Team 6408
1. Summary Pro Forma
Year 0
Phase I
2010
Phase II
2011
2012
2013
Phase III
2014
2015
2016
2017
2018
2019
2020
Net Operating Income
Rental Housing $
-
$
561,803.20
$
1,529,308.57
$
1,937,055.30
$
For-Sale Housing $
-
$
5,100,000.00
$
6,120,000.00
$
1,785,000.00
$
Rental Housing $
-
$
41,282.40
$
120,475.80
$
153,287.74
$
For-Sale Housing $
-
$
408,000.00
$
408,000.00
$
Office/Commercial $
-
$
1,034,769.74
$
4,006,419.17
$
5,306,520.20
$
Retail $
-
$
11,632,058.36
$
12,981,689.84
$
15,150,464.42
$
Hotel $
-
$
Structured Parking $
-
$
Surface Parking $
-
$
Other Community Expenses $
-
$
-
$
23,602,057.98
$
Market-rate
Affordable
Total Net Operating Income
$
-
$
5,454,742.32
-
$
-
$
10,932,484.62
$
-
(630,598.03) $
-
$
35,099,122.65
$
$
3,071,241.62
$
4,861,369.00
$
5,642,095.55
$
6,280,215.36
$
7,256,548.25
$
7,775,308.85
$
44,625,000.00
$
53,805,000.00
$
15,810,000.00
$
18,870,000.00
$
22,695,000.00
$
6,630,000.00
$
240,062.48
$
374,884.66
$
443,640.10
$
490,797.40
$
566,532.52
$
610,460.58
$
3,876,000.00
$
4,692,000.00
$
1,428,000.00
$
1,632,000.00
$
2,040,000.00
$
612,000.00
5,306,520.20
$
5,384,741.90
$
5,609,412.00
$
5,707,705.91
$
6,286,111.92
$
7,947,172.04
$
8,673,893.91
15,629,373.89
$
16,624,833.35
$
17,523,337.16
$
18,970,683.92
$
19,509,700.74
$
20,064,888.06
$
20,636,731.01
157,886.38
$
-
-
$
10,956,174.60
$
(999,255.34) $
1,995,166.96
-
$
-
$
10,980,575.29
$
-
$
-
$
17,538,018.32
$
-
$
-
$
20,853,107.28
$
-
$
20,903,509.09
$
(1,029,233.00) $
(1,060,110.00) $
(1,415,307.98) $
(1,637,126.89) $
34,259,269.26
$
33,009,412.70
$
89,944,589.68
$ 106,081,983.20
$
-
$
-
$
27,891,236.87
$
-
$
-
$
27,962,406.04
$
-
$
28,035,710.28
$
-
(1,686,240.70) $
(2,113,861.39) $
(2,386,385.79) $
(2,457,977.36)
$
67,219,393.86
$
78,846,200.90
$
86,146,161.11
70,516,127.26
$
Development Costs
Market-rate
Affordable
Rental Housing $
18,388,552.00
$
10,198,573.84
$
-
$
-
$
32,864,186.45
$
18,226,983.41
$
-
$
15,284,168.91
$
8,476,835.22
$
-
$
-
For-Sale Housing $
7,880,808.00
$
4,370,817.36
$
-
$
-
$
76,588,337.62
$
42,477,070.33
$
-
$
35,600,930.03
$
19,744,823.50
$
-
$
-
Rental Housing $
2,010,918.00
$
1,115,286.06
$
-
$
-
$
2,263,305.93
$
1,255,264.29
$
-
$
2,473,175.49
$
1,371,661.18
$
-
$
-
For-Sale Housing $
861,822.00
$
477,979.74
$
-
$
-
$
8,083,235.45
$
4,483,086.74
$
-
$
3,886,418.63
$
2,155,467.56
$
-
$
-
Office/Commercial $
48,473,293.14
$
26,884,034.12
$
-
$
-
$
4,124,649.58
$
2,287,594.12
$
-
$
33,323,602.96
$
18,481,782.87
$
-
$
-
Retail $
27,213,595.50
$
15,093,078.74
$
-
$
-
$
30,250,226.57
$
16,777,241.04
$
-
$
21,296,339.97
$
11,811,277.78
$
-
$
-
$
-
$
-
$
$
-
$
$
-
$
-
$
$
-
$
$
-
$
-
$
$
-
$
3,543,683.10
$
-
$
6,515,253.96
$
-
$ 143,039,844.85
$
Hotel $
-
Structured Parking $
$
16,023,900.00
Surface Parking $
-
Other $
$
16,504,617.00
$
-
-
$
21,408,978.38
-
$
11,025,623.87
$
7,313,897.94
$
-
13,238,057.57
$
8,872,315.65
$
-
$
-
$
$ 134,090,946.21
$
83,516,702.51
$
-
$
-
$ 182,896,817.92
$ 100,076,546.88
$
23,602,057.98
$
$
$
$ 106,081,983.20
24,659,954.90
-
$
-
$
-
$
-
$
-
$
-
$
-
$
-
$
-
$
-
2,308,228.15
$
-
$
-
$
64,350,076.27
$
-
$
-
$
78,846,200.90
$
Indirect costs
Total Development Costs
Financial Feasibility Analysis
Cap Rate = 9%
NOI Before Taxes $
-
$
35,099,122.65
$
34,259,269.26
33,009,412.70
89,944,589.68
67,219,393.86
86,146,161.11
Building Sale
$
70,516,127.26
$ 726,316,110.75
Closing Costs
$
Cash Flow Summary Before Taxes $ (134,090,946.21) $
(59,914,644.52) $
35,099,122.65
$
34,259,269.26
$ (149,887,405.21) $
(10,131,957.20) $ 106,081,983.20
$
(75,820,450.99) $
36,315,805.54
14,496,124.63
$
86,146,161.11
$ 760,516,432.47
Depreciation
$
3,214,059.39
$
5,231,185.17
$
5,231,185.17
$
5,231,185.17
$
7,749,781.19
$
9,111,739.90
$
9,111,739.90
$
11,766,932.11
$
12,855,388.15
$
12,855,388.15
Taxable Income
$
20,387,998.59
$
29,867,937.49
$
29,028,084.09
$
27,778,227.53
$
82,194,808.48
$
96,970,243.29
$
58,107,653.96
$
67,079,268.78
$
73,290,772.97
$
57,660,739.11
Income Taxes
$
8,079,763.84
$
11,836,663.63
$
11,503,829.72
$
11,008,511.57
$
32,573,802.60
$
38,429,307.42
$
23,028,063.26
$
26,583,514.22
$
29,045,133.33
$
22,850,950.91
NOI After Taxes
$
15,522,294.14
$
23,262,459.03
$
22,755,439.53
$
22,000,901.13
$
57,370,787.07
$
67,652,675.78
$
44,191,330.60
$
52,262,686.68
$
57,101,027.79
$
47,665,176.35
Asset Value, % 10
$ 726,316,110.75
Capital Gain
$ 100,703,760.42
Capital Gain Tax
$
After-Tax Cash Flow From Sale
23,341,422.49
$ 702,974,688.25
Closing Costs, % 5
$
Cash Flow Summary After Taxes $ (134,090,946.21) $
(67,994,408.37) $
23,262,459.03
$
22,755,439.53
$ (160,895,916.79) $
(42,705,759.81) $
$
20,015,309.38
67,652,675.78
$
(98,848,514.25) $
(12,087,389.59) $
$
33,703,477.48
14,821,931.93
57,101,027.79
36,315,805.54
$ 714,324,059.06
NPV After Taxes $7,169,652.15
IRR After Taxes 9%
Financing Effects
Loan to Value Ratio = 80%
Invested Equity $
37,086,530.93
Beginning Balance $ 107,272,756.97
$
17,844,883.51
$
-
$
-
45,248,070.11
$
$
-
$
$
-
$
6,549,427.01
$ 170,790,506.49
$ 165,228,052.26
$ 159,304,038.50
$ 299,312,418.19
$ 368,159,355.21
$ 353,756,499.65
$ 452,849,334.35
$ 484,477,762.99
$ 461,754,214.23
$ 437,553,634.79
Interest Paid $
6,972,729.20
$
11,101,382.92
$
10,739,823.40
$
10,354,762.50
$
19,455,307.18
$
23,930,358.09
$
22,994,172.48
$
29,435,206.73
$
31,491,054.59
$
30,014,023.92
$
28,440,986.26
Principal Paid $
3,295,612.49
$
5,562,454.23
$
5,924,013.76
$
6,309,074.65
$
11,214,300.48
$
14,402,855.56
$
15,339,041.17
$
19,851,632.38
$
22,723,548.76
$
24,200,579.43
$
25,773,617.10
Ending Balance $ 103,977,144.48
Debt Service $
10,268,341.69
$ 165,228,052.26
$ 159,304,038.50
$ 152,994,963.85
$ 288,098,117.71
$ 353,756,499.65
$ 338,417,458.47
$ 432,997,701.98
$ 461,754,214.23
$ 437,553,634.79
$ 411,780,017.70
$
$
$
16,663,837.15
$
16,663,837.15
$
30,669,607.66
$
38,333,213.65
$
38,333,213.65
$
49,286,839.11
$
54,214,603.36
$
54,214,603.36
Cash Flow After Debt Service $
(10,268,341.69) $
16,663,837.15
(1,141,543.01) $
6,598,621.88
$
6,091,602.38
$
(8,668,706.53) $
19,037,573.42
$
29,319,462.13
$
(5,095,508.51) $
(1,951,916.68) $
2,886,424.43
$
(6,549,427.01)
Net Cash Flow After Tax $
(37,086,530.93) $
(17,844,883.51) $
6,598,621.88
$
6,091,602.38
$
(45,248,070.11) $
(977,735.95) $
29,319,462.13
$
(33,703,477.48) $
(14,821,931.93) $
2,886,424.43
$ 248,329,438.01
$
4,103,592.38
$
11,665,172.43
12,479,904.94
Tax Shield
$
4,399,478.05
Carry Forward From Loss
$
2,763,292.58 $
(37,086,530.93) $
(10,682,112.88) $
Cash Flow After Tax w/financing $
$
4,256,192.01
-
$
10,854,813.89
$
-
$
7,710,138.24
$
10,195,194.76
$
-
$
9,483,600.91
$
(37,537,931.88) $
-
$
9,112,590.55
$
8,505,864.96
-
$
$
38,432,052.68
$
-
$
54,214,603.36
$
(22,038,305.05) $
-
$
11,894,557.68
$
(2,342,027.00) $
-
$
11,271,162.86
$
14,780,982.11
-
$ 259,600,600.86
NPV with Financing $75,205,976.89
Leveraged IRR 21%
2. Multiyear Development Program
Year-by-Year Cumulative Absorption
Total Buildout
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
Project Buildout by Development Units
Market-rate
Affordable
Rental Housing
(units)
56
148
182
182
272
418
471
509
571
594
For-Sale Housing
(units)
20
44
51
51
226
437
499
573
662
688
Rental Housing
(units)
6
17
21
21
31
47
54
58
65
68
For-Sale Housing
(units)
2
2
19
23
7
8
10
3
Office/Commercial
(s.f.)
88,103
341,117
451,811
451,811
458,471
477,600
485,969
535,216
676,643
738,518
Retail
(s.f.)
286,459
440,706
440,706
440,706
723,622
875,960
875,960
1,058,233
1,156,379
1,156,379
Hotel
(rooms)
-
Structured Parking
(spaces)
862
Surface Parking
(spaces)
-
-
-
-
-
-
-
-
-
-
-
-
1,723
1,723
1,723
2,746
3,257
3,257
4,335
4,335
4,335
-
-
-
-
-
-
-
-
-
Greenspace
(s.f.)
470,947
470,947
470,947
685,534
685,534
685,534
914,483
914,483
914,483
914,483
182,000
Project Buildout by Area
Market-rate
Affordable
Rental Housing
(s.f.)
56,000
148,000
182,000
272,000
418,000
471,000
509,000
571,000
594,000
For-Sale Housing
(s.f.)
30,000
36,000
10,500
-
262,500
316,500
93,000
111,000
133,500
39,000
Rental Housing
(s.f.)
6,000
17,000
21,000
21,000
31,000
47,000
54,000
58,000
65,000
68,000
For-Sale Housing
(s.f.)
3,000
3,000
-
-
28,500
34,500
10,500
12,000
15,000
4,500
Office/Commercial
(s.f.)
88,103
341,117
451,811
451,811
458,471
477,600
485,969
535,216
676,643
738,518
Retail
(s.f.)
286,459
440,706
440,706
440,706
723,622
875,960
875,960
1,058,233
1,156,379
1,156,379
Hotel
(s.f.)
Structured Parking
(s.f.)
Surface Parking
(s.f.)
Other
(s.f.)
470,947
470,947
470,947
685,534
685,534
685,534
914,483
914,483
914,483
914,483
Total
(s.f.)
1,080,171
1,735,995
1,856,189
2,060,276
2,906,524
3,382,827
3,432,645
3,900,301
4,234,374
4,217,249
-
-
139,662
279,225
-
Lineal Feet of Infrastructure
Weighted Average Width of Road
279,225
-
3. Unit Development and Infrastructure Costs
Infrastructure Costs
-
-
-
279,225
-
444,897
-
-
-
Square Footage Breakdown
Public
527,733
Affordable
Rental 4%
6769
50
Infrastructure Cost per s.f. $
30.00
Total Infrastructure Costs $
10,153,500.00
Affordable
For-Sale
6%
Office
12%
Notes:
1. Private infrastructure costs are included in development costs
Residential
29%
-
527,733
702,369
-
-
702,369
-
Financial Notes
Current Economic Situation
Financing for rental properties is easier to obtain
Cap-rate is reduced to 9%
Sustainability
Increased development costs to reflect green construction
Deconstruction costs used instead of demolition to
limit environmental impact
Solar panel installation costs included
Retail
19%
Market ForSale
57%
Public Open
Space
13%
-
Market
Rental
33%
Parking
25%
Future
Greywater
Filtration
2%
Future Development
Infrastructure in place for future greywater filtration
- currently not permitted by Colorado water laws
Phasing Decisions
Phase 1 emphasis planned to promote light-rail use
Phase 2 reinforces the design district as
the theme for the development site
Phase 3 completes the development with additional
retail and office space
Total s.f. = 6,180,817
Total s.f. = 1,810,837
702,369
-