This walkthrough, our eight in the series, explains how the Tenancy Analysis report for office, retail, and industrial real estate underwriting works in our All-in-One (Ai1) model. The Tenancy Analysis report includes a tenant rollover schedule, a graph illustrating cumulative expiration of net rentable area by year, a summary of weighted average lease term and remaining […]
As many of you recall, in 2015 I set out to build an Excel alternative to the widely-used (and now discontinued) ARGUS DCF. With career moves and a lot of other A.CRE-related side projects, this undertaking has been slow going. Alas, in 2016 I released the first beta-version of the model – my All-in-One (Ai1) Underwriting […]
In our glossary of commercial real estate terms, we recently answered the question: what is debt yield? As a follow up to that entry, I thought I’d expand on the concept of debt yield by showing you how lenders use debt yield to come up with the appropriate mortgage loan amount. Lenders and Sensitivity to Loan […]
Before moving to the principal side of the business, I began my career as a self-described real estate investment specialist, largely working as a land broker but dabbling in other areas including the popular “single-family flip” space. In all honesty, I wasn’t qualified for the title. In fact, I had little to no actual experience […]
Since releasing the first beta version of the All-in-One Underwriting Model, we’ve fielded hundreds of emails related to the model. Inquiries range from questions to feature requests to thank yous. We welcome the chance to interact with our readers, and acknowledge that the model will only become as good as the feedback we receive from […]
That first job in real estate, most likely at the analyst-level, will be one of the most important jobs – if not the most important job – of your real estate career. Now don’t misunderstand me. Failures can be overcome, wrong decisions can be made right, and mid-career pivots can be successfully executed. But landing a […]
For those who have added the Adventures in CRE Job Board (A.CRE Jobs) to your commercial real estate job search process, we have some exciting news! We’d like to announce the launch of the newly completed A.CRE Jobs app for Android and iOS devices. To download the free app, open a browser on your mobile […]
This walkthrough, our seventh in the series, explains how the Ground Lease Valuation Module works and how to implement this tool into your analysis. The All-in-One Model includes two methods to account for a ground lease. The first is to simply include the ground lease payments in the operating expenses (above NOI), thus reducing the value […]