Case Studies

Outstanding Results

Commercial Hospitality Developer Needs Sophisticated Modeling
The Client:

An established mixed-use and multifamily development company on the east coast of the US with a track record of urban infill successes.

The Need:

Principals of the firm needed analytical and modeling support to assess financing and capital stack options for a potential 30M + hospitality development with PACE financing.

The Challenge:

The deal required a rather complicated structure with multiple LP's; 1st, 2nd and 3rd position debt and planned performance benchmarks for distributions.

There was an existing model being utilized but it lacked the waterfall / distribution component required for the deal.

Several iterations were required with quick turnarounds to prepare the team as various solutions and deal structures were being proposed and negotiated.

The Solution:

Pink Lion LLC stepped into the existing model, audited it for accuracy and quickly created the necessary components to allow for more complicated capital stack and waterfall scenarios.

An on-going relationship was established, and Pink Lion LLC was used for the creation of and revision of additional underwriting models.

The Win:

A high-caliber analyst stepped into their deal and quickly understood the ask. Turnaround times were quick and far before deadlines. Existing, employed analyst can use this work to run additional deals / scenarios as necessary. This was quicker than training the existing team and far less expensive than hiring a senior analyst or investment manager.

Non-Real Estate Enterprise Needs Real Estate Expertise
The Client:

An independent private school offering elementary and middle school programs.

The Need:

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.

The Challenge:

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.

The Solution:

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 Win:

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.

Small Investment Group Needs A Real Estate Expert
The Client:

A successful entrepreneur based, on the west coast, starting a small investment group to acquire multifamily residential real estate in second- and third-tier Midwest cities.

The Need:

The client needed a capable and experienced analyst on board to screen potential investments, underwrite selected deals and lend insight into the process of acquiring commercial real estate.

The Challenge:

A full-time analyst was not warranted at this stage and an “on-demand” solution was necessary. A trusted resource and professional was required to solve ad-hoc problems. Client needed the “right” answer to common problems as they arise.

The Solution:

Pink Lion LLC provided on-going, ad-hoc support in the form of (1) market opinions and analysis (2) deal screening, (3) deal underwriting and opinions on offers (4) memorandums on process, protocol and how to build his “team”.

The Win:

An experienced “hired gun” with over 15 years of commercial real estate knowledge is on call and on-demand to assist and lend support as necessary. Expert-level support is always a phone-call or email away.

Urban Residential Developer Needs A Better Investment Model
The Client:

Active real estate developers of two-unit family homes in the northeast US. Projects include long-term holds, ground-up builds, and significant remodels.

The Need:

The client was requesting a re-usable underwriting model to accommodate (1) development and hold, (2) development and sale and (3) purchase and holds of residential single-family and duplex properties.

The Challenge:

The client was an experienced real estate professional who understood his business and had an existing “back of the envelope” model that was used for analyzing deals. However, the model lacked the necessary functionality needed to better implement industry standards and best-practices

The Solution:

Pink Lion LLC utilzied a “ready-made” Multifamily / Apartment Model and it was quickly re-purposed to suite the clients need, with moderate revisions.

The Win:

In under one week, the client had an institutional-quality model that utilized best practices and may be used to consistently underwrite their real estate investment business. The model was in a recognizable format, MS Excel, that required no additional technical or proprietary knowledge. As a percent of project costs and business overhead; the solution is an amazing value.

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