The Real Estate Development model projects monthly future
cash flows from a development property from the purchase of the land through
the sale of units. This covers development costs, financing, levered free cash
flow, and a cash waterfall for investors. The tabs included are:

• Deal Summary
• Monthly Cash Flows through the purchase of the land, construction, and sale
of property
• Cap Rate & Net Operating Income
• Land Loan worksheet
• Construction Loan worksheet

The model starts with the Land and Construction Loan
worksheets where you can break down certain costs that make up the construction
loan or land loan. From there, the model goes into the Cap Rate & NOI. This
tab offers net operating income and valuation for up to 5 different floor
plans/rental properties along with sensitivity analysis and scatters plot for
Cap Rate and Rental Income. The Monthly Cash Flows is a proforma with
projecting the revenue build-up of the project from pre-construction to after
the sale of the properties. This also includes important aspects such as
development costs, financing, levered free cash flow, and a cash flow waterfall
for investors. The Deal Summary tab provides a snapshot of the project’s financials.
Details of the project such as the construction schedule, development costs,
and finance terms are entered in this tab and flow into the Monthly Cash Flows
tab.

All cells in black font are input cells where custom
information can be entered. All cells in blue font are formulas set to
streamline the model.