Multi-family Acquisitions Model - Includes Waterfall (Excel XLSX)

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BENEFITS OF DOCUMENT

1. It offers full transparency and defensibility of assumptions, ensuring every revenue, expense, and financing component is thoroughly detailed and easy to justify.
2. Its built-in flexibility allows quick toggling between different financing scenarios and joint venture waterfall structures, enabling fast and accurate scenario testing.
3. The model's comprehensive monthly and annual pro formas, along with multiple KPIs and visualizations, make it easy to identify risks and opportunities, facilitating confident decision-making.

DESCRIPTION

This product (Multi-family Acquisitions Model - Includes Waterfall) is an Excel template (XLSX) with a supplemental Excel document, which you can download immediately upon purchase.

This real estate acquisition and light renovation model provides investors and stakeholders with a robust framework for underwriting multifamily (or similar) property deals. It accounts for both immediate (Period 0) sources and uses of capital, while providing monthly granularity for operational metrics like loss-to-lease, vacancy, and concessions. By featuring intuitive input tabs for everything from a T12 historical analysis to a rent roll of up to 20 unit types, the model ensures users have a clear understanding of current property performance and future upside opportunities.

The model's flexibility shines through in its handling of capital structures. There is a comprehensive sources and uses summary, including optional reserves for operating burn, as well as dynamic debt options that allow you to blend acquisition loans, capex loans, and seller notes. Users can also choose to refinance all existing debt at any point in the hold period, toggling various LTV and interest rate assumptions. Meanwhile, ancillary revenue opportunities are captured via multiple income line items, and operating expenses can be toggled between T12, manual input, or T12+ growth scenarios, ensuring that each deal's unique considerations are properly reflected in the pro forma.

One of the model's most powerful features is the ability to toggle between three distinct joint venture waterfall structures. Whether it's a simple preferred return, an IRR-based distribution with a GP catch-up, or a hard preferred equity leg layered on top of an IRR hurdle framework, the user can seamlessly switch from one structure to another to gauge different risk and return profiles. If a joint venture is not needed, the model easily defaults to a single ownership perspective. This combination of flexibility and transparency allows deal sponsors to present clear, defensible returns to investors and lenders.

Finally, the model produces both monthly and annual pro forma results, comparing historical T12 performance to stabilized metrics. A host of key performance indicators—ranging from IRR and equity multiples to DSCR and cash-on-cash returns—are calculated automatically, accompanied by up to 21 visualizations for data-driven storytelling. Every formula is fully unlocked and editable for deeper customization, while model processing remains fast despite its comprehensive functionality. In short, it's a thorough, user-friendly tool designed to help you confidently underwrite a property, plan light renovations, and structure the capital stack in a way that meets your project's specific goals.

The second download file is a blank version of the same template.

Source: Best Practices in Real Estate Excel: Multi-family Acquisitions Model - Includes Waterfall Excel (XLSX) Spreadsheet, Jason Varner | SmartHelping