aerial view of suburban neighborhood

Time Value of Money for Planners

This course will introduce planners to the concept of time value of money that will provide the foundation for real estate pro forma analysis.

  • 80 Mins
  • Published
    2015
AICP CM
CNU-A

This course will introduce planners to the concept of time value of money, which will provide the foundation for real estate pro forma analysis. We will cover the concepts of compounding and discounting as well as basic return measures like internal rate of return. Participants can expect to practice basic computer modeling functions that will facilitate present value and return calculations as related to property cash flow projections. The connection between the planning regulatory framework and impacts to developer pro forma analyses and financial returns (for example, an in-lieu fee has $x impact on property cash flow and x% impact on a development internal rate of return) are a consistent focus of the course.

Image credit: Sam Beebe

AICP CM

This course is approved for 1.25 AICP CM credits