real estate

Memo Format for Group Assignment

Complete an back of the envelope analysis using our standard BOE.xls

2200-1650 Estimate Rents from your market analysis – start with rent.com…find what apartment units of similar finishes are renting for per month.

Operating expenses – refer to industry stats posted on Canvas

Discount Rate – refer to posted surveys

Cap Rate – “”

Terminal Cap Rate – “”

Closing costs – use 5% of purchase price

Building Renovation Costs – I’ll provide but students first need to submit a renovation plan (what they plan to renovate in the building…a scope).

Soft Costs – “”

Loan terms – interest rate, loan term, loan amortization – I’ll provide

Place above in memo format…in Word doc all XLS exhibits and less than 10 pages