Real Estate Financial Advisory
FINANCIAL STUDY Prepared for
Client Name Client Company Name
Date
Private & Confidential
Client Company Name Property Name / Address
Financial Study
EXECUTIVE SUMMARY
Date Client Company Name (“Client”) Client Name (“Client Contact”) Address
PURPOSE OF REPORT:
Ploutus Advisors, Inc. was commissioned by the Client, per engagement letter and agreement dated _____________, to conduct a financial analysis for a proposed _______ unit apartment (for-rent) residential development project to be located at __________________________. This report includes a detailed financial analysis of a potential development scenario as presented by the Client to Ploutus Advisors, Inc. The development scenario analyzed as part of this report is as follows: _____________ rentable square feet of total project area which includes _______ market-rate rental apartments and __________ rentable square feet of retail
This report has been prepared for the Client as a development program financial assessment document to enable and/or lay a roadmap for further discussion, refinement, and/or modification of the proposed development program. OVERVIEW:
The following table summarizes a few of the key asset or project level results for the proposed development scenario: KEY METRICS Total Project Cost
$________MM
Cost Per Unit
$___________
Levered Project Level IRR (5-Year)
_____%
Unlevered Project Level IRR (5-Year)
_____%
Cash-on-Cash Yield at Stabilization
_____%
Profit (Levered)
$________MM
Multiple (Levered)
______x
Page 1 of 11
Client Company Name Property Name / Address
Financial Study
EXECUTIVE SUMMARY
The total required equity is $______MM. During the development phase, $______MM is sourced via construction loan draws, and $______MM is accrued in the form of construction interest. Post development, upon stabilization of the project, the construction loan balance is repaid through permanent loan financing of $_______MM plus cash from operations. The analysis assumes a five (5) year investment horizon from development to exit. Per the development budget, approved by the Client, the land and pre-development cost accounts for _____% of the total budget. Hard and soft cost account for ______% and ______% of the total budget, respectively. The asset or project level cash flows are further distributed based on a joint-venture waterfall / partnership structure (“JV”). The terms used for a potential JV with an equity partner are as follows: Equity Contribution: Distribution:
Developer (“Sponsor”) _____% and Investors (“LP” or Limited Partners”) _____% First, all invested equity to earn an IRR of _____% distributed pro-rata (“Hurdle Rate”) Thereafter, all invested equity to earn ______% of the remaining cash flow distributed pro-rata, and Sponsor to earn ______% of the remaining cash flow (“Promote”) All distributions are made pari-passu
Based on the above proposed waterfall structure, the Limited Partners are projected to receive a five (5) year levered IRR of ______% and multiple of ______x. Results are on the following page and for detailed financial analysis refer to Appendix.
Page 2 of 11
Client Company Name Property Name / Address
Financial Study
EXECUTIVE SUMMARY CAPITALIZATION:
KEY PERFORMANCE METRICS:
Page 3 of 11
Client Company Name Property Name / Address
Financial Study
EXECUTIVE SUMMARY STATIC FINANCIALS:
CASH FLOW:
Page 4 of 11
Client Company Name Property Name / Address
Financial Study
EXECUTIVE SUMMARY BUILDING AREA AND BUDGET COST BREAKDOWN:
MONTE CARLO SIMULATION (MCS) RESULT:
ASSUMPTIONS:
The analysis is based on the following general assumptions as outlined below: 1) Development Program
The development program includes ______ apartment units with an average unit area of approximately ______ SF. The unit breakdown is as follows: ____% are studios, ____% are 1 bed / 1 bath, ____% are 2 bed / 2 bath and _____% are 3 bed / 3 bath. The project also includes ______ SF of retail at the podium level. Parking provides for ____ stalls on two levels; ____ spaces at-grade and ____ spaces below-grade. The total rentable area of the project is _______ SF, and estimated gross building area is ______ SF.
2) Project Timeline
Land Acquisition and Development – First 2 Years (24 months) Lease-Up – Year 3 (12 months) First Fully Stabilized Period – Year 4 Reversion – Year 5
3) Development Budget
The land acquisition cost is $______MM. The hard cost is estimated to be $_____/SF Page 5 of 11
Client Company Name Property Name / Address
Financial Study
EXECUTIVE SUMMARY
based on estimated gross building area. The total development cost pre-financing is estimated to be $_____MM or $_____/SF based on estimated gross building area. 4) Rents
Apartment – The weighted average monthly per square foot rent is projected to be $_____. Based on the comparables, for-rent properties in the subject area currently have an average monthly per square foot rent of $_____. For Q1 2015, the downtown _________ apartment market measured an average rent of $_____ and occupancy of _______%. Retail – For the retail component, the analysis assumes a NNN monthly per square foot rent of $______. Other Income – Parking revenue of $_____ per month per unit at a pay rate of _____%, plus a combined pet and/or cable fee of $_____ per month per unit at a pay rate of ______% are included in the analysis. Rents are projected to escalate at _____% per year.
5) Operating Expenses
Operating expenses for the apartments stabilize at ______% of effective gross income (“EGI”), equating to $_____ per month per unit. Operating expenses include a combined annual property plus asset management fee _____% of EGI. Operating expenses are projected to escalate at _____% per year and real estate taxes escalate at _____% per year.
6) Absorption
Pre-leasing is assumed to begin in Quarter 8. _____% of the units are projected to be pre-leased. Thereafter, absorption is assumed at the rate of ____ apartment units per quarter. Stabilized vacancy is assumed as ______%.
7) Capitalization (Cap) Rate
Stabilized value for evaluation of permanent debt is determined using a cap rate of _____%. The exit cap at reversion reve rsion is assumed to be ___ __%.
8) Leverage
The construction loan is assumed for a period of _____ months at an annual interest rate of ____%. An operating reserve is assumed for shortfalls during the lease-up phase. Maximum permanent loan financing is determined as the lesser of loan amount based on (i) loan-to-value of ______%, and (ii) debt service coverage ratio of _____x with an annual interest rate of _____% based on a ____ year amortization period.
Page 6 of 11
Client Company Name Property Name / Address
Financial Study
EXECUTIVE SUMMARY RECOMMENDATIONS:
To further substantiate many of the key assumptions used herein, the Client is advised to explore the following steps: (i) (ii)
Conduct an in-depth review, and further value engineering, to refine and validate the development budget based on drawings with input from the architect, project manager, and general contractor. Conduct an apartment absorption study to ascertain current inventory level, competitive supply, absorption trends, future demand projections, future rental and vacancy trends, and the ability of submarket to absorb the planned project.
GENERAL METHODOLOGY:
This report includes an income-based analysis. In order to estimate the potential total return that may be generated by the project, a reversion, or sale, of the project is assumed. The sale value is calculated by applying an exit cap rate to the total net operating income (NOI). Key development cost assumptions and market research information used to conduct the financial feasibility analysis are complied from sources deemed reliable and/or provided by the Client. REPORT CONTENT:
The financial analysis as part of this report comprises of the following components: 1. Result: Project level details such as: a. Capitalization: Breakdown of sources and uses b. Key Performance Metrics: Unlevered (without debt) and levered (with debt) - profit, invested equity, multiple, and internal rate of return (IRR) c. Cash Flow: Annual cash flows, unlevered, levered and cumulative with payback d. Cost Breakdown: Distribution of land, hard, and soft costs e. Static Financials: Summary of total project cost, stabilized value, and cash-on-cash yield f. Monte Carlo Simulation (MCS)1: Estimate of probabilities for levered IRR based on a sample size of 1,000 IRR values either being less than, between, or greater than pre-defined IRR limits 2. Cash Flows: Annual and quarterly proforma cash flows, and monthly development cost distribution are included. The annual proforma also shows the cash flows on both an unlevered and a levered basis. 3. Development Budget: Detailed budget with breakdown for each major cost category; land, hard and soft. Further, the development budget also lists itemized costs for major cost categories.
1
Monte Carlo Simulation (MCS): The levered IRR output of the financial analysis is subjected to a simulation test. The model generates 1,000 random levered IRR values based on the assumption that the levered IRR has a standard deviation of 20.0%. The result of the MCS is displayed on the Result page. Page 7 of 11
Client Company Name Property Name / Address
Financial Study
EXECUTIVE SUMMARY
4. Financial Highlights: Projected stabilized value, maximum permanent debt estimate, and sources and uses for the development period. 5. Rent Roll & Comparables: Rent roll, breakdown of units by type, list of comparable rental properties, and data on the downtown Los Angeles market-rate rental residential market. 6. Waterfall: Proposed partnership or JV structure showing equity contribution and distribution of cash flows between prospective LP investors and the developer.
Page 8 of 11
Client Company Name Property Name / Address
Financial Study
EXECUTIVE SUMMARY BIO: Adnan Tapia
Adnan began his real estate es tate career in 1993 and has over a period of 20 years worked on 16+ million square feet or $2.5 billion worth of US and India focused real estate transactions across several product types including office, industrial, retail, residential, hospitality, mixed-use, land, and life cycles in areas such as real estate private equity, financial consulting, acquisitions, and development. Currently, Adnan is a Principal at Ploutus Advisors; a boutique real estate investment and development advisory firm based in Los Angeles where he helps identify, underwrite, and evaluate real estate investment and development opportunities for investors and developers. Ploutus Advisors also facilitates and advises on cross-border US-India real estate investment opportunities, and provides corporate real estate financial consulting services to owners and users of real estate. At Ploutus Advisors, Adnan has helped clients with over $1.5 billion dollars in real estate projects. In Downtown Los Angeles and other SoCal submarkets, Adnan has advised on several ground-up, and adaptive reuse, residential and mixed-use development projects totaling over 2,900 units. Prior to Ploutus Advisors, Adnan co-managed the western US operations for UrbanAmerica; an institutional urban real estate private equity firm that originated over $2.0 billion in commercial and residential transactions throughout the US. During his tenure at UrbanAmerica, Adnan helped source, underwrite, evaluate, structure, and present to the investment committee potential acquisition and development joint venture opportunities. He played a key role on several projects including a $485 million acquisition of a 3.1 million square foot national office portfolio and $108 million acquisition of a 1,100-room resort hotel. Further, he also assisted senior management in the pursuit and development of strategic business relationships as well as with internal fund operations. Prior to UrbanAmerica, Adnan worked at global real estate services firm Cushman & Wakefield where he evaluated and structured complex transactions, and consulted on acquisition, disposition, real estate development, corporate leasing and critical internal operation-related assignments. Adnan has advised clients such as O’Melveny Myers, Alaska Airlines, Sempra Energy, Warner Bros., Washington Mutual (now part of JP Morgan Chase) and City National Bank among several others. Adnan started his real estate career in India, where he worked on over 550 acres of land transactions and 1.3 million square feet of real estate development projects. •
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Cornell University, Ithaca – Master in Engineering Case Western Reserve University, Cleveland – MBA in Banking and Finance Nominated to the Honor Society of Beta Gamma Sigma University of Pune, India – Bachelor in Civil Engineering California Real Estate Broker License Lecturer, UCLA Extension: Course - Real Estate Development, Construction, and Management Member ULI, Cornell Real Estate Council (CREC) o
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•
•
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Specialties: Real Estate Investment, Acquisitions, Development, Private Equity, High-Net-Worth Advisory, Due Diligence, Underwriting & Financial Modeling, Asset Management, Business Development & Transaction Origination, Structuring & Negotiation, Joint Ventures, and Equity & Debt Financing.
Page 9 of 11
Client Company Name Property Name / Address
Financial Study
EXECUTIVE SUMMARY CONTACT:
Adnan Tapia Principal Ploutus Advisors, Inc. 1875 Century Park East, Suite 700 Century City, CA 90067
Tel: +1.424.274.3561 Fax: +1.424.288.5624 Email:
[email protected]
DISCLAIMER: This report is based on inputs from third parties and/or sources deemed reliable. This report and its contents are only for informational purposes, and for use only by the intended recipient (“Client”). The information contained herein may be subject to errors and/or omissions. The Client should not solely rely on information contained herein and is hereby advised to conduct its own due diligence and consult with other advisors prior to making any investment decision. This analysis does not purport to be allinclusive, or to contain all of the information that prospective investors, lenders, and/or other stakeholders may desire. Further, the findings and recommendations of this report may be subject to changes due to supply, demand, cost, and/or other changes related to the real estate product type, general macro and/or micro economic environment, and/or other parameters that are beyond the scope of this assignment and/or control of Ploutus Advisors, Inc. It should be noted that all financial projections are provided for general reference and informational purposes only in that they are based on assumptions relating to the general economy, competition, and other factors beyond the control of Ploutus Advisors, Inc. and, therefore, are subject to material variation. There may be other elements to the project not analyzed herein that have significant tax and accounting implications, in addition to other factors that may impact the results of this report. Ploutus Advisors, Inc. urges the Client to consult with their auditors, legal and/or tax advisors in order to fully evaluate and validate any such impact. Ploutus Advisors, Inc., and its officers, principals, owners, representatives and/or employees (collectively, “Ploutus Advisors, Inc.”) do not make any representations, and do not provide any guarantees and/or warranties, expressed or implied, as to the accuracy and/or completeness of the report, its financial analysis and/or any of its contents. No independent demographic, econometric, market research, or development cost study was conducted by Ploutus Advisors, Inc. as part of this analysis. No legal commitments and/or obligations shall arise by reason of this report or any of its contents. This report should not be used as the sole investment decision-making tool, and is not meant to replace or substitute an offering memorandum or private placement memorandum.
Page 10 of 11
Client Company Name Property Name / Address
Financial Study
EXECUTIVE SUMMARY
APPENDIX DETAILED FINANCIALS
Page 11 of 11
CLIENT NAME Property Name / Address FINANCIAL HIGHLIGHTS ESTIMATE OF PROFORMA STABILIZED VALUE Gross Potential Rent Less: Vacancy, Loss-to-Lease, Concessions Plus: Other Income Effective Gross Income (EGI) Operating Expenses Net Operating Income (NOI) - Apartments Net Operating Income (NOI) - Retail Net Operating Income (NOI) - Total Capitalization Rate Stabilized Value of Income Property
33.8%
Year 4
MAXIMUM DEBT LIMIT
$12,384,720 $681,160 $133,488 $11,837,048 $3,997,897 $7,839,152 $698,649 $8,537,801 5.25% $162,624,774
Permanent Loan Terms Interest Rate Amortization Period
5.000% 30 Years
(i) Debt Based on Loan to Value (LTV)
Maximum LTV Percentage Maximum Loan Based on LTV for Income Property (ii) Debt Based on Debt Coverage Ratio (DCR)
Monthly NOI Maximum DSCR Maximum Monthly Payment (Annual NOI/DSCR/12) Maximum Loan Based on DCR for Income Property Maximum Loan = Loan = Lesser of (i) LTV Result or (ii) DCR Result Maximum Loan for Income Property
SOURCES & USES - DEVELOPMENT PERIOD
TOTAL
Year 0
Year 1
Year 2
$126,359,752 $5,056,459 $131,416,211
$14,767,068 $0 $14,767,068
$40,635,153 $445,073 $41,080,225
$70,957,532 $4,611,386 $75,568,918
(i)
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
(ii)
$131,416,211
$14,767,068
$41,080,225
$75,568,918
Construction Loan: Net Draws Plus: Construction Loan - Net Accrued Interest Net Construction Loan Funding
$97,356,026 $5,056,459 $102,412,485
$0 $0 $0
$26,398,495 $445,073 $26,843,568
$70,957,532 $4,611,386 $75,568,918
Plus: Equity Sources Plus: Additional Equity Required Less: Positive Cash Flow After Interest - Distributed Less: Cash Proceeds from Construction Loan Takeout
$29,003,726 $0 $0 $0
$14,767,068 $0 $0 $0
$14,236,658 $0 $0 $0
$0 $0 $0 $0
TOTAL SOURCES
$131,416,211
$14,767,068
$41,080,225
$75,568,918
USES Total Development Costs, Excluding Interest Plus: Construction Loan - Capitalized Interest Total Capital Costs Cash Flow from Operations Net Operating Income (NOI) Less: Construction Loan Interest Accrued During Operations Cash Flow from Operations After Interest TOTAL USES
70.00% $113,837,342
$711,483 1.25 $569,187 $106,029,020
$106,029,020
(i) - (ii)
SOURCES Construction Loan Funding
TOTAL NET PROJECT COST - INITIAL TO LEASE-UP Capital Costs Total Development Cost, Excluding Interest Interest Accrued During Construction Total Capital Costs Operating Reserve Operating Loss During Lease-Up Interest Accrued During Operating Period Interest Paid During Operating Period Tota otal Ope Operati ratinng Res Reser erve ve Fun Funded ded by by Con Const stru ruct ctio ionn Loa Loann Total Net Project Costs Total Project Cost (Capital Costs Plus Operating Reserve) Less: Positive Cash Flow After Interest Net Project Cost (Through Lease-Up)
EQUITY RECONCILIATION $126,359,752 $5,056,459 $131,416,211
(a)
$0 $6,207,323 ($4,679,774) $1, $1,527, 527,54 5499
(b)
$132,943,760 $0 $132,943,760
Total Development Costs, Excluding Interest Plus: Construction Loan - Net Accrued Interest Total otal Pro Proje jecct Cost Cost (Ca (Capi pita tall Cos Costs ts Pl Plus Ope Opera rati ting ng Res Reser erve ve)) Less: Construction Loan Draws 74.1% Less: Net Accrued Interest Equity Contribution Required
(a) + (b)
Appendix: Page 1
$126,359,752 $5,056,459 $13 $131,41 1,416, 6,21 2111 $97,356,026 $5,056,459 $29,003,726
CLIENT NAME Property Name / Address WATERFALL WA TERFALL / PARTNERSHIP STRUCTURE - DEVELOPER TEAM & LP INVESTOR SUMMARY OF CONTRIBUTION & DISTRIBUTION Development Team Limited Partner Subtotal Development Team Total
EQUITY $2,900,373 $26,103,353 $29,003,726 $0 $29,003,726
Equity Pro-Rata Equity Pro-Rata Promote
PROFORMA SUMMARY
Tot al al
Levered Cash Flow Equity Invested Cash Available For Distribution Multiple Levered Asset Level IRR
$43,293,570 $29,003,726 $72,297,295 2.5x 22.5%
CASH FLOW DISTRIBUTION Tier 1: IRR HURDLE
Development Team Limited Partner Total
Tot al al 12.00% Equity Equity
10.00% 90 90.00% 100.00%
Cash Flow For Next Tier
Percent DISTRIBUTION $6,746,863 10.00% $6 60,72 1, 1,763 90.00% $ 60 10 1 00.00% $67,468,625 0.00% $4 $4,828,670 $72,297,295 Year 0
Year 1
($14,767,068) $14,767,068 $0
Year 0
($14,236,658) $14,236,658 $0
Year 1
($1,423,666) ($12,812,992) ($14,236,658)
Percent 10.00% 90.0 0% 0% 100.00%
Year 2
Percent 9.33% 83.99% 93 9 3.32% 6.68% 100.00%
PROFIT $3,846,490 $34,618,41 0 $38,464,899 $4,828,670 $43,293,570
Percent 10.00% 90.00% 100.00%
LP IR IRR 20.7%
Year 3
Year 4
$814,411 $0 $814,411
$542,879 $0 $542,879
Year 3
Year 4
$0 $0 $0
$81,441 $732,970 $814,411
$54,288 $488,591 $542,879
$4,679,665 $42,116,989 $46,796,654
$0 $0 $0
$0 $0 $0
$0 $0 $0
Year 2
Year 5
Percent 8.88% 79.96% 88.85% 11.15% 100.00%
$70,940,005 $0 $70,940,005
Year 5
Ye ar ar 6
$0 $0 $0
Ye ar ar 6
Year 7
$0 $0 $0
Year 7
$19,150,219
($1,476,707) ($13,290,361) ($14,767,068)
$24,143,351
$0
$0
$0
$0
$0
$24,143,351
$0
$0
$0 $0 $0 $0
$0 $0 $0 $0
$0 $0 $0 $0
$0 $0 $0 $0
$0 $0 $0 $0
$1,931,468 $17,383,213 $4,828,670 $24,143,351
$0 $0 $0 $0
$0 $0 $0 $0
Tier 2: BALANCE SPLIT
Development Team Limited Partner Development Team Total
Equity Equity Promote
8.00% 72.00% 20.00% 100.00%
10.00% 90.00%
$24,143,351
Appendix: Page 2
CLIENT NAME Property Name / Address WATERFALL WA TERFALL / PARTNERSHIP STRUCTURE - DEVELOPER TEAM & LP INVESTOR SUMMARY OF CONTRIBUTION & DISTRIBUTION Development Team Limited Partner Subtotal Development Team Total
EQUITY $2,900,373 $26,103,353 $29,003,726 $0 $29,003,726
Equity Pro-Rata Equity Pro-Rata Promote
PROFORMA SUMMARY
Percent DISTRIBUTION $6,746,863 10.00% $6 60,72 1, 1,763 90.00% $ 60 10 1 00.00% $67,468,625 0.00% $4 $4,828,670 $72,297,295
Tot al al
Year 0
Year 1
Percent 10.00% 90.0 0% 0% 100.00%
Percent 9.33% 83.99% 93 9 3.32% 6.68% 100.00%
PROFIT $3,846,490 $34,618,41 0 $38,464,899 $4,828,670 $43,293,570
Percent 10.00% 90.00% 100.00%
Percent 8.88% 79.96% 88.85% 11.15% 100.00%
LP IR IRR 20.7%
Year 2
Year 3
Year 4
Year 5
Ye ar ar 6
Year 7
($12,812,992) $12,812,992 $0
$0 $0 $0
$732,970 $0 $732,970
$488,591 $0 $488,591
$59,500,202 $0 $59,500,202
$0 $0 $0
$0 $0 $0
($1,423,666) $1,423,666 $3,077,577 $0
$0 $0 $3,446,887 $0
$81,441 $0 $3,779,072 $81,441
$54,288 $0 $4,178,273 $54,288
$11,439,804 $0 $0 $11,439,804
$0 $0 $0 $0
$0 $0 $0 $0
RESULT Limited Partner Cash Flow Equity Draws Distribution
Equity
$34,618,410 $26,103,353 $60,721,763 Profit: Equity: Distribution Multiple: Levered IRR:
$34,618,410 $26,103,353 $60,721,763 2.3x 20.7%
($13,290,361) $13,290,361 $0
79.96% 90.00% 83.99%
Share of Total
Development Team Cash Flow Equity Draws Equity Balance Distribution
Equity + Promote
$8,675,160 $2,900,373
($1,476,707) $1,476,707 $1,476,707 $0
$11,575,533 Profit: Equity: Distribution Multiple: Levered IRR:
$8,675,160 $2,900,373 $11,575,533 4.0x 35.8%
20.04% 10.00% 16.01%
Share of Total
Appendix: Page 3
CLIENT NAME Property Name / Address RENT ROLL & COMPARABLES RENT ROLL Apartment Unit Type Studio 1 Bed / 1 Bath 2 Bed / 2 Bath (T1) 2 Bed / 2 Bath (T2) 3 Bed / 3 Bath Apartment - Subtotal Subtotal / Average Average Other Retail 1 Retail 2 Other - Subtotal
Pricing
Market Market Market Market Market
NNN NNN
Number of Units 50 100 100 60 50 360
Percent of Total Units 13.9% 27.8% 27.8% 16.7% 13.9% 100.0%
10 10 20
Area Per Unit RSF / Unit 400 610 775 900 1,250 764
Total Area RSF 20,000 61,000 77,500 54,000 62,500 275,000
Rent Per SF $/RSF/Month $4.50 $4.10 $3.74 $3.56 $2.88 $3.64
Monthly Rent $/Unit/Month $1,800 $2,500 $2,900 $3,200 $3,600 $2,783
Annual Rent $1,080,000 $3,000,000 $3,480,000 $2,304,000 $2,160,000 $12,024,000
800 900
8,000 9,000 17,000
$3.50 $3.50
$2,800 $3,150
$336,000 $378,000 $714,000
Total Rentable Area =
292,000 SF
Annual Gross Rent = $12,738,000
Apartment Units By Type
50
50
60 100
100
Studio
1 Bed / 1 Bath
2 Bed / 2 Bath (T1)
2 Bed / 2 Bath (T2)
Appendix: Page 4
3 Bed / 3 Bath
CLIENT NAME Property Name / Address RENT ROLL & COMPARABLES RENT COMPARABLES Unit Type
1 Bed / 1 Bath (2 Beds) 2 Bed / 2 Bath (4 Beds) 3 Bed / 3 Bath (6 Beds) 1 Bed / 1 Bath 1 Bed / 1 Bath 2 Bed / 2 Bath 2 Bed / 2 Bath 3 Bed / 2 Bath Studio 2 Bed / 2 Bath Studio 2 Bed / 2 Bath Studio 1 Bed / 1 Bath Total / Avg
Address
Property Name
Unit Area SF
Monthly Rent
Weight *
Rent / SF
Proximity
xxxx
xxxx xxxx xxxx
xxxx
xxxx
xxxx
xxxx
xxxx
xxxx
xxxx
xxxx
$3,500 $4,000 $5,500 $2,500 $2,500 $3,500 $2,875 $3,200 $1,600 $3,000 $2,000 $3,000 $1,900 $2,475
10.0% 10.0% 10.0% 5.0% 8.0% 8.0% 5.0% 5.0% 5.0% 5.0% 5.0% 5.0% 9.5% 9.5% 100.0%
$5.08 $3.51 $4.20 $3.60 $3.24 $3.41 $2.56 $2.08 $3.56 $2.50 $3.33 $3.00 $3.33 $3.54 $3.49
0.20 Mi.
xxxx xxxx
689 1,141 1,309 695 773 1,027 1,125 1,535 450 1,200 600 1,000 570 700 915
Source: www.apartments.com www.apartments.com as of July 2015 * Weight for each comparable is assigned based on potential tenant profile, proximity, proximity, size and quality of product
SUBMARKET - MARKET RATE RENTAL RESIDENTIAL Item Occupancy Rate Rent / SF / Month Avg Rent / Month Source: XYZ Co
Q1 2015 95.0% $3.25 $3,185
Q1 2014 95.0% $3.00 $2,940
Item Current Inventory Under Construction When Complete Complete Proposed
# of Units 16,600 7,860 24,460 8,810
Appendix: Page 5
1.20 Mi. 1.60 Mi. 0.90 Mi. 0.80 Mi. 0.80 Mi. 1.00 Mi.
CLIENT NAME Property Name / Address DEVELOPMENT BUDGET ESTI ESTIMA MATE TED D BUI BUILD LDIN ING G GRO GROSS SS AREA AREA
COST
365, 365,00 0000 SF SF
$ Amount PRE-DEVELOPMENT COST (1)
Land / Existing Property
1 2 3 4 5 6 7 (2)
Land Value / Value of Existing Property Real Estate Fees (Broker, Acquisition, Finder) Title Policy Transfer Taxes Legal / Due Diligence Off-Site Improvements Miscellaneous Fees Subtotal
None Seller Pays Seller Pays
0.00% 0.00% 0.00% 0.71% 0.28% 0.14% 1 .1 3 %
$32.88 $0 . 00 $0 . 00 $0 . 00 $0.23 $0.09 $0.05 $33.25
/ SF / SF / SF / SF / SF / SF / SF / SF
$12,000,000 $0 $0 $0 $8 5 , 0 00 $3 3 , 3 33 $1 6 , 6 67 $12,135,000
$0.41 $1.92 $0.27 $0.27 $0.41 $0.27 $0.00 $0.07 $0.00 $0.07 $0.02 $0.02 $0.02 $0.03 $0.00 $0.00 $3.51
/ SF / SF / SF / SF / SF / SF / SF / SF / SF / SF / SF / SF / SF / SF / SF / SF
$150,000 $700,000 $100,000 $150,000 $100,000 $0 $25,000 $0 $25,000 $7,000 $7,500 $7,500 $10,000 $0 $0 $1 , 2 82 , 0 00
Eng Fees / Entitlement
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
Appraisal Fees Demolition Cost Market Market Study Study Planning Planning & Zoning Fee - PUD Approval Approval Lot Line Adjustment - Parcel Maps/Plats Entitlement Consultant Financial Consultant Special Development Fees Traffic Study Geotechnic Geotechnical al Survey Survey Environmental Survey - Phase I Environmental Survey - Phase II ALTA ALTA Survey Flood Certificate / Inspection Fee Hazardous Material Remediation Subtotal
w/Planning & Zoning
PRE-DEVELOPMENT COSTS
% Total:
1 0 .6 %
$36.76 /SF
$13,417,000
HARD COST (1)
Building
1 2 3 4 5 6 7 8 9 10 (2)
$19.18 $35 . 62 $8 2 . 19 $19.18 $2 . 0 5 $8.22 $2.14 $7 . 4 0 $4.66 $ 1 . 85 $1 82 . 4 8
/ SF / SF / SF / SF / SF / SF / SF / SF / SF / SF / SF
At Grade Parking Below Grade Parking Subtotal
272 272 5 44
Stalls Stalls Stalls
$15,000 / Stall = $35,000 / Stall =
$4,500,000
TIA (Retail / Commercial)
Tenant Improvement Allowance Subtotal (5)
$4,080,000 $9,520,000 $1 3 , 60 0 , 0 00
Sitework
Sitework (4)
$7,000,000 $13,000,000 $30,000,000 $7,000,000 $750,000 $3,000,000 $780,000 $2,700,000 $1,700,000 $675,000 $66,605,000
Parking
1 2 (3)
Foundations Substructure (Slab on Grade; Basement Excavation; Basement Walls) Superstructure (Floor & Roof Construction; Stair Construction) Exterior Closure (Walls; Doors/Windows) Roofing Interior Construction (Partitions; Interior Finishes; Doors/Windows) Elevators Mechanical (Plumbing; HVAC; Fire Protection; Other) Electrical Equipment (Fixed/Movable Equipment; Furnishings) Subtotal
17,000
SF x
$20.00 / SF =
$ 34 0 , 00 0 $340,000
10.0%
$23.30 / SF
$8 , 504 , 500
7 4 .0 %
$256.30 /SF
$93,549,500
Contingency
Hard Cost Contingency HARD COST - CONSTRUCTION
% Total:
Appendix: Page 6
CLIENT NAME Property Name / Address DEVELOPMENT BUDGET ESTI ESTIMA MATE TED D BUI BUILD LDIN ING G GRO GROSS SS AREA AREA
COST
365, 365,00 0000 SF SF
$ Amount SOFT COST (1)
Design & Consultants
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 (2)
Architect MEP & Fire Protection Struct Structura urall ADA Surveyor Civil Exterior Skin Landscaping Restaurant & Kitchen Roofing & Waterproofing Swimming Pool & Equipment Vertical Transportation Parking Acoustical Audio Visual Telecommunications / Data Security Contingency Subtotal
3.3 3%
$4.11 $1 . 37 $1.10 $1.10 $0.27 $0.21 $0 . 1 9 $0 . 0 0 $ 0 . 55 $0 . 00 $ 0 . 05 $0 . 04 $0 . 03 $0.08 $0.03 $0.01 $ 0 . 04 $ 0 . 04 $0.41 $8 . 53
/ SF / SF / SF / SF / SF / SF / SF / SF / SF / SF / SF / SF / SF / SF / SF / SF / SF / SF / SF
$1,500,000 $500,000 $400,000 $100,000 $75,000 $70,000 $0 $200,000 $0 $20,000 $15,000 $10,000 $30,000 $10,000 $5,000 $15,000 $15,000 $14 8 , 25 0 $3,113,250
0.2 8%
$0.55 $0.14 $ 0 .0 3 $0 . 0 1 $0.73
/ SF / SF / SF / SF / SF
$200,000 $50,000 $10,000 $5,000 $26 5 , 00 0
1.3 2%
$0.96 $0.24 $0.26 $0 . 00 $0 . 00 $1.28 $0.64 $3 . 37
/ SF / SF / SF / SF / SF / SF / SF / SF
$34 9 , 93 6 $87,484 $93,316 $0 $0 $46 6 , 58 2 $23 3 , 29 1 $1,230,609
0.1 4%
$ 0 . 05 $0.04 $0 . 0 4 $0 . 10 $ 0 .0 7 $0.05 $0.36
/ SF / SF / SF / SF / SF / SF / SF
$20,000 $15,000 $15,000 $35,000 $25,000 $20,000 $13 0 , 00 0
0.1 4%
$ 0 . 14 $0.08 $0.08 $0.05 $ 0 . 01 $0.37
/ SF / SF / SF / SF / SF / SF
$50,000 $30,000 $30,000 $20,000 $5,000 $13 5 , 00 0
5.00% % of HC:
Miscellaneous Development Cost
1 2 3 4 (3)
Site Security During Construction Utility Consumption Drawing / Printing Team Meeting / Catering Subtotal
% of HC:
Permits & Fees
1 2 3 4 5 6 7 (4)
Building Permit Fee Plan Check Fee Grading Permit Water & Sewer Tap Fees State Imposed Fees School Impact Fees Other Misc. Permits & Fees Subtotal
0.37% 0.09% 0.10% 0.00% 0.00% 0.50% 0.25% % of HC:
Testing Testing & Inspections
1 2 3 4 5 6 (5)
Soils Testing Concrete Testing / Reinforcing Inspec Masonry Testing / Inspection Steel Testing / Inspections Fireproofing Testing / Inspections Building Envelope / Window Wall Testing Subtotal
% of HC:
Legal & Accounting
1 2 3 4 5
Due Diligence / Purchase Agreement Development / Construction Agreement Consultant / Broker Agrmt / CC&Rs Real Estate Tax Consultant / Audits / Accounting Miscellaneous Subtotal
% of HC:
Appendix: Page 7
CLIENT NAME Property Name / Address DEVELOPMENT BUDGET ESTI ESTIMA MATE TED D BUI BUILD LDIN ING G GRO GROSS SS AREA AREA
COST
365, 365,00 0000 SF SF
$ Amount (6)
Insurance During Construction
1 2 3 4 5 6 7 (7)
Based on HC Based on SC % of HC % of HC
$0.30 $0.35
/$100/Yr x /$100/Yr x 1.50% 0.00%
24 Mths 24 Mths
2.1 9%
$5 . 62 / S F
$561,297 $36,552 $1,403,243 $0 $50,000 $0 $0 $2,051,091
1.25%
$1.5 $1.588 / SF SF $0 . 00 / S F $1.58 / SF
$577,728 $0 $57 7 , 72 8
$0.14 $0.21 $ 0 . 07 $0.14 $0.39 $0 . 01 $0.95
/ SF / SF / SF / SF / SF / SF / SF
$50,000 $75,000 $25,000 $50,000 $14 2 , 80 0 $5,000 $34 7 , 80 0
$15.38 $4 . 66 $9 . 06 $29.09
/ SF / SF / SF / SF
$5,612,970 $1,700,900 $3,305,416 $ 10 , 619 , 286
w/Constructn w/Owner % of HC:
Taxes During Construction
1 2 (8)
Property Taxes Sales Tax Subtotal
w/Constructn % of HC:
0.6 2%
Marketing / Leasing Office
1 2 3 4 5 6 (9)
Leasing Office (Staff/Equip/Furn/Trailer) Model Room Constructio Constructionn Model Room Furniture Marketing (Print/Media Advt/PR) Leasing Commissions (Retail/Commercial) Other Subtotal
4 . 0 0%
6 0 M t hs
% of HC:
0.3 7%
Developer, Contractor, Contractor, PM Fees & Escalations
1 2 3 (10)
Builders Risk Insurance (Hard Cost) Builders Risk Insurance (Soft Cost) General Liablility Wrap-up Policy Earthquake Insurance Professional Insurance - e.g.: CPPIC Commercial Umbrella Force Majeure Subtotal
Developer / Contractor Fee Project Management Fee (Hard Cost, Net of Contingency) Escalations Subtotal
6.0% 2.0% 3.3% % of HC:
11.35%
Soft Cost Contingency
Soft Cost Contingency SOFT COST TOTAL COST, PRE-FINANCING
% Total:
5.0%
$2.53 / SF
1 5 .3 %
$53.13 /SF
$19,393,252
100.0%
$346.19 /SF
$126,359,752
Appendix: Page 8
$92 3 , 48 8
CLIENT NAME Property Name / Address PROFORMA ANNUAL CASH FLOW
T OT OTA L
Ye ar ar 0
Ye ar ar 1
Ye ar ar 2
DEVELOPMENT PERIOD
DEVELOPMENT COST Pre-Development Cost Hard Cost Soft Cost Development Cost, Excluding Construction Loan Interest and Operating Reserves OPERATING CASH FLOW Gross Potential Revenue Less: Loss-to-Lease Less: Vacancy Less: Concessions, Allowance, Bad Debt Effective Rental Income Other Income Effective Gross Income (EGI) Operating Expenses Net Operating Income - Apartments Net Other Income - Retail Net Operating Income (NOI) Less: Construction Interest Paid During Operations Less: Annual Debt Service Plus: Operating Reserve Funded by Construction Loan Levered Cash Flow Before Tax - From Operations
Yr 5 Onwards
3.00% 0.25% 5 .0 0 % 0 .5 0 % 3.00% 3.00% 3.00%
Yr 4 - $/SF/Mo $3.53 $0.00 $0.18 $0.02 $3.34 $0.04 $3.38 $1.14 $2.24 $0.20 $2.44
$ 1 3 ,4 1 7 ,0 0 0 $ 9 3 ,5 4 9 ,5 0 0 $ 1 9 ,3 9 3 ,2 5 2 $ 1 2 6 , 3 5 9 ,7 5 2
Ye ar ar 3
Ye ar ar 4
LEASE-UP
Ye ar ar 5
Ye ar ar 6
Ye ar ar 7
OPERATING PERIOD Stabili zed
Sale
$ 1 3 ,4 1 7 ,0 0 0 $ 7 ,8 0 0 $ 1 , 3 4 2 ,2 6 8 $ 1 4 ,7 6 7 , 0 6 8
$0 $ 3 5 ,2 0 1 ,9 2 3 $ 5 ,4 3 3 ,2 2 9 $ 4 0 ,6 3 5 ,1 5 3
$0 $ 5 8 , 3 3 9 ,7 7 6 $ 1 2 ,6 1 7 ,7 5 5 $ 7 0 ,9 5 7 ,5 3 2
$0 $0 $0 $0
$0 $0 $0 $0
$0 $0 $0 $0
$0 $0 $0 $0
$0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$ 1 2 ,0 2 4 ,0 0 0 $0 $ 3 ,3 0 6 , 6 0 0 $ 6 0 ,1 2 0 $ 8 ,6 5 7 , 2 8 0 $ 1 0 6 ,9 2 0 $ 8 ,7 6 4 , 2 0 0 $ 3 ,7 8 7 , 6 6 5 $ 4 ,9 7 6 , 5 3 5 $ 5 1 7 ,6 5 0 $5,494,185 $ 4 ,6 7 9 ,7 7 4 $0 $0 $814,411
$ 1 2 ,3 8 4 ,7 2 0 $0 $ 6 1 9 ,2 3 6 $ 6 1 ,9 2 4 $11,703,560 $ 1 3 3 ,4 8 8 $11,837,048 $ 3 ,9 9 7 ,8 9 7 $ 7 ,8 3 9 ,1 5 2 $ 6 9 8 ,6 4 9 $8,537,801 $0 $ 6 ,6 9 5 ,6 7 1 $0 $1,842,130
$ 1 2 , 7 5 6 ,2 6 2 $ 3 1 ,8 9 1 $ 6 3 7 ,8 1 3 $63,781 $ 1 2 ,0 2 2 ,7 7 7 $ 1 3 7 ,4 9 3 $ 1 2 ,1 6 0 ,2 6 9 $4,117,834 $ 8 ,0 4 2 ,4 3 6 $ 7 1 9 ,6 0 8 $8,762,044 $0 $ 6 ,6 9 5 ,6 7 1 $0 $2,066,373
$ 1 3 ,1 3 8 ,9 4 9 $ 3 2 ,8 4 7 $ 6 5 6 ,9 4 7 $65 , 695 $ 1 2 ,3 8 3 ,4 6 0 $ 1 4 1 ,6 1 7 $ 1 2 ,5 2 5 ,0 7 7 $ 4 ,2 4 1 ,3 6 9 $ 8 ,2 8 3 ,7 0 9 $ 7 4 1 ,1 9 7 $9,024,905 $0 $0 $0 $0
$13,533,118 $ 3 3 ,8 3 3 $ 6 7 6 ,6 5 6 $ 6 7 ,6 6 6 $ 1 2 ,7 5 4 ,9 6 4 $ 1 4 5 ,8 6 6 $ 1 2 ,9 0 0 ,8 3 0 $ 4 ,3 6 8 , 6 1 0 $ 8 ,5 3 2 , 2 2 0 $7 63 , 433 $9,295,652 $0 $0 $0 $0
2.8%
6.4%
7.1%
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$ 7 0 ,9 5 7 ,5 3 2 $4,611,386 $ 1 0 2 ,4 1 2 ,4 8 5 $0
$0 $ 1 ,5 2 7 ,5 4 9 $ 1 0 3 ,9 4 0 ,0 3 5 $814,411
$0 $0 $0 $0
$0 $0 $0 $0
$0 $0 $0 $0
$0 $0 $0 $0
Yr 1-7 Total
$ 6 3 ,8 3 7 ,0 4 9 $ 98 , 571 $ 5 ,8 9 7 ,2 5 2 $3 19 , 185 $ 5 7 ,5 2 2 ,0 4 0 $6 65 , 384 $ 5 8 ,1 8 7 ,4 2 4 $ 2 0 ,5 1 3 ,3 7 4 $ 3 7 ,6 7 4 ,0 5 1 $ 3 ,4 4 0 ,5 3 7 $41,114,587 $ 4 ,6 7 9 ,7 7 4 $ 1 3 ,3 9 1 ,3 4 2 $0 $4,722,914
Cash-on-Cash Yield
EQUITY Equity - Initial Equity - Additional Required Equity - Initial and Additional Required
($29,003,726) $0 ($ 2 9 ,0 0 3 ,7 2 6 )
CONSTRUCTION LOAN Loan Draw - Net Funded Interest Accrued - Net Construction Loan Ending Balance Net Cash Flow After Debt
$97,356,026 $ 6 ,5 8 4 , 0 0 8 $ 103 , 940 , 03 5 $814,411
($14,767,068) $0 ($14,767,068) $0 $0 $0 $0
($14,236,658) $0 ( $ 1 4 ,2 3 6 ,6 5 8 ) $ 2 6 ,3 9 8 ,4 9 5 $ 4 4 5 ,0 7 3 $ 2 6 ,8 4 3 ,5 6 8 $0
Appendix: Page 9
CLIENT NAME Property Name / Address PROFORMA ANNUAL CASH FLOW
T OT OTA L
Ye ar ar 0
Ye ar ar 1
Ye ar ar 2
DEVELOPMENT PERIOD
Ye ar ar 3
Ye ar ar 4
LEASE-UP Stabili zed
PERMANENT FINANCING Max Loan Amount Amount Per Stabilized ized Value Value $106,029,020 $106,029,020 Construction Loan Ending Balance $ 1 0 3 ,9 4 0 ,0 3 5 Permanent Loan Amount * $ 1 0 3 ,9 4 0 , 0 3 5 * Minimum of Max Loan & Construction Loan Ending Bal.
Month Start Month End
Loan Draw Loan Fees Debt Service / Year
$103,940,035 $ 1 , 2 9 9 ,2 5 0 $ 1 3 ,3 9 1 ,3 4 2
Debt Service / Month
Proceeds from Construction Takeout Interest Rate Amortization Loan Fees Financing - Beginning of Year
$0 5 .0 0 % 30.00 Yrs 1.25% 4
REVERSION Sale In In Exit Ca Cap Ra Rate Sale Price Year 5 5. 00% Less: Cost of Sale 6.00% Adjusted Sale Price Less: Loan Payoff / Remaining Mortgage Balance Levered Cash Flow Before Tax - From Sale Unlevered C ash F low Levered Cash Flow
Opening Loan Balance Interest Paid / Year Principal Paid / Year Closing Loan Balance Loan Payoff Cash Proceeds from Refinancing Debt Service Coverage Debt Yield Ratio Price Pe Per Un Unit $ 5 0 1 ,3 8 4
$ 1 0 ,2 4 5 ,8 9 5 $ 3 ,1 4 5 , 4 4 7 $ 1 0 0 ,7 9 4 ,5 8 8 $0 1.29x 8 .4 %
Ye ar ar 6
Ye ar ar 7
0 0
0 0
0 0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0
$0
$0
$0
$0
$0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 na
$0 $0 $0 $0 $0 $0 na na
$0 $0 $0 $0 $0 $0 na na
$ 1 0 3 ,9 4 0 ,0 3 5 $ 5 ,1 6 2 ,1 7 6 $ 1 ,5 3 3 ,4 9 5 $ 1 0 2 ,4 0 6 ,5 3 9 $0 $0 1.28x 8 .3 %
$ 1 0 2 ,4 0 6 ,5 3 9 $ 5 ,0 8 3 ,7 1 9 $1,611,952 $ 1 0 0 ,7 9 4 , 5 8 8 $ 1 0 0 , 7 9 4 ,5 8 8 $0 1.31x 8 .6 %
$0 $0 $0 $0 $0 $0 na na
$0 $0 $0 $0 $0 $0 na na
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$1 80 , 498 , 106 $ 1 0 ,8 2 9 ,8 8 6 $169,668,220 $1 00 , 794 , 588 $ 6 8 ,8 7 3 ,6 3 2
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
($70,957,532) $0
$5,494,185 $814,411
$178,430,264 $70,940,005
$0 $0
$0 $0
($14,767,068) ($14,767,068)
($40,635,153) ($14,236,658)
Appendix: Page 10
1 12
Sale
0 0
$ 1 8 0 ,4 9 8 ,1 0 6 $ 1 0 ,8 2 9 ,8 8 6 $169,668,220 $ 1 0 0 ,7 9 4 ,5 8 8 $ 6 8 ,8 7 3 ,6 3 2 $66,102,497 $43,293,570
Ye ar ar 5
OPERATING PERIOD
$ 1 0 3 ,9 4 0 ,0 3 5 $ 1 ,2 9 9 ,2 5 0 $6,695,671 $557,973
$8,537,801 $542,879
13 24
$0 $0 $ 6 ,6 9 5 ,6 7 1 $557,973
0 0
0 0
$0 $0 $0
$0 $0 $0
CLIENT NAME Property Name / Address PROFORMA QUARTERLY CASH FLOW Time 0
Quarter 1 Year 1
Quarter 2 Year 1
Quarter 3 Year 1
PRE-DEV DEVELOPMENT COSTS
Quarter 4 Quarter 5 Year 1 Year 2 DEVELOPMENT
Quarter 6 Year 2
Quarter 7 Year 2
Quarter 8 Year 2
TOTAL
Land / Existing Property Eng Fees / Entitlement PRE-DEVELOPMENT COSTS
$12 , 135 , 000 $1,282,000 $13,417,000
$12,135,000 $1,282,000 $ 13 , 417 , 000
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
Building Parking Sitework TIA (Retail / Commercial) Contingency HARD COST - CONSTRUCTION
$66,605,000 $13,600,000 $ 4 , 500 , 000 $3 40 , 00 0 $8 , 504 , 500 $93,549,500
$0 $0 $0 $0 $7 , 800 $7 , 800
$17 3 , 147 $5,036,023 $4 $ 4 , 500 , 000 $0 $27 , 04 7 $ 9 , 736 , 218
$64 7 , 126 $8,563,977 $0 $0 $119,147 $9 , 330 , 249
$2 , 930 , 089 $0 $0 $0 $ 49 5 , 488 $3 , 425 , 577
$11,056,738 $0 $0 $0 $1,653,141 $12,709,879
$ 23 , 782 , 688 $0 $0 $0 $3,026,751 $ 26 , 809 , 439
$ 19 , 506 , 141 $0 $0 $0 $2,211,837 $21,717,978
$6,864,035 $0 $0 $34,144 $769,626 $7,667,805
$1,645,036 $0 $0 $3 05 , 856 $193,663 $2 , 1 4 4 , 555
Design & Consultants Miscellaneous Development Cost Permits & Fees Testing & Inspections Legal & Accounting Insurance During Construction Taxes During Construction Marketing / Leasing Office Developer, Co Contractor, PM PM Fe Fees & Escalations Soft Cost Contingency SOFT COST
$3,113,250 $265,000 $1,230,609 $130,000 $135 , 00 0 $ 2 , 051 , 091 $577,728 $347,800 $10,619,286 $ 923 , 48 8 $19,393,252
$2 , 426 $8 , 646 $1,230,609 $ 10 , 000 $80,000 $0 $0 $0 $9 , 740 $84 7 $1,342,268
$9 , 629 $25 , 95 9 $0 $10,244 $3 , 125 $ 256 , 386 $72,216 $625 $ 33 , 77 3 $2 , 937 $414 , 89 5
$41 , 6 05 $26,500 $0 $1,730 $3 , 125 $256,386 $72,216 $ 625 $ 14 8 , 77 4 $ 12 , 9 38 $563,900
$174,702 $2 8 , 713 $0 $11,467 $3,125 $256,386 $72,216 $6 25 $618,700 $5 3 , 804 $1,219,738
$591,878 $ 35 , 519 $0 $31,213 $3,125 $ 256 , 386 $72,216 $ 62 5 $2,064,222 $179 , 512 $3,234,696
$1,108,554 $43,595 $0 $17,678 $3 , 12 5 $256 , 386 $72,216 $86,325 $3,779,403 $328,669 $5,695,951
$ 825 , 041 $ 38 , 804 $0 $10,631 $18 , 125 $256 , 386 $72,216 $ 86 , 325 $2,761,847 $2 40 , 179 $4,309,554
$287 , 61 9 $ 30 , 325 $0 $30,504 $18 , 125 $256,386 $72,216 $86 , 325 $961 , 007 $8 3 , 572 $1,826,079
$71 , 796 $26,939 $0 $6 , 535 $3 , 125 $2 56 , 386 $72,216 $86,325 $241 , 820 $21,029 $786,172
$126,3 59 59,752
$14,767 ,0 ,068
$10,15 1, 1,113
$9,894,150
$4,645,315
$15,944,574
$32,505,390
$26,027,532
$9,493 ,8 ,883
$2,9 30 30,726
TOTAL COST, COST, PRE-FINANCING , EXCLUDING CONSTRUCTION LOAN INTEREST AND OPERATING RESERVES
Appendix: Page 11
CLIENT NAME Property Name / Address PROFORMA QUARTERLY CASH FLOW Quarter 9 Year 3 DEVELOPMENT COSTS
Quarter 10 Quarter 11 Year 3 Year 3 LEASE-UP
Quarter 12 Year 3
Quarter 13 Year 4
Quarter 14 Quarter 15 Year 4 Year 4 FIRST STABILIZED YEAR
Quarter 16 Year 4
TOTAL
Land / Existing Property Eng Fees / Entitlement PRE-DEVELOPMENT COSTS
$12,135,000 $1,282,000 $ 13 , 4 17 , 000
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
Building Parking Sitework TIA (Retail / Commercial) Contingency HARD COST - CONSTRUCTION
$66,605,000 $13,600,000 $4 , 500 , 000 $34 0 , 000 $8,504,500 $93 , 5 4 9 , 500
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
Design & Consultants Miscellaneous Development Cost Permits & Fees Testing & Inspections Legal & Accounting Insurance During Construction Taxes During Construction Marketing / Leasing Office Developer, Contractor, PM Fees & Escalations Soft Cost Contingency SOFT COST
$3,113,250 $265,000 $1,230,609 $130,000 $135,000 $2,051,091 $577 , 728 $347 , 800 $10,619,286 $92 3 , 488 $ 19 , 3 93 , 25 2
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$126,359,752
$0
$0
$0
$0
$0
$0
$0
$0
TOTAL COST, COST, PRE-FINANCING , EXCLUDING CONSTRUCTION LOAN INTEREST AND OPERATING RESERVES
Appendix: Page 12
CLIENT NAME Property Name / Address PROFORMA QUARTERLY CASH FLOW Time 0
Quarter 1 Year 1
Quarter 2 Year 1
Quarter 3 Year 1
PRE-DEV
Quarter 4 Quarter 5 Year 1 Year 2 DEVELOPMENT
Quarter 6 Year 2
Quarter 7 Year 2
Quarter 8 Year 2
OPERATING INCOME / (LOSS) Total otal Numb Number er of Apart Apartme ment nt Unit Unitss 360 360 Uni Units ts PreLease Start: Quarter 8 Apartments Leased Per Quarter Occ at Open: 30.00% 108 # PreLd Cumulative Apartments Leased 84 Units/Qtr To Stabilization: 3 Quarters Vacancy Due to Lease-Up (% of Gross Potential) - (Qtr-to-Qtr Avg) Stabilized Vacancy (% of Gross Potential) 5.00% Overall Apartment Vacancy Rate (% of Gross Potential) Gross Potential Revenue Gross Annual Rent Escalation Less: Loss-to-Lease Loss-to-Lease as % of Gross Potential Rent Less: Vacancy Vacancy as % of Gross Potential Rent Less: Concessions, Allowance, Bad Debt Other as % of Gross Potential Rent Effective Rental Income Other Income Pet Fee & Cable Income $25.00/Mo Parking Income $75.00/Mo Miscellaneous Income Other Income
Pay Rate = Pay Rate =
0 0
30.00% 30.00%
Effective Gross Income (EGI)
Appendix: Page 13
0 0
0 0
0 0
0 0
0 0
0 0
Pre Leasing 1 08 1 08 85.0% 0.0% 85 . 0 %
CLIENT NAME Property Name / Address PROFORMA QUARTERLY CASH FLOW Quarter 9 Year 3
Quarter 10 Quarter 11 Year 3 Year 3 LEASE-UP
Quarter 12 Year 3
Quarter 13 Year 4
Quarter 14 Quarter 15 Year 4 Year 4 FIRST STABILIZED YEAR
Quarter 16 Year 4
OPERATING INCOME / (LOSS) Total otal Numb Number er of Apar Apartm tmen entt Uni Units ts 360 360 Uni Units ts PreLease Start: Quarter 8 Apartments Leased Per Quarter Occ at Open: 30.00% 108 # PreLd Cumulative Apartments Leased 84 Units/Qtr To Stabilization: 3 Quarters Vacancy Due to Lease-Up (% of Gross Potential) - (Qtr-to-Qtr Avg) Stabilized Vacancy (% of Gross Potential) 5.00% Overall Apartment Vacancy Rate (% of Gross Potential) Gross Potential Revenue Gross Annual Rent Escalation Less: Loss-to-Lease Loss-to-Lease as % of Gross Potential Rent Less: Vacancy Vacancy as % of Gross Potential Rent Less: Concessions, Allowance, Bad Debt Other as % of Gross Potential Rent Effective Rental Income Other Income Pet Fee & Cable Income $25.00/Mo Parking Income $75.00/Mo Miscellaneous Income Other Income Effective Gross Income (EGI)
Pay Rate = Pay Rate =
30.00% 30.00%
84 1 92 5 8 .3 % 0.0% 5 8 .3 %
84 276 35 . 0 % 0.0% 35 . 0 %
84 360 11.7% 0 .0 % 11.7%
0 360 0 .0 % 5.0% 5 .0 %
0 3 60 0 .0 % 5 .0 % 5 .0 %
0 36 0 0.0% 5.0% 5.0%
0 36 0 0 .0 % 5 .0 % 5 .0 %
0 360 0 .0 % 5 .0 % 5 .0 %
$3 , 006 , 000 $0 0 . 00% $1,753,500 5 8 .3 % $ 15 , 030 0 . 50% $1 , 237 , 470
$3,006,000 0. 00% $0 0. 0 0% $1,052,100 35 . 0 % $ 15 , 030 0. 5 0% $1,938,870
$3,006,000 0. 0 0% $0 0. 0 0% $350,700 11.7% $15 , 030 0. 5 0% $2,640,270
$3,006,000 0 . 00 % $0 0 . 00 % $150,300 5 .0 % $15,030 0 . 50 % $2,840,670
$3,096,180 3 . 00% $0 0. 00% $1 54 , 809 5 .0 % $ 15 , 481 0. 50% $2,925,890
$3,096,180 0. 00% $0 0. 00% $ 154 , 8 0 9 5.0% $ 15 , 481 0. 50% $2,925,890
$3,096,180 0. 00% $0 0. 00% $154,809 5 .0 % $15 , 4 81 0. 50% $2,925,890
$3,096,180 0. 0 0% $0 0. 00% $154,809 5 .0 % $1 5 , 481 0. 50% $2,925,890
$4 , 320 $12 , 96 0 $0 $17 , 28 0
$6,210 $18,630 $0 $24,840
$8 , 1 00 $24,300 $0 $32,400
$ 8 , 100 $24 , 30 0 $0 $32 , 40 0
$8 , 343 $25 , 029 $0 $33 , 372
$8,343 $25 , 029 $0 $33 , 372
$1,254,750
$1,963,710
$2,672,670
$2,873,070
$2,959,262
$2,959,262
Appendix: Page 14
$8 , 343 $25,029 $0 $33,372
$8 , 343 $25 , 029 $0 $33 , 372
$2,959,262
$2,959,262
CLIENT NAME Property Name / Address PROFORMA QUARTERLY CASH FLOW Time 0
Quarter 1 Year 1
Quarter 2 Year 1
PRE-DEV Operating Expenses Controllable Expenses Payroll R&M Turnover Recreational Amenities Contracts & Landscaping Leasing / Marketing Admin (Office, Other G&A) Utilities Controllable - Subtotal Non-Controllable Real Estate Taxes Insurance - Property Management Fees Reserves Non-Controllable - Subtotal
$1,300 $200 $210 $100 $1,250 $200 $250 $600
/ Unit / Year / Unit / Year / Unit / Year / Unit / Year / Unit / Year / Unit / Year / Unit / Year / Unit / Year
1.250% $800 4.00% $250
of Project Cost / Unit / Year of EGI - (Property + Asset Management) / Unit / Year
Quarter 3 Year 1
Quarter 4 Quarter 5 Year 1 Year 2 DEVELOPMENT
Quarter 6 Year 2
Quarter 7 Year 2
Quarter 8 Year 2
($9,493,883)
($2,930,726)
Total Operating Expenses Operating Expenses as % of EGI Net Operating Income (NOI) - Apartments Other Income (NNN) - Retail Retail Vacancy Rate Net Income - Retail Net Operating Income (NOI) Net Cash Flow Before Debt - Initial to Stabilization
($14,767,068) ($10,151,113)
Appendix: Page 15
($9,894,150)
($4,645,315) ($15,944,574) ($32,505,390) ($26,027,532)
CLIENT NAME Property Name / Address PROFORMA QUARTERLY CASH FLOW Quarter 9 Year 3 Operating Expenses Controllable Expenses Payroll R&M Turnover Recreational Amenities Contracts & Landscaping Leasing / Marketing Admin (Office, Other G&A) Utilities Controllable - Subtotal Non-Controllable Real Estate Taxes Insurance - Property Management Fees Reserves Non-Controllable - Subtotal
Quarter 10 Quarter 11 Year 3 Year 3 LEASE-UP
Quarter 12 Year 3
Quarter 13 Year 4
Quarter 14 Quarter 15 Year 4 Year 4 FIRST STABILIZED YEAR
Quarter 16 Year 4
$1,300 $200 $210 $100 $1,250 $200 $250 $600
/ Unit / Year / Unit / Year / Unit / Year / Unit / Year / Unit / Year / Unit / Year / Unit / Year / Unit / Year
$117,000 $18 , 00 0 $18 , 90 0 $9 , 000 $112,500 $18 , 00 0 $22 , 50 0 $54 , 00 0 $369,900
$117,000 $18,000 $18,900 $9,000 $112,500 $18,000 $22,500 $54,000 $3 69 , 900
$117,000 $18,000 $18,900 $9 , 0 00 $112,500 $18,000 $22,500 $54,000 $ 3 69 , 900
$117,000 $18 , 00 0 $18 , 90 0 $ 9 , 000 $112,500 $18 , 00 0 $22 , 50 0 $54 , 00 0 $369,900
$120,510 $18 , 540 $19 , 467 $9 , 270 $115,875 $18 , 540 $23 , 175 $55 , 620 $380,997
$12 0 , 510 $18 , 540 $19 , 467 $9,270 $115,875 $18 , 540 $23 , 175 $55 , 620 $38 0 , 997
$ 120 , 510 $18,540 $19,467 $9 , 270 $115,875 $18,540 $23,175 $55,620 $ 380 , 997
$120 , 510 $18 , 540 $19 , 467 $9 , 270 $115,875 $18 , 540 $23 , 175 $55 , 620 $380 , 997
1.250% $800 4.00% $250
of Project Cost / Unit / Year of EGI - (Property + Asset Management) / Unit / Year
$394,874 $72 , 00 0 $50 , 19 0 $22 , 50 0 $539,564
$3 94 , 874 $72,000 $78,548 $22,500 $5 67 , 923
$ 3 94 , 874 $72,000 $106,907 $22,500 $ 5 96 , 281
$394,874 $72 , 00 0 $114,923 $22 , 50 0 $604,297
$402,772 $74 , 160 $118,370 $23 , 175 $618,477
$40 2 , 772 $74 , 160 $118,370 $23 , 175 $61 8 , 477
$ 402 , 772 $74,160 $118,370 $23,175 $ 618 , 477
$402 , 772 $74 , 160 $118,370 $23 , 175 $618 , 477
Total Operating Expenses Operating Expenses as % of EGI
$909,464 72.5%
$9 37 , 823 47.8%
$ 9 66 , 181 3 6 .2 %
$974,197 33.9%
$999,474 33.8%
$99 9 , 474 33.8%
$ 999 , 474 33.8%
$999 , 474 33.8%
Net Operating Income (NOI) - Apartments
$345,286
$1,025,887
$1,706,489
$1 , 8 98 , 873
$1,959,788
$1,959,788
$1,959,788
$1,959,788
Other Income (NNN) - Retail Retail Vacancy Rate Net Income - Retail
$178,500 5 8 .3 % $74 , 37 5
$1 78 , 500 35 . 0 % $116,025
$ 1 78 , 500 11.7% $ 1 57 , 675
$178,500 5 .0 % $ 169 , 575
$183,855 5 .0 % $174,662
$18 3 , 855 5.0% $174,662
$ 183 , 855 5 .0 % $174,662
$183 , 855 5 .0 % $174,662
Net Operating Income (NOI)
$419,661
$1,141,912
$1,864,164
$2,068,448
$2,134,450
$2,134,450
$2,134,450
$2,134,450
Net Cash Flow Before Debt - Initial to Stabilization
$419,661
$1,141,912
$1,864,164
$2,068,448
$2,134,450
$2,134,450
$2,134,450
$2,134,450
Appendix: Page 16
CLIENT NAME Property Name / Address PROFORMA QUARTERLY CASH FLOW Time 0
Quarter 1 Year 1
Quarter 2 Year 1
Quarter 3 Year 1
$10,151,113
$4 , 085 , 545
$0
$0
$0
$0
$0
$0
$0
$0
$5,852,170
$ 10 , 620 , 107
$26,843,568
$59,995,401
$87,118,071
$97,989,930
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$5,808,605 $0 $5,808,605 $0 $5,808,605 $5 , 808 , 605
$4 , 6 45 , 315 $0 $1 0 , 497 , 485 $0 $4 , 6 45 , 315 $1 0 , 497 , 485
$15,944,574 $0 $26,564,682 $0 $15,944,574 $26,564,682
$32,505,390 $0 $59,348,957 $0 $32,505,390 $59,348,957
$26,027,532 $0 $86,022,933 $0 $26,027,532 $86,022,933
$9,493,883 $ 2 , 9 30 , 726 $0 $0 $96,611,954 $100,920,656 $0 $0 $9,493,883 $ 2 , 9 30 , 726 $96,611,954 $100,920,656
(vii)
$0
$0
$2 , 904 , 303
$8 , 174 , 827
$18 , 592 , 395
$43,096,262
$73 , 009 , 167
$91,865,013
6.00%
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$43,565 $ 1 22 , 622 $278,886 $646,444 $1 , 09 5 , 1 38 $1,377,975 $1,491,829 $43,565 $ 1 22 , 622 $278,886 $646,444 $1 , 09 5 , 1 38 $1,377,975 $1,491,829 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $5,852,170 $10,620,107 $26,843,568 $59,995,401 $87,118,071 $97,989,930 $102,412,485 $0 $0 $0 $0 $0 $0 $0 $43 , 5 65 $1 22 , 622 $2 78 , 886 $ 646 , 444 $1,095,138 $1,377,975 $1,491,829 $5,852,170 $10,620,107 $26,843,568 $59, $59,99 995, 5,40 4011 $87, $87,11 118, 8,07 0711 $97, $97,98 989, 9,93 9300 $102,412,485 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
PRE-DEV
Quarter 4 Quarter 5 Year 1 Year 2 DEVELOPMENT
Quarter 6 Year 2
Quarter 7 Year 2
Quarter 8 Year 2
TOTAL A] Estimated Construction Interest Max Construction Loan Estimate Construction Interest - Annual Rate Construction Period Average Draw Est. Construction Loan Interest Total Project Cost (Before Operating Reserve)
$106,029,020 6.00% 24 Months 60.00% $7,634,089
Estimated Total Project Costs Maximum Loan Balance Equity Required
(a) + (b)
C] Construction Loan Account and Interest Calculation (i) Beginning Balance (a) Loan Draw & Releases (ii) Construction Draw - Initial Request (iii) Operating Deficit (i)+(ii)+(iii) = (iv) Trial Balance (v) Additional Equity Required (iv)+(v)-(i) = Construction Draw - Net Funded (iv) + (v) = (vi) Ending Balance Before Interest Avg Loan Balance Before Interest
[(i)+(vi)] / 2 =
(b) Total Construction Loan Interest Interest Accrued During Construction Period Interest Accrued During Operating Period Interest Paid from Operations ( vivi) +( +( vivii i) +( +(i xx)) +( +(x ) = Trial Ending Balance Additional Equity Required (viii)+(ix)+(x)+(xii) Interest Accrued - Net (xi)+ (xii) = Ending Balance (v)+(xii) = Total Additional Equity Required Net Cash Flow After Debt (Year 1 to Year 3)
$133,993,842
(a)
B] Estimated Operating Reserve (During Lease-Up) Leas Leasee-Up Up Peri Period o d (Mon (Month thss unt untilil Stab Stabililizat i zatio ion) n) 9 Mon Month thss Estimated EGI During Lease-Up $6,573,150 Estimated OpEx During Lease-Up $2 , 84 0 , 749 NOI During Lease-Up $3,732,401 Est. Est. Con Const stru ruct ctio ionn Inter Interes estt Duri During ng Lea Leasese-Up Up $4,7 $4,771, 71,30 306 6 (b) = (ii)-(i) Operating Reserve Required (During Lease-Up)
(viii) (ix) (x) (x i) (xii) (xiii) (xiv) (xv)
(i) (ii)
$1,038,905 $135,032,746 $106,029,020 $29,003,726
$97 , 356 , 026 $0 $103,940,035 $0 $97 , 356 , 026
$5,056,459 $ 6 , 207 , 323 ($4,679,774) $103,940,035 $0 $ 6 , 584 , 008 $103,940,035 $0 $814,411
$14,767,068
Appendix: Page 17
$99 , 455 , 29 3
CLIENT NAME Property Name / Address PROFORMA QUARTERLY CASH FLOW Quarter 9 Year 3
Quarter 10 Quarter 11 Year 3 Year 3 LEASE-UP
Quarter 12 Year 3
Quarter 13 Year 4
Quarter 14 Quarter 15 Year 4 Year 4 FIRST STABILIZED YEAR
Quarter 16 Year 4
TOTAL A] Estimated Construction Interest Max Construction Loan Estimate Construction Interest - Annual Rate Construction Period Average Draw Est. Construction Loan Interest Total Project Cost (Before Operating Reserve)
$ 106 , 029 , 020 6.00% 24 Months 60.00% $7,634,089
Estimated Total Project Costs Maximum Loan Balance Equity Required
(a) + (b)
C] Construction Loan Account and Interest Calculation (i) Beginning Balance (a) Loan Draw & Releases (ii) Construction Draw - Initial Request (iii) Operating Deficit (i)+ (ii)+(iii) = (iv) Trial Balance (v) Additional Equity Required (iv)+(v)-(i) = Construction Draw - Net Funded (iv) + (v) = (vi) Ending Balance Before Interest Avg Loan Balance Before Interest
[(i)+(vi)] / 2 =
(b) Total Construction Loan Interest Interest Accrued During Construction Period Interest Accrued During Operating Period Interest Paid from Operations ( vivi )+ (v (v ii )+ )+ (i xx)) +( +( x) x) = Trial Ending Balance Additional Equity Required (viii)+(ix)+(x)+(xii) Interest Accrued - Net (xi)+(xii) = Ending Balance (v)+(xii) = Total Additional Equity Required Net Cash Flow After Debt (Year 1 to Year 3)
$133,993,842
(a)
B] Estimated Operating Reserve (During Lease-Up) Leas Leasee-Up Up Peri Period o d (Mon (Month thss unt untilil Stab Stabililizat i zatio ion) n) 9 Mon Month thss Estimated EGI During Lease-Up $6,573,150 Estimated OpEx During Lease-Up $2,840,749 NOI During Lease-Up $3,732,401 Est. Est. Con Const stru ruct ction ion Int Inter eres estt Duri During ng Leas Leasee-Up Up $4,77 $4,771, 1,30 306 6 (b) = (ii)-(i) Operating Reserve Required (During Lease-Up)
(i) (ii)
$1,038,905 $135,032,746 $10 6 , 029 , 020 $29,003,726
$97,356,026 $0 $103,940,035 $0 $97,356,026
6.00% (ix) (x) ( xixi ) (xii) (xiii) (xiv) (xv)
$0
$0
$0
$102,41 $102,412,4 2,485 85 $103,52 $103,529,0 9,012 12 $103,9 $103,940, 40,035 035 $103,9 $103,940, 40,035 035
Notes: Construction Loan Account and Interest Calculation
$0 $0 $0 $0 $0 $0 $0 $0 $102,41 $102,412,4 2,485 85 $103,52 $103,529,0 9,012 12 $103,9 $103,940, 40,035 035 $103,9 $103,940, 40,035 035 $0 $0 $0 $0 $0 $0 $0 $0 $102,41 $102,412,4 2,485 85 $103,52 $103,529,0 9,012 12 $103,9 $103,940, 40,035 035 $103,9 $103,940, 40,035 035
(i) Construction Draws are provided by the lender as construction progresses. In the event that the draw request, together with the carried balance of the construction loan, exceeds the maximum draw limit, then additional equity is required to maintain the construction loan balance at the maximum draw limit. The net construction draw amount is the amount borrowed after additional equity is contributed, if any. Also note that any operating deficits that need to be funded by the lender are requested and included included as part of the draw.
$102,41 $102,412,4 2,485 85 $103,52 $103,529,0 9,012 12 $103,9 $103,940, 40,035 035 $103,9 $103,940, 40,035 035
(vii)
(viii)
$0
$5,056,459 $6,207,323 ($4,679,774) $103,940,035 $0 $6,584,008 $103,940,035 $0 $814,411
$1 , 536 , 187 $1,552,935 $1,559,101 $1,559,101 $0 $0 $0 $0 $1 , 536 , 187 $1,552,935 $1,559,101 $1,559,101 ($41 ($419, 9,66 661) 1) ($1, ($1,14 141,9 1,912 12)) ($1, ($1,559 559,1 ,101 01)) ($1,5 ($1,559 59,1 ,101 01)) $103,52 $103,529,0 9,012 12 $103,94 $103,940,0 0,035 35 $103,9 $103,940, 40,035 035 $103,9 $103,940, 40,035 035 $0 $0 $0 $0 $1,116,527 $411,023 $0 $0 $103,52 $103,529,0 9,012 12 $103,94 $103,940,0 0,035 35 $103,9 $103,940, 40,035 035 $103,940,035 $0 $0 $0 $0 $0 $0 $305,063 $509,347
Appendix: Page 18
(ii) Accrued interest is added to the overall balance of the construction loan. In the event that the accrued interest, together with the carried balance of the construction loan, exceeds the maximum draw limit, then additional equity is required to maintain the construction loan balance at the maximum draw limit. The net accrued interest amount is the amount accrued after additional equity is contributed, if any.
CLIENT NAME Property Name / Address MONTHLY BUDGET MONTHLY CASH FLOW - DEVELOPMENT BUDGET
Total TOTAL
Month 0
Month 1
Month 2
Month 3
Month 4
Month 5
Month 6
$12,000,000 $0 $0 $0 $85,000 $33,333 $16,667 $12,135,000
$12,000,000 $0 $0 $0 $85,000 $33,333 $16,667 $12,135,000
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$150,000 $700,000 $100,000 $150,000 $100,000 $0 $25,000 $0 $25,000 $7,000 $7,500 $7,500 $10,000 $0 $0 $1,282,000
$150,000 $700,000 $100,000 $150,000 $100,000 $0 $25,000 $0 $25,000 $7,000 $7,500 $7,500 $10,000 $0 $0 $1,282,000
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$13,417,000
$13,417,000
$0
$0
$0
$0
$0
$0
$7,000,000 $13,000,000 $30,000,000 $7,000,000 $750,000 $3,000,000 $780,000 $2,700,000 $1,700,000 $675,000 $66,605,000
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$6,420 $11,923 $27,516 $6,420 $688 $2,752 $715 $2,476 $1,559 $619 $61,089
$4,391 $8,155 $18,818 $4,391 $470 $1,882 $489 $1,694 $1,066 $423 $41,779
$7,386 $13,717 $31,655 $7,386 $791 $3,165 $823 $2,849 $1,794 $712 $70,279
$12,410 $23,048 $53,187 $12,410 $1,330 $5,319 $1,383 $4,787 $3,014 $1,197 $1 $ 118,083
$20,812 $38,651 $89,193 $20,812 $2,230 $8,919 $2,319 $8,027 $5,054 $2,007 $1 $ 198,024
$34,789 $64,608 $149,096 $34,789 $3,727 $14,910 $3,876 $13,419 $8,449 $3,355 $3 $331,018
$4,080,000 $9,520,000 $13,600,000
$0 $0 $0
$3,742 $8,732 $12,474
$1 $1,100,932 $86,648 $1,187,580
$2 $2,975,326 $860,644 $3,835,969
$0 $4,313,666 $4,313,666
$0 $3,651,824 $3,651,824
$0 $598,487 $598,487
$4,500,000
$0
$4,127
$1,214,264
$3,281,609
$0
$0
$0
$340,000 $340,000
$0 $0
$0 $0
$0 $0
$0 $0
$0 $0
$0 $0
$0 $0
PRE-DEVELOPMENT COST (1)
Land / Existing Property
1 2 3 4 5 6 7
1 2 3 5 7 8 9
Land Value / Value of Existing Property Real Estate Fees (Broker, Acquisition, Finder) Title Policy Transfer Taxes Legal / Due Diligence Off-Site Improvements Miscellaneous Fees Subtotal
10 11 12
(2)
Eng Fees / Entitlement
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
13 14 15 16 17 18 19 20 21 22 23 24 25 26 27
None Seller Pays Seller Pays
Appraisal Fees Demolition Cost Market Study Planning & Zoning Fee - PUD Approval Lot Line Adjustment - Parcel Maps/Plats Entitlement Consultant w/Planning & Zoning Financial Consultant Special Development Fees Traffic Study Geotechnical Survey Environmental Survey - Phase I Environmental Survey - Phase II ALTA Survey Flood Certificate / Inspection Fee Hazardous Material Remediation Subtotal
28
PRE-DEVELOPMENT COSTS
30 31 32 34
HARD COST (1)
Building
1 2 3 4 5 6 7 8 9 10
##
## ## ##
(2)
## ## ## ##
Sitework
(4)
TIA (Retail / Commercial)
Sitework Tenant Improvement Allowance Subtotal
## ##
(5) ## ##
At Grade Parking Below Grade Parking Su Subtotal
(3)
## ## ##
Parking
1 2
##
Foundations Substructure (Slab on Grade; Basement Excavation; Basement W Superstructure (Floor & Roof Construction; Stair Construction) Exterior Closure (Walls; Doors/Windows) Roofing Interior Construction (Partitions; Interior Finishes; Doors/Windows) Elevators Mechanical (Plumbing; HVAC; Fire Protection; Other) Electrical Equipment (Fixed/Movable Equipment; Furnishings) Subtotal
Contingency
Hard Cost Contingency HARD COST - CONSTRUCTION
$8,504,500
$7,800
$5,053
$8,317
$13,678
$22,455
$36,765
$59,926
$93,549,500
$7,800
$82,743
$2,451,940
$7,201,535
$4,454,204
$3,886,613
$989,432
##
Appendix: Page 19
CLIENT NAME Property Name / Address MONTHLY BUDGET MONTHLY CASH FLOW - DEVELOPMENT BUDGET ## ## ##
(1)
## ## ## ## ## ## ## ## ## ## ## ## ## ## ## ## ## ##
(2)
## ## ## ## ##
(3)
Month 3
Month 4
$1,500,000 $500,000 $400,000 $100,000 $75,000 $70,000 $0 $200,000 $0 $20,000 $15,000 $10,000 $30,000 $10,000 $5,000 $15,000 $15,000 $148,250 $3,113,250
$1,376 $459 $367 $92 $69 $64 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $2,426
$891 $297 $238 $59 $45 $42 $0 $183 $0 $18 $14 $9 $28 $9 $5 $14 $14 $136 $2,001
$1,467 $489 $391 $98 $73 $68 $0 $125 $0 $13 $9 $6 $19 $6 $3 $9 $9 $93 $2,880
$2,412 $804 $643 $161 $121 $113 $0 $211 $0 $21 $16 $11 $32 $11 $5 $16 $16 $156 $4,748
$3,961 $1,320 $1,056 $264 $198 $185 $0 $355 $0 $35 $27 $18 $53 $18 $9 $27 $27 $263 $7,814
$6,485 $2,162 $1,729 $432 $324 $303 $0 $595 $0 $59 $45 $30 $89 $30 $15 $45 $45 $441 $12,827
$10,570 $3,523 $2,819 $705 $528 $493 $0 $994 $0 $99 $75 $50 $149 $50 $25 $75 $75 $737 $20,965
$200,000 $50,000 $10,000 $5,000 $265,000
$8,000 $46 $400 $200 $8,646
$8,000 $30 $400 $200 $8,630
$8,000 $49 $400 $200 $8,649
$8,000 $80 $400 $200 $8,680
$8,000 $132 $400 $200 $8,732
$8,000 $216 $400 $200 $8,816
$8,000 $352 $400 $200 $8,952
$349,936 $87,484 $93,316 $0 $0 $466,582 $233,291 $1,230,609
$349,936 $87,484 $93,316 $0 $0 $466,582 $233,291 $1,230,609
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$20,000 $15,000 $15,000 $35,000 $25,000 $20,000 $130,000
$10,000 $0 $0 $0 $0 $0 $10,000
$10,000 $14 $14 $32 $0 $0 $1 $10,060
$0 $14 $14 $33 $0 $0 $61
$0 $28 $28 $66 $0 $0 $123
$0 $57 $57 $134 $0 $0 $248
$0 $115 $115 $268 $0 $0 $497
$0 $227 $227 $530 $0 $0 $984
$50,000 $30,000 $30,000 $20,000 $5,000 $135,000
$50,000 $30,000 $0 $0 $0 $80,000
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$561,297 $36,552 $1,403,243 $0 $50,000 $0 $0 $2,051,091
$0 $0 $0 $0 $0 $0 $0 $0
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$577,728 $0 $577,728
$0 $0 $0
$24,072 $0 $24,072
$24,072 $0 $24,072
$24,072 $0 $24,072
$24,072 $0 $24,072
$24,072 $0 $24,072
$24,072 $0 $24,072
$50,000 $75,000 $25,000 $50,000 $142,800 $5,000 $347,800
$0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $208 $208
$0 $0 $0 $0 $0 $208 $208
$0 $0 $0 $0 $0 $208 $208
$0 $0 $0 $0 $0 $208 $208
$0 $0 $0 $0 $0 $208 $208
$0 $0 $0 $0 $0 $208 $208
$5,612,970 $1,700,900 $3,305,416 $10,619,286
$5,148 $1,560 $3,032 $9,740
$3,335 $1,011 $1,964 $6,309
$5,489 $1,663 $3,233 $10,386
$9,027 $2,736 $5,316 $17,079
$14,820 $4,491 $8,728 $28,039
$24,265 $7,353 $14,289 $45,907
$39,551 $11,985 $23,291 $74,828
Month 5
Month 6
## ## ## ## ## ## ## ##
(4)
## ## ## ## ## ## ##
(5)
## ## ## ##
Building Permit Fee Plan Check Fee Grading Permit Water & Sewer Tap Fees State Imposed Fees School Impact Fees Other Misc. Permits & Fees Subtotal Soils Testing Concrete Testing / Reinforcing Inspec Masonry Testing / Inspection Steel Testing / Inspections Fireproofing Testing / Inspections Building Envelope / Window Wall Testing Subtotal Legal & Accounting
1 2 3 4 5
##
Site Security During Construction Utility Consumption Drawing / Printing Team Meeting / Catering Subtotal
Testing & Inspections
1 2 3 4 5 6
##
Architect MEP & Fire Protection Structural ADA Surveyor Civil Exterior Skin Landscaping Restaurant & Kitchen Roofing & Waterproofing Swimming Pool & Equipment Vertical Transportation Parking Acoustical Audio Visual Telecommunications / Data Security Contingency Subtotal
Permits & Fees
1 2 3 4 5 6 7
##
##
Month 2
Miscellaneous Development Cost
1 2 3 4
##
##
Month 1
Design & Consultants
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18
##
##
Month 0
SOFT COST
##
##
Total TOTAL
##
Due Diligence / Purchase Agreement Development / Construction Agreement Consultant / Broker Agrmt / CC&Rs Real Estate Tax Consultant / Audits / Accounting Miscellaneous Subtotal
## ##
(6)
Insurance During Construction
1 2 3 4 5 6 7
## ## ## ## ## ## ## ## ## ##
(7)
Taxes During Construction
1 2
## ## ## ## ##
(8)
## ## ## ## ## ## ## ##
(9)
## ## ## ## ##
Leasing Office (Staff/Equip/Furn/Trailer) Model Room Construction Model Room Furniture Marketing (Print/Media Advt/PR) Leasing Commissions (Retail/Commercial) Other Subtotal Developer, Developer, Contractor, PM Fees & Escalations
1 2 3
##
Property Taxes Sales Tax Subtotal Marketing / Leasing Office
1 2 3 4 5 6
##
Builders Risk Insurance (Hard Cost) Builders Risk Insurance (Soft Cost) General Liablility Wrap-up Policy Earthquake Insurance Professional Insurance - e.g.: CPPIC Commercial Umbrella Force Majeure Subtotal
(10)
Developer / Contractor Fee Project Management Fee (Hard Cost, Net of Contingency) Escalations Subtotal Soft Cost Contingency
1
Soft Cost Contingency SOFT COST TOTAL COST, PRE-FINANCING
$923,488
$847
$549
$903
$1,485
$2,438
$3,992
$6,507
$19,393,252
$1,342,268
$138,332
$133,663
$142,900
$158,056
$182,824
$223,021
$126,359,752
$14,767,068
$221,075
$2,585,604
$7,344,434
$4,612,260
$4,069,437
$1,212,453
Appendix: Page 20
CLIENT NAME Property Name / Address MONTHLY BUDGET MONTHLY CASH FLOW - DEVELOPMENT BUDGET
Total TOTAL
Month 7
Month 8
Month 9
Month 10
Month 11
Month 12
PRE-DEVELOPMENT COST (1)
Land / Existing Property 1 La Land Value / Value of Existing Property 2 Re Re alal Es ta ta te te Fe es es ( Br Br ok ok er er, Ac qu qu is it ion , F in de de r)r) 3 Title Policy 4 Transfer Taxes 5 Legal / Due Diligence 6 Off-Site Improvements 7 Miscellaneous Fees Subtotal
(2)
N on on e Seller Pays Seller Pays
$12, 00 000, 00 000 $0 $0 $0 $85,000 $33,333 $16,667 $12,135,000
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$150,000 $700,000 $100,000 $150,000 $100,000 $0 $25,000 $0 $25,000 $7,000 $7,500 $7,500 $10,000 $0 $0 $1,282,000
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$13,417,000
$0
$0
$0
$0
$0
$0
$7,000,000 $13,000,00 $13,000,0000 $30,000,00 $30,000,0000 $7,000,000 $750,000 $3,000,00 $3,000,0000 $780,000 $2,7 $2,700 00,0 ,000 00 $1,700,000 $675 $675,0 ,000 00 $66,605,000
$57,842 $107,421 $247,894 $57,842 $6,197 $24,789 $6,445 $22,310 $14,047 $5,578 $550,366
$95,317 $177,017 $408,500 $95,317 $10,213 $40,850 $10,621 $36,765 $23,148 $9,191 $906,938
$154,786 $287,459 $663,367 $154,786 $16,584 $66,337 $17,248 $59,703 $37,591 $14,926 $1,472,785
$245,473 $455,878 $1,052,027 $245,473 $26,301 $105,203 $27,353 $94,682 $59,615 $23,671 $2,335,675
$375,035 $696,493 $1,607,291 $375,035 $40,182 $160,729 $41,790 $144,656 $91,080 $36,164 $3,568,454
$541,525 $1,005,689 $2,320,821 $541,525 $58,021 $232,082 $60,341 $208,874 $131,513 $52,218 $5,152,609
$4,080,000 $9,520,000 $13,600,000
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$4,500,000
$0
$0
$0
$0
$0
$0
$340,000 $340,000
$0 $0
$0 $0
$0 $0
$0 $0
$0 $0
$0 $0
Eng Fees / Entitlement
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
Appraisal Fees Demolition Cost Market Study Planning & Zoning Fee - PUD Approval Lot Line Adjustment - Parcel Maps/Plats Entitlement Consultant w/Planning & Zoning Financial Consultant Special Development Fees Traffic Study Geotechnical Survey Environmental Survey - Phase I Environmental Survey - Phase II ALTA Survey Flood Certificate / Inspection Fee Hazardous Material Remediation Subtotal PRE-DEVELOPMENT COSTS
HARD COST (1)
Building 1 Foundations 2 Substructu Substructure re (Slab on Grade; Grade; Basement Basement Excavatio Excavation; n; Basement Basement W 3 Superstruc Superstructure ture (Floor (Floor & Roof Constructio Construction; n; Stair Constructio Construction) n) 4 Exterior Cl os osure (Walls; Doors/Wi nd ndows) 5 Roofing 6 Interior or Constructio Constructionn (Partitions (Partitions;; Interior Interior Finishes; Finishes; Doors/Windo Doors/Windows) ws) 7 Elevators 8 Mecha Mechani nica call (Plu (Plumb mbin ing; g; HVAC HVAC;; Fire r e Prot Protec ectition on;; Othe Other) r) 9 Electrical 10 Equi Equipmen p mentt (Fix (Fixed ed/M /Mov ovab able le Equi Equipmen p ment; t; Furn Furnis ishi hings) n gs) Subtotal
(2)
Parking
1 2
At Grade Parking Below Grade Parking Subtotal
(3)
Sitework
(4)
TIA (Retail / Commercial)
Sitework Tenant Improvement Allowance Subtotal (5)
Contingency
Hard Cost Contingency HARD COST - CONSTRUCTION
$8,504,500
$96,971
$155,085
$243,432
$371,109
$541,299
$740,732
$93,549,500
$647,337
$1,062,024
$1,716,217
$2,706,784
$4,109,754
$5,893,341
Appendix: Page 21
CLIENT NAME Property Name / Address MONTHLY BUDGET MONTHLY CASH FLOW - DEVELOPMENT BUDGET
Total TOTAL
Month 7
Month 8
Month 9
Month 10
Month 11
Month 12
$1,500,000 $500,000 $400,000 $100,000 $75,000 $70,000 $0 $200,000 $0 $20,000 $15,000 $10,000 $30,000 $10,000 $5,000 $15,000 $15,000 $148,250 $3,113,250
$17,104 $5,701 $4,561 $1,140 $855 $798 $0 $1,653 $0 $165 $124 $83 $248 $83 $41 $124 $124 $1,225 $34,028
$27,354 $9,118 $7,294 $1,824 $1,368 $1,276 $0 $2,723 $0 $272 $204 $136 $409 $136 $68 $204 $204 $2,019 $54,609
$42,936 $14,312 $11,450 $2,862 $2,147 $2,004 $0 $4,422 $0 $442 $332 $221 $663 $221 $111 $332 $332 $3,278 $86,064
$65,455 $21,818 $17,455 $4,364 $3,273 $3,055 $0 $7,014 $0 $701 $526 $351 $1,052 $351 $175 $526 $526 $5,199 $131,840
$95,473 $31,824 $25,459 $6,365 $4,774 $4,455 $0 $10,715 $0 $1,072 $804 $536 $1,607 $536 $268 $804 $804 $7,943 $193,438
$130,648 $43,549 $34,840 $8,710 $6,532 $6,097 $0 $15,472 $0 $1,547 $1,160 $774 $2,321 $774 $387 $1,160 $1,160 $11,469 $266,601
$200,000 $50,000 $10,000 $5,000 $265,000
$8,000 $570 $400 $200 $9,170
$8,000 $912 $400 $200 $9,512
$8,000 $1,431 $400 $200 $10,031
$8,000 $2,182 $400 $200 $10,782
$8,000 $3,182 $400 $200 $11,782
$8,000 $4,355 $400 $200 $12,955
$349,936 $87,484 $93,316 $0 $0 $466,582 $233,291 $1,230,609
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
Soils Testing Concrete Testing / Reinforcing Inspec Masonry Testing / Inspection Steel Testing / Inspections Fireproofing Testing / Inspections Building Envelope / Window Wall Testing Subtotal
$20,000 $15,000 $15,000 $35,000 $25,000 $20,000 $130,000
$0 $439 $439 $1,025 $0 $0 $1,904
$0 $814 $814 $1,899 $0 $0 $3,527
$0 $1,393 $1,393 $3,250 $0 $0 $6,035
$0 $2,088 $2,088 $4,872 $0 $0 $9,048
$0 $2,583 $2,583 $6,027 $0 $0 $11,193
$0 $2,532 $2,532 $5,908 $0 $0 $10,972
Legal & Accounting 1 Due Diligence / Purchase Agreement 2 Development / Construction Agreement 3 Consultant / Broker Agrmt / CC&Rs 4 R ea eal Es ta ta te te Ta x C on on su su lt an an t / Au didi ts ts / Ac co co un un titi ng ng 5 Miscellaneous Subtotal
$50,000 $30,000 $30,000 $ 20 20 ,0 ,0 00 00 $5,000 $135,000
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$561,297 $36,552 $1,403,243 $0 $50,000 $0 $0 $2,051,091
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$577,728 $0 $577,728
$24,072 $0 $24,072
$24,072 $0 $24,072
$24,072 $0 $24,072
$24,072 $0 $24,072
$24,072 $0 $24,072
$24,072 $0 $24,072
$50,000 $75,000 $25,000 $50,000 $142,800 $5,000 $347,800
$0 $0 $0 $0 $0 $208 $208
$0 $0 $0 $0 $0 $208 $208
$0 $0 $0 $0 $0 $208 $208
$0 $0 $0 $0 $0 $208 $208
$0 $0 $0 $0 $0 $208 $208
$0 $0 $0 $0 $0 $208 $208
$5,612,970 $1,700 $1,700,90 ,9000 $3,305,416 $10,619,286
$64,001 $19,394 $37,689 $121,085
$102,356 $31,017 $60,277 $193,650
$160,665 $48,686 $94,614 $303,965
$244,932 $74,222 $144,238 $463,392
$357,258 $108,260 $210,385 $675,903
$488,883 $148,146 $287,898 $924,927
SOFT COST (1)
Design & Consultants
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 (2)
Miscellaneous Development Cost
1 2 3 4 (3)
Site Security During Construction Utility Consumption Drawing / Printing Team Meeting / Catering Subtotal Permits & Fees
1 2 3 4 5 6 7 (4)
Building Permit Fee Plan Check Fee Grading Permit Water & Sewer Tap Fees State Imposed Fees School Impact Fees Other Misc. Permits & Fees Subtotal Testing & Inspections
1 2 3 4 5 6 (5)
Architect MEP & Fire Protection Structural ADA Surveyor Civil Exterior Skin Landscaping Restaurant & Kitchen Roofing & Waterproofing Swimming Pool & Equipment Vertical Transportation Parking Acoustical Audio Visual Telecommunications / Data Security Contingency Subtotal
(6)
Insurance During Construction
1 2 3 4 5 6 7 (7)
Builders Risk Insurance (Hard Cost) Builders Risk Insurance (Soft Cost) General Liablility Wrap-up Policy Earthquake Insurance Professional Insurance - e.g.: CPPIC Commercial Umbrella Force Majeure Subtotal Taxes During Construction
1 2 (8)
Property Taxes Sales Tax Subtotal Marketing / Leasing Office
1 2 3 4 5 6 (9)
Leasi ng ng Offi ccee (St af aff/Equip/Furn/Trail er er) Model Room Construction Model Room Furniture Marketing (Print/Media Advt/PR) Leasi ng ng Commi ssssi on ons (Ret aiai l/Commercial) Other Subtotal Developer, Developer, Contractor, PM Fees & Escalations
1 2 3 (10)
Developer / Contractor Fee Projec Projectt Manage Managemen mentt Fee (Hard (Hard Cost, Cost, Net of Contin Contingen gency) cy) Escalations Subtotal Soft Cost Contingency
1
Soft Cost Contingency SOFT COST TOTAL COST, PRE-FINANCING
$923,488
$10,530
$16,840
$26,434
$40,298
$58,779
$80,435
$19,393,252
$287,502
$388,923
$543,314
$766,143
$1,061,879
$1,406,674
$126,359,752
$934,839
$1,450,947
$2,259,530
$3,472,927
$5,171,633
$7,300,015
Appendix: Page 22
CLIENT NAME Property Name / Address MONTHLY BUDGET MONTHLY CASH FLOW - DEVELOPMENT BUDGET
Total TOTAL
Month 13
Month 14
Month 15
Month 16
Month 17
Month 18
PRE-DEVELOPMENT COST (1)
Land / Existing Property 1 La Land Value / Value of Existing Property 2 Re Re alal Es ta ta te te Fe es es ( Br Br ok ok er er, Ac qu qu is it ion , F in de de r)r) 3 Title Policy 4 Transfer Taxes 5 Legal / Due Diligence 6 Off-Site Improvements 7 Miscellaneous Fees Subtotal
(2)
N on on e Seller Pays Seller Pays
$12, 00 000, 00 000 $0 $0 $0 $85,000 $33,333 $16,667 $12,135,000
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$150,000 $700,000 $100,000 $150,000 $100,000 $0 $25,000 $0 $25,000 $7,000 $7,500 $7,500 $10,000 $0 $0 $1,282,000
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$13,417,000
$0
$0
$0
$0
$0
$0
$7,000,000 $13,000,00 $13,000,0000 $30,000,00 $30,000,0000 $7,000,000 $750,000 $3,000,00 $3,000,0000 $780,000 $2,7 $2,700 00,0 ,000 00 $1,700,000 $675 $675,0 ,000 00 $66,605,000
$721,419 $1,339,778 $3 ,0 ,09 1, 1, 79 79 5 $721,419 $77,295 $309,180 $80,387 $278,262 $175,202 $69,565 $6 ,8 ,86 4, 4, 30 30 1
$864,482 $1,605,467 $ 3, 3, 70 70 4, 4, 92 923 $864,482 $92,623 $370,492 $96,328 $333,443 $209,946 $83,361 $ 8, 8, 22 22 5, 5, 54 546
$913,593 $1,696,673 $3 ,9 ,9 15 15 ,4 ,40 0 $913,593 $97,885 $391,540 $101,800 $352,386 $221,873 $88,097 $8 ,6 ,6 92 92 ,8 ,84 1
$845,814 $1,570,797 $ 3, 3, 62 62 4, 4, 91 917 $845,814 $90,623 $362,492 $94,248 $326,243 $205,412 $81,561 $ 8, 8, 04 04 7, 7, 92 920
$692,364 $1,285,818 $2 ,9 ,9 67 67 ,2 ,27 2 $692,364 $74,182 $296,727 $77,149 $267,055 $168,145 $66,764 $6 ,5 ,5 87 87 ,8 ,83 9
$511,864 $950,604 $ 2, 2, 19 19 3, 3, 70 70 1 $511,864 $54,843 $219,370 $57,036 $197,433 $124,310 $49,358 $ 4, 4, 87 87 0, 0, 38 38 2
$4,080,000 $9,520,000 $13,600,000
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$4,500,000
$0
$0
$0
$0
$0
$0
$340,000 $340,000
$0 $0
$0 $0
$0 $0
$0 $0
$0 $0
$0 $0
$8,504,500
$929,805
$1,048,473
$1,048,473
$929,805
$740,732
$541,299
$93,549,500
$7,794,107
$9,274,019
$9,741,313
$8,977,725
$7,328,571
$5,411,682
Eng Fees / Entitlement
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
Appraisal Fees Demolition Cost Market Study Planning & Zoning Fee - PUD Approval Lot Line Adjustment - Parcel Maps/Plats Entitlement Consultant w/Planning & Zoning Financial Consultant Special Development Fees Traffic Study Geotechnical Survey Environmental Survey - Phase I Environmental Survey - Phase II ALTA Survey Flood Certificate / Inspection Fee Hazardous Material Remediation Subtotal PRE-DEVELOPMENT COSTS
HARD COST (1)
Building 1 Foundations 2 Substructu Substructure re (Slab on Grade; Grade; Basement Basement Excavatio Excavation; n; Basement Basement W 3 Superstruc Superstructure ture (Floor (Floor & Roof Constructio Construction; n; Stair Constructio Construction) n) 4 Exterior Cl os osure (Walls; Doors/Wi nd ndows) 5 Roofing 6 Interior or Constructio Constructionn (Partitions (Partitions;; Interior Interior Finishes; Finishes; Doors/Windo Doors/Windows) ws) 7 Elevators 8 Mecha Mechani nica call (Plu (Plumb mbin ing; g; HVAC HVAC;; Fire r e Prot Protec ectition on;; Othe Other) r) 9 Electrical 10 Equi Equipmen p mentt (Fix (Fixed ed/M /Mov ovab able le Equi Equipmen p ment; t; Furn Furnis ishi hings) n gs) Subtotal
(2)
Parking
1 2
At Grade Parking Below Grade Parking Subtotal
(3)
Sitework
(4)
TIA (Retail / Commercial)
Sitework Tenant Improvement Allowance Subtotal (5)
Contingency
Hard Cost Contingency HARD COST - CONSTRUCTION
Appendix: Page 23
CLIENT NAME Property Name / Address MONTHLY BUDGET MONTHLY CASH FLOW - DEVELOPMENT BUDGET
Total TOTAL
Month 13
Month 14
$1,500,000 $500,000 $400,000 $100,000 $75,000 $70,000 $0 $200,000 $0 $20,000 $15,000 $10,000 $30,000 $10,000 $5,000 $15,000 $15,000 $148,250 $3,113,250
$163,996 $54,665 $43,732 $10,933 $8,200 $7,653 $0 $20,612 $0 $2,061 $1,546 $1,031 $3,092 $1,031 $515 $1,546 $1,546 $15,279 $337,438
$184,927 $61,642 $49,314 $12,328 $9,246 $8,630 $0 $24,699 $0 $2,470 $1,852 $1,235 $3,705 $1,235 $617 $1,852 $1,852 $18,308 $383,915
$184,927 $61,642 $49,314 $12,328 $9,246 $8,630 $0 $26,103 $0 $2,610 $1,958 $1,305 $3,915 $1,305 $653 $1,958 $1,958 $19,349 $387,200
$163,996 $54,665 $43,732 $10,933 $8,200 $7,653 $0 $24,166 $0 $2,417 $1,812 $1,208 $3,625 $1,208 $604 $1,812 $1,812 $17,913 $345,759
$130,648 $43,549 $34,840 $8,710 $6,532 $6,097 $0 $19,782 $0 $1,978 $1,484 $989 $2,967 $989 $495 $1,484 $1,484 $14,663 $276,691
$95,473 $31,824 $25,459 $6,365 $4,774 $4,455 $0 $14,625 $0 $1,462 $1,097 $731 $2,194 $731 $366 $1,097 $1,097 $10,841 $202,591
$200,000 $50,000 $10,000 $5,000 $265,000
$8,000 $5,467 $400 $200 $14,067
$8,000 $6,164 $400 $200 $14,764
$8,000 $6,164 $400 $200 $14,764
$8,000 $5,467 $400 $200 $14,067
$8,000 $4,355 $400 $200 $12,955
$8,000 $3,182 $400 $200 $11,782
$349,936 $87,484 $93,316 $0 $0 $466,582 $233,291 $1,230,609
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
Soils Testing Concrete Testing / Reinforcing Inspec Masonry Testing / Inspection Steel Testing / Inspections Fireproofing Testing / Inspections Building Envelope / Window Wall Testing Subtotal
$20,000 $15,000 $15,000 $35,000 $25,000 $20,000 $130,000
$0 $1,975 $1,975 $4,608 $23 $18 $8,599
$0 $1,283 $1,283 $2,994 $45 $36 $5,642
$0 $738 $738 $1,721 $134 $107 $3,437
$0 $395 $395 $921 $390 $312 $2,411
$0 $203 $203 $474 $1,091 $873 $2,843
$0 $102 $102 $239 $2,741 $2,193 $5,377
Legal & Accounting 1 Due Diligence / Purchase Agreement 2 Development / Construction Agreement 3 Consultant / Broker Agrmt / CC&Rs 4 R ea eal Es ta ta te te Ta x C on on su su lt an an t / Au didi ts ts / Ac co co un un titi ng ng 5 Miscellaneous Subtotal
$50,000 $30,000 $30,000 $ 20 20 ,0 ,0 00 00 $5,000 $135,000
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$0 $0 $15,000 $833 $208 $16,042
$561,297 $36,552 $1,403,243 $0 $50,000 $0 $0 $2,051,091
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$577,728 $0 $577,728
$24,072 $0 $24,072
$24,072 $0 $24,072
$24,072 $0 $24,072
$24,072 $0 $24,072
$24,072 $0 $24,072
$24,072 $0 $24,072
$50,000 $75,000 $25,000 $50,000 $142,800 $5,000 $347,800
$4,167 $6,250 $2,083 $4,167 $11,900 $208 $28,775
$4,167 $6,250 $2,083 $4,167 $11,900 $208 $28,775
$4,167 $6,250 $2,083 $4,167 $11,900 $208 $28,775
$4,167 $6,250 $2,083 $4,167 $11,900 $208 $28,775
$4,167 $6,250 $2,083 $4,167 $11,900 $208 $28,775
$4,167 $6,250 $2,083 $4,167 $11,900 $208 $28,775
$5,612,970 $1,700 $1,700,90 ,9000 $3,305,416 $10,619,286
$613,672 $185,961 $361,384 $1,161,017
$691,992 $209,695 $407,506 $1,309,193
$691,992 $209,695 $407,506 $1,309,193
$613,672 $185,961 $361,384 $1,161,017
$488,883 $148,146 $287,898 $924,927
$357,258 $108,260 $210,385 $675,903
Month 15
Month 16
Month 17
Month 18
SOFT COST (1)
Design & Consultants
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 (2)
Miscellaneous Development Cost
1 2 3 4 (3)
Site Security During Construction Utility Consumption Drawing / Printing Team Meeting / Catering Subtotal Permits & Fees
1 2 3 4 5 6 7 (4)
Building Permit Fee Plan Check Fee Grading Permit Water & Sewer Tap Fees State Imposed Fees School Impact Fees Other Misc. Permits & Fees Subtotal Testing & Inspections
1 2 3 4 5 6 (5)
Architect MEP & Fire Protection Structural ADA Surveyor Civil Exterior Skin Landscaping Restaurant & Kitchen Roofing & Waterproofing Swimming Pool & Equipment Vertical Transportation Parking Acoustical Audio Visual Telecommunications / Data Security Contingency Subtotal
(6)
Insurance During Construction
1 2 3 4 5 6 7 (7)
Builders Risk Insurance (Hard Cost) Builders Risk Insurance (Soft Cost) General Liablility Wrap-up Policy Earthquake Insurance Professional Insurance - e.g.: CPPIC Commercial Umbrella Force Majeure Subtotal Taxes During Construction
1 2 (8)
Property Taxes Sales Tax Subtotal Marketing / Leasing Office
1 2 3 4 5 6 (9)
Leasi ng ng Offi ccee (St af aff/Equip/Furn/Trail er er) Model Room Construction Model Room Furniture Marketing (Print/Media Advt/PR) Leasi ng ng Commi ssssi on ons (Ret aiai l/Commercial) Other Subtotal Developer, Developer, Contractor, PM Fees & Escalations
1 2 3 (10)
Developer / Contractor Fee Projec Projectt Manage Managemen mentt Fee (Hard (Hard Cost, Cost, Net of Contin Contingen gency) cy) Escalations Subtotal Soft Cost Contingency
1
Soft Cost Contingency SOFT COST TOTAL COST, PRE-FINANCING
$923,488
$100,966
$113,852
$113,852
$100,966
$80,435
$58,779
$19,393,252
$1,761,437
$1,966,716
$1,967,797
$1,763,571
$1,437,201
$1,108,782
$126,359,752
$9,555,544
$11,240,735
$11,709,111
$10,741,296
$8,765,772
$6,520,464
Appendix: Page 24
CLIENT NAME Property Name / Address MONTHLY BUDGET MONTHLY CASH FLOW - DEVELOPMENT BUDGET
Total TOTAL
Month 19
Month 20
Month 21
Month 22
Month 23
Month 24
PRE-DEVELOPMENT COST (1)
Land / Existing Property 1 La Land Value / Value of Existing Property 2 Re Re alal Es ta ta te te Fe es es ( Br Br ok ok er er, Ac qu qu is it ion , F in de de r)r) 3 Title Policy 4 Transfer Taxes 5 Legal / Due Diligence 6 Off-Site Improvements 7 Miscellaneous Fees Subtotal
(2)
N on on e Seller Pays Seller Pays
$12, 00 000, 00 000 $0 $0 $0 $85,000 $33,333 $16,667 $12,135,000
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$150,000 $700,000 $100,000 $150,000 $100,000 $0 $25,000 $0 $25,000 $7,000 $7,500 $7,500 $10,000 $0 $0 $1,282,000
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$13,417,000
$0
$0
$0
$0
$0
$0
$7,000,000 $13,000,00 $13,000,0000 $30,000,00 $30,000,0000 $7,000,000 $750,000 $3,000,00 $3,000,0000 $780,000 $2,7 $2,700 00,0 ,000 00 $1,700,000 $675 $675,0 ,000 00 $66,605,000
$350,624 $651,158 $1,502,673 $350,624 $37,567 $150,267 $39,069 $135,241 $85,151 $33,810 $3,336,184
$227,804 $423,065 $976,304 $227,804 $24,408 $97,630 $25,384 $87,867 $55,324 $21,967 $2,167,558
$142,963 $265,503 $612,699 $142,963 $15,317 $61,270 $15,930 $55,143 $34,720 $13,786 $1,360,293
$87,776 $163,012 $376,182 $87,776 $9,405 $37,618 $9,781 $33,856 $21,317 $8,464 $835,186
$53,169 $98,743 $227,868 $53,169 $5,697 $22,787 $5,925 $20,508 $12,913 $5,127 $505,906
$31,944 $59,324 $136,902 $31,944 $3,423 $13,690 $3,559 $12,321 $7,758 $3,080 $303,944
$4,080,000 $9,520,000 $13,600,000
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$4,500,000
$0
$0
$0
$0
$0
$0
$340,000 $340,000
$312 $312
$3,095 $3,095
$30,737 $30,737
$154,059 $154,059
$130,422 $130,422
$21,375 $21,375
Eng Fees / Entitlement
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
Appraisal Fees Demolition Cost Market Study Planning & Zoning Fee - PUD Approval Lot Line Adjustment - Parcel Maps/Plats Entitlement Consultant w/Planning & Zoning Financial Consultant Special Development Fees Traffic Study Geotechnical Survey Environmental Survey - Phase I Environmental Survey - Phase II ALTA Survey Flood Certificate / Inspection Fee Hazardous Material Remediation Subtotal PRE-DEVELOPMENT COSTS
HARD COST (1)
Building 1 Foundations 2 Substructu Substructure re (Slab on Grade; Grade; Basement Basement Excavatio Excavation; n; Basement Basement W 3 Superstruc Superstructure ture (Floor (Floor & Roof Constructio Construction; n; Stair Constructio Construction) n) 4 Exterior Cl os osure (Walls; Doors/Wi nd ndows) 5 Roofing 6 Interior or Constructio Constructionn (Partitions (Partitions;; Interior Interior Finishes; Finishes; Doors/Windo Doors/Windows) ws) 7 Elevators 8 Mecha Mechani nica call (Plu (Plumb mbin ing; g; HVAC HVAC;; Fire r e Prot Protec ectition on;; Othe Other) r) 9 Electrical 10 Equi Equipmen p mentt (Fix (Fixed ed/M /Mov ovab able le Equi Equipmen p ment; t; Furn Furnis ishi hings) n gs) Subtotal
(2)
Parking
1 2
At Grade Parking Below Grade Parking Subtotal
(3)
Sitework
(4)
TIA (Retail / Commercial)
Sitework Tenant Improvement Allowance Subtotal (5)
Contingency
Hard Cost Contingency HARD COST - CONSTRUCTION
$8,504,500
$371,109
$243,432
$155,085
$96,971
$59,926
$36,765
$93,549,500
$3,707,605
$2,414,084
$1,546,116
$1,086,217
$696,254
$362,084
Appendix: Page 25
CLIENT NAME Property Name / Address MONTHLY BUDGET MONTHLY CASH FLOW - DEVELOPMENT BUDGET
Total TOTAL
Month 19
Month 20
Month 21
Month 22
Month 23
Month 24
$1,500,000 $500,000 $400,000 $100,000 $75,000 $70,000 $0 $200,000 $0 $20,000 $15,000 $10,000 $30,000 $10,000 $5,000 $15,000 $15,000 $148,250 $3,113,250
$65,455 $21,818 $17,455 $4,364 $3,273 $3,055 $0 $10,018 $0 $1,002 $751 $501 $1,503 $501 $250 $751 $751 $7,426 $138,874
$42,936 $14,312 $11,450 $2,862 $2,147 $2,004 $0 $6,509 $0 $651 $488 $325 $976 $325 $163 $488 $488 $4,825 $90,949
$27,354 $9,118 $7,294 $1,824 $1,368 $1,276 $0 $4,085 $0 $408 $306 $204 $613 $204 $102 $306 $306 $3,028 $57,797
$17,104 $5,701 $4,561 $1,140 $855 $798 $0 $2,508 $0 $251 $188 $125 $376 $125 $63 $188 $188 $1,859 $36,031
$10,570 $3,523 $2,819 $705 $528 $493 $0 $1,519 $0 $152 $114 $76 $228 $76 $38 $114 $114 $1,126 $22,194
$6,485 $2,162 $1,729 $432 $324 $303 $0 $913 $0 $91 $68 $46 $137 $46 $23 $68 $68 $677 $13,571
$200,000 $50,000 $10,000 $5,000 $265,000
$8,000 $2,182 $400 $200 $10,782
$8,000 $1,431 $400 $200 $10,031
$8,000 $912 $400 $200 $9,512
$8,000 $570 $400 $200 $9,170
$8,000 $352 $400 $200 $8,952
$8,000 $216 $400 $200 $8,816
$349,936 $87,484 $93,316 $0 $0 $466,582 $233,291 $1,230,609
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0 $0 $0
Soils Testing Concrete Testing / Reinforcing Inspec Masonry Testing / Inspection Steel Testing / Inspections Fireproofing Testing / Inspections Building Envelope / Window Wall Testing Subtotal
$20,000 $15,000 $15,000 $35,000 $25,000 $20,000 $130,000
$0 $0 $0 $0 $5,349 $4,279 $9,629
$0 $0 $0 $0 $6,686 $5,349 $12,035
$0 $0 $0 $0 $4,911 $3,929 $8,840
$0 $0 $0 $0 $2,381 $1,904 $4,285
$0 $0 $0 $0 $923 $739 $1,662
$0 $0 $0 $0 $326 $261 $588
Legal & Accounting 1 Due Diligence / Purchase Agreement 2 Development / Construction Agreement 3 Consultant / Broker Agrmt / CC&Rs 4 R ea eal Es ta ta te te Ta x C on on su su lt an an t / Au didi ts ts / Ac co co un un titi ng ng 5 Miscellaneous Subtotal
$50,000 $30,000 $30,000 $ 20 20 ,0 ,0 00 00 $5,000 $135,000
$0 $0 $15,000 $833 $208 $16,042
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$0 $0 $0 $833 $208 $1,042
$561,297 $36,552 $1,403,243 $0 $50,000 $0 $0 $2,051,091
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$23,387 $1,523 $58,468 $0 $2,083 $0 $0 $85,462
$577,728 $0 $577,728
$24,072 $0 $24,072
$24,072 $0 $24,072
$24,072 $0 $24,072
$24,072 $0 $24,072
$24,072 $0 $24,072
$24,072 $0 $24,072
$50,000 $75,000 $25,000 $50,000 $142,800 $5,000 $347,800
$4,167 $6,250 $2,083 $4,167 $11,900 $208 $28,775
$4,167 $6,250 $2,083 $4,167 $11,900 $208 $28,775
$4,167 $6,250 $2,083 $4,167 $11,900 $208 $28,775
$4,167 $6,250 $2,083 $4,167 $11,900 $208 $28,775
$4,167 $6,250 $2,083 $4,167 $11,900 $208 $28,775
$4,167 $6,250 $2,083 $4,167 $11,900 $208 $28,775
$5,612,970 $1,700 $1,700,90 ,9000 $3,305,416 $10,619,286
$244,932 $74,222 $144,238 $463,392
$160,665 $48,686 $94,614 $303,965
$102,356 $31,017 $60,277 $193,650
$64,001 $19,394 $37,689 $121,085
$39,551 $11,985 $23,291 $74,828
$24,265 $7,353 $14,289 $45,907
SOFT COST (1)
Design & Consultants
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 (2)
Miscellaneous Development Cost
1 2 3 4 (3)
Site Security During Construction Utility Consumption Drawing / Printing Team Meeting / Catering Subtotal Permits & Fees
1 2 3 4 5 6 7 (4)
Building Permit Fee Plan Check Fee Grading Permit Water & Sewer Tap Fees State Imposed Fees School Impact Fees Other Misc. Permits & Fees Subtotal Testing & Inspections
1 2 3 4 5 6 (5)
Architect MEP & Fire Protection Structural ADA Surveyor Civil Exterior Skin Landscaping Restaurant & Kitchen Roofing & Waterproofing Swimming Pool & Equipment Vertical Transportation Parking Acoustical Audio Visual Telecommunications / Data Security Contingency Subtotal
(6)
Insurance During Construction
1 2 3 4 5 6 7 (7)
Builders Risk Insurance (Hard Cost) Builders Risk Insurance (Soft Cost) General Liablility Wrap-up Policy Earthquake Insurance Professional Insurance - e.g.: CPPIC Commercial Umbrella Force Majeure Subtotal Taxes During Construction
1 2 (8)
Property Taxes Sales Tax Subtotal Marketing / Leasing Office
1 2 3 4 5 6 (9)
Leasi ng ng Offi ccee (St af aff/Equip/Furn/Trail er er) Model Room Construction Model Room Furniture Marketing (Print/Media Advt/PR) Leasi ng ng Commi ssssi on ons (Ret aiai l/Commercial) Other Subtotal Developer, Developer, Contractor, PM Fees & Escalations
1 2 3 (10)
Developer / Contractor Fee Projec Projectt Manage Managemen mentt Fee (Hard (Hard Cost, Cost, Net of Contin Contingen gency) cy) Escalations Subtotal Soft Cost Contingency
1
Soft Cost Contingency SOFT COST TOTAL COST, PRE-FINANCING
$923,488
$40,298
$26,434
$16,840
$10,530
$6,507
$3,992
$19,393,252
$817,324
$582,764
$425,990
$320,451
$253,495
$212,226
$126,359,752
$4,524,929
$2,996,849
$1,972,106
$1,406,668
$949,749
$574,309
Appendix: Page 26
Ploutus Advisors, Inc. 1875 Century Park East, Suite 700 Century City CA 90067 T e l : 4 2 4 . 2 7 4 . 3 5 61 61 F a x : 4 2 4 . 2 8 8 . 5 6 24 24 E m a i l : i n f o @ p l o u t u s a dv dv i s o r s . c o m CalBRE License: 02032728