Scenario Summary

Current Values: Base Best Rent

Changing Cells:
rent 435.00 435.00 450.00
rent_grow 3.50% 3.50% 3.50%
cost_grow 3.00% 3.00% 3.00%
Sales_price 600,000 600,000 600,000
Result Cells:
NPV_ 12,120 12,120 16,158
IRR_ 8.45% 8.45% 8.61%
Notes: Current Values column represents values of changing cells at
time Scenario Summary Report was created. Changing cells for each
scenario are highlighted in gray.
Worst Rent Best Rent Growth Worst Rent Growth Best Cost Growth Worst Cost Growth

400.00 435.00 435.00 435.00 435.00

3.50% 4.50% 2.00% 3.50% 3.50%
3.00% 3.00% 3.00% 2.00% 5.00%
600,000 600,000 600,000 600,000 600,000

2,700 16,880 5,408 12,337 11,653

8.10% 8.63% 8.20% 8.46% 8.44%
Best Sales Price Worst Sales Price Recession Boom Break-Even Rent

435.00 435.00 400.00 450.00 389.97

3.50% 3.50% 2.00% 4.50% 3.50%
3.00% 3.00% 2.50% 4.00% 3.00%
750,000 400,000 400,000 750,000 600,000

60,756 (52,727) (68,203) 69,491 -

10.11% 5.77% 5.09% 10.41% 8.00%
 Year 0 1 2 3 4 5 6 7 8 9 10
Rental Income - 22,620 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509
Lost Parking Income - (240) Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509
Management Fee - (905) Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509
Gross Profit - 21,475 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509
Maintenance Expenses - (180) Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509
Council Rates - (875) Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509
EBITDA - 20,420 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509
Depreciation - (14,000) (14,000) (14,000) (14,000) (14,000) (14,000) (14,000) (14,000) (14,000) (14,000)
EBIT - 6,420 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509
Income Tax at 30% - (1,926) Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509
Net Income - 4,494 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509
Add Back Depreciation 14,000 14,000 14,000 14,000 14,000 14,000 14,000 14,000 14,000 14,000
Operating Cash Flow 18,494 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509
Capital Expenditure (350,000) 483,000
Net Cash Flow ### 18,494 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509 Err:509
NPV Err:509
IRR Err:509

Apartment cost 350,000 Base Sensitivity Scenario Break-even

Best Worst Recession Boom
Weekly Rent 435.00 435 450 400 400 450 389.97
Mgmt Fee 4.00%
Maintenance per month 25
Council Rates as % of value 0.25%
Depreciable Life 25 yrs
Investigation cost 1,200
Tax Rate 30%
Lost Parking Income / month 20
Maintenance savings /month 10
Rent growth rate 3.50% 3.50% 4.50% 2% 2% 4.50%
Costs growth rate 3.00% 3% 2% 5% 2.50% 4%
Sales price in 10 years 600,000 600000 750000 400000 400000 750000 562,619

Book Value:
Cost 350,000
Accumulated Depn 140,000
Book Value = 210,000
Gain on Sale = Salvage - Book Value 390,000
Tax effect (117,000)

Cost of Capital 8%
rate NPV
0% Err:509
0.50% Err:509 NPV
1% Err:509 $12
1.50% Err:509
2% Err:509 $10
2.50% Err:509
3% Err:509 $8
3.50% Err:509
4% Err:509 $6
4.50% Err:509
5% Err:509 $4

5.50% Err:509
$2
6% Err:509
6.50% Err:509 $0
7% Err:509 0% 2% 4% 6% 8% 10% 12% 14% 16%
7.50% Err:509
8% Err:509
8.50% Err:509
9% Err:509
9.50% Err:509
10% Err:509
10.50% Err:509
11% Err:509
11.50% Err:509
12% Err:509
12.50% Err:509
13% Err:509
13.50% Err:509
14% Err:509
14.50% Err:509
15% Err:509
12% 14% 16%