Real Estate Financial Modeling

Landlord and Tenant Perspective Comparative Lease Analysis

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00) ($2.000 $10.00) ($0.85) 0.14) Less Electricity.34) $0.00 Storage Rent. P $42. for all amounts in EXCESS OF Base Year Year 1 Year 2 Year 3 Year 4 Year 5 Year Lease Type Full Service amount (thus in Base Year there are no reimbursements from($20.00 Other Landlord Concession ($1.00 3.00% $0.538 $18. PSF $0. PSF $3. PSF (3.094 $0 Average Other Cash Impacts: Value Base Year Annual Rate Other Cash Impacts: Free Rent 13 months ($57.450 $219.00 spots $0.28) 0. PSF (5.00 $0.82 $0.30) (10. PSF 3.34 0.46) Free Rent (57. PSF L XYZ Company 7/30/2017 operating and RE taxes and electric in full. PSF $0.00 Difference ($33.55 $45. $60.00 0.00 0.09 PSF $43.00) Leasing Commissions $0 $0.00 Less Electricity.00 3.09 Total Rent & Service Charge 60.09) (3.00) ($15.61 PSF vs.00 Percentage Rent.00 Tenant Improvement Allowance $50.773 $229.00 Parking Rent.12 Percentage Rent.00 2.00% $58.000 SF (thus in Base Year there are no reimbursements from tenant).00 0. PSF Les s Real Estate Taxes .18 0.09 $0. ($40. These dollar amounts will show up in the Service Charge line item. for all amounts in EXCESS OF Base Year amount$40.00 Full Service = Tenant reimburses all operating and RE taxes AND electric. Suite 2100.55) ($65. PSF $57.94 PSF Annual Lease Income Net of Expense $42.49) ($18.00 Service Charge.11 0.73 PSF Net Cash Flow PSF ($25.124 $0 Average Monthly Lease Income $17.00 Annual Lease Income Net of Expenses $210.310 Average Monthly Lease Income $17.00 Storage Rent.00% ($3.00 2.13 0.99) ($19.82 $0. or reimburses ALL Les s Operating & Mai ntenance Expens es .00% ($10.00) Free Rent ### 13 months tenant).773 $229. PSF 3.00 0.25) Other Landlord Concessions (1.538 $18.00 Leasing Commissions 0. These dollar amounts will show up in the Service Tenant Improvement Allowance $50.49 0.00 58.00 Lease Rentable Area 5.00% $3.670 NPV Net Cash Flow 10.99 1.06 3.00 Basic Lease Terms: Gross = Tenant reimburses all operating and RE taxes.040 Total Annual Net Cash Flow ### $192.450 $216. starting in Base $80. Parking per 1.00) Other Landlord Concession $5.12 3.00 PSF Charge line item.80 63.00 PSF Free Rent Calendar Free Rent At Beginning of Year 13 months 1 months 0 months 0 months 0 months Free Rent At End of Year 1 months 0 months 0 months 0 months 0 months Initial & Average Rental Rates: Annual Average Projection Base Year scalationAnnual Rate Year 1 Year 2 Year 3 Year 4 Year 5 Base Rent.00% $365.00 0.000 ($10.000 $1.18) (3.324 $222. PSF S NNN = Tenant is billed directly for.55 $45. but NO electric.20) (5.46) (10. PSF (10.564 $19. LANDLORD PERSPECTIVE Lease Type Definitions: Bas e Rent.09 0.00) Less Operating & Maintenance Expenses.00 Less Operating & Maintenance Expenses $10.31) 0.00 3.00) (4.00% $0.00 0.00 Less Real Estate Taxes. PSF $5.724 Annual Lease Income Net of Expense$210.00 0.00 Annual Lease Income Net of Expenses.31 $44.15) Less Real Estate Taxes.09 Parking Rent.00 $0.95) ($63.00) Net Effective Rent with Percentage Rent ### $25. PSF 57.549 $222. Lease Term (multiples of 12 months only.15 0.93) 0.00 0. PSF Pa rki ng Rent.46 $44. PSF 0.50) Tenant Improvement Allowance (10. maximum of 120 ### 48 months These dollar amounts will show up in the Service Charge line $20.00) ($18.00) (3.30 60.51) $0.14 59.61) (10.49 0. PSF 0.00 Total Net Cash Flow $514.55 65.046 $18.09 61.51 0.75 Service Charge.00 Initial Monthly Parking Rent per Spot $125. PSF $3. PSF 0.000 RSF & Total ### 10. NY 10001 Year.10) (5.73 Base Rent. New York.91) $38.00 123 Main Street.00% ($5.09 $43.00 without Percentage Rent $25.00 Total Rent & Service Charge $60.09) ($56.00) (5.00 item.124 $0 Percentage Rent Calculation Growth Year 1 Year 2 Year 3 Year 4 Year 5 .00 2. to Tenant ($7.

TENANT PERSPECTIVE Lease Type Definitions: Ba s e Rent.00 0.00 without Percentage Rent ### vs.00 PSF Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Other Landlord Concession $5.00% ($729.11) (0. Tenant Improvement Allowance $50. PSF Pl us El XYZ Company 7/30/2017 operating and RE taxes and electric in full. PSF (3.223) $0 Average Other Cash Impacts: Value Base Year Annual Rate Other Cash Impacts: Free Rent 13 months $57.15) 0.09) Parking Rent.750) ($26.85 0. PSF 3.00% ($0.000 $1.09) (61. PSF ($57.000 $290.00 Tenant Improvement Allowance $50. A&E) $75.444 $0 .14) Plus Electricity.91) $38.55) ($65.75) Project Cost (15.00 $2.00) ($18.34) $0.46 Free Rent 57.00 Charge line item.00 Net Effective Rent with Percentage Rent ($7.00 Percentage Rent.25 Other Landlord Concessions 1.28) 0.00) Other Landlord Concession $1. $60. $30. PSF (0. PSF ($3.31) (62. PSF $5.00 PSF Free Rent At Beginning of Year 13 months 1 months 0 months 0 months 0 months Free Rent At End of Year 1 months 0 months 0 months 0 months 0 months Initial & Average Rental Rates: Annual Average Projection Initial Year scalationAnnual Rate Year 1 Year 2 Year 3 Year 4 Year 5 Base Rent.00 0. PSF Pa rki ng Rent. FF&E.00 0.00 (0.00 Gross = Tenant reimburses all operating and RE taxes.00 Annual Occupancy Costs PSF ### ### Annual Occupancy Costs PSF ($60.09) Total Rent (60.09) (0.038) ($25.00) ($3.00 Annual Occupancy Costs ($300.51) $0.00 AND electric.00 $0.00 4.478) ($27.00% $300.00 $0.00 Difference ($33.00% ($0.00 (0.09) ($56.80) ($63.00% ($58.10) (0. or reimburses ALL Plus Operating & Ma i ntenance Expens es .93) 0.000 RSF & Total ### 10.46 $44.000) Percentage Rent Calculation Growth Year 1 Year 2 Year 3 Year 4 Year 5 Gross Sales 3.000 $10.450) ### ### ### $0 Initial Tenant Capital Requirement ($25. New York. Suite 2100.00 2.000 $309.09) PSF ### Net Cash Flow PSF ($7.00 Lease Rentable Area 5. PSF $0. maximum of 120 ### 48 months These dollar amounts will show up in the Service Charge line item. but Basic Lease Terms: NO electric.000 $318.646) NPV Net Cash Flow 10.09) ($61.06) (3.30) (0.00 amount (thus in Base Year there are no reimbursements from Free Rent ### 13 months tenant).00 Plus Real Estate Taxes.46) Plus Operating & Maintenance Expenses.95) ($63.00 Storage Rent.00 (0. PSF 0. starting in Base Year.000 ($15. for all amounts in EXCESS OF Base Year Lease Type Full Service $10.00 $0.00 Plus Operating & Maintenance Expenses $10. These dollar amounts will show up in the Service $0.00 3. These dollar amounts will show up in the Service Charge $70.00) (58. IT.20) (0. PSF 0.00 0.18) 0.12) Percentage Rent.12) (3.450) ($313. PSF Storage NNN = Tenant is billed directly for. $40.00) 2.49) ($18. PSF 0.49) 0.30) (60.82) 0. PSF $3.14) (59.818 $0 Breakpoint Sales Amount $285.00 PSF Free Rent Calendar Initial Project Costs (TI.00 $0.000 SF (thus in Base Year there are no reimbursements from tenant).000 $15.700 $296.18) (0.038) ($26.00% ($0.15) Plus Real Estate Taxes.00 Full Service = Tenant reimburses all operating and RE taxes Initial Monthly Parking Rent per Spot $125.09) ($0.270 $327.00 Lease Term (multiples of 12 months only.55) (63.55 $45.00 0.55) ($65.00 Parking Rent. PSF (57.00 3.000 $10. to Landlord ($25.00 Plus Electricity.122) Average Monthly Occupancy Cost ($25.99) ($19. NY 10001 line item.429) Total Annual Net Cash Flow ($35.00) (3.00) 2.82 $0.13) (0.00 Total Rent LL Base Year ($60.31) 0.00 Project Costs $75.00 0.00 spots $20.00 0.00% $0.09) (0.468) Annual Occupancy Costs ### ### ### ### $0 Average Monthly Occupancy Cost ($25. for all amounts in EXCESS OF Base Year amount $50.00 Parking per 1. PSF 0.50 Tenant Improvement Allowance 10.00 Total Net Cash Flow ($964.00% ($3. PSF Pl us Rea l Estate Taxes .00 Storage Rent.00 123 Main Street.00 $15.73) Base Rent.34) $0.61) (0.00% ($0.514 $302.