• BUILDING A SCALABLE AND MODULAR FINANCIAL MODELING USING RENTAL-BASED REAL ESTATE AS AN EXAMPLE

BUILDING A SCALABLE AND MODULAR FINANCIAL MODELING USING RENTAL-BASED REAL ESTATE AS AN EXAMPLE

From: 19 February 2019
To: 20 February 2019
Hotel Puri Denpasar
Jl. Denpasar Selatan No.1 Kuningan - Jakarta Selatan
Jakarta  
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  • Summary

 

This 2-day training is specifically designed to provide an overview of pro forma financial modeling for real estate projects using rental-based residential units. The training provides as well a step-by-step guide that takes the reader through the entire process of developing financial model construction using Excel. As real estate is not a commodity, there is no “one size fits all” financial model. However, the training here will show how to build various models which are both scalable and modular, in this example, training participants will learn how to understand the mechanics of building a real estate pro forma.

The purpose of the training to:

  1. Demonstrate scalability of the model from simple to more complex model; and
  2. Demonstrate that the process of construction remains consistent even when adding complexities

This training is unique in the sense it introduces the training participants to modeling waterfalls. As the waterfall is designed to separate risk and associated returns by tranches, it therefore requires the adjustment of payment streams of the projects to each sponsor and investor. The waterfall is the method of distributing profits among partners within a transaction according to the agreement. The intention is to match investor and sponsor desired cash flow and risk tolerances within a particular project.

The training participants will learn the following :

  • Understanding project characteristics of the real estate in terms of its cash flows and risk
  • How to build a loan repayment amortization schedule
  • Modeling rental-based single family residential units
  • Cap Rate
  • Understanding the structure for all commercial projects following relatively the same construction: Inputs section, Analysis, Amortization page, Pro Forma page
  • Sources and Uses : Investor equity, Debt Tranches
  • Building a scalable rental-based modeling from single to n-unit multifamily residential
  • How to build Project Development & Construction section into the modeling
  • Modeling waterfall : how to split the profits among sponsor and equity investors using different IRR at each “tier” : Pref Rate, Secondary Rate, Overflow IRR Rate
  • Building a complete Pro Forma Balance, Income Statement and Cash Flow Statement

The course is designed for:

  • Any accounting or finance professionals
  • Financial decision makers
  • Management Accountants
  • Financial Controllers
  • Strategic Planners
  • Operational Managers
  • Business Analysts
  • Participants who know how to navigate confidently in Excel and use Excel tools and functions on a regular basis

Reminder:

  • This is not an Excel class, but a corporate finance class with the emphasis on the building a Financial Model using Microsoft Excel blended with concepts.
  • Though this modeling uses a rental-based residential units as an example, it is easily transferable to any modeling of cash-flow based projects with waterfall, although with some modifications.

Note: Participants should bring the laptop with minimum Microsoft Excel 2007. No slides will be shared, and the participants will each build the model together with the class trainer.

Training Level: Basic to Intermediate


Speaker:

Sukarnaen Suwanto

Certified Valuation Analyst from IACVA.org & trainer in Corporate Finance & Valuation Topics


I like Mr. Karnen’s teaching method.”

Analis -  PT Asabri (Persero)

 

As usual, Mr. Karnen’s workshop provided me lot of new insights.”

GM Finance & Accounting – PT Paramount Enterprise International

 

Tuesday - Wednesday

February 19-20, 2019

09.00 - 17.00 (Registration 08.30)

 

Hotel Puri Denpasar*

Jl. Denpasar Selatan No.1 Kuningan - Jakarta Selatan

*to be confirmed


Investment:

Rp6.500.000/Pax (Normal Price)

Rp6.000.000/Pax (Early Bird before February 11, 2019)

Rp5.500.000/Pax (Company Group - for 3 persons or more )


Contact Persons:

Reini

0812 – 8760 – 8686

rhastuti@bdo.co.id

Natalie

0857 – 1002 – 0682

nlaura@bdo.co.id
 

Bank Permata

Branch: Prudential Tower

Bank Account: 701642031

a.n PT BDO Insan Dinamis Indonesia