2011 ULI Hines Student Urban Design Competition
Rainier Valley Exchange Team 1157
1. Summary Pro Forma Year 0 2011-2012
Phase I 2013
Phase 2 2014
Phase 3 2016
2015
Phase 4 2018
2017
2019
2020
2021
2022
Net Operating Income Rental Housing For-Sale Housing Rental Housing Affordable For-Sale Housing Market Rate Office/Commercial Affordable Office/Commercial Market-rate Retail Affordable Retail Hotel Structured Parking Surface Parking Other Total Net Operating Income Development Costs Rental Housing Market-rate For-Sale Housing Rental Housing Affordable For-Sale Housing Market Rate Office/Commercial Affordable Office/Commercial Market Rate Retail Affordable Retail Hotel Structured Parking Surface Parking Additional Land Purchase Demolition Costs Total Infrastructure Total Development Costs Annual Cash Flow Net Operating Income 1.1% Estimated Property Tax 7.0% Total Asset Value 2% Total Costs of Sale Total Development Costs Net Cash Flow Debt Service Net Present Value 7.0% Loan to Value Ratio (LVR) Unleveraged IRR Before Taxes Leveraged IRR Before Taxes Market-rate
$0
$0
$662,259
$6,348,070
$6,665,473
$12,686,774
$13,321,113
$15,759,422
$16,547,393
$17,374,762
$18,243,501
$0
$0
$58,055
$538,166
$554,311
$1,033,131
$1,064,125
$1,230,651
$1,267,570
$1,305,597
$1,344,765
$0 $0 $4,140,520 $0
$0 $0 $3,567,611 $0
$1,052,191 $0 $5,511,094 $281,001
$3,522,790 $246,385 $4,203,453 $428,437
$3,628,473 $253,776 $4,329,556 $441,290
$4,865,110 $261,390 $4,715,793 $454,529
$5,011,063 $269,231 $4,857,267 $468,165
$5,351,635 $277,308 $5,265,981 $482,210
$5,512,184 $285,628 $5,423,961 $496,676
$5,677,550 $294,196 $5,586,680 $511,576
$5,847,876 $303,022 $5,754,280 $526,923
$0
$0
$305,789
$314,963
$324,411
$1,371,382
$1,412,523
$1,454,899
$1,498,546
$1,543,502
$1,589,807
$4,140,520
$3,567,611
$7,870,388
$15,602,263
$16,197,292
$25,388,108
$26,403,487
$29,822,106
$31,031,958
$32,293,864
$33,610,175
$0
$10,616,725
$88,892,811
$0
$86,073,286
$0
$25,806,455
$0
$0
$0
$0
$0
$1,198,663
$9,876,979
$0
$9,542,908
$0
$2,779,157
$0
$0
$0
$0
$0 $0 $0 $0
$11,772,000 $0 $17,630,910 $5,395,500
$26,493,300 $3,221,100 $21,549,000 $2,591,325
$0 $0 $0 $0
$11,547,000 $0 $2,252,250 $0
$0 $0 $0 $0
$1,836,000 $0 $2,178,000 $0
$0 $0 $0 $0
$0 $0 $0 $0
$0 $0 $0 $0
$0 $0 $0 $0
$0
$2,966,400
$0
$0
$10,062,049
$0
$0
$0
$0
$0
$0
$0
$6,483,282 $383,429 $3,138,216 $59,585,125
$1,046,727 $8,567,050 $162,238,292
$0 $0 $0
$936,729 $7,666,757 $128,080,979
$0 $0 $0
$224,097 $1,834,145 $34,657,854
$0 $0 $0
$0 $0 $0
$0 $0 $0
$0 $0 $0
$4,140,520 ($650,653)
$3,567,611 ($560,625)
$7,870,388 ($1,236,775)
$15,602,263 ($2,451,784)
$16,197,292 ($2,545,289)
$25,388,108 ($3,989,560)
$26,403,487 ($4,149,119)
$29,822,106 ($4,686,331)
$31,031,958 ($4,876,450)
$32,293,864 ($5,074,750)
$0 $3,489,867
($59,585,125) ($56,578,139) ($2,711,123)
($162,238,292) ($155,604,679) ($10,092,965)
$0 $13,150,479 ($10,092,965)
($128,080,979) ($114,428,976) ($15,920,650)
$0 $21,398,548 ($15,920,650)
($34,657,854) ($12,403,487) ($17,497,582)
$0 $25,135,775 ($20,143,818)
$0 $26,155,507 ($20,143,818)
$0 $27,219,114 ($20,143,818)
$33,610,175 ($5,281,599) $499,762,154 ($9,995,243) $0 $518,095,487 ($238,216,329)
2019
2020
2021
2022
$50,641,261 9.86% 13.33%
Current Site Value (start of Year 0) Projected Site Value (end of Year 10)
$55,206,933 $499,762,154
2. Multiyear Development Program Total Buildout Project Buildout by Development Units Rental Housing Market-rate For-Sale Housing Rental Housing Affordable For-Sale Housing Affordable Retail Hotel Structured Parking Surface Parking Other Project Buildout by Area Rental Housing Market-rate For-Sale Housing Rental Housing Affordable For-Sale Housing Market-Rate Office/Commercial Affordable Office/Commercial Market-rate Retail Affordable Retail Hotel Structured Parking Surface Parking Other Total
Year-by-Year Cumulative Absorption 2013 2014
2016
2017
2018
(units) (units) (units) (units) (units) (rooms) (spaces) (spaces)
0
62
566
566
1,026
1,026
1,156
1,156
1,156
1,156
0
7
63
63
114
114
128
128
128
128
0
16
24
24
24
24
24
24
24
24
0
148
148
148
606
606
606
606
606
606
(s.f.) (s.f.) (s.f.) (s.f.) (s.f.) (s.f.) (s.f.) (s.f.) (s.f.) (s.f.) (s.f.) (s.f.) (s.f.)
0
58,860
538,002
538,002
974,457
974,457
1,097,847
1,097,847
1,097,847
1,097,847
0
6,540
59,778
59,778
108,273
108,273
121,983
121,983
121,983
121,983
0 0 0 0
65,400 0 106,854 32,700
212,585 17,895 237,454 48,405
212,585 17,895 237,454 48,405
276,735 17,895 251,104 48,405
276,735 17,895 251,104 48,405
286,935 17,895 264,304 48,405
286,935 17,895 264,304 48,405
286,935 17,895 264,304 48,405
286,935 17,895 264,304 48,405
0
48,000
48,000
48,000
197,000
197,000
197,000
197,000
197,000
197,000
0
318,354
1,162,119
1,162,119
1,873,869
1,873,869
2,034,369
2,034,369
2,034,369
2,034,369
3. Unit Development and Infrastructure Costs Development Costs Unit Cost Rental Housing 166,250 ($ per unit) Market-rate For-Sale Housing ($ per unit) Rental Housing 166,250 ($ per unit) Affordable For-Sale Housing ($ per unit) Office/Commercial (ALL ) 180 ($ per s.f.) Retail (ALL) 165 ($ per s.f.) Hotel ($ per room) Structured Parking 19,500 ($ per space) Surface Parking ($ per space) Other ($ per space) Public Infrastructure Costs Linear Feet of Infrastructure Other Hardscaping (not incl. surf. pkg.) Landscaping Other Amenities Total Infrastructure Costs Total Development Costs
2015
4. Equity and Financing Sources Total Costs $192,185,000 $21,280,000 $54,869,400 $51,596,985
Percent of Total
J.V. Equity Required
$206,832,724
45%
Financing Sources (total) Conventional Construction/Perm Loan 65% LTC
$249,965,463
55%
$456,798,187
100%
$11,820,000
Private $0 $0 $0
Do not include public costs
Amount Equity Sources (total)
$12,022,400 $3,601,800 $2,744,010 $1,101,750 $19,469,960 $384,562,251
Total Potential Public Subsidies (total, if any)
Given the current low yeild environment, the development Multifamily Property Tax Exemption Program is potentially feasible without public subsidy. However, the Low Income Housing Tax Credits subsidies to the right are potentially available for our New Market Tax Credits development.