Cambridge Finance Real Estate Debt Structures & Financial Modelling - 2 days course
Construct a robust real estate financial model from scratch and use it to assess the financial risk and return profile of a geared investment project with debt finance techniques. This course is aimed at financial analysts working for for banks, real estate consultancies and property consultancies seeking a best practice approach to building robust real estate debt models. Delegates will learn to construct a discounted cash flow model for senior debt and mezzanine finance and perform stress tests for the investment and lending decisions. Delegates will also learn credit fundamentals which will enhance their property lending analysis and underwriting processes. Who should attend this course: The Real Estate Debt Finance courses are suitable for those willing to develop their debt origination modelling skills. This is a course aimed at experienced professionals and modellers who would like to improve their debt finance understanding and modelling expertise to the next level and comply with credit underwriting criteria. Details Duration: 2 daysLocation: LondonCPD Hours: 16Level: IntermediateMaximum number of delegates: 6 Content Day 1 Sources of Funds & Lending Criteria Insurance companies and pension fundsClearing banksMerchant banksMezzanine finance houses Debt Covenants & Calculations Operational Covenants: asset maintenance, disclosure requirements, insurance and credit line Financial Covenants: interest cover ratio, debt service coverage, loan to value Senior Debt Financial Modelling Debt Modelling Interest Only Constant Amortisation Constant Repayment Rolled-Up Interest Cash Sweep Cash Trap Revolving Facilities Case study: office building debt lending in the UK (I) Day 2 Mezzanine finance Modelling mezzanine structures Overview of inter-creditor agreements Mezzanine interest and fees Debt Prioritasiation Modelling cash flow waterfall Coupon and capital repayment schedule and prioritisation Maximum loan amount Credit Analysis Stress test Capital adequacy calculations Case study: office building debt lending in the UK (II)
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