Financial Analysis Tools for Commercial Real Estate provides the commercial real estate practitioner with financial analysis skills and technology needed to succeed in today’s market.
This course focuses on key investment fundamentals along with the technology needed to apply these fundamentals to make informed real estate decisions. A case study features a complete before tax discounted cash flow analysis of a suburban office building highlighting various performance measures common in the market place.
As part of the course you will be provided with customized Excel spreadsheets designed to effectively and efficiently provide investment scenarios for you and your clients. CCIM will award elective credit for this course.
Upon successful completion of this course you will be able to:
- Apply the CCIM Cash Flow Model to compare yields of three major asset classes (stocks, bonds, and income producing real estate) using a newly developed excel spreadsheet for the analysis.
- Compare and contrast various measures of leverage and their correlation with risk.
- Debunk various industry myths about what constitutes positive and negative leverage.
- Apply tried and true Time Value of Money concepts to debt financing.
- Determine effective cost of borrowed funds considering loan costs.
- Examine various investment performance measures such as Gross Rent Multiplier, Capitalization Rate, Cash on Cash, Internal Rate of Return, and Net Present Value and how they relate to each other.
- Do a complete before tax analysis of an income producing property using a customized Excel workbook for the analysis.