Harborline Commons (Fictional Demo)
Riverton, Anystate (fictional) · 120 units · Market-rate · 0 restricted units
Clone as
Total dev. cost
$49.76M
$414,644 / unit
Stabilized NOI
$2.55M
Year 1
Yield on cost
5.12%
Funding gap
$6.85M
Unfunded
Levered IRR
6.24%
Equity · unlevered 6.45%
Equity multiple
1.97×
Cash-on-cash
2.44%
Stabilized year 1
DSCR
1.25×
Binding: DSCR
Additional equity of 950,560 is needed at conversion to retire the construction loan.
Uses
| Land & acquisition | $4,950,000 |
| Hard costs | $33,800,000 |
| Hard cost contingency | $1,690,000 |
| Soft costs | $4,350,000 |
| Soft cost contingency | $217,500 |
| Developer fee | $1,602,300 |
| Capitalized construction interest | $2,848,948 |
| Construction loan fees | $298,544 |
| Total | $49,757,291 |
Sources
| Permanent loan (DSCR) | $28,903,815 |
| Sponsor / investor equity | $14,000,000 |
| Funding gap | $6,853,477 |
| Total | $49,757,291 |
Debt sizing
By LTC
$32,342,239
By LTV
$32,394,886
By DSCR
$28,903,815
Loan = min of the three. Stabilized value $46,278,408; annual debt service $2,036,250.
Rent roll & operating statement
| Unit | Tier | Units | HH size | Income limit | Max gross | UA | Net rent/mo | Basis | Annual |
|---|---|---|---|---|---|---|---|---|---|
| Studio | Market | 24.0 | — | — | — | — | $2,150 | Market | $619,200 |
| 1 Bedroom | Market | 60.0 | — | — | — | — | $2,650 | Market | $1,908,000 |
| 2 Bedroom | Market | 36.0 | — | — | — | — | $3,450 | Market | $1,490,400 |
| Gross potential rent | $4,017,600 |
| Vacancy & credit loss (% of GPR) | -$200,880 |
| Concessions (% of occupied rent) | -$38,167 |
| Other income (occupied units) | $102,600 |
| Rental assistance & operating subsidies | $0 |
| Effective gross income | $3,881,153 |
| Operating expenses, taxes, mgmt & reserves | -$1,335,840 |
| Net operating income | $2,545,312 |
Construction financing
Loan commitment
$29,854,375
Balance at conversion
$29,854,375
Capitalized interest
$2,848,948
Loan fees
$298,544
Equity during construction
$19,902,917
Equity at conversion
$950,560
Conversion month
34
Interest solve
11 iter. · converged
Monthly draw schedule (35 months)
| Mo | Phase | Cost | Loan fee | Interest | Equity | Sources | Loan draw | Balance |
|---|---|---|---|---|---|---|---|---|
| 0 | Predevelopment | $6.78M | $0 | $0 | $6.78M | $0 | $0 | $0 |
| 1 | Predevelopment | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| 2 | Predevelopment | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| 3 | Predevelopment | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| 4 | Predevelopment | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| 5 | Predevelopment | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| 6 | Predevelopment | $0 | $299K | $0 | $299K | $0 | $0 | $0 |
| 7 | Construction | $365K | $0 | $0 | $365K | $0 | $0 | $0 |
| 8 | Construction | $816K | $0 | $0 | $816K | $0 | $0 | $0 |
| 9 | Construction | $1.25M | $0 | $0 | $1.25M | $0 | $0 | $0 |
| 10 | Construction | $1.66M | $0 | $0 | $1.66M | $0 | $0 | $0 |
| 11 | Construction | $2.03M | $0 | $0 | $2.03M | $0 | $0 | $0 |
| 12 | Construction | $2.35M | $0 | $0 | $2.35M | $0 | $0 | $0 |
| 13 | Construction | $2.62M | $0 | $0 | $2.62M | $0 | $0 | $0 |
| 14 | Construction | $2.83M | $0 | $0 | $1.74M | $0 | $1.08M | $1.08M |
| 15 | Construction | $2.97M | $0 | $7K | $0 | $0 | $2.97M | $4.06M |
| 16 | Construction | $3.04M | $0 | $27K | $0 | $0 | $3.07M | $7.12M |
| 17 | Construction | $3.04M | $0 | $47K | $0 | $0 | $3.09M | $10.21M |
| 18 | Construction | $2.97M | $0 | $68K | $0 | $0 | $3.03M | $13.24M |
| 19 | Construction | $2.83M | $0 | $88K | $0 | $0 | $2.91M | $16.16M |
| 20 | Construction | $2.62M | $0 | $108K | $0 | $0 | $2.73M | $18.88M |
| 21 | Construction | $2.35M | $0 | $126K | $0 | $0 | $2.48M | $21.36M |
| 22 | Construction | $2.03M | $0 | $142K | $0 | $0 | $2.17M | $23.53M |
| 23 | Construction | $1.66M | $0 | $157K | $0 | $0 | $1.81M | $25.34M |
| 24 | Construction | $1.25M | $0 | $169K | $0 | $0 | $1.42M | $26.76M |
| 25 | Construction | $816K | $0 | $178K | $0 | $0 | $995K | $27.76M |
| 26 | Construction | $365K | $0 | $185K | $0 | $0 | $550K | $28.31M |
| 27 | Lease-up | $0 | $0 | $189K | $0 | $0 | $189K | $28.50M |
| 28 | Lease-up | $0 | $0 | $190K | $0 | $0 | $190K | $28.69M |
| 29 | Lease-up | $0 | $0 | $191K | $0 | $0 | $191K | $28.88M |
| 30 | Lease-up | $0 | $0 | $193K | $0 | $0 | $193K | $29.07M |
| 31 | Lease-up | $0 | $0 | $194K | $0 | $0 | $194K | $29.27M |
| 32 | Lease-up | $0 | $0 | $195K | $0 | $0 | $195K | $29.46M |
| 33 | Lease-up | $0 | $0 | $196K | $0 | $0 | $196K | $29.66M |
| 34 | Lease-up | $0 | $0 | $198K | $0 | $0 | $198K | $29.85M |
Annual equity cash flow
Equity is drawn monthly during development (first-dollar) and at conversion; operating years begin 2.83 years after equity close. IRR uses exact time stamps.
| Yr | t | Market GPR | Restricted GPR | EGI | OpEx | NOI | Senior DS | Soft / fee | Cash flow | Capital | Net sale | Total |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 0 | 0.00 | Development equity, net (construction + conversion) | −$20.85M | |||||||||
| 1 | 3.83 | $4.02M | $0 | $3.88M | $1.34M | $2.55M | $2.04M | $0 | $509K | $0 | $0 | $509K |
| 2 | 4.83 | $4.14M | $0 | $4.00M | $1.38M | $2.62M | $2.04M | $0 | $585K | $0 | $0 | $585K |
| 3 | 5.83 | $4.26M | $0 | $4.12M | $1.42M | $2.70M | $2.04M | $0 | $664K | $0 | $0 | $664K |
| 4 | 6.83 | $4.39M | $0 | $4.24M | $1.46M | $2.78M | $2.04M | $0 | $745K | $0 | $0 | $745K |
| 5 | 7.83 | $4.52M | $0 | $4.37M | $1.50M | $2.86M | $2.04M | $0 | $829K | $0 | $0 | $829K |
| 6 | 8.83 | $4.66M | $0 | $4.50M | $1.55M | $2.95M | $2.04M | $0 | $914K | $0 | $0 | $914K |
| 7 | 9.83 | $4.80M | $0 | $4.63M | $1.60M | $3.04M | $2.04M | $0 | $1.00M | $0 | $0 | $1.00M |
| 8 | 10.83 | $4.94M | $0 | $4.77M | $1.64M | $3.13M | $2.04M | $0 | $1.09M | $0 | $0 | $1.09M |
| 9 | 11.83 | $5.09M | $0 | $4.92M | $1.69M | $3.22M | $2.04M | $0 | $1.19M | $0 | $0 | $1.19M |
| 10 | 12.83 | $5.24M | $0 | $5.06M | $1.74M | $3.32M | $2.04M | $0 | $1.28M | $0 | $32.28M | $33.56M |
Exit: forward NOI ÷ exit cap = $59,490,210, less sales costs, senior payoff $25,723,113, soft loans $0 and deferred fee $0 = $32,279,843 to equity.
Feasibility scorecard
Separate flags with their evidence. There is deliberately no combined score; this is not a feasibility determination, credit decision or loan approval. Thresholds are disclosed rules of thumb, not lender or program standards.
Debt coverageNo flag
- Year-1 DSCR 1.25x vs your minimum 1.25x (binding: DSCR).
- Lowest DSCR in hold 1.25x (year 1).
Funding gapConcern
- Funding gap $6,853,477 (13.8% of TDC); equity required $20,853,477 vs sponsor equity entered $14,000,000.
Operating cash flowNo flag
- Year-1 cash flow $509,062; NOI $2,545,312.
- No negative cash-flow years in hold.
Downside sensitivityConcern
- Rent −10%: gap $10,994,111, IRR 3.2%.
- Hard cost +10%: gap $10,782,018, IRR 4.7%.
- Both: gap $14,922,652, IRR 1.8%.
Unverified subsidies & creditsNot applicable
- No program sources entered.
Data quality & provenanceWatch
- Demo project — all figures fictional.
- 0 of 8 benchmark categories have a verified, sourced benchmark.
Model status
Engine v2.4.0 · inputs validValidation: automated tests reconcile this engine against an independent Python reference model for nine fixtures — market-rate, mixed-income, 100% affordable, 100% vacancy, three-maturity refinance chain, soft-loan draw accrual, zero debt, rate/cost/rent stress and negative NOI. Each is checked for development cost, construction interest, NOI, debt sizing, every year's cash flow, restricted rent, refinance events, soft-loan interest, sale proceeds, sources = uses, IRR and multiple — plus edge-case and CSV-parity tests. Passing tests show internal consistency, not real-world accuracy.
Known limitations
- No lease-up income: the property earns nothing until stabilization; operations start the month after lease-up ends.
- Annual (not monthly) operating periods; construction-source draws are allocated pro rata across construction-funded sources.
- Future restricted rent caps are projections unless you enter each year's income-limit change; no future HUD limits are known to the app.
- At most five sequential refinances; investor equity is a single class (no waterfall, promote, taxes or depreciation).
- Income limits, rent ceilings, utility allowances, subsidies and tax credit equity are your inputs — never fetched, verified, or certified for any program (LIHTC, HOME, Section 8 and others differ). No eligible basis or credit sizing.
Changelog
- v2.4.0 · Phase 4 — underwriting reporting (preview)
- Excel (.xlsx) pro forma with live formulas: budget, monthly draws and capitalized interest, rent roll and restricted caps, annual operations through year 15, debt sizing, sources & uses, equity flows, IRR, LIHTC basis → credits.
- Engine-only items (soft-loan payments, refinance events, bridge interest, scenarios, sensitivity, benchmarks) are shaded as engine values; a Checks tab reconciles formulas with the app.
- Printable underwriting report and a multi-factor feasibility scorecard (flags with evidence, no combined score, not a loan approval).
- Calculation engine unchanged; saved drafts unaffected.
- v2.3.0 · Phase 3 — Market benchmarks (preview)
- New Market tab: manual or CSV-imported benchmarks (HUD FMR, HUD income limits, market rent, vacancy, hard cost, loan rates) with source, geography, period and dates.
- Compared to your assumptions with matching units and denominators; flags for unverified, unsourced, stale, future-dated, geography mismatch and rent-basis mismatch.
- No live data feeds. Missing items show “No verified benchmark available”; benchmarks never change the model unless you press Apply. HUD FMR is never applied as market rent.
- Saved drafts upgrade automatically (schema 5) with an empty benchmark list; engine results unchanged.
- v2.2.0 · Phase 2B — optional LIHTC module (preview)
- 4% / 9% credit modeling from your entries: eligible basis by cost line, exclusions, reductions, manual boost, applicable fraction (lesser of unit and floor-area fractions), qualified basis, acquisition basis for acq/rehab.
- Annual and 10-year credits, optional allocation cap, investor share and price, first-year fraction with year-11 catch-up.
- Credit equity is a capital source with a pay-in schedule (construction, conversion, later milestones bridged at your rate); basis ↔ construction interest solved iteratively.
- No-LIHTC vs 4% vs 9% comparison, 15-year credit/compliance-period projection, double-count guard for manual credit equity.
- Saved drafts upgrade automatically (schema 4) with the module off, so existing results do not change.
- v2.1.0 · Affordable review
- Restricted rents grow at their own rate, capped each year by income-limit changes you enter; blank years are flagged as projections.
- Utility allowances grow with expense growth when projecting restricted caps.
- Construction-funded soft loans accrue interest from each draw date (deferred to conversion, not added to development cost).
- Up to five sequential refinance events with event-by-event amortization, costs, balloons and forced payoff.
- Saved drafts upgrade automatically (schema 3): a single refinance becomes a one-event list; restricted growth starts equal to your market growth.
- v2.0.0 · Phase 1.5 / 2A
- Monthly construction draws and capitalized interest; soft-loan terms; maturity/refinance; subsidy streams; restricted-unit schedule; household-size income limits with source notes.
- v1.x · MVP & Phase 1 audit
- Initial pro forma, unlevered IRR, over-funded balancing.