Welcome to this video. In this video, I will cover the Executive Summary tab in the ARGUS Portfolio Model. Let’s get into it.
The first section is the basic information. This section contains some basic facts about the property like total net rentable square feet, the first-year net operating income, and the going-in cap rate. The Purchase Price Sensitivity section shows the different purchase prices and per square foot prices. I also can see the Uses and Sources section. I can see some important variables in the Key Metrics section. The debt and refinance information are the same as I input in the Input tab. Moving down to the return analysis section. There are three return profiles: deal level, general partner, and limited partner. I can see the net operating income, cash flow, and cash on cash numbers on the deal level. Important return metrics are IRR, multiple, and net profit. Usually, the GP’s IRR and multiple is greater than the deal level’s, and the LP’s IRR and multiple is less than the deal level’s because of the Waterfall. I can also see the promote in each tier.
Everything looks good on the Executive Summary tab. Thanks for watching this video.