In the course, participants learn step-by-step how to build a dynamic real estate financial model in Excel to evaluate the investment return of a development project. The model incorporates sensitivity analysis of development costs, sales prices, and other aspects.
WHO WILL BENEFIT:
Development professionals, lending / banking analysts, surveyors, and anyone interested in mastering the art of building a real estate development models from scratch. Those seeking to develop intermediate to advanced financial modelling skills and become an expert in financial modeling for real estate development.
Participants will learn how to:
- Real estate industry Overview
- Calculate Cap Rate and Net Operating Income (NOI)
- Build an interactive financial model to assess a project’s financial viability
- Understand how to project real estate financing (both debt and equity) flow in and out depending on stage of development
- Design and structure of an Excel-based project finance model
- Modeling cash flows for a real estate development project
- Build in “triggers” and sensitivities to understand a project’s exposure to key drivers
- Build in ownership and financial structures (debt & equity)
- Calculate Internal Rate of Return (IRR), Return on Sales, Return on Cost
- Joint Venture (JV structures)
- Cash flow waterfalls (3 tier cash flow waterfall)
- Promotes and disproportionate returns
- Produce a one-page investment summary memo
- Includes blank and completed financial models to download
- Certificate of completion
The Excel Crash Course and Building a Financial Model in Excel or equivalent learning.
|| Estimated CPD Hours: Total - 6