Two questions for you:
1) For gross potential rent, why are you using the market rent/unit/month instead of actual rent per unit?
2) How would you account for vacancies on GPR? Would you use the units occupied per month instead of the total units you use in your example.
1) The MF module uses the Loss-to-Lease concept together with Downtime Vacancy and Concessions adjustments to arrive at a Total Rental Revenue line. If your unfamiliar with Loss-to-Lease, it is essentially the difference between in-place (actual) rent and market rent. So when modeling your rent roll on the MF-RR tab, you enter both the actual rent and market rent for the model to calculate Loss-to-Lease. The model then, on the MF-OpSt tab, drops in Gross Potential Rent (Market Rent) at the top, and subtracts out Loss-to-Lease to arrive at actual rent before concessions and downtime vacancy.
2) In the MF-Module, you would account for vacancy in the ‘General Vacancy’ (MF-OpSt H24) and downtime vacancy (MF-RR column AR) assumptions. On the MF-RR tab, you always enter the total number of rentable units in column G (Total Units) and the total units leased as of operations begin in column I. The model then leases the property up to full occupancy, but subtracts out downtime vacancy and general vacancy to arrive at a stabilized effective gross income.
