This course deals with Foreign Direct Investment (FDI) in general, sources and types, investors and country needs for investment, investment climate and awareness of the new FDI trends.

This course deals with needs for investment promotion,capacity building and policies, and new trends in investment promotion.

This course will also make you more professionally to work on feasibility reports for new investments with all accepted international standards

Professionals from Investment Promotion Agencies

(IPAs) and other governmental as well as nongovernmental

institutions active in the field of

investment promotion

By the end of this course you will be able to:

Apply self discipline and independent thought to produce a practical, professional outcome

Obtain and synthesise information from a wide range of sources to achieve an informed outcome

Work as part of a multi-disciplinary team and contribute to professional outcomes

Assess and manage risk in a pro-active manner

Measure the impact of competing alternatives

Demonstrate decision making skills based on the interpretation of broad ranging, and potentially conflicting, information

Evaluate the risks facing a proposal and advance strategies to avoid or mitigate the potential risks

Understanding investment promotion;

Developing an investment promotion strategy;

Investment promotion cycle;

Investment promotion institutions;

Policies for attracting and retaining FDI;

New trends in investment promotion.

Project Feasibility Analysis & Valuation Overview

An overview of the course topics & the purpose behind investment analysis will be the

focus.  

Analyzing an Investment Opportunity

The fundamentals of financial modeling can be applied to analyze every type of real

estate product across the  broad spectrum of real estate investment including capital

improvements, land acquisitions, leasehold interests, build to suit (BTS) development &

speculative development. This week will address the question  “Is the project financially

viable & what will it be worth to me, based on my intended plans?”.  Examples analyzing

both value‐add opportunities (improving existing properties) and new construction

(development) will be examined.  Also discussed will be identifying the various parties

who will analyze a potential investment & the perspective from which the investment is

analyzed such as the buyer, the lender or the outside investor.  

Anatomy of a Financial Model

The tools for analyzing an investment will be considered & discussed. Financial

modeling will be presented, along with the determinants for when to employ Argus vs.

Excel. The core components of a financial model‐ income, expense & debt service will be

highlighted, as will an introduction to discount rates, cap rates, hurdle rates & profit

multiples.

Market Analysis:  Using Market Metrics to Analyze Demand

How do you know there’s market demand for the space you’re constructing? The class

will cover the purpose behind Market Studies when planning a project. What are the

demand drivers for different types of space‐ retail, office, medical office, Understanding

the basic market economics that drive demand & supply (competitive space) provides

insight about how developers forecast demand/space needs within the competitive

universe of options.  

Projecting Income‐ Positive Cash Flows

This week will focus on setting up the revenue side of the forecast. The components of

income for a project will be examined & explained. Income projections will be defined,

based on differing types of projects. Setting assumptions for timing, including when

income comes on line & absorption rates will be discussed.  

Projecting Expenses‐ Negative Cash Flows

The focus on establishing a cost profile for the project improvements &

understanding how expense line items are forecasted. Using development  budget

estimates & interest expense forecasts, the class will work through an example of

extracting budgeted cost estimates as inputs for the analysis. Other mechanics will be

discussed such as discount rates,  interest rates & cap rates..

Collateral Analysis

Methods of Valuing Real Estate & Valuation Case Study  

weeThe various methods of valuing different types of commercial real estate will be

described‐ including market comparison, replacement cost & income capitalization

approaches. The use of cap rates –how they’re applied & calculated will be discussed &