Non-Real Estate Enterprise Needs Real Estate Expertise
An independent private school offering elementary and middle school programs.
The client was sourcing a bank loan for an extensive renovation project. The CFO needed a fresh set of eyes and third-party opinion on the current 10-yr financial model that will be presented to the lender.
10-year discounted cashflows modeling loan covenants required specialized knowledge and attention. The CFO (of an independent private school) lacked the financial and analytical team necessary to complete the task, especially with his current duties. Suggestions and amendments to bring the deliverable in line with best practices was required and outside of the scope of their knowledge base.
Pink Lion LLC reviewed, audited and amended their 10-year discounted cashflow model, while making significant improvements. Frequent communication and discussions armed the CFO with the knowledge necessary to understand how the lender would underwrite and analyze their proposal.
The CFO instantly received access to expert, institutional-quality real estate knowledge and a “sounding-board” for his renovation project. The large-scale renovation is not a recurring project and unnecessary resources were not wasted for this temporary, infrequent analytical endeavor.