LD025 - Cashflow After Finance Costs - Part 3

Time Interval: 00:00:00 - 00:01:24


Summary

  • :money_with_wings: Breakdown of Finance Costs: The video discusses finance costs, including land financing, loan setups, and associated fees during various project stages.
  • :bank: Construction Loan Details: Explains construction loan timing, costs, and the role of mezzanine financing where applicable.
  • :arrows_counterclockwise: Equity Utilization: Highlights the gap-filling role of developer equity during financing gaps in the project timeline.
  • :bar_chart: Profit and Loss Metrics: Details net income before and after tax, incorporating tax rates into the calculations for complete financial analysis.
  • :1234: Tax Rate Application: Shows a 30% tax rate application for calculating after-tax metrics.

Insights Based on Numbers

  • :clipboard: Finance Costs Phases: Sequential timing for land financing, loan draws, and construction financing expenses.
  • :chart_with_upwards_trend: Tax Implications: Explains the impact of a standardized 30% tax rate on profit margins.