Скачать или смотреть Waterfall Financial Model with IRR Hurdles

Download this financial model here: https://www.smarthelping.com/p/waterf...

Cash flows are built based on a real estate deal that can be up to 20 years.

The waterfall logic will split cash flows between a sponsor and investor over time dis-proportionally to the initial equity contributed. The % each party receives will change based on a given IRR hurdle being reached. Every time the cash flows result in a new hurdle, the % split changes only for the cash flows that result in the IRR being above the hurdle. Cash flows that were split before a given IRR hurdle being reached are split at the %'s defined before that hurdle.

The final split is 50/50 (you can change this) which says any cash flow that results in an IRR greater than the final hurdle will be split by that rate.

The IRR that is used as the measure of passing a hurdle is based on cash flow splits that have happened up to that point. In other words the model assumes cash is split based on any hurdles being reached and based on that continues to calculate a new IRR each month and check if those cash flows result in an IRR that meets a given hurdle %.