Virtual Deal Simulator

The Capstone: Ridgemont Trails, Start to Finish

Source, underwrite, structure, negotiate, and package one value-add multifamily deal end to end.

You’ll Practice

  • Qualify a sponsor's experience, equity sourcing, and business plan before underwriting a single number
  • Recognize when a seller's reported expenses understate the true cost of ownership, and normalize NOI accordingly
  • Size a bridge loan against a loan-to-cost constraint and verify a competing lender's quote actually works at the requested amount
  • Compare lender quotes on total cost and execution risk, not just headline rate
  • Negotiate a specific, realistic term (a recourse burn-down trigger) instead of either accepting a term sheet as-is or making an unrealistic ask
  • Assemble a loan submission package with only the documents that actually belong in it
  • Underwrite a stabilized exit value from a renovation business plan
expertMultifamily (96 units, value-add)Bridge acquisition + renovation, structured for a future stabilized refinanceStage 1 of 10 · 0 scored so far

The Assignment

Whitfield Value-Add Partners, LLC has a signed contract to acquire Ridgemont Trails Apartments for $8,200,000 and has come to you to place the debt. The plan: renovate all 96 units over roughly 18 months, push rents to market, and refinance or sell once stabilized. Your job spans the whole deal -- qualify the sponsor, review their numbers, size and place the loan, negotiate terms, and package the file for closing.

Property
Ridgemont Trails Apartments -- 96 units, built 1998
Purchase Price
$8,200,000
Renovation Budget
$960,000 ($10,000/unit)
Current Avg. Rent
$1,050/unit/month
Business Plan
Full interior renovation, reposition to market rent, refinance or sell at stabilization