"Commercial Real Estate Analysis” or “CREA” has been written and designed by Rich Henderson as a learning tool to enhance investors' and real estate licensees' knowledge of how Commercial Income Properties are valued. This knowledge can be invaluable when developing P&L’s (income statements) for forecasting future rates of return or measuring existing financial performance. The exercises in this program are visual tutorials with voice overlays.
First, some definitions are in order. An “Income Property” can simply be defined as one that has tenants. A property without tenants is not an income property. Such real estate would include apartment buildings, shopping centers, office buildings, and even “self-storage” among other types.
Accounting is used to build the income statements, and Finance is employed to analyze what they mean. Such calculations would involve “equity dividend rates”, “maximum down payment estimates”, “CAP” rates, “cash-break-even-ratios”, and “debt-service-coverage-ratios” among others.
The “Course” consists of two Units which are "Principles of Investment Income Property Analysis" and "Creating and Analyzing Income Statements" . The "Principles" Unit is presented in audio/visual format and no computer skills are necessary. The "Creating and Analyzing" Unit presumes that the reader has experience and understanding with Microsoft Excel® as the videos are spreadsheet designed.
Although Certain Microsoft® Corporation products are used including Excel®, Word®, and PowerPoint® to produce the tutorials, this publication is not a product of Microsoft® and that should not be so inferred or interpreted as such.
One final note. Some of the videos reference a "Part" or "Video number", or a "Section" or a "Tutorial number". All of these titles should be ignored. The content you will be seeing will be consistent with the individual tutorial's description as shown below.
Have fun with "CREA" and, hopefully, experience great success!
