T.I. Allowance $128,000 ($40.00) ($4.00) T.I. Allowance (40.00)
L.C. 3.00% $35,280 ($11.03) ($11.03) L.C. (11.03)
Other Concession $0.00 $0.00 Other Concessions -
Net Eff. Rent w/% Rent ($18.94) PSF $20.33 PSF Net CF PSF (19.99) 33.95 33.95 33.95 33.95 37.35 37.35 37.35 37.35 37.35
w/o % Rent $20.33 PSF
Total Net Cash Flow $968,107
NPV Net Cash Flow 10.00% $536,196 Total Ann CF ($63,973) $ 108, 64 0 $10 8, 640 $108, 640 $ 108, 64 0 $11 9, 504 $119, 504 $ 119, 50 4 $11 9, 504 $119 ,504
Retail Tenant Summary
($30.00)
($20.00)
($10.00)
$0.00
$10.00
$20.00
$30.00
$40.00
$50.00
Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10
Base Rent, PSF Parking Rent, PSF Storage Rent, PSF Reimbursables, PSF Percentage Rent, PSF
L es s O &M Ex pen ses , P SF L es s Ma nag em ent Fe e, % L es s R E T axes , P SF L es s E lec tri ci ty , P SF Ne t C F P SF
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Corner Bakery Retail Lease Summary
Anytown USA
c Lease Terms:
Rentable Area 4,000 SF
Term 10.00 years 120 months
ng per 1K RSF & Total 0.00 spots 0.00 spots
l Mthly Parking Rent/Spot $0.00
Type NNN
Rent 0.08 years 1 months
llowance $160,000 $40.00 PSF
Landlord Con $0 $0.00 PSF
Free Rent Calendar
Free Rent At BegYr 1 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 m
Free Rent At EOY 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 m
al & Ave Rental Rates: Annual Average Projection Rent Step at Beg Yr - - - - - 10.00% - - - Bas e Year Escalati on Annual Rate Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Y
Rent, PSF $42.50 0.00% $44.63 Base Rent, PSF 42.50 42.50 42.50 42.50 42.50 46.75 46.75 46.75 46.75 4
ng Rent, PSF $0.00 0.00% $0.00 Parking Rent, PSF - - - - - - - - -
ge Rent, PSF $0.00 0.00% $0.00 Storage Rent, PSF - - - - - - - - -
bursables, PSF $10.94 $11.24 Reimbursables, PSF 9.66 9.94 10.23 10.52 10.83 11.14 11.47 11.80 12.14 1
ntage Rent, PSF 0.00% $0.00 $0.00 Percentage Rent, PSF - - - - - - - - -
l Rent & Reimb $53.44 Total Rent & Reimb 52.16 52.44 52.73 53.02 53.33 57.89 58.22 58.55 58.89 6
O&M Expenses, PSF $8.20 3.00% ($9.40) Less O&M Expenses, PSF (8.20) (8.45) (8.70) (8.96) (9.23) (9.51) (9.79) (10.08) (10.39) (1
CAM $1.00 3.00% ($1.15) Less CAM (1.00) (1.03) (1.06) (1.09) (1.13) (1.16) (1.19) (1.23) (1.27)
Management Fee, % 3.00% $1.28 ($1.34) Less Management Fee, % (1.28) (1.28) (1.28) (1.28) (1.28) (1.40) (1.40) (1.40) (1.40)
Admin Fee 10.00% $0.10 ($0.11) Less Admin Fee (0.10) (0.10) (0.11) (0.11) (0.11) (0.12) (0.12) (0.12) (0.13)
Real Estate Taxes, PSF $0.36 3.00% ($0.58) Less RE Taxes, PSF (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (0.36)
Electricity, PSF $0.00 3.00% $0.00 Less Electricity, PSF - - - - - - - - -
ual Inc Net Exp, PSF $42.50 PSF $43.29 PSF Annual Inc Net Exp, PSF 41.23 41.23 41.23 41.23 41.23 45.35 45.35 45.35 45.35 4
ual Inc Net of Exp $170,000 $173,145 Annual Inc Net of Exp 164,900 164,900 164,900 164,900 164,900 181,390 181,390 181,390 181,390 181
Mthly Lease Inc $14,167 $14,429 Ave Mthly Lease Inc 13,742 13,742 13,742 13,742 13,742 15,116 15,116 15,116 15,116 15
Average
r Cash Impacts: Value Base Year Annual Rate Other Cash Impacts:
e Rent 1 mths ($3.54) ($0.35) Free Rent (3.54) - - - - - - - -
Allowance $160,000 ($40.00) ($4.00) T.I. Allowance (40.00)
3.00% $53,550 ($13.39) ($13.39) L.C. (13.39)
er Concession $0.00 $0.00 Other Concessions -
Eff. Rent w/% Rent ($14.43) $25.54 PSF Net CF PSF (15.70) 41.23 41.23 41.23 41.23 45.35 45.35 45.35 45.35 4
% Rent $25.54 PSF
l Net Cash Flow $1,503,733
Net Cash Flow 10.00% $845,038 Total Ann CF ($62,817) $164,900 $164,900 $164,900 $164,900 $181,390 $181,390 $181,390 $181,390 $181
Retail Tenant Summary
($20.00)
($10.00)
$0.00
$10.00
$20.00
$30.00
$40.00
$50.00
Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10
Base Rent, PSF Parking Rent, PSF Storage Rent, PSF Reimbursables, PSF Percentage Rent, PSF
Le ss O&M E xp en se s, PSF Le ss Man age me nt Fe e, % Le ss RE Tax es, PSF Le ss El ectr ici ty, PSF N et CF PSF
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Office Office Lease Summary
Anytown USA
Basic Lease Terms:
Lease Rentable Area 3,865 SF
Lease Term 10.00 years 120 months
Parking per 1K RSF & Total 0.00 spots 0.00 spots
Initial Mthly Parking Rent/Spot $0.00
Lease Type NNN
Free Rent 3865.00 years 1 months
T.I. Allowance $154,600 $40.00 PSF
Other Landlord Con $0 $0.00 PSF
Free Rent Calendar
Free Rent At BegYr 1 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months
Average Free Rent At EOY 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months 0 months
Initial & Ave Rental Rates: Base Annual Annual Projection Rent Step at Beg Yr - - - - - 10.00% - - - - 10.00%
Year Escalation Rate Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10 Yr 11
Base Rent, PSF $22.00 0.00% $23.10 Base Rent, PSF 22.00 22.00 22.00 22.00 22.00 24.20 24.20 24.20 24.20 24.20 -
Parking Rent, PSF $0.00 0.00% $0.00 Parking Rent, PSF - - - - - - - - - - -
Storage Rent, PSF $0.00 0.00% $0.00 Storage Rent, PSF - - - - - - - - - - -
Reimbursables, PSF $10.18 $10.87 Reimbursables, PSF 9.52 9.80 10.08 10.37 10.67 10.98 11.30 11.63 11.96 12.42 -
Percentage Rent, PSF 0.00% $0.00 $0.00 Percentage Rent, PSF - - - - - - - - - - -
Total Rent & Reimb $32.18 Total Rent & Reimb 31.52 31.80 32.08 32.37 32.67 35.18 35.50 35.83 36.16 36.62 -
Less O&M Expenses, PSF $8.16 3.00% ($9.35) Less O&M Expenses, PSF (8.16) (8.40) (8.66) (8.92) (9.18) (9.46) (9.74) (10.04) (10.34) (10.65) (10.97)
Less CAM $1.00 3.00% ($1.15) Less CAM (1.00) (1.03) (1.06) (1.09) (1.13) (1.16) (1.19) (1.23) (1.27) (1.30) (1.34)
Less Management Fee, % 3.00% $0.66 ($0.69) Less Management Fee, % (0.66) (0.66) (0.66) (0.66) (0.66) (0.73) (0.73) (0.73) (0.73) (0.73) -
Less Admin Fee Less Admin Fee
Less Real Estate Taxes, PSF $0.36 3.00% ($0.37) Less RE Taxes, PSF (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (0.36) (0.47) (0.48)
Less Electricity, PSF $0.00 3.00% $0.00 Less Electricity, PSF - - - - - - - - - - -
Annual Inc Net Exp, PSF $22.00 PSF $22.41 PSF Annual Inc Net Exp, PSF 21.34 21.34 21.34 21.34 21.34 23.47 23.47 23.47 23.47 23.47 (12.79)
Annual Inc Net of Exp $85,030 $86,603 Annual Inc Net of Exp ######### $82,479 $82,479 $82,479 $82,479 $90,727 $90,727 $90,727 $90,727 $90,727 ($49,452) (
Ave Mthly Lease Inc $7,086 $7,217 Ave Mthly Lease Inc $6,873 $6,873 $6,873 $6,873 $6,873 $7,561 $7,561 $7,561 $7,561 $7,561 ($4,121)
Base Average
Other Cash Impacts: Value Year Annual Rate Other Cash Impacts:
Free Rent 1 mths ($1.83) ($0.18) Free Rent (1.83) - - - - - - - - - -
T.I. Allowance ######## ($40.00) ($4.00) T.I. Allowance (40.00)
L.C. 3.00% $26,784 ($6.93) ($6.93) L.C. (6.93)
Other Concession $0.00 $0.00 Other Concessions -
Net Eff. Rent w/% Rent ######### $11.29 PSF Net CF PSF (27.42) 21.34 21.34 21.34 21.34 23.47 23.47 23.47 23.47 23.47 (12.79)
w/o % Rent $11.29 PSF
Total Net Cash Flow $677,560
NPV Net Cash Flow 10.00% $354,876 Total Ann CF ($105,991) $82,479 $82,479 $82,479 $82,479 $90,727 $90,727 $90,727 $90,727 $90,727 ($49,452) (
Reta Tenant Summary
($40.00)
($30.00)
($20.00)
($10.00)
$0.00
$10.00
$20.00
$30.00
Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10 Yr 11 Yr 12
Base Rent, PSF Parking Rent, PSF Storage Rent, PSF Reimbursables, PSF Percentage Rent, PSF
Le ss O &M E xpe ns es , P SF L es s R E T ax es , P SF L es s E lec tr ic it y, P SF N et C F P SF
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ABC Redevelopment Total Gross SF 390,213 RSFA p a r t m e n t U n i t a n d M i x D et a i l s Total Apt Rentable SF 247,089 RSF Unit Size 843 RSF Annual Rent PSF $38.68
Expected Units 293 Units Monthly Rent PSF $3.22 Average Monthly Rent $2,719
Ma r k e t Ra t e Comp o n e n t
Unit Type Annual
O & M
Expenses
GSF
Annual
Service
Charge
GSF
Average
Rent /
Month
Average
Unit Size
Monthly Rent PSF # of Units % of
To t a l
U n i t s
RSF Monthly Revenues
by Unit Type
Share of
Revenues by Uni
Type
$5.47 $0.00
Studio $5.47 $0.00 $2,055 575 RSF $3.57 3% 8 3% 4,600 RSF $16,437 2%
1 Bd / 1 Ba $5.47 $0.00 $2,298 672 RSF $3.42 46% 135 46% 90,720 RSF $310,213 39%
1 Bd / 1 Ba w/Den $5.47 $0.00 $2,700 884 RSF $3.05 13% 39 13% 34,476 RSF $105,301 13%
2 Bd / 2 Ba $5.47 $0.00 $3,062 1,058 RSF $2.89 29% 85 29% 89,930 RSF $260,239 33%
PH Studio $5.47 $0.00 $2,466 550 RSF $4.48 0% 1 0% 550 RSF $2,466 0%
PH 1 Bd / 1 Ba $5.47 $0.00 $3,008 730 RSF $4.12 1% 2 1% 1,460 RSF $6,016 1%
PH 1 Bd / 1 Ba w/Den $5.47 $0.00 $3,276 867 RSF $3.78 1% 3 1% 2,601 RSF $9,829 1%
PH 2 Bd / 2 Ba $5.47 $0.00 $3,892 1,047 RSF $3.72 5% 14 5% 14,658 RSF $54,491 7%
PH 2 Bd / 2.5 Ba w/Den $5.47 $0.00 $5,260 1,349 RSF $3.90 2% 6 2% 8,094 RSF $31,559 4%
TOTAL $5.47 $0.00 843 RSF $3.22 293 100% 247,089 RSF $796,551 100%
GRAND TOTAL 293 100% 247,089 RSF $796,551
Oper a t i n g Exp en ses a n d RE Taxes - Per U n i t Per Yea r B u i l d i n g -w i d e B l en d ed A v er a ges - M a r k et Ra t e U n i t s
Management $1,082 Assessed Value At Delivery Unit Size 843 R
Administration $549 Tax Rate 1.34% $4,110,746 32.00% PDR Monthly Rent PSF $3.2
Payroll $2,090 10 Year RE Tax Freeze Annual Rent PSF $38.6
Utilities $931 Average Monthly Rent/Unt $2,71
Other $361 Assessed Value After Tax Freeze
Repair & Maint. $1,205 Tax Rate 1.34% # months of ren
Insurance $329 32.00% PDR Initial Leasing Commissions 0.
Taxes $188.00 5.5% Cap Rate Ongoing Leasing Commissions 0.
Rental Expense $493 Assessed Value: $49,372,585
Total OpEx $7,227 Ann RE Tax: $661,593
$8,485,913 Ann NOI
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ABC RedevelopmentA p a r t m e n t C a p i t a l S t r u c t u r e (Bar heights are illustrative and are not to scale.)
% Equity % TDC Equity % TDC Debt % TDC Amount * Total Equity Total Debt * Deficits
Funded
By Equity
Equity Investment
incl. Deficit
Liabilities % TDC
Actual %
Dev Equity+ 30.00% 5.91% $7,260,000 $7,260,000
Dev Equity + 5.91%
3rd Party Equity+ 70.00% 13.79% $16,940,000 $16,940,000 3rd Party Equity + 13.79%
Const. Loan ** 80.30% 80.30% $98,635,762 $98,635,762
$24,200,000
Const. Loan ** 80.30%
Property Cash Flow As Source of Funds 0.00%
Sources of Funds (TDC) 100.00% 100.00% $122,835,762 100.00%
Sources of Funds From Above 122,835,762$
Property Cash Flow As Source of Funds 0
Total Sources of Funds 122,835,762$
$419,235/Unit
While the equity slices are shown stacked vertically, note that this is simply the graphic representation and does not imply that there is any Preferred equity in the transaction.
* The Senior Loan Amount on a residual basis after designating the dollar amounts of the other sources of funds.
** Principal Amount includes Funded Interest Reserve and Funded Loan Fees.
^ Equity amounts in this column do not include the pro-rata porti on of the Operating and Financing Deficits to be funded by the Equity in vestors. See Column S for adjusted totals.
19.70% $24,200,000 $0
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ABC Redevelopmentp a r t m en t P a r t n e r s h i p St r u c t u r e
o t a l R equ i r e d Equ i t y ( Pu r c ha s e + Ope r a t i o n )
$24,200,000 (Includes Operating Deficit Funding)
ponsor/Developer 30.00% $7,260,000
hird Party Investor 70.00% $16,940,000
100.00% $24,200,000
r o f i t S h a r i n g
Preferred Return Residual Split
Waterfall #1 8.00%
artnership Structure % Total Equity Sponsor Promote
Sponsor/Developer Equity 30.00% Sponsor/Developer Equity 30.00% 50.00% 20.00%
Investor 70.00% Investor Equity 70.00% 50.00%
Total 100.00% 100.00% 100.00%
ote: By its nature, the Preferred Return includes the Return of Capital.
Profit >>
Sharing >>
Splits >>
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ABC Redevelopmentp a r t m e n t J o i n t V e n t u r e R e t u r n D e t a i l
Sponsor/
Deve loper Th ird Party Investor Total Project
uity Investment $7,260,000 $16,940,000 $24,200,000
Share of Equity Investment 30.00% 70.00% 100.00%
oss Return $34,979,501 $53,419,639 $88,399,140
t Profit (Return on Equity) $27,719,501 $36,479,639 $64,199,140
ultiple on Equity 4.82x 3.15x 3.65x
ernal Rate of Return 16.42% 12.70% 14.01%
me from Equity Investment to Final Return
onths)
183 months 183 months 183 months
ofit Sharing Summary - Sponsor/Developer and Third Party Investor Profit Sharing Structure - Sponsor/Developer and Third Party Investor
Tier Sponsor/
Developer
Cashflow
Sponsor/
Developer Share
Third Party Investor
Cashflow
Third Party Investor
Share
Total Cashflow
Sponsor/
Developer Promote
Sponsor/
Developer
Equity Pro-Rata
Share
Investor Profit
Share
T
C and Pref Return $13,830,104 30% $32,270,243 70% $46,100,347 Preferred Return 0% through 8% 0% 30% 70%
r 1 $21,149,397 50% $21,149,397 50% $42,298,793 Residual Split Above 8% 20% 30% 50%
tal $34,979,501 40% $53,419,639 60% $88,399,140
ss Equity Investment ($7,260,000) 30% ($16,940,000) 70% ($24,200,000)
t Profit (Return on Equity) $27,719,501 43% $36,479,639 57% $64,199,140
IRR Hurdle Ranges
30%
70%
Share of Total Equity Investment
Sponsor Third Party Investor
43%
57%
Share of Total ProfitSponsor Third Party Investor
$27,719,501
$36,479,639
$0
$10,000,000
$20,000,000
$30,000,000
$40,000,000Net Profits
Sponsor
Third Party Investor
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BC Redevelopment
UILDING PROFILE DEV'T USES OF FUNDS Deposit/Fee % Total Per GSF
operty Name ABC Redevelopment Anytown USA Land & Acq. Costs 2.00% Deposit 12.70% $49.25 $53,242/Unit $1
Purchase Penalty 0.50% of land purchase price
Square Footage TBD Avg Garage Floorplate TBD 15,30 0 SF Total Hard Costs 73.26% $284.10 $307,151/Unit $8
oss Bldg Area Above Grade ( TB D) 316,772 G SF Useable SF Req'd/Prkg Spot 271 GSF Apt Bldg H.C. $282.21/Apt. GSF 72.78% $282.21 $8
nsity NA 0 Spots
ning CMX-4 Res'l Paid Pkg 0.9 spots/Apt 271 Spots Owner Directed H.C. 0.00% $0.00
owable Lot Coverage To be rezoned Prog'd Gross Prkg Area 73,441 GSF FF&E 0.28% $1.10
g Allowable Footprint To be rezoned Levels of Prkg Req'd 4.80 levels Contingency 0% Base Bldg H.C. 0.20% $0.79
ight Limit (Stories) 9 Stories Res'l Storage SF / Units 0 SF 0 Units
mber of Floors 9.00 floors Total Soft Costs & Fees 12.86% Base Bldg H.C. 9.36% $36.30 $39,249/Unit $1
g Slab to Slab Hght TBD Above-Grade GSF excl'g Prkg 316,772 SF All Other Soft Costs $18.47 $
ight Limit (Feet) TBD Total Bldg Gross SF incl'g Prk'g 390,213 SF Sponsor/Developer Fee 2.70 % Base Bldg H.C. 25% paid duri ng Pre-D ev. $
lding Height (Feet) TBD Developer Contingency 2.24% Base Bldg H.C. $
Avg Unit Share % Unit Count Operation Reserve Yes $1,239,039 $
sidual Apartment GSF 316,772 GSF Market Rate Units 843 RSF 100.00% 293 Units Fin. Costs Incl. Cash & Capital'd Int./Fees 4.58% $17.75 $19,193/Unit $
sid'l Use Eff. Factor 78.0% Total Dev't Cost (Uses of Funds) 100.00% $387.77 $419,235/Unit $12
ntable Apartment SF 247,082 RSF Total Units 843 RSF 100.00% 293 Units Op. Deficit
Total Dev. Cost Incl'g Op Def $387.77 $12
ROJECT TIMING VARIABLES DEVELOPMENT SOURCES OF FUNDSElapsed Month # Date/Duration Equity % of Equity I nitial Amt Deficit Share * % of Cost Total E
n Proj't Timing Sched.
Land Purch & Lease Timing Sponsor/Developer Equity 30.00% $7,260,000 $0 5.91% $7
Project/Analysis Start Date 1 2/1/2012 Third Party Investor Equity 70.00% $16,940,000 $0 13.79% $16
Land Contract Execution 2/1/2012 Equity Total 100.00% $24,200,000 $0 19.70% $24
Land Deposit Date 2/1/2012
Land Closing Date 5/1/2014
Mrkt Rate Apt Unit Lease-up Sched Debt Date To# of Mkt Units Pre-Leased by 1 C of O 190 Units Construction Loan ** 9/1/2014 3.0% Int 100.00% 80.30% $98,63
Const Timing & Sched Mnthly Absorp Rate/Pre-Lease Dur 17.00/mth 12 months Mortgage Recording Tax 9/1/2014 0.13% .
Months of Pre-Const. * 28 months Units to Lease / Post-Const. Duration 293 6.1 mo nt hs Loan Fees - Front End 9/1/2014 1.50%
Construction Start Date 29 6/1/2014 Last Unit Leased Mo nth 63 5 /1 /2 01 7 Loan Fees - At Draws 0.00%
of Months of Const. 29 months Total # of Mos. of Res'l Lease-up 10 months Debt Total 80.30% $98s
C of O Lead Time 4 months Property Cash Flow 0.00%s
C of O & Unit Rent Rec. 54 8/1/2016 Retail Space Timing Schedule Total Sources of Funds 100.00% $122
Const. & Final C of O Rec'd 57 11/1/2016 First Retail TI Payment 1/1/2012 * Operating Deficit and Financing-related Deficits
tablz'd (Last Mkt Unit Leased) 63 5/1/2017 First Retail Rent Commencement 9/1/2016 ** Loan amount includes capitalized interest and capitalized points/fees
tarting at Project/Analysis Start Date
$0
umma r y o f A p a r t m e n t B u i l d i n g D e v el o pme n t A s sump t i o n s - 6 / 2 / 2 0 14
SENIOR LOAN CHECK
(MUST BE $0)
PUSH TO CALC
CONSTRUCTION
LOAN
QUICK AND DIRTY
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ABC Redevelopment
CASH FLOW ASSUMPTIONS PERMANENT LOAN REFINANCING OF DEVELOPMENT LOAN(S)
Apartment and Parking Use
Apartment Vacancy 5.0% Stabilization Month 63 NOI at Point of Refinancing $8,128,202
Credit & Collection Loss 1.0% Month # of Refinancing Month 60 Maximum Loan Amount *
Operating Expenses Per Market Rate Unit Per Year $7,039 Date of Refinancing -3 mos. after 90% occy. 01/01/2017 Amount Borrowed Maximum Loan Amount
Taxes at Assessed Value at Delievery $4,110,746 1.340% $188 Principal Amount $105,148,234
$7,227 Term 10 Years
Amortization Period 30 Years Remaining Construction Loan Principal $98,635,762
Initial / Ongoing Lease-Up Rent Concessions and LCs 0.0 / 0.00 mos.of rent Interest Rate 5.0%
Downtime 1.00 mos. % of Leases Renewed: 80.0% Monthly Payment $564,458 Excess Proceeds to Equity $6,512,472
Loss to Lease 1.0% New Loan LTV 64.68% Loan/Broker Fees/Closing Costs ** 0.5%
Annual Rent/Parking Spot $233/month $2,794 * The Lesser of the two Maximum Loan Proceeds Amounts Interest Only Period (Enter 0 if None) 0
Parking Vacancy 5.0% ** These costs are assumed to be paid by Retained Earnings.
Average Storage Income Per Unit, Monthly $0
CapEx Reserve Per Unit Per Year $250 DISPOSITION
Miscellaneous Income PSF Per Year $2.89
Disposition of Apartments & Parking Month 183
Market Unit Average Rent - Today's values $3.22 PSF $2,719/month Sale Date 4/1/2027
Rent Escalates Prior to Delivery? No (Year 2027 of model) (Yr 11 of oper'n)
Unleased Apartment Unit O&M $0/Unt/Yr
Unleased Storage Space O&M $0/SF/Year Capitalization Rate 5.0%Unleased Retail Space O&M $0/SF/Year Selling Costs 2.0%
Unleased Parking O&M $0/Spot/Year $8,613,339
Apartment Building Disposition, Net $168,821,449
RETURNS SUMMARY, FROM MONTHLY CASH FLOWS
Total Equity Invested * $24,200,000
Annual Inflation Factors Going-In NOI $8,118,292 Project 14.01%
Income 2.00% Expenses 3.00% Going-In Yield 6.61%
Waterfall
Net Cash Flow $64,199,140 Sponsor/Developer/Developer 16.42%
Multiple on Equity ** 3.65x Third Party Investor 12.70%
Net Present Value at 5.00% $25,579,864
Notes
** Ignores the time value of money.
Summa r y o f A p a r t m e n t B u i l d i n g O p e r a t i n g & S a le A ss ump t i o n s - 6 / 2 / 2 0 14
DISPOSITION
Apartment Building Asset
Total Operating Expenses and RE Taxes Per Unit Per Year
$105,148,234
Internal Rate of Return
shortfalls. Does not include any Permanent Loan
Loan/Broker Fee/Closing Costs as these are assumed to be
paid by Retained Earnings.
Annual NOI in Month 195:
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BC Redevelopmentp a r t m en t A n n u a l Sum m a r y - So u r c es a n d Us es o f Fu n d s
Year: 2012 2013 2014 2015 2016 2017 2018 2019
ES OF FUNDS Total
d & Acq. Costs $15,717,000 312,000 - 15,405,000 - - - - -
rd Costs w/Cont., excl. TIs $89,395,958 - - 10,429,528 57,681,678 21,284,752 - - -Retail TIs $0 - - - - - - - -
al Hard Costs $89,995,263 - - 10,499,447 58,068,372 21,427,444 - - -eration Reserve $1,239,039 - - - - - 1,239,039 - -
Other Soft Costs $5,850,000 143,325 2,000,700 3,413,475 - 292,500 - - -
g. Dev Costs for Funding $117,212,302 692,120 2,259,021 30,095,364 60,107,090 22,819,669 1,239,039 - -
ancing Costs. (funded) Loan Int. Res. $4,020,629 - - 39,173 1,094,222 2,644,350 242,885 - -
n Interest - paid in Cash $0 - - - - - 0 - -
al Financing Costs $5,623,460 - - 1,642,004 1,094,222 2,644,350 242,885 - -D.C before Op. Deficit $122,835,762 692,120 2,259,021 31,737,368 61,201,311 25,464,018 1,481,924 - -erating Deficit $0 - - - - - - - -al Development Costs (TDC) $122,835,762 692,120 2,259,021 31,737,368 61,201,311 25,464,018 1,481,924 - -
URCES OF FUNDS Total
v Equity Pa r i Passuect Project Costs Draw $7,260,000 207,636 677,706 6,374,658 - - - - -
. & Fin. Deficit Draw $0 - - - - - - - -
t-Refi Dev Cost Draw $0 - - - - - - - -
in.Shortfall Draw $0 - - - - - - - -
t a l D e v . Fu n d i n g $7,260,000 207,636 677,706 6,374,658 - - - - -
d Party Equity Pa r i Passuect Project Costs Draw $16,940,000 484,484 1,581,315 14,874,201 - - - - -
. & Fin. Deficit Draw $0 - - - - - - - -
t-Refi Dev. Costs Draw $0 - - - - - - - -
i Shortfall Draw $0 - - - - - - - -
d P a r t y F u n d i n g $16,940,000 484,484 1,581,315 14,874,201 - - - - -
nstruct on Loan
ect Project Costs Draw $93,012,302 - - 8,846,505 60,107,090 22,819,669 1,239,039 - -
n Fees - Front End $1,479,536 - - 1,479,536 - - - - -n Fees - At Loan Draws $0 - - - - - - - -
nded Interest Reserve $4,020,629 - - 39,173 1,094,222 2,644,350 242,885 - -
h Interest Payments, if any $0 - - - - - 0 - -
n Repayment From Refi ($98,635,762) - - - - - (98,635,762) - -
n Repay Dispose of Apartment $0 - - - - - - - -
ay from Shortfall Equity Draw $0 - - - - - - - -
urces of Funds after Shortfalls $122,835,762 692,120 2,259,021 31,737,368 61,201,311 25,464,018 1,481,924 - -
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BC Redevelopmenta r t m e n t A n n u a l S umm a r y - Ca sh F l o w
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026
Total
ket Rate Units Leased 293 - - - - 292 1 - - - - - - - - -
t, Parking & Other GPR $132,186,945 - - - - 4,786,669 11,222,497 11,446,947 11,675,886 11,909,403 12,147,591 12,390,543 12,638,354 12,891,121 13,148,944 13,411,922 13,
Vacancy ($6,133,455) - - - - (219,608) (520,951) (531,370) (541,997) (552,837) (563,894) (575,172) (586,675) (598,409) (610,377) (622,584) (
Lease Comm. & Other L.C. $0 - - - - - - - - - - - - - - -
pt & Parking EGI $123,050,863 - - - - 4,567,061 10,654,350 10,752,968 10,822,532 11,038,982 11,259,762 11,484,957 11,714,656 11,948,949 12,187,928 12,431,687 12,
Exp. Reimb. $0 - - - - - - - - - - - - - - -
Credit Loss ($1,226,691) - - - - (43,922) (104,190) (106,274) (108,399) (110,567) (112,779) (115,034) (117,335) (119,682) (122,075) (124,517) (
O&M & RE Taxes $33,370,408 - - - - 988,377 2,421,958 2,511,877 2,585,581 2,661,496 2,739,688 3,376,192 3,529,537 3,635,423 3,744,485 3,856,820 3,
& Prkng (NOI) $88,453,764 - - - - 3,534,763 8,128,202 8,134,817 8,128,551 8,266,919 8,407,295 7,993,730 8,067,785 8,193,845 8,321,368 8,450,350 8,
Apt CapEx Reserve ($1,022,617) - - - - (13,741) (84,711) (87,252) (89,870) (92,566) (95,343) (98,203) (101,149) (104,183) (107,309) (110,528) (
NOI after CapEx Res. $87,431,146 - - - - 3,521,022 8,043,491 8,047,565 8,038,682 8,174,354 8,311,953 7,895,528 7,966,635 8,089,661 8,214,059 8,339,822 8,
tal Cash D.S. Exp.* $69,428,390 - - - - - 6,209,043 6,773,501 6,773,501 6,773,501 6,773,501 6,773,501 6,773,501 6,773,501 6,773,501 6,773,501 2,
p. Events Rev., Net $168,821,449 - - - - - - - - - - - - - - - 168,
Rev. After D.S. $186,824,206 - - - - 3,521,022 1,834,448 1,274,064 1,265,180 1,400,852 1,538,451 1,122,026 1,193,134 1,316,160 1,440,557 1,566,320 169,
nancing Cash Flows
ev Int Equity Draw ($ 7,260,000) (207,636) (677,706) (6,374,658) - - - - - - - - - - - -
v L.L. Costs & OpDef Draw $0 - - - - - - - - - - - - - - -
d Prty Intl Draw ($16, 940,000) (484,484) (1,581,315) (14,874,201) - - - - - - - - - - - -
d Prty L.L. Costs & OpDef Draw $0 - - - - - - - - - - - - - - -
v Paid To Late Dev Costs $0 - - - - - - - - - - - - - - -
nst Loan Draw $93,012,302 - - 8,846,505 60,107,090 22,819,669 1,239,039 - - - - - - - - -
nst Loan Repay't ($98,635,762) - - - - - (98,635,762) - - - - - - - - -
rm Loan Proc'ds $105,148,234 - - - - - 105,148,234 - - - - - - - - -
rm Loan Repay't - Apt Sale ($104,937,537) - - - - - - - - - - - - - - - (104,
ect Levered Cash Flow $64,199,140 (692,120) (2,259,021) (21,248,859) - 3,521,022 8,346,920 1,27
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