Phased execution
Phases
Each phase is financed and measured as its own event: its own construction loan, equity check, and returns. Building-to-phase allocation lives on the Assumptions page.
Project timeline
Phase start months and durations come from the Assumptions page. Later starts build at escalated hard costs when a cost escalation rate is set.
Phase 1
A
Phase 2
B
Phase 3
C, D, E, F
Phase 1
Building A · 18,000 SF — carries the full land basis
Total cost
Equity
Stabilized NOI
Dev margin
Phase 2
Building B · 18,000 SF
Total cost
Equity
Stabilized NOI
Dev margin
Phase 3
Building C, Building D, Building E, Building F · 72,000 SF
Total cost
Equity
Stabilized NOI
Dev margin
Phase comparison
Phase 1 absorbs the whole land purchase, so its standalone margin looks worst — by design. Watch the economics improve as later phases ride on land already paid for.
| Metric | Phase 1 | Phase 2 | Phase 3 | Full buildout |
|---|---|---|---|---|
| Buildings | A | B | C, D, E, F | A, B, C, D, E, F |
| Total SF | 18,000 SF | 18,000 SF | 72,000 SF | 108,000 SF |
| Total cost | $3,140,423 | $2,656,898 | $10,627,593 | $16,424,915 |
| Construction loan | $2,669,360 | $2,258,364 | $9,033,454 | $13,961,177 |
| Equity check | $471,063 | $398,535 | $1,594,139 | $2,463,737 |
| Stabilized NOI (leased) | $298,019 | $0 | $1,160,647 | $1,458,666 |
| Net sale proceeds | $0 | $3,384,000 | $0 | $3,384,000 |
| Stabilized value | $3,973,584 | $0 | $15,475,296 | $19,448,880 |
| Development profit | $833,161 | $727,102 | $4,847,703 | $6,407,965 |
| Development margin | 26.5% | 27.4% | 45.6% | 39.0% |
| Yield on cost | 9.5% | — | 10.9% | 10.7% |
| DSCR | 1.36x | — | 1.36x | 1.36x |
| Cash flow after debt service | $78,960 | — | $307,513 | $386,473 |
Equity recycling across phases
Later phases can be funded partly from earlier phases’ results. Sale proceeds and stabilized cash flow that arrive before a phase starts are “available to recycle” against its equity check — shown here informationally; the model does not yet net them automatically.
| Phase | Equity check | Prior phases’ sale proceeds | New cash needed (if fully recycled) |
|---|---|---|---|
| Phase 1 | $471,063 | $0 | $471,063 |
| Phase 2 | $398,535 | $0 | $398,535 |
| Phase 3 | $1,594,139 | $3,384,000 | $0 |
Reading a high IRR after early equity return as the headline. Once capital at risk is ~zero, IRR becomes unstable — MOIC and total profit are the honest numbers.