Apply the core modelling principles to a multi-let office investment

From Single-Let to Multi-Let

• The Rent Function and multi-let cash flows
• Structuring a multi-let office model
• The “Date Problem” & assumptions in property asset cash flows
• Intermediate calculations and modelling structure

 Modelling the Office Income

• Multiple tenants and leases
• Lease expiries, Break clauses & Rent reviews.
• Upward-only covenants, Voids and vacancy periods
• Time-varying rental growth

 Building a Dynamic Office Model

• Reducing and refining the Rent Function
• Modelling lease events using logic
• Building transparent and auditable calculations
• Linking assumptions to the cash flow

Analysing the Office Investment

• Lease expiry profile
• Income concentration and diversification
• Rental growth assumptions
• Vacancy and re-letting assumptions
• Impact of lease events on value and returns

Office Investment Case Study

• Build the multi-let office cash flow
• Calculate value and investment returns
• Analyse geared and un-geared IRRs
• XIRR and MIRR
• Sensitivity analysis
• Interpret the investment outputs

Introduction to PBSA

• PBSA market overview and investment context
• Student housing demand drivers and university market analysis
• Institutional investment trends
• How PBSA differs from traditional commercial real estate

PBSA operating fundamentals

• Beds versus units
• Occupancy, booking and pre-leasing cycles
• Rental structures and ancillary income
• Operating expenses, management considerations and key KPIs

PBSA financial modelling

• Building a PBSA income forecast
• Occupancy ramp-up, rental growth and booking scenarios
• Operating cost modelling
• Stabilised versus development return considerations
• PBSA valuation approaches

Case study workshop

• Evaluate a PBSA acquisition opportunity
• Test occupancy and rental assumptions
• Identify key risks and value drivers
• Formulate an investment recommendation

Introduction to Hotels as an asset class

• Hotel market overview and segmentation
• Ownership, operating and investment structures
• The relationship between property value and operating performance

Hotel performance metrics

• Occupancy and Average Daily Rate (ADR)
• Revenue Per Available Room (RevPAR)
• Gross Operating Profit (GOP)
• Fixed and variable operating costs

Hotel financial modelling

• Revenue forecasting
• Operating profit analysis
• Management agreements and franchise structures
• Hotel valuation approaches

Case study workshop

• Evaluate a hotel acquisition opportunity
• Model downside and recovery scenarios
• Analyse key operational sensitivities
• Present an investment recommendation

Introduction to Data Centres

• Digital infrastructure and the Data Centre market
• Demand drivers including cloud computing and AI
• Data Centres as an investment asset class
• Development versus stabilised investment strategies

Data Centre fundamentals

• Principal types of Data Centre
• Power, connectivity, capacity and resilience considerations
• Customer requirements and leasing structures
• Operational performance measures

Investment analysis and modelling

• Revenue models and contracted cash flows
• Capacity utilisation and ramp-up assumptions
• Operating and development risks
• Building a simplified Data Centre cash flow
• Sensitivity analysis and valuation approaches

Capstone case study

• Analyse a hypothetical Data Centre investment
• Test power, capacity and utilisation assumptions
• Compare risk and returns with other sectors
• Present an investment recommendation