Murrieta Family Apts.
A 126-Unit Affordable Housing Community
Murrieta, CA
Financial Pro Forma
Rev. 7/16/23
Prepared By:
Caleb Roope
[email protected]
Pacific West Communities, Inc.
430 East State Street, Suite 100
Eagle, ID 83616
208.461.0022 x 3015
Rev. 7/16/23
DEVELOPMENT BUDGET
Murrieta Family Apts.
Murrieta, CA
Project Cost Per Cost Per Tax Credit
Costs Unit Res. Sq. Ft. Eligible Basis
Total Land Costs 2,322,500$ 18,433$ 22.76 $ XXXXXXXXXX Total Building Acquisition Costs -$ -$ -$ -$
Construction Costs
Off-Site Work -$ -$ -$ -$
Commercial Space -$ -$
-$
XXXXXXXXX X
On Site Work 1,890,000$ 15,000$ 18.52 $ 1,890,000$ Structures 23,723,295$ 188,280$ 232.48 $ 23,723,295$ General Requirements 1,536,798$ 12,197 $ 15.06 $ 1,536,798$ Contractor Overhead 543,002$ 4,310$ 5.32 $ 543,002$ Contractor Profit 1,629,006$ 12,929 $ 15.96 $ 1,629,006$ Construction Contingency 1,800,000$ 14,286$ 17.64 $ 1,800,000$ Total Construction Costs 31,122,101$ 247,001$ 304.98 $ 31,122,101$ Financing Costs
Construction Loan Interest - Series A 1,690,000$ 13,413 $ 16.56 $ 1,690,000$ Construction Loan Fee 195,000$ 1,548 $ 1.91 $ 195,000$ Construction Lender Costs (Legal, Etc.) 120,000$ 952$ 1.18 $ 120,000$ Bond Issuer / Trustee Fees & Costs 120,000$ 952$ 1.18 $ 120,000$ Permanent Loan Fees 58,500$ 464 $ 0.57 $ XXXXXXXXX X Permanent Loan Costs 50,000$ 397 $ 0.49 $ XXXXXXXXX X Tax Credit Fees 76,248$ 605$ 0.75 $ XXXXXXXXXX Bond Counsel, Financial Advisor, Etc. 80,000$ 635$ 0.78 $ XXXXXXXXXX Taxable Bonds Interest & Fees 750,000$ 5,952$ 7.35 $ 750,000$ Total Financing Costs 3,139,748$ 24,919$ 30.77 $ 2,875,000$ Soft Costs
Architectural 600,000$ 4,762$ 5.88 $ 600,000$ Engineering/Surveying/Environmental 200,000$ 1,587$ 1.96 $ 200,000$ Taxes During Construction 80,000$ 635$ 0.78 $ 80,000$ Insurance 466,800$ 3,705$ 4.57 $ 466,800$ Title & Recording 80,000$ 635$ 0.78 $ 80,000$ Borrower Attorney 80,000$ 635$ 0.78 $ 80,000$ Appraisal 15,000$ 119$ 0.15 $ 15,000$ Local Tap, Building Permit, & Impact Fees 3,279,080$ 26,024 $ 32.13 $ 3,279,080$ Marketing & Lease-Up 162,365$ 1,289$ 1.59 $ XXXXXXXXXX Relocation Costs -$ -$ -$ XXXXXXXXX X
Furnishings 50,000$ 397$ 0.49 $ 50,000$ Cost Certification 15,000$ 119$ 0.15 $ 15,000$ Market Study 10,000$ 79$ 0.10 $ 10,000$ Soft Cost Contingency 300,000$ 2,381$ 2.94 $ 300,000$ Developer Overhead & Fees 5,875,947$ 46,635$ 57.58 $ 5,875,947$ Consultant Fee -$ -$
-$
-$
Total Soft Costs
11,214,192$ 89,002$ 109.89 $ 11,051,827$
Post Construction Interest & Reserves
Post Construction Interest - Series A 250,000$ 1,984$ 2.45 $ XXXXXXXXX X Post Construction Interest - Series B -$ -$ -$ XXXXXXXXX X Operating Reserve 377,253$ 2,994$ 3.70 $ XXXXXXXXX X Total Post Construction Interest & Reserves 627,253$ 4,978 $ 6.15 $ XXXXXXXXXX Totals 48,425,794$ 384,332$ 474.55 $ 45,048,928$ Rev. 7/16/23
2,827,971$ Total Tax Credit Financing 28,775,224$
2,500,000$ Tax-Exempt Bonds - Series A 11,700,000$
1,772,123$ Riverside County PLHA 2,500,000$
822,500$ City of Murrieta Fee Deferral 1,772,123$ -$ 822,500$
-$ -$
627,253$ -$
5,875,947$ -$
8,000,000$ -$
26,000,000$ 2,855,947$
Tax Credit Financing
Riverside County PLHA City
of Murrieta Fee Deferral
WRCOG Waiver
Other
Other
Deferred Costs
Deferred Developer Fee
Taxable Bonds
Tax-Exempt Bonds - Series A
Total Sources of Funds 48,425,794$
WRCOG Waiver
Other
Other
Other
Other
Deferred Developer Fee
Total Sources of Funds 48,425,794$
Total Land Costs 2,322,500$ Total Land Costs 2,322,500$ Total Building Acquisition Costs -$ Total Building Acquisition Costs -$ Construction Costs 29,322,101$ Construction Costs 29,322,101$ Construction Contingency 1,800,000$ Construction Contingency 1,800,000$ Financing Costs 3,139,748$ Financing Costs 3,139,748$ Architecture & Engineering 800,000$ Architecture & Engineering 800,000$ Other Soft Costs 4,238,245$ Other Soft Costs 4,238,245$ Developer Fees 5,875,947$ Developer Fees 5,875,947$ Soft Cost Contingency 300,000$ Soft Cost Contingency 300,000$ Post Construction Interest & Reserves 627,253$ Post Construction Interest & Reserves 627,253$ Total Uses of Funds 48,425,794$ Total Uses of Funds 48,425,794$ Sources of FundsSources of Funds
Uses of Funds Uses of Funds
SOURCES & USES
Murrieta Family Apts.
Murrieta, CA
CONSTRUCTION PHASE PERMANENT PHASE
FINANCING & COMPLIANCE DETAILS Rev. 7/16/23
Murrieta Family Apts.
Murrieta, CA
PERMANENT FINANCING
Total Project Costs Tie Breaker 159,884 $ 48,425,794$ Tax Credit Financing
Tax Credit Eligible Basis 45,048,928$
Less: Grant Proceeds & Other Exclusions 822,500$
Voluntary Basis Reduction -$
Requested Eligible Basis 44,226,428$
Difficult to Develop Bonus (Yes - 130%, No - 100%) 130% Total Adjusted Eligible Basis 57,494,356$
Times % of Affordable Units or Square Feet 100.00%
Qualified Basis Eligible to Receive Tax Credits 57,494,356$ Less Voluntary Credit Reduction 0.00% -$ 57,494,356$
Federal Credits State Credits
Times Credit % Floor 4.00% 30.00%
Times Number of Years 10 1
Total Tax Credits 22,997,740$ + 10,750,000 $ = 33,747,740 $ Syndicated at an Investment Rate of 99.99% at a Price of 0.8527$ Credit Price $0.84 $0.88
28,775,224$
59.42% (28,775,224)$
24.16% (11,700,000)$
5.16% (2,500,000)$
3.66% (1,772,123)$
1.70% (822,500)$
0.00% -$
5.90% (2,855,947)$
Equals Tax Credit Equity Proceeds
Total Tax Credit Financing
Tax-Exempt Bonds - Series A
Riverside County PLHA
City of Murrieta Fee Deferral
WRCOG Waiver
Other
Deferred Developer Fee
Financing Shortfall / (Overage) 0.00% -$
Max. HOME - No Davis Bacon HOME Units # Max. Subsidy Total Limit Max. HOME Units 0 1-Bedroom 0- $ -$ -$
Ratio to Tot. Units 0.00% 2-Bedroom 0- $ -$ Loan Amount Tot. Project Costs 48,425,794$ 3-Bedroo m 0- $ -$ -$ HOME Loan -$ 4-Bedroom 0- $ -$ O.K.
Construction Financing
Riverside 2,827,971$
Unit Number
County Basis 2,500,000$
Size o f Units Limits Totals 1,772,123$
S0 -$ -$ 822,500$
1 48 362,770$ 17,412,960$ -$
2 42 437,600$ 18,379,200$ -$
3 36 560,128$ 20,164,608$ 627,253$
Base Limit 55,956,768$ 5,875,947$
Base Limit Plus Adjustments 80,339,476$ 8,000,000$
Requested Eligible Basis 45,048,928$
Tax Credit Financing
Riverside County PLHA City
of Murrieta Fee Deferral
WRCOG Waiver
Other
Other
Deferred Costs
Deferred Developer Fee
Taxable Bonds
Tax-Exempt Bonds - Series A 26,000,000$
% Below / (Above) Cost Limit 43.9268% Total Project Costs 48,425,794$ Subsidy by Type
Compliance with LIHTC Eligible Basis Limits
OPERATING & LOAN DETAILS
Project: Murrieta Family Apts. Location: Murrieta, CA Rev. 7/16/23 AMI Number Avg. Unit Gross Utility Net Monthly Annual
Type Rent Level of Units Sq. Ft. Rent Allowance Rent Totals Totals Studio 30% 0 000 0 0 0
Studio 50% 0 000 0 0 0
Studio 60% 0 000 0 0 0
Studio 80% 0 000 0 0 0
1BR/1BA 30% 6 582 524 61 463 2,778 33,336
1BR/1BA 50% 6 582 874 61 813 4,878 58,536
1BR/1BA 60% 32 582 1,049 61 988 31,616 379,392
1BR/1BA 80% 4 582 1,399 61 1,338 5,352 64,224
2BR/1BA 30% 4 757 629 83 546 2,184 26,208
2BR/1BA 50% 4 757 1,048 83 965 3,860 46,320
2BR/1BA 60% 26 757 1,258 83 1,175 30,550 366,600
2BR/1BA 80% 7 757 1,678 83 1,595 11,165 133,980
3BR/2BA 30% 3 1,034 727 106 621 1,863 22,356
3BR/2BA 50% 3 1,034 1,211 106 1,105 3,315 39,780
3BR/2BA 60% 16 1,034 1,454 106 1,348 21,568 258,816
3BR/2BA 80% 14 1,034 1,939 106 1,833 25,662 307,944
2BR/1BA Manager's 1 757 0 0 00 0
Total Units & Sq. Ft. 126 96,954 % of Sq. Ft. % of Units 144,791 $ 1,737,492$ Community Facilities & Common Areas 5,091 Affordable Affordable Total Project Sq. Ft. 102,045 100.00% 100.00% 1,968,960$ Total Annual Rental Income 1,737,492$
Operating Deficit Guarantee
10% of Perm. 1,170,000$ Other Income
Year 1 Op. Exp. 711,900$ Resident Charges 150$ 18,900$ Guarantee 1,170,000$ Commercian Income (Net of Vacancy) -$ -$ Total Annual Other Income 18,900 $
Replacement Reserves Total Annual Potential Gross Income 1,756,392$ Standard/Unit 250$ Vacancy & Collection Loss 5% (87,820)$ UMR Min/Unit 600$
Reserve / Unit 250$ Annual Effective Gross Income 1,668,572$ Project Unit Mix
Unit Type Number % of Total
Studio 0 0.00%
1 Bdrm./1 Bath. 48 38.10%
2 Bdrm./1 Bath. 42 33.33%
3 Bdrm./2 Bath. 36 28.57%
Totals 126 100.00%
Unit Type Number % of Units Factor
30% 13 10.40% 0.03
50% 13 10.40% 0.05
60% 74 59.20% 0.36
80% 25 20.00% 0.16
59.84%
Average Affordability
Average Affordability
OPERATING & LOAN DETAILS (continued)
Project: Murrieta Family Apts. Location: Murrieta, CA Rev. 7/16/23 ANNUAL EXPENSES % of Annual % of Total
EGI Operating Exp. Per Unit Total
Real Estate Taxes & Special Assessments 3.24% 7.60% 429.00 $ 54,100 $ State Taxes 0.05% 0.11% 6.00 $ 800$
Insurance 3.40% 7.96% 450.00 $ 56,700 $
Licenses 0.02% 0.05% 3.00 $ 350$
Fuel & Gas 0.11% 0.25% 14.00$ 1,800 $
Electricity 1.49% 3.50% 198.00$ 24,900 $
Water & Sewer 5.12% 12.00% 678.00$ 85,400 $
Trash Removal 2.56% 6.00% 339.00$ 42,700 $
Pest Control 0.11% 0.25% 14.00 $ 1,800 $
Building & Maintenance Repairs 5.12% 12.00% 678.00$ 85,400 $ Building & Maintenance Supplies 3.42% 8.00% 452.00$ 57,000 $ Supportive Services 0.90% 2.11% 119.00 $ 15,000$ Annual Issuer, Trustee & Monitoring Fees 1.00% 2.35% 133.00 $ 16,700$ Gardening & Landscaping 2.14% 5.00% 283.00$ 35,700 $ Management Fee 4.00% 9.27% 524.00$ 66,000 $
On-Site Manager(s) 3.62% 8.50% 480.00 $ 60,480 $ Other Payroll 0.85% 2.00% 113.00$ 14,200 $
Manager's Unit Expense 0.00% 0.00% - $ -$
Cleaning Supplies 0.85% 2.00% 113.00$ 14,200 $
Benefits 0.12% 0.28% 16.00 $ 2,000 $
Payroll Taxes & Work Comp 1.03% 2.42% 137.00 $ 17,200 $ Advertising 0.11% 0.25% 14.00$ 1,800 $
Telephone 0.09% 0.21% 12.00 $ 1,500$
Legal & Accounting 0.48% 1.12% 63.00 $ 8,000$ Operating Reserves 0.00% 0.00% - $ -$
Office Supplies & Expense 0.30% 0.70% 40.00 $ 5,000$ Miscellaneous Administrative 0.70% 1.65% 92.00 $ 11,670 $ Replacement Reserves 1.89% 4.42% 250.00 $ 31,500 $ Annual Expenses - Per Unit & Total 5,650$ 711,900$ Annual Net Operating Income - Per Unit & Total 7,593$ 956,672$
PERMANENT DEBT ANALYSIS
LTV Restricted Loan Amounts DSC Ratio Restricted Loan Amounts Cap Rate 8.500% 9.000% 9.500% ** ** Fixed Loan
Loan-To-Value Restriction 90% 90% 90% ** ** Amount
Debt Service Coverage 1.39 1.47 1.55 1.15 1.20 1.20
Loan Amount 10,129,468$ 9,566,720 $ 9,063,208 $ 12,210,538 $ 11,701,766 $ 11,700,000$ Constant ** ** ** 0.068129 0.068129 0.068129
Interest Rate 6.250% 6.250% 6.250% 6.250% 6.250% 6.250% Amortization Period in Years 40 40 40 40 40 40
Annual Debt Service 690,108$ 651,769 $ 617,465 $ 831,889 $ 797,227 $ 797,112 $ Annual Cash Flow 266,564$ 304,903 $ 339,207 $ 124,783 $ 159,445 $ 159,560 $ Loan Selection x
Murrieta Family Apts. Murrieta, CA Rev. 7/16/23
Multi-Year Stabilized Operating Pro-Forma
Net Rent / No. of Annual Year Year Year Year Year
RENTAL INCOME % AMI Unit - Year 1 Units Increase 1 2 3 4 5 Studio 30% 0 0 2.5% - - - - - Studio 50% 0 0 2.5% - - - - - Studio 60% 0 0 2.5% - - - - - Studio 80% 0 0 2.5% - - - - - 1BR/1BA 30% 463 6 2.5% 33,336 34,169 35,024 35,899 36,797 1BR/1BA 50% 813 6 2.5% 58,536 59,999 61,499 63,037 64,613 1BR/1BA 60% 988 32 2.5% 379,392 388,877 398,599 408, 564 418,778 1BR/1BA 80% 1,338 4 2.5% 64,224 65,830 67,475 69,162 70,891 2BR/1BA 30% 546 4 2.5% 26,208 26,863 27,535 28,223 28,929 2BR/1BA 50% 965 4 2.5% 46,320 47,478 48,665 49,882 51,129 2BR/1BA 60% 1,175 26 2.5% 366,600 375,765 385,159 394, 788 404,658 2BR/1BA 80% 1,595 7 2.5% 133,980 137,330 140,763 144, 282 147,889 3BR/2BA 30% 621 3 2.5% 22,356 22,915 23,488 24,075 24,677 3BR/2BA 50% 1,105 3 2.5% 39,780 40,775 41,794 42,839 43,910 3BR/2BA 60% 1,348 16 2.5% 258,816 265,286 271,919 278, 717 285,684 3BR/2BA 80% 1,833 14 2.5% 307,944 315,643 323,534 331, 622 339,913 2BR/1BA Manager's 0 1 2.5% - - - - - TOTAL RENTAL INCOME 126 1,737,492 1,780,929 1,825,453 1,871,089 1,917,866 OTHER INCOME Units Incr./Yr. Year-1 Year-2 Year-3 Year-4 Year-5 Resident Charges 126 2.5% 18,900 19,373 19,857 20,353 20,862 Commercian Income (Net of Vacancy) 126 2.5% - - - - - TOTAL OTHER INCOME 18,900 19,373 19,857 20,353 20,862 TOTAL INCOME 1,756,392 1,800,302 1,845,309 1,891,442 1,938,728 Less Vacancy Allowance 5% (87,820) ( 90,015) ( 92,265) ( 94,572) ( 96,936) GROSS INCOME 1,668,572 1,710,287 1,753,044 1,796,870 1,841,792 OPERATING EXPENSES Per Unit - Yr. 1 %EGI Incr./Yr. Year-1 Year-2 Year-3 Year-4 Year-5 Advertising 14 $ 0.1% 3.5% 1,800 1,863 1,928 1,996 2,066 Legal 16 $ 0.1% 3.5% 2,000 2,070 2,142 2,217 2,295 Accounting/Audit 48 $ 0.4% 3.5% 6,000 6,210 6,427 6,652 6,885 Security - $ 0.0% 3.5% - - - - - Other: Telephone, Office Expense, Misc. 144 $ 1.1% 3.5% 18,170 18,806 19,464 20,145 20,850 Management Fee 524 $ 4.0% 3.5% 66,000 68,310 70,701 73,175 75,737 Fuel 2 $ 0.0% 3.5% 200 207 214 222 230 Gas 13 $ 0.1% 3.5% 1,600 1,656 1,714 1,774 1,836 Electricity 198 $ 1.5% 3.5% 24,900 25,772 26,674 27,607 28,573 Water/Sewer 678 $ 5.1% 3.5% 85,400 88,389 91,483 94,685 97,998 On-Site Manager 480 $ 3.6% 3.5% 60,480 62,597 64,788 67,055 69,402 Maintenance Personnel 113 $ 0.9% 3.5% 14,200 14,697 15,211 15,744 16,295 Other: Payroll Taxes, Work Comp, Benefits 152 $ 1.2% 3.5% 19,200 19,872 20,568 21,287 22,032 Insurance 450 $ 3.4% 3.5% 56,700 58,685 60,738 62,864 65,065 Painting 50 $ 0.4% 3.5% 6,300 6,521 6,749 6,985 7,229 Repairs 628 $ 4.7% 3.5% 79,100 81,869 84,734 87,700 90,769 Trash Removal 339 $ 2.6% 3.5% 42,700 44,195 45,741 47,342 48,999 Exterminating 14 $ 0.1% 3.5% 1,800 1,863 1,928 1,996 2,066 Grounds 283 $ 2.1% 3.5% 35,700 36,950 38,243 39,581 40,967 Elevator - $ 0.0% 3.5% - - - - - Other: Cleaning & Building Supplies 565 $ 4.3% 3.5% 71,200 73,692 76,271 78,941 81,704 Other: Licenses 3 $ 0.0% 3.5% 350 362 375 388 402 Other: State Tax 6 $ 0.0% 3.5% 800 828 857 887 918 Other: Issuer / Trustee Fees 133 $ 1.0% 3.5% 16,700 17,285 17,889 18,516 19,164 Other: - $ 0.0% 3.5% - - - - - Other: - $ 0.0% 3.5% - - - - - TOTAL OPERATING EXPENSES 4,852 $ 611,300 632, 696 654,840 677, 759 701,481 Internet Expense - $ 0.0% 3.5% - - - - - Service Amenities 119 $ 0.9% 3.5% 15,000 15,525 16,068 16,631 17,213 Reserve for Replacement 250 $ 1.9% 0.0% 31,500 31,500 31,500 31,500 31,500 Real Estate Taxes 429 $ 3.2% 2.0% 54,100 55,182 56,286 57,411 58,560 TOTAL EXPENSES, TAXES & RESERVES 5,650 $ 711,900 734, 903 758,694 783, 301 808,753 CASH FLOW AVAILABLE FOR DEBT SERVICE 956,672 975, 384 994,350 1, 013,569 1,033,039 DEBT SERVICE & OTHER DISTRIBUTIONS Loan Amount Year-1 Year-2 Year-3 Year-4 Year-5 Tax-Exempt Bonds - Series A Hard 11,700,000$ 797,112 797,112 797,112 797, 112 797,112 Other NA -$ - - - - - Asset Management Fees Soft 20,100$ 20,100 20,100 20,100 20,100 20,100 Deferred Developer Fee Soft 2,855,947$ 125,514 142,355 159,424 176, 721 194,244 Riverside County PLHA Soft 2,500,000$ 8,161 9,256 10,366 11,491 12,630 City of Murrieta Fee Deferral Soft 1,772,123$ 5,785 6,561 7,348 8,145 8,953 Other Soft -$ - - - - - Other Soft -$ - - - - -
ANNUAL NET CASH FLOW - - - - - Deferred Dev. Fee Balance Interest Rate: 0.00% 2,730,433 2,588,078 2,428,654 2,251,933 2,057,689 Debt Service Coverage Ratio on Hard Debt 1.20 1.22 1.25 1.27 1.30 Murrieta Family Apts. Murrieta, CA
Multi-Year Stabilized Operating Pro-Forma
Net Rent / No. of Annual
RENTAL INCOME % AMI Unit - Year 1 Units Increase
Studio 30% 0 0 2.5%
Studio 50% 0 0 2.5%
Studio 60% 0 0 2.5%
Studio 80% 0 0 2.5%
1BR/1BA 30% 463 6 2.5%
1BR/1BA 50% 813 6 2.5%
1BR/1BA 60% 988 32 2.5%
1BR/1BA 80% 1,338 4 2.5%
2BR/1BA 30% 546 4 2.5%
2BR/1BA 50% 965 4 2.5%
2BR/1BA 60% 1,175 26 2.5%
2BR/1BA 80% 1,595 7 2.5%
3BR/2BA 30% 621 3 2.5%
3BR/2BA 50% 1,105 3 2.5%
3BR/2BA 60% 1,348 16 2.5%
3BR/2BA 80% 1,833 14 2.5%
2BR/1BA Manager's 0 1 2.5%
TOTAL RENTAL INCOME 126
OTHER INCOME Units Incr./Yr.
Resident Charges 126 2.5%
Commercian Income (Net of Vacancy) 126 2.5%
TOTAL OTHER INCOME
TOTAL INCOME
Less Vacancy Allowance 5%
GROSS INCOME
OPERATING EXPENSES Per Unit - Yr. 1 %EGI Incr./Yr.
Advertising 14 $ 0.1% 3.5%
Legal 16 $ 0.1% 3.5%
Accounting/Audit 48 $ 0.4% 3.5%
Security - $ 0.0% 3.5%
Other: Telephone, Office Expense, Misc. 144 $ 1.1% 3.5% Management Fee 524 $ 4.0% 3.5%
Fuel 2 $ 0.0% 3.5%
Gas 13 $ 0.1% 3.5%
Electricity 198 $ 1.5% 3.5%
Water/Sewer 678 $ 5.1% 3.5%
On-Site Manager 480 $ 3.6% 3.5%
Maintenance Personnel 113 $ 0.9% 3.5%
Other: Payroll Taxes, Work Comp, Benefits 152 $ 1.2% 3.5% Insurance 450 $ 3.4% 3.5%
Painting 50 $ 0.4% 3.5%
Repairs 628 $ 4.7% 3.5%
Trash Removal 339 $ 2.6% 3.5%
Exterminating 14 $ 0.1% 3.5%
Grounds 283 $ 2.1% 3.5%
Elevator - $ 0.0% 3.5%
Other: Cleaning & Building Supplies 565 $ 4.3% 3.5% Other: Licenses 3 $ 0.0% 3.5%
Other: State Tax 6 $ 0.0% 3.5%
Other: Issuer / Trustee Fees 133 $ 1.0% 3.5% Other: - $ 0.0% 3.5%
Other: - $ 0.0% 3.5%
TOTAL OPERATING EXPENSES 4,852 $
Internet Expense - $ 0.0% 3.5%
Service Amenities 119 $ 0.9% 3.5%
Reserve for Replacement 250 $ 1.9% 0.0%
Real Estate Taxes 429 $ 3.2% 2.0%
TOTAL EXPENSES, TAXES & RESERVES 5,650 $
CASH FLOW AVAILABLE FOR DEBT SERVICE
DEBT SERVICE & OTHER DISTRIBUTIONS Loan Amount
Tax-Exempt Bonds - Series A Hard
11,700,000$
Other NA -$
Asset Management Fees Soft 20,100$
Deferred Developer Fee Soft 2,855,947$
Riverside County PLHA Soft 2,500,000$
City of Murrieta Fee Deferral Soft 1,772,123$
Other Soft -$
Other Soft -$
ANNUAL NET CASH FLOW
Deferred Dev. Fee Balance Interest Rate: 0.00%
Debt Service Coverage Ratio on Hard Debt
Year Year Year Year Year
6789 1 0
- - - - - - - - - - - - - - - - - - - - 37,717 38,660 39,626 40,617 41,632 66,228 67,884 69,581 71,320 73,103 429,247 439,978 450,978 462,252 473,809 72,664 74,480 76,342 78,251 80,207 29,652 30,393 31,153 31,932 32,730 52,407 53,717 55,060 56,436 57,847 414,774 425,144 435,772 446,667 457,833 151,586 155,376 159,260 163,242 167,323 25,294 25,926 26,574 27,239 27,920 45,007 46,133 47,286 48,468 49,680 292,827 300,147 307,651 315,342 323,226 348,410 357,121 366,049 375,200 384,580 - - - - - 1,965,813 2,014,958 2,065,332 2,116,965 2,169,889
Year-6 Year-7 Year-8 Year-9 Year-10
21,384 21,918 22,466 23,028 23,604 - - - - - 21,384 21,918 22,466 23,028 23,604 1,987,196 2,036,876 2,087,798 2,139,993 2,193,493 (99,360) ( 101,844) (104,390) (107,000) (109,675) 1,887,836 1,935,032 1,983,408 2,032,993 2,083,818
Year-6 Year-7 Year-8 Year-9 Year-10
2,138 2,213 2,290 2,370 2,453 2,375 2,459 2,545 2,634 2,726 7,126 7,376 7,634 7,901 8,177 - - - - - 21,580 22,336 23,117 23,926 24,764 78,387 81,131 83,970 86,909 89,951 238 246 254 263 273 1,900 1,967 2,036 2,107 2,181 29,573 30,608 31,680 32,789 33,936 101,428 104,978 108,653 112,455 116,391 71,831 74,345 76,947 79,641 82,428 16,865 17,455 18,066 18,699 19,353 22,804 23,602 24,428 25,283 26,168 67,342 69,699 72,138 74,663 77,276 7,482 7,744 8,015 8,296 8,586 93,946 97,234 100,637 104,160 107,805 50,714 52,489 54,326 56,228 58,196 2,138 2,213 2,290 2,370 2,453 42,400 43,884 45,420 47,010 48,655 - - - - - 84,563 87,523 90,586 93,757 97,038 416 430 445 461 477 950 983 1,018 1,053 1,090 19,834 20,529 21,247 21,991 22,760 - - - - - - - - - - 726,033 751,444 777,744 804,965 833,139
- - - - - 17,815 18,439 19,084 19,752 20,443 31,500 31,500 31,500 31,500 31,500 59,731 60,925 62,144 63,387 64,655 835,079 862,308 890,472 919,604 949,737
1,052,758 1,072,724 1,092,936 1,113,389 1,134,081
Year-6 Year-7 Year-8 Year-9 Year-10
797,112 797,112 797,112 797,112 797,112 - - - - - 20,100 20,100 20,100 20,100 20,100 211,991 229,961 248,152 266,559 285,182 13,784 14,952 16,135 17,332 18,543 9,771 10,599 11,437 12,286 13,144 - - - - - - - - - - - - - - - 1,845,698 1,615,737 1,367,585 1,101,026 815,844
1.32 1.35 1.37 1.40 1.42
Murrieta Family Apts. Murrieta, CA
Multi-Year Stabilized Operating Pro-Forma
Net Rent / No. of Annual
RENTAL INCOME % AMI Unit - Year 1 Units Increase
Studio 30% 0 0 2.5%
Studio 50% 0 0 2.5%
Studio 60% 0 0 2.5%
Studio 80% 0 0 2.5%
1BR/1BA 30% 463 6 2.5%
1BR/1BA 50% 813 6 2.5%
1BR/1BA 60% 988 32 2.5%
1BR/1BA 80% 1,338 4 2.5%
2BR/1BA 30% 546 4 2.5%
2BR/1BA 50% 965 4 2.5%
2BR/1BA 60% 1,175 26 2.5%
2BR/1BA 80% 1,595 7 2.5%
3BR/2BA 30% 621 3 2.5%
3BR/2BA 50% 1,105 3 2.5%
3BR/2BA 60% 1,348 16 2.5%
3BR/2BA 80% 1,833 14 2.5%
2BR/1BA Manager's 0 1 2.5%
TOTAL RENTAL INCOME 126
OTHER INCOME Units Incr./Yr.
Resident Charges 126 2.5%
Commercian Income (Net of Vacancy) 126 2.5%
TOTAL OTHER INCOME
TOTAL INCOME
Less Vacancy Allowance 5%
GROSS INCOME
OPERATING EXPENSES Per Unit - Yr. 1 %EGI Incr./Yr.
Advertising 14 $ 0.1% 3.5%
Legal 16 $ 0.1% 3.5%
Accounting/Audit 48 $ 0.4% 3.5%
Security - $ 0.0% 3.5%
Other: Telephone, Office Expense, Misc. 144 $ 1.1% 3.5% Management Fee 524 $ 4.0% 3.5%
Fuel 2 $ 0.0% 3.5%
Gas 13 $ 0.1% 3.5%
Electricity 198 $ 1.5% 3.5%
Water/Sewer 678 $ 5.1% 3.5%
On-Site Manager 480 $ 3.6% 3.5%
Maintenance Personnel 113 $ 0.9% 3.5%
Other: Payroll Taxes, Work Comp, Benefits 152 $ 1.2% 3.5% Insurance 450 $ 3.4% 3.5%
Painting 50 $ 0.4% 3.5%
Repairs 628 $ 4.7% 3.5%
Trash Removal 339 $ 2.6% 3.5%
Exterminating 14 $ 0.1% 3.5%
Grounds 283 $ 2.1% 3.5%
Elevator - $ 0.0% 3.5%
Other: Cleaning & Building Supplies 565 $ 4.3% 3.5% Other: Licenses 3 $ 0.0% 3.5%
Other: State Tax 6 $ 0.0% 3.5%
Other: Issuer / Trustee Fees 133 $ 1.0% 3.5% Other: - $ 0.0% 3.5%
Other: - $ 0.0% 3.5%
TOTAL OPERATING EXPENSES 4,852 $
Internet Expense - $ 0.0% 3.5%
Service Amenities 119 $ 0.9% 3.5%
Reserve for Replacement 250 $ 1.9% 0.0%
Real Estate Taxes 429 $ 3.2% 2.0%
TOTAL EXPENSES, TAXES & RESERVES 5,650 $
CASH FLOW AVAILABLE FOR DEBT SERVICE
DEBT SERVICE & OTHER DISTRIBUTIONS Loan Amount
Tax-Exempt Bonds - Series A Hard
11,700,000$
Other NA -$
Asset Management Fees Soft 20,100$
Deferred Developer Fee Soft 2,855,947$
Riverside County PLHA Soft 2,500,000$
City of Murrieta Fee Deferral Soft 1,772,123$
Other Soft -$
Other Soft -$
ANNUAL NET CASH FLOW
Deferred Dev. Fee Balance Interest Rate: 0.00%
Debt Service Coverage Ratio on Hard Debt
Year Year Year Year Year
11 12 13 14 15
- - - - - - - - - - - - - - - - - - - - 42,673 43,740 44,833 45,954 47,103 74,931 76,804 78,724 80,693 82,710 485,654 497,795 510,240 522,996 536,071 82,212 84,267 86,374 88,533 90,747 33,548 34,387 35,247 36,128 37,031 59,294 60,776 62,295 63,853 65,449 469,279 481,011 493,036 505,362 517,996 171,506 175,793 180,188 184,693 189,310 28,618 29,333 30,066 30,818 31,588 50,922 52,195 53,500 54,837 56,208 331,306 339,589 348,079 356,781 365,700 394,194 404,049 414,150 424,504 435,117 - - - - - 2,224,137 2,279,740 2,336,734 2,395,152 2,455,031
Year-11 Year-12 Year-13 Year-14 Year-15
24,194 24,798 25,418 26,054 26,705 - - - - - 24,194 24,798 25,418 26,054 26,705 2,248,330 2,304,539 2,362,152 2,421,206 2,481,736 (112,417) (115,227) (118,108) (121,060) (124,087) 2,135,913 2,189,312 2,244,044 2,300,146 2,357,649
Year-11 Year-12 Year-13 Year-14 Year-15
2,539 2,628 2,720 2,815 2,914 2,821 2,920 3,022 3,128 3,237 8,464 8,760 9,066 9,384 9,712 - - - - - 25,631 26,528 27,456 28,417 29,412 93,100 96,358 99,731 103,221 106,834 282 292 302 313 324 2,257 2,336 2,418 2,502 2,590 35,124 36,353 37,626 38,943 40,305 120,465 124,681 129,045 133,562 138,237 85,313 88,299 91,389 94,588 97,899 20,031 20,732 21,457 22,208 22,985 27,083 28,031 29,013 30,028 31,079 79,981 82,780 85,678 88,676 91,780 8,887 9,198 9,520 9,853 10,198 111,578 115,484 119,526 123,709 128,039 60,233 62,341 64,523 66,781 69,118 2,539 2,628 2,720 2,815 2,914 50,358 52,121 53,945 55,833 57,787 - - - - - 100,435 103,950 107,588 111,354 115,251 494 511 529 547 567 1,128 1,168 1,209 1,251 1,295 23,557 24,381 25,235 26,118 27,032 - - - - - - - - - - 862,299 892,479 923,716 956,046 989,508
- - - - - 21,159 21,900 22,666 23,459 24,280 31,500 31,500 31,500 31,500 31,500 65,948 67,267 68,612 69,984 71,384 980,906 1,013,146 1,046,494 1,080,990 1,116,672
1,155,008 1,176,166 1,197,550 1,219,156 1,240,977
Year-11 Year-12 Year-13 Year-14 Year-15
797,112 797,112 797,112 797,112 797,112 - - - - - 20,100 20,100 20,100 20,100 20,100 304,017 323,058 188,769 - - 19,767 21,006 22,257 23,521 24,798 14,012 14,890 15,777 16,673 17,578 - - - - - - - - - - - - 153,535 361,750 381,389 511,827 188,769 - - -
1.45 1.48 1.50 1.53 1.56