Learn how to construct a robust real estate geared cashflow model from scratch.
Understand senior debt and mezzanine finance for investment and lending decisions.
Master credit fundamentals which will enhance your property lending analysis and underwriting processes.
Who should attend this course
Financial analysts working at banks, private equity firms and real estate consultancies.
Duration: 3 Days / 9am-5pm
Location: Virtual Live/ Hard Rock Hotel, London
CPD Hours: 18
Level: Intermediate to Advanced
(Payment Plan available)
The course fee includes training, course materials and post course support.
- 5-7 July 2023
- 11-13 October 2023
Capital structure, sources of debt funds & lending criteria
- Capital structures: debt & equity
- Explanation of different debt & equity structures
- Sources of debt fund & lending criteria
Debt covenants & calculations
- Operational Covenants: asset maintenance, disclosure requirements, insurance and credit line
- Financial Covenants: interest cover ratio, debt service coverage, loan to value, debt yield
Senior debt repayment modelling
- Interest Only
- Constant Amortisation
- Fully-Amortising Constant Payment
- Partially-Amortising Constant Payment
- Rolled-Up (Capitalised) Interest
Pro-Forma Development Cash Flow Modelling
- Site Purchase
- Gross Development Value (GDV) versus Net Development Value (NDV)
Development Timeline Modelling: Phases and Duration
Development Costs Modelling: Hard Costs and Soft Costs
- Known Costs
- Mezzanine finance
- Modelling mezzanine structures
- Mezzanine interest and fees
- Modelling cash flow waterfall
- Coupon and capital repayment schedule
- Maximum loan amount based on financial covenants
- Credit Analysis
- Stress test
- Capital adequacy calculations
- Office development lending
Real Estate Risk
Automatic scenario modelling
Monte Carlo analysis
Learn how to add a real life tenancy schedule and debt facilities into the models. Analyse investment-grade commercial property transactions in the European markets.
Request table of contents: