I’m excited to share my Retail Development Model in Excel. This pro forma analysis tool comes as I’ve continued to build and share specialty real estate models, tailor-made for specific investment scenarios and property types. This model is an adaptation of my Office Development Model and Industrial Development Model. It’s specifically built to analyze both […]
I’m excited to share my Office Development Model in Excel. This pro forma analysis tool comes as I’ve continued to build and share specialty real estate models, tailor-made for specific investment scenarios and property types. This model is an adaptation of my Industrial Development Model. It’s specifically built to analyze both merchant-build and build-to-core, ground-up […]
Over the years, I’ve received various requests to augment our library of real estate Excel models to include a model for underwriting and analyzing commercial mortgage loans. Specifically, people have asked for a tool to calculate the loan amount (ie. loan sizing) based on a combination of tests – debt service coverage ratio, loan-to-value, and […]
I originally uploaded this equity/construction loan draw and interest calculation tool to our library of real estate financial analysis models in 2016. Over the years, I’ve continued to update it as suggestions, comments, and requests flowed in from our readers. The model is meant to be used to forecast construction budget cash flows (uses), and then model […]
An important component in any acquisition, development, and value-add model is the Sources and Uses of Capital section. Of course, how the sources and uses are modeled and how those cash flows are visualized will vary from one model to the next. But no model is complete without an accurate estimation of the sources and […]
We’ve received numerous requests over the years for a Self Storage Development Model in Excel. With strong investment and development activity in this niche property type, I recognize a self storage model on A.CRE is long overdue. But with so many other projects on our plates and limited experience with self storage, we just hadn’t […]
As many of you know, I started my career in residential land development first as a broker and later as a principal. During that time I built my fair share of residential land development Excel pro formas, modeling returns and forecasting cash flows for my clients and investor partners. I’ve since transitioned into the institutional side […]
We often field questions about how to model property tax abatements. It’s a concept we cover in our the ‘Advanced Modeling – Property and Portfolio’ endorsement in our Accelerator real estate financial modeling training program and something that has come up several times in our Accelerator Q&A. So, I thought it worthwhile to write a […]
I’m often asked to share models centered around residential development and home building. This is an area of real estate I’m completely comfortable in, since I spent the first 10 years of my career in new residential development. Not surprisingly, I’ve assembled a decent size library of Excel pro formas for land developers and home […]
As we enter a new year, it’s an ideal moment for CRE professionals to recalibrate and prepare for the challenges ahead – for some of you that means applying for new jobs. First impressions matter a lot in the job search, and for most job applications that first impression is made with the cover letter. […]
When building a real estate financial pro forma, it’s important to model for and include a summary of various return and risk metrics. Among the different return metrics, the internal rate of return (IRR) – both on an unlevered and levered basis – is one of the more important metrics to include in your analysis. One issue common to […]
Several times in the last month, I’ve been asked to tackle an interesting real estate financial modeling challenge – pare actual construction draw cash flows with s-curve cash flow forecasts to create an Actuals + Forecast Construction Draw schedule. The real challenge in this exercise, is to have the actual construction draws transition into the […]
As we approach the end of the year, it’s a time many of us pause to reflect and plan for the future. In my own career, I’ve always found the transition into a new year to be a prime opportunity for setting ambitious yet achievable goals. This year, I took a slightly different approach. Inspired by […]
Across a 22+ year career in the industry, I’ve encountered a range of complex scenarios that traditional metrics sometimes struggle to accurately capture. A case in point that has been top of mind for me recently is a weakness in the Equity Multiple, a metric fundamental to our understanding of investment performance but often lacking […]
In commercial real estate investing, the ability to forecast an asset’s potential cash flows, anticipate market trends and make accurate predictions is essential – especially in an environment of flat or rising rates. This skill, sometimes referred to as ‘superforecasting,’ is something I’ve been actively working to master in my own career. One of my […]