Course Details

Whether you are a developer, lender, funder or advocate trying to encourage development in your community, understanding how to assess the financial feasibility of potential commercial real estate development projects is key to ensuring project success, community impact, and organizational sustainability. In this hands-on intermediate level course, participants will learn:

• how to review development budgets, create income/expense proformas, and calculate debt capacity, breakeven point and return on investment,
• how commercial properties are appraised and how to use capitalization rate to estimate value,
• how to “think like a banker”, assessing projects using underwriting ratios,
• about financing tools and sources to close financing gaps,
• how investment from a variety of sources can be combined to lower the WACC (weighted average cost of capital) in order to make projects feasible, and
• how to evaluate a project from the perspective of the equity investor and understand the financial impact of deductions, depreciation, tax credits and net proceeds from a sale.

Project case studies will be used throughout the course, and students will perform a series of analytical exercises. (A calculator is required.) Designed for staff of nonprofit organizations and public entities interested in learning the fundamentals of commercial real estate development feasibility analysis, this course may be beneficial for advanced practitioners seeking a refresher.

Course Length: 3 Days

Tuition: $1155.0

Course counts toward a professional certificate (PCP): Yes