| Development Budget (Draft), April 5, 2006 |
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 |
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Developer |
|
HDC |
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| |
HDC Bond *
35 days' interest
10.00%
$10,804,028
|
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| Acquisition
Cost |
|
|
|
$1 |
|
$1 |
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| |
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| Construction
Cost |
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| |
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| Contractor
Price |
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Residential |
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$158,942/du |
|
$10,331,250 |
|
$10,331,250 |
|
$125.23/SF |
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Commercial |
|
|
|
$543,750 |
|
|
|
|
|
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Parking |
|
|
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$0 |
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$0 |
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|
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| Contingency |
|
10% |
|
$1,087,500 |
|
$1,087,500 |
|
|
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| General
Conditions |
|
|
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$717,750 |
|
$717,750 |
|
|
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| Environmental Remediation |
|
|
|
$750,000 |
|
$750,000 |
|
|
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| Contractor's Overhead |
|
|
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$1,196,250 |
|
$1,196,250 |
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| Contractor's Profit |
|
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$0 |
|
$0 |
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|
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| Total
Hard Cost |
|
$216,658/du |
|
$14,626,500 |
|
$14,082,750 |
|
$170.70/SF |
|
|
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| |
|
|
|
|
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| Soft
Cost |
|
|
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|
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| |
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| Borrowers' Legal |
|
|
|
$125,000 |
|
$125,000 |
|
|
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| Borrowers' Eng./Arct. Fee |
|
|
|
$910,000 |
|
$910,000 |
|
|
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| Accounting |
|
|
|
$0 |
|
$0 |
|
|
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| Historic Consultant |
|
|
|
$75,000 |
|
$75,000 |
|
|
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| Bank's Engineer |
|
|
|
|
|
|
|
|
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| Bank's Legal |
|
|
|
$25,000 |
|
$25,000 |
|
|
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| Bank Reimbursable Costs |
|
|
|
$15,000 |
|
$15,000 |
|
|
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| Environmental Phase 1 |
|
|
|
$10,000 |
|
$5,000 |
|
|
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| SEQRA |
|
|
|
$0 |
|
$5,000 |
|
|
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| Feasability Study |
|
|
|
$15,000 |
|
$15,000 |
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|
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| Market Study |
|
|
|
$10,000 |
|
$10,000 |
|
|
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| Inspection Fees |
|
|
|
$30,000 |
|
$30,000 |
|
|
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| Permits/Impact Fees |
|
|
|
$680,000 |
|
$680,000 |
|
|
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| Survey/Engineer |
|
|
|
$130,000 |
|
$130,000 |
|
|
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| Title and Recording |
|
|
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$62,370 |
|
|
|
|
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| Title Insurance |
|
0.90% |
|
|
|
$61,470 |
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|
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| Appraisal |
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|
|
$7,500 |
|
$7,500 |
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|
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| Subtotal |
|
|
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$2,094,870 |
|
$2,093,970 |
|
|
|
| |
|
|
|
|
|
|
|
|
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| Upfront L/C Fee |
|
1.00% |
|
$116,118 |
|
$108,040 |
|
|
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| Annual L/C Fee |
|
1.06% 24 mo. |
|
$246,170 |
|
$229,045 |
|
|
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| HDC Fee |
|
0.75% |
|
|
|
$80,250 |
|
|
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| Costs of Insurance |
|
1.50% |
|
$172,500 |
|
$160,500 |
|
|
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| Perm.Fin. Origination Fee |
|
|
|
|
|
|
|
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| Cost Cert., Other Acctg. |
|
|
|
$20,000 |
|
$20,000 |
|
|
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| Tax Credit Costs |
|
|
|
$12,800 |
|
$12,800 |
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| Tax Opinion |
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|
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$30,000 |
|
$30,000 |
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| Marketing |
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|
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$35,000 |
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$35,000 |
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| Compliance Fees |
|
|
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$12,800 |
|
$12,800 |
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| Interest Rate Cap (Est.) |
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| 421A Fees & Consultant |
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| DOB Fee |
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| HPD 420c |
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$100+$80/unit TDC+DOB |
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$91,470 |
|
$5,220 |
|
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| Subtotal |
|
|
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$736,858 |
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$779,906 |
|
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| |
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| Carrying Costs |
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|
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| Construction Interest |
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|
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$584,456 |
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$551,306 |
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|
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| Negative Arbitrage |
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|
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$149,564 |
|
$136,802 |
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|
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| Mortgage Recorting Tax (HPD) |
|
2.75% |
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| Water and Sewer |
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| Utilities |
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|
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| Construction Period Taxes |
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$25,000 |
|
$25,000 |
|
|
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| Insurance |
|
|
|
$100,000 |
|
$100,000 |
|
|
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| |
|
|
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| Reserves |
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|
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|
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| HPD Soc. Svc. Reserve |
|
|
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$29,250 |
|
$29,250 |
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| Upfront Operating Reserve |
|
$1,000/unit |
|
$65,000 |
|
$65,000 |
|
|
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| Additional Op. Reserve |
|
|
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$221,731 |
|
$221,731 |
|
|
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| |
|
|
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|
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| Soft Cost Contingency |
|
|
|
$239,503 |
|
$239,503 |
|
|
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| Security |
|
|
|
$0 |
|
$0 |
|
|
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| Subtotal |
|
|
|
$1,414,604 |
|
$1,368,592 |
|
|
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| |
|
|
|
|
|
|
|
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| Total Soft Costs |
|
|
|
$4,246,332 |
|
$4,242,467 |
|
|
|
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| |
|
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| Developer's Fee |
|
|
|
$2,546,492 |
|
$2,459,686 |
|
13.42% $2,442,938.20 |
|
| |
|
|
|
|
|
|
|
|
|
|
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| Total Development Cost |
|
|
|
$21,419,325 |
|
$20,784.904 |
|
|
|
|
|
| |
|
|
|
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|
|
|
52.27% (less any reserves and perm lender fees) |
| |
| Construction Bond Amount |
|
|
|
|
|
$10,700,000 |
|
51.48% |
|
| HDC Second Mortgage |
|
|
|
|
|
$3,575,000 |
|
17.20% |
|
| FHLB/AHP |
|
|
|
|
|
$0 |
|
00.00% |
|
| Tax Credit Equity |
|
|
|
|
|
$4,050,218 |
|
19.49% |
|
| Ltd Partner Eq.-LIHTD |
|
|
|
|
|
|
|
00.00% |
|
| Deferred Developer Fee |
|
|
|
|
|
$2,459,686 |
|
11.83% |
|
|
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| Total |
|
|
|
|
|
$20,784,904 |
|
|
|
|
|
| |
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| Permanent Sources |
|
|
|
|
|
|
|
|
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| HDC First Mortgage |
|
|
|
$3,355,000 |
|
$3,255,000 |
|
15.66% |
|
| HDC Second Mortgage |
|
|
|
$3,575,000 |
|
$3,575,000 |
|
17.20%; |
|
| FLHB/AHP |
|
|
|
|
|
|
|
00.00%; |
|
| Tax Credit Equity |
|
|
|
$4,126.392 |
|
$4,414,985 |
|
21.24%; |
|
| Ltd Partner Eq.-LIHTC |
|
|
|
$6,960.191 |
|
$6,960.191 |
|
33.49%; |
|
| Deferred Developer's Fee |
|
|
|
$964,038 |
|
$947,212 |
|
04.56%; |
|
| GP Capital |
|
|
|
$1,632,516 |
|
$1,632,516 |
|
07.85%; |
|
| Cash Equityl |
|
|
|
|
|
$0 |
|
00.00%; |
|
| |
| Total Sources |
|
|
|
$20,613,137 |
|
$20,784,904 |
|
|
|
| |