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Insights on commercial real estate markets, financial modeling, and investment analysis — written for professionals who make decisions based on data, not headlines.

real estate waterfall model cover
Underwriting

Real Estate Waterfall Model: How LP/GP Distributions Work

Most waterfall guides assume the preferred return compounds like an IRR. Many operating agreements specify simple interest instead, and the gap between the two methods widens on every deal that underperforms. Getting this distinction wrong is the most common reason a model stops matching the legal document it’s supposed to reflect.

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Seva Eremkin July 13, 2026
NOI in Real Estate cover
Learning

NOI in Real Estate: The Number Behind Every Deal, and the Number Sponsors Bend First

Ask a seller, a buyer, and a lender for the same property net operating income, and expect three different answers. The gap usually concentrates in five specific assumptions, and most of them never show up in a glossary definition. Reconciling them is the actual skill behind every commercial underwriting decision.

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Seva Eremkin June 17, 2026
Construction site reviewds in Ground-up development pro forma
Learning

Development Pro Forma: Structure, Mechanics, and Lender Tests

A development pro forma is built backwards from a property that does not yet exist. The mechanics that govern it, specifically how construction costs draw down over time, how interest accrues on the loan balance, and why development IRR is a less reliable primary metric than return on cost, are not covered in any comprehensive way by the content that currently ranks for this keyword. This article covers them.

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Seva Eremkin June 10, 2026
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