NetOverview of the most important features of the financial sector of the current portfolio is presented. The main figure is the estimated1Total income of the present year, which consists of the expected lease incomes.
The total value and its ratio over gross floor area of the units in a portfolio is displayed for the following quantities.
Stock value: The sum of values of the units in a portfolio.
Gross rental income per month: Total income divided by 12 and its ratio over gross floor area of the units.
CapEx = SUM(AU * RB/ AG. + RU), where the sum is over all groups in a portfolio.
OpEx = SUM(AU * MG / AG. + MU), where the sum runs over all groups in a portfolio.
NOI = Total income - OpEx - CapEx
The value is presented in percentages for the quantities below.
Gross initial yield = Total income / Stock value
Net initial yield = (Total income - OpEx - CapEx) / Stock value
Internal rate of return (IRR): IRR is solved from equation SUM(Ct * (1 + r)-t) = C, where the sum runs from t = 1 to t = 30, r is IRR, Ct is NOI of the current year + t, and C is Stock value of the current year.
Average days to lease: For the present year and a portfolio, the average count of days between the end and start dates of two subsequent lease agreements.
Tenant turnover: For the present year and a portfolio, the ratio of new leases and units.
Estimated property value
The estimated history of Stock value on a monthly basis.
Annual vacancy rate at daily basis
The past and the estimated1 future rate of vacant days in a year.
Value of expiring leases
The value of the leases estimated2 to expire.
Capex and income
The estimated future of CapEx3 and Total income1.
It is assumed in the estimation that all fixed term lease agreements hold and continuous leases will not be terminated during the estimation period.
The estimation assumes the worst case scenario; a continuous lease expires today according to the first termination date and notice period duration (or today if these are not determined).
SkenarioLabs estimations are used to assume renovations.
AU = the sum of the areas of the units in a group.
RU = the sum of unit renovation costs in a group.
RB = the sum of building renovation costs in a group.
AG = the gross floor area of a group.
MG = the sum of group maintenance, which include administration, administration and maintenance, outdoor maintenance, cleaning, heating, cooling, electricity, water and wastewater, waste management, insurance, rent, property tax and minor repair costs.
MU = the sum of unit maintenance costs in a group.