design a porforma using this real estate property https://www.zillow.com/homedetails/303-E-57th-St-APT-39A-New-York-NY-10022/2054303736_zpid/ Assignment Three: Determine the Highest and Best Use

design a porforma using this real estate property https://www.zillow.com/homedetails/303-E-57th-St-APT-39A-New-York-NY-10022/2054303736_zpid/

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Assignment Three: Determine the Highest and Best Use of the subject property and create an associated pro-forma. The model in this assignment should determine the proper acquisition price using at least 3 valuation approaches (DCF, DC, EGIM, Sales Comparison, Cost, NIM) and perform a reconciliation exercise to determine the value. Make sure that you find appropriate estimates for the various operating expenses and associated yearly growth rates. Here are some instructions for the spreadsheet: 1) Put all Input Variables on the first sheet. I am not going to "hunt" for Input Variables elsewhere. 2) Clearly indicate which ones can be changed, for example by making their cells green. 3) You need to have growth rates for PGI, Vacancy &Bad Debt, and OE. 4) Clearly indicate $ (without pennies, just whole dollars), % (one decimal), and plain numbers (like the LTV and DSCR, one decimal) 5) On the Output Worksheet for Assignment Four you need to have: Levered and unlevered IRR, and MIRR, PV property, NPV equity, LTV year 1, and DSCR year 1. Each of these outputs need to be discussed and analyzed. In this part of the assignment you are essentially justifying why it is a good idea to buy or develop the real estate you are analyzing. Assignment Three: Determine the Highest and Best Use of the subject property and create an associated pro-forma. The model in this assignment should determine the proper acquisition price using at least 3 valuation approaches (DCF, DC, EGIM, Sales Comparison, Cost, NIM) and perform a reconciliation exercise to determine the value. Make sure that you find appropriate estimates for the various operating expenses and associated yearly growth rates. Here are some instructions for the spreadsheet: 1) Put all Input Variables on the first sheet. I am not going to "hunt" for Input Variables elsewhere. 2) Clearly indicate which ones can be changed, for example by making their cells green. 3) You need to have growth rates for PGI, Vacancy &Bad Debt, and OE. 4) Clearly indicate $ (without pennies, just whole dollars), % (one decimal), and plain numbers (like the LTV and DSCR, one decimal) 5) On the Output Worksheet for Assignment Four you need to have: Levered and unlevered IRR, and MIRR, PV property, NPV equity, LTV year 1, and DSCR year 1. Each of these outputs need to be discussed and analyzed. In this part of the assignment you are essentially justifying why it is a good idea to buy or develop the real estate you are analyzing.