Cashflow Option1

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PARTICULAR INFORMATION OF PROPOSED DEVELOPMENT Lot Mukim District State Project type No. Of Star Land area

: : : : : : :

948 BESERAH KUANTAN PAHANG DARUL MAKMUR RESORTS 3 1.90 Hectares 4.70 Acres 204,732 sq.ft

Development period Development pattern Land value

: : : : : :

2 years Built - Operate - Sell RM8.00 psf RM1,637,856 9% 8%

All Risk Yield Borrowing Rate

PROPOSED DEVELOPMENT Types Of Room 1.0 Deluxe 2.0 Chalet TOTAL Others Restaurant Swimming Pool Parking Bay Multi Purpose Hall

No. Of Rooms Size (sq.ft) 90 540 40 364 130 No. of Unit 1 1 100 1

Size (sq.ft) 3,000 2,690 128 32,000

Total 48,600 14,560

3,000 2,690 12,800 32,000

Growth, IRF Yield, & 3 YP k : All Risk Yield e (f/h) : Equated Yield (freehold) e (l/h) : Equated Yield (leasehold) t : Rent Review Pattern xt r : Rent Review Pattern g : Growth Outgoings SC IRFY

= = = = = = = = = =

8.00% 10% 12% 3 years 88 years 20 years 2.1597% 16% p.a RM 0.32 p.m / p.s.ft 7.67%

GROWTH IRRG

g

=

YP perp @ k - YP t yrs @ e YP perp @ k x PV t yrs @ e

=

12.5 12.5

=

10.0131 9.39

=

1.07

=

2.1597%

x

2.4869 0.7513

2.16%

IRFY = ( 1 + e(l/h)) 1+g

-1

=

-1

110% 102.16%

IRFY = 7.67%

3YP = YP For (t) yrs @Xe (l/h) YP For (xt-r) yrs @ IRFY YP For (t) yrs @ IRFY YP For 3 yrs @ 11% X

=

2.4018

3YP = 11.9936

X

YP For 68 yrs @ 9.63% YP For 3 yrs @ 9.63% 12.9447 2.5923

A. GROSS DEVELOPMENT VALUE

TYPE OF ROOM

TOTAL ROOM

UNIT

ROOM RATE PER DAY (RM)

1.0 Deluxe 1.1 Weekdays 1.2 Weekends 1.3 Public Holidays

90 90 90

rooms rooms rooms

RM140 RM160 RM160

2.0 Chalet 2.1 Weekdays 2.2 Weekends 2.3 Public Holidays

40 40 40

rooms rooms rooms

RM120 RM140 RM140

Average occ. Rate GROSS INCOME FROM ROOM plus: OTHER INCOME a) Restaurant less Purchasing Cost of Sale ( F&B ) b) Multi Purpose Hall c) Pub and Lounge d) Function e) Souvenir and gift shop

40% 30%

from from

RM5,014,540 RM2,005,816

1 1 1 1

unit unit unit unit

RM500 RM2,000 RM1,500 RM1,500

1 2 3 10 1 4 3 2

person persons persons persons persons persons persons persons

RM7,000 RM3,500 RM1,300 RM1,000 RM1,300 RM800 RM700 RM800

OTHER GROSS INCOME FROM RESORT less: OPERATING EXPENSES a) Salary 1. General Manager 2. Assistance General Manager 3. Administration 4. Cleaner & Housekeeping 5. Driver 6. Security 7. Gardener 8. Valet

b) income tax c) EPF & SOCSO

3%

of salary

11%

of salary

d) Stationery

RM700

e) Utility bills

RM60,000

f) Promotion & Marketing g) Transportation & Uniform h) Room Up-keep i) Insurance j) Interest (on working capital) k) Repairs and renewal Pillows and mattress Furniture Bed Sheets Electrical items

l) Laundry TOTAL OPERATING EXPENSES DIVISIBLE BALANCE less: OPERATOR'S SHARE

40%

GROSS RENT less: OUTGOINGS a) Insurance b) Maintenance c) Quit Rent d) Management

TOTAL NET RENT YP in perp

GROSS DEVELOPMENT VALUE

9%

B. DEVELOPMENT COST

TYPE OF DEVELOPMENT COST

QUANTITY

UNIT

COST PERUNIT

1.0 PRELIMINARIES

4.7

acre

RM10,000

2.0 SITE PREPARATION 2.1 Site Inspection 2.2 Site Clearance 2.3 Earthwork

4.7 4.7 4.7

acre acre acre

RM15,000 RM10,000 RM20,000

130 2,690

unit sq.ft

RM200 RM50

12,800 2

sq.ft unit

RM15 RM150,000

59,400 14,560 3,000 32,000 2,000

sq.ft sq.ft sq.ft sq.ft sq.ft

RM90 RM70 RM70 RM50 RM60

4.7

acre

RM20,000

3.0 INFRASTRUCTURE 3.1 Road and drainage 3.2 Sewerage 3.3 Electrical Supply 3.4 Water Supply 3.5 Telecommunication 3.6 Swimming Pool 3.7 Sports Facilities 3.8 Parking Bay 3.9 Lift 3.10 Contribution to relevant authorities 4.0 BUILDING COST 4.1 Main Building 4.2 Chalet 4.5 Restaurant 4.6 Multi Purpose Hall 4.7 Pub & Lounge Total building construction cost 5.0 LANDSCAPING 6.0 PROFESSIONAL FEES 5.1 Building Works 5.2 Infrastructure Works

8% 6%

7.0 PROJECT MANAGEMENT COST

24

8.0 MARKETING & ADVERTISING

2%

of

9.0 FURNITURE 9.1 Room a. Deluxe b. Chalet

90 40

rooms rooms

of 4.0 of 3.0 months

RM8,295,200 RM1,002,500 RM12,000 RM23,548,122

RM20,000 RM10,000

9.2 9.3 9.4 9.5

Main Lobby Restaurant Kitchen facilities Pub & Lounge

10.0 INTEREST ON FINANCE 10.1 Project Financing

8%

of 1

RM12,575,466 year

11.0 CONTINGENCIES

5%

of

RM14,792,881

12.0 LAND COST 12.1 Land cost 12.2 Acquisition cost 12.3 Holding cost for 2 years

204,732 5% 8%

sq.f of of

RM8 RM1,637,856 RM1,719,749

TOTAL DEVELOPMENT COST

ANALYSIS OF PROFIT PERCENTAGE

GROSS DEVELOPMENT VALUE less TOTAL DEVELPOPMENT COST

RM23,548,122

DEVELOPER'S PROFIT

RM6,203,598

PROFIT % AS PER GDV

PROFIT % AS PER TDC

RM17,344,525

=

Total Profit Gross Development Value

=

26%

=

Total Profit Total Development Cost

=

36%

OCCUPANCY RATE

TOTAL DAYS GROSS PER YEAR DEVELOPMENT VALUE

65% 90% 95% 83%

234 121 10

RM1,916,460 RM1,568,160 RM136,800

65% 90% 95% 83%

234 121 10

RM730,080 RM609,840 RM53,200

83%

RM5,014,540

RM1,404,071 60% 35% 35% per month

365 365 365 12

RM109,500 RM255,500 RM191,625 RM18,000 RM6,993,236

x x x x x x x x

12 12 12 12 12 12 12 12

months months months months months months months months

RM84,000 RM84,000 RM46,800 RM120,000 RM15,600 RM38,400 RM25,200 RM19,200 RM433,200

RM433,200

RM12,996

RM12,996

RM47,652

RM47,652

x 12 months

RM8,400

RM8,400

x 12 months

RM720,000

RM720,000

RM240,000

RM240,000

RM200,000

RM200,000

RM280,000

RM280,000

RM200,000

RM200,000

RM250,000

RM250,000

RM50,000 RM90,000 RM60,000 RM100,000 RM300,000 RM110,000

RM110,000

RM2,802,248 RM4,190,988 from divisible balance

RM1,676,395

RM2,514,593

RM62,865 RM251,459 RM5,500 RM75,438 RM395,262

RM2,119,331 11.11

RM23,548,122

DEVELOPMENT COST

TOTAL DEVELOPMENT COST

RM47,000

RM47,000

RM70,500 RM47,000 RM94,000

RM211,500

RM50,000 RM100,000 RM50,000 RM50,000 RM26,000 RM134,500 RM50,000 RM192,000 RM300,000 RM50,000

RM1,002,500

RM5,346,000 RM1,019,200 RM210,000 RM1,600,000 RM120,000 RM8,295,200 RM94,000

RM94,000

RM663,616 RM60,150

RM723,766

RM288,000

RM288,000

RM470,962

RM470,962

RM1,800,000 RM400,000

RM70,000 RM65,000 RM75,000 RM50,000 RM2,460,000 RM1,006,037

RM1,006,037

RM739,644

RM739,644

RM1,637,856 RM81,893 RM286,166

RM2,005,915

RM17,344,525

NTAGE

Total Profit oss Development Value 26%

[15% - 25%]

Total Profit otal Development Cost 36%

[20% - 50%]

A. GROSS DEVELOPMENT VALUE

TYPE OF ROOM

TOTAL ROOM

UNIT

ROOM RATE PER DAY (RM)

OCCUPANCY RATE

1.0 Deluxe 1.1 Weekdays 1.2 Weekends 1.3 Public Holidays

90 90 90

rooms rooms rooms

RM140 RM160 RM160

65% 90% 95% 83%

2.0 Chalet 2.1 Weekdays 2.2 Weekends 2.3 Public Holidays

40 40 40

rooms rooms rooms

RM120 RM140 RM140

65% 90% 95% 83%

Average occ. Rate

83%

GROSS INCOME FROM ROOM plus: OTHER INCOME a) Food & Beverages less Purchasing Cost of Sale ( F&B )

40% 30%

from from

RM5,014,540 RM2,005,816

1 1 1 1

unit unit unit unit

RM500 RM2,000 RM1,500 RM1,500

a) Salary 1. General Manager 2. Assistance Genaral Manager 3. Administration 4. Cleaner & Housekeeping 5. Driver 6. Security 7. Gardener 8. Valet

1 2 3 10 1 4 3 2

person persons persons persons persons persons persons persons

RM7,000 RM3,500 RM1,300 RM1,000 RM1,300 RM800 RM700 RM800

b) Income tax

3%

of salary

11%

of salary

b) Multi Purpose Hall c) Pub and Lounge d) Funtion e) Souvenir and gift shop

60% 35% 35% per month

GROSS INCOME FROM RESORT less: OPERATING EXPENSES

c) EPF & SOCSO

x x x x x x x x

12 12 12 12 12 12 12 12

months months months months months months months months

d) Stationery

RM700

x 12 months

e) Utility bills

RM60,000

x 12 months

f) Promotion & Marketing g) Transportation & Uniform h) Room Up-keep i) Insurance j) Interest (on working capital) k) Repairs and renewal Pillows and mattress Furniture Bed Sheets Electrical items

l) Laundry TOTAL OPERATING EXPENSES DIVISIBLE BALANCE less: OPERATOR'S SHARE

40% from divisible balance

GROSS RENT less: OUTGOINGS a) Insurance b) Maintenance c) Quit Rent d) Management

TOTAL NET RENT YP in perp

GROSS DEVELOPMENT VALUE

B. DEVELOPMENT COST

9%

TYPE OF DEVELOPMENT COST

QUANTITY

UNIT

COST PERUNIT

DEVELOPMENT COST

1.0 PRELIMINARIES

4.7

acre

RM10,000

RM47,000

2.0 SITE PREPARATION 2.1 Site Inspection 2.2 Site Clearance 2.3 Earthwork

4.7 4.7 4.7

acre acre acre

RM15,000 RM10,000 RM20,000

RM70,500 RM47,000 RM94,000

unit sq.ft

RM200 RM50

sq.ft unit

RM15 RM150,000

RM50,000 RM100,000 RM50,000 RM50,000 RM26,000 RM134,500 RM50,000 RM192,000 RM300,000 RM50,000

59,400 14,560 3,000 32,000 2,000

sq.ft sq.ft sq.ft sq.ft sq.ft

RM90 RM70 RM70 RM50 RM60

RM5,346,000 RM1,019,200 RM210,000 RM1,600,000 RM120,000

4.7

acre

RM20,000

RM94,000

RM8,295,200 RM1,002,500

RM663,616 RM60,150

RM12,000

RM288,000

RM23,548,122

RM470,962

RM20,000 RM10,000

RM1,800,000 RM400,000 RM70,000 RM65,000 RM75,000 RM50,000

RM12,575,466 year

RM1,006,037

3.0 INFRASTRUCTURE 3.1 Road and drainage 3.2 Sewerage 3.3 Electrical Supply 3.4 Water Supply 3.5 Telecommunication 130 3.6 Swimming Pool 2,690 3.7 Sports 3.8 Parking Bay 12,800 3.9 Lift 2 3.10 Contribution to relevant authorities 4.0 BUILDING COST 4.1 Main Building 4.2 Chalet 4.5 Restaurant 4.6 Multi Purpose Hall 4.7 Pub & Lounge Total building construction cost 5.0 LANDSCAPING 6.0 PROFESSIONAL FEES 5.1 Building Works 5.2 Infrastructure Works

8% 6%

7.0 PROJECT MANAGEMENT COST

24

months

8.0 MARKETING & ADVERTISING

2%

of

9.0 FURNITURE 9.1 Room a. Deluxe b. Chalet 9.2 Main Lobby 9.3 Restaurant 9.4 Kitchen facilities 9.5 Pub & Lounge 10.0 INTEREST ON FINANCE 10.1 Project Financing

90 40

8%

of 4.0 of 3.0

rooms rooms

of 1

11.0 CONTINGENCIES 12.0 LAND COST 12.1 Land cost 12.2 Acquisition cost 12.3 Holding cost for 2 years

5%

204,732 5% 8%

% of

sq.f of of

RM14,792,881

RM739,644

RM8 RM1,637,856 RM1,719,749

RM1,637,856 RM81,893 RM286,166

TOTAL DEVELOPMENT COST

SITE VALUE FOR LOT NO 948 PANTAI BALOK

GROSS DEVELOPMENT VALUE less TOTAL DEVELPOPMENT COST

RM23,548,122

RESIDUAL

RM6,203,598

PV FOR RM 1 FOR 2 YEARS

Site Value

RM17,344,525

9% per annum

0.8417

=

RM5,221,444

=

RM26

P.SF

TOTAL DAYS GROSS PER YEAR DEVELOPMENT VALUE

234 121 10

RM1,916,460 RM1,568,160 RM136,800

234 121 10

RM730,080 RM609,840 RM53,200

RM5,014,540

RM1,404,071 365 365 365 12

RM109,500 RM255,500 RM191,625 RM18,000 RM6,993,236

RM84,000 RM84,000 RM46,800 RM120,000 RM15,600 RM38,400 RM25,200 RM19,200 RM433,200

RM433,200

RM12,996

RM12,996

RM47,652

RM47,652

RM8,400

RM8,400

RM720,000

RM720,000

RM240,000

RM240,000

RM200,000

RM200,000

RM280,000

RM280,000

RM200,000

RM200,000

RM250,000

RM250,000

RM50,000 RM90,000 RM60,000 RM100,000 RM300,000 RM110,000

RM110,000

RM2,802,248 RM4,190,988

e balance

RM1,676,395

RM2,514,593

RM62,865 RM251,459 RM5,500 RM75,438 RM395,262

RM2,119,331 11.11

RM23,548,122

TOTAL DEVELOPMENT COST

RM47,000

RM211,500

RM1,002,500

RM8,295,200 RM94,000

RM723,766 RM288,000 RM470,962

RM2,460,000 RM1,006,037

RM739,644

RM2,005,915

RM17,344,525

PERIOD BY PERIOD CASHFLOW APPROACH

DISCOUNTED CASHFLOW FOR THE PROPOSED RESORT DEVELOPM FIRST YEAR 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter

PARTICULARS INCOME GROWTH NET INCOME DISPOSAL/TERMINAL VALUE TOTAL INFLOW DEVELOPMENT COST 1.0) Preliminaries 2.0) Site Preparation 3.0) Infrastructure 4.0) Building Cost 5.0) Landscaping 6.0) Professional fees 7.0) Project Management fee 8.0) Marketing & Advertising 9.0) Furniture 10.0) Contingencies 11.0) Land cost

TOTAL OUTFLOW NET CASHFLOW

CAPITAL OUTSTANDING / SURPLUS

-

-

-

0

0

0

0

23,500 105,750 125,313 90,471 36,000 58,870 92,456 5,221,444

23,500 105,750 125,313 90,471 36,000 58,870 92,456 -

125,313 1,382,533 90,471 36,000 58,870 92,456 -

125,313 1,382,533 90,471 36,000 58,870 92,456 -

5,753,803

532,359

1,785,642

1,785,642

(5,753,803)

CAPITAL OUTSTANDING FROM PREVIOUS PERIOD COST OF FUNDING/FINANCE

-

8% 1.9427%

(532,359) (1,785,642) (1,785,642)

0 (5,753,803) (6,397,939) (8,307,871)

per annum per quarter

0

(124,290)

(161,393)

(5,753,803) (6,397,939) (8,307,871)

###

DEVELOPER'S PROFIT AS AT THE END OF INVESTMENT PERIOD

(111,777)

GDV

128%

TDC

173%

PROPOSED RESORT DEVELOPMENT IN PANTAI BALOK SECOND YEAR 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter -

-

-

-

0

0

0

0

2,119,331

125,313 1,382,533 90,471 36,000 58,870 92,456 -

125,313 1,382,533 90,471 36,000 58,870 92,456 -

125,313 1,382,533 47,000 90,471 36,000 58,870 1,230,000 92,456 -

125,313 1,382,533 47,000 90,471 36,000 58,870 1,230,000 92,456 -

1,785,642

1,785,642

3,062,642

3,062,642

(1,785,642) (1,785,642)

2 2009 0% 2,119,331

-

###

###

###

(199,217)

(237,776)

(277,084)

(341,964)

###

###

###

###

2,119,331

-

### (3,062,642) 2,119,331

###

3 2010 0% 2,119,331

###

4 2011 0% 2,119,331 2,119,331

-

2,119,331 ###

5 2012 10% 2,331,264 2,331,264

-

2,119,331 ###

6 2013 10% 2,331,264 2,331,264

-

2,331,264 ###

2,331,264 ###

(1,680,601) (1,645,503) (1,607,597) (1,566,658) (1,505,490)

###

###

###

###

###

7 2014 10% 2,331,264 2,331,264

-

8 2015 20% 2,543,197 2,543,197

-

2,331,264 ###

9 2016 20% 2,543,197 2,543,197

-

2,543,197 ###

10 2017 20% 2,543,197 2,543,197

-

2,543,197 ###

11 2018 30% 2,755,130 2,755,130

-

2,543,197 ###

###

###

###

2,755,130

-

2,755,130 ###

(1,439,428) (1,368,081) (1,274,071) (1,172,541) (1,062,889)

###

12 2019 30% 2,755,130

13 2020 30% 2,755,130 2,755,130

-

2,755,130

2,755,130

14 2021 40% 2,967,063 2,967,063

2,967,063

### (9,766,249) (7,792,419) (927,510)

(781,300)

(623,394)

### (9,766,249) (7,792,419) (5,448,749)

15 2022 40% 2,967,063 32,967,371 35,934,435

35,934,435 (5,448,749) (435,900)

30,049,786 30,049,786

DISCOUNTED CASHFLOW APPROACH D

PARTICULARS 1st Quarter INCOME GROWTH NET INCOME TERMINAL/DISPOSAL VALUE TOTAL INFLOW

FIRST YEAR 2nd Quarter 3rd Quarter

4th Quarter

-

-

-

-

0

0

0

0

DEVELOPMENT COST 1.0) Preliminaries 2.0) Site Preparation 3.0) Infrastructure 4.0) Building Cost 5.0) Landscaping 6.0) Professional fees 7.0) Project Management fee 8.0) Marketing & Advertising 9.0) Furniture 10.0) Contingencies 11.0) Land cost

23,500 105,750 125,313 90,471 36,000 58,870 92,456 5,221,444

23,500 105,750 125,313 90,471 36,000 58,870 92,456 -

125,313 1,382,533 90,471 36,000 58,870 92,456 -

125,313 1,382,533 90,471 36,000 58,870 92,456 -

TOTAL OUTFLOW

5,753,803

532,359

1,785,642

1,785,642

(5,753,803)

(532,359)

(1,785,642)

(1,785,642)

NET CASHFLOW Discount Factor

8% p.annum 1.9427% p.quarter

PRESENT VALUE

1.0000

(5,753,803)

0.9809

(522,214)

0.9623

(1,718,235)

0.9439

(1,685,492)

NET PRESENT VALUE INTERNAL RATE OF RETURN PV FACTOR @ R1

NET PRESENT VALUE

13% p.a 3.10% p.quater (NPV1)

1.0000

(5,753,803)

0.9699

(516,339)

0.9407

(1,679,791)

0.9124

(1,629,242)

NET PRESENT VALUE

:

PV FACTOR @ R2

14% p.a 3.33% p.quater

NET PRESENT VALUE

840,245

1.0000

(NPV2)

NET PRESENT VALUE

(5,753,803)

:

0.9678

(515,203)

0.9366

(1,672,407)

(479,646)

IRR IRR

  =

R1 +

= =

13%

[

+

13.6366%

R2-R1

1%

]

X

NPV1 [ NPV2 + NPV1 ]

X

840,245 1,319,891

0.9064

(1,618,512)

D 1st Quarter

SECOND YEAR 2nd Quarter 3rd Quarter

4th Quarter

-

-

-

-

0

0

0

0

2,119,331

125,313 1,382,533 90,471 36,000 58,870 92,456 -

125,313 1,382,533 90,471 36,000 58,870 92,456 -

125,313 1,382,533 47,000 90,471 36,000 58,870 1,230,000 92,456 -

125,313 1,382,533 47,000 90,471 36,000 58,870 1,230,000 92,456 -

1,785,642

1,785,642

3,062,642

3,062,642

(1,785,642)

(1,785,642)

(3,062,642)

(3,062,642)

0.9259

(1,653,373)

0.8850

(1,580,215)

0.9083

(1,621,865)

0.8583

(1,532,662)

0.8910

(2,728,731)

0.8325

(2,549,639)

2 2009 0% 2,119,331

0.8740

(2,676,731)

0.8074

(2,472,914)

-

3 2010 0% 2,119,331 2,119,331

-

4 2011 0% 2,119,331 2,119,331

-

5 2012 10% 2,331,264 2,331,264

-

2,119,331

2,119,331

2,119,331

2,331,264

0.8573

0.7938

0.7350

0.6806

1,816,985

1,682,393

1,557,772

1,586,619

0.7831

0.6931

0.6133

0.5428

1,659,747

1,468,803

1,299,825

1,265,317

0.8772

(1,566,353)

0.8489

(1,515,875)

0.8216

(2,516,164)

0.7951

(2,435,078)

0.7695

0.6750

0.5921

0.5194

1,630,756

1,430,488

1,254,814

1,210,786

6 2013 10% 2,331,264 2,331,264

-

7 2014 10% 2,331,264 2,331,264

-

8 2015 20% 2,543,197 2,543,197

-

9 2016 20% 2,543,197 2,543,197

-

10 2017 20% 2,543,197 2,543,197

-

11 2018 30% 2,755,130 2,755,130

-

12 2019 30% 2,755,130 2,755,130

-

13 2020 30% 2,755,130 2,755,130

-

2,331,264

2,331,264

2,543,197

2,543,197

2,543,197

2,755,130

2,755,130

2,755,130

0.6302

0.5835

0.5403

0.5002

0.4632

0.4289

0.3971

0.3677

1,469,092

1,360,270

1,374,010

1,272,232

1,177,992

1,181,628

1,094,100

1,013,056

0.4803

0.4251

0.3762

0.3329

0.2946

0.2607

0.2307

0.2042

1,119,749

990,929

956,649

846,592

749,196

718,256

635,625

562,500

0.4556

0.3996

0.3506

0.3075

0.2697

0.2366

0.2076

0.1821

1,062,093

931,660

891,541

782,053

686,012

651,912

571,852

501,625

14 2021 40% 2,967,063 2,967,063

-

15 2022 40% 2,967,063 ### 35,934,435

-

2,967,063

35,934,435

0.3405

0.3152

1,010,170

11,328,032 11,328,032

0.1807

0.1599

536,079

5,745,584

0.1597

0.1401

473,870

5,034,288

DISCOUNTED CASHFLOW APPROACH CASH INFLOW RENTAL INCOME NLA

Rental Rate psf.

Year Rental Growth

Year 2006 0 0%

2-Storey office podium Ground Floor First Floor

5,022 6,997

sq ft. sq ft.

3.50 2.60

210,924 218,306

13-Storey Office Building Ground Floor First Floor Second Floor Third - 11th Floor 12th Floor

7,000 7,683 8,185 75,321 8,369

sq ft. sq ft. sq ft. sq ft. sq ft.

3.00 2.60 2.60 2.60 2.80

252,000 239,710 255,372 2,350,015 281,198

256 385

bay bay

105.00 70.00

322,560 323,400

Carpark

NET LETTABLE AREA TOTAL RENTAL less: VOID ALLOWANCE

118,577 -

TOTAL INFLOW

-

CASH OUTFLOW CAPITAL OUTLAY SERVICE CHARGE

30,000,000 0.32 psf

GROSS RENT OUTGOINGS

16%

-

Disposal/Terminal Value NET CASHFLOW

(30,000,000)

CAPITAL OUTSTANDING FROM PREVIOUS PERIOD COST OF FUNDING/FINANCE

8.75%

CAPITAL OUTSTANDING / SURPLUS PV FACTOR

0 0 (30,000,000)

8.75%

1.0000

NET PRESENT VALUE

(30,000,000)

IRR Net Cashflow discounted rate

(30,000,000) 11.00% 1

Discounted cashflow

(30,000,000)

Net Present value

3,097,085

IRR Net Cashflow Discounted Rrate

(30,000,000) 12.00% 1

Discounted cashflow

(30,000,000)

Net Present value

IRFY

264,330

=

=

R1

+

11.00

R2

+

12.00

=

11

+

1.0000

=

11

+

1

=

11

+

1.0933121

=

12.0933 %(Formula)

12.1009%

2007 1 0%

2008 2 0%

2009 3 0%

2010 4 6.62%

2011 5 0%

2012 6 0%

210,924 218,306

210,924 218,306

210,924 218,306

224,887 232,758

224,887 232,758

224,887 232,758

252,000 239,710 255,372 2,350,015 281,198

252,000 239,710 255,372 2,350,015 281,198

252,000 239,710 255,372 2,350,015 281,198

268,682 255,578 272,278 2,505,586 299,814

268,682 255,578 272,278 2,505,586 299,814

268,682 255,578 272,278 2,505,586 299,814

322,560 323,400

322,560 323,400

322,560 323,400

343,913 344,809

343,913 344,809

343,913 344,809

4,453,486

4,453,486

4,453,486

4,748,306

4,748,306

4,748,306

5% 190,376 4,263,109

0

5% 190,376 4,263,109

0

5% 190,376 4,263,109

0

6% 243,575 4,504,731

0

6% 243,575 4,504,731

1,500,000

6% 243,575 4,504,731

0

455,336

455,336

455,336

500,869

500,869

500,869

3,807,774

3,807,774

3,807,774

4,003,862

4,003,862

4,003,862

609,244

609,244

609,244

640,618

640,618

640,618

3,198,530

3,198,530

3,198,530

3,363,244

1,863,244

3,363,244

(30,000,000)

(29,426,470)

(28,802,756)

(28,124,468)

(27,222,115)

(27,740,805)

(2,625,000)

(2,574,816)

(2,520,241)

(2,460,891)

(2,381,935)

(2,427,320)

(29,426,470)

(28,802,756)

(28,124,468)

(27,222,115)

(27,740,805)

(26,804,882)

0.9195

0.8456

0.7775

0.7150

0.6574

0.6045

2,941,177

2,704,530

2,486,925

2,404,592

1,224,964

2,033,213

3,198,530

3,198,530

3,198,530

3,363,244

1,863,244

3,363,244

0.9009

0.8116

0.7312

0.6587

0.5935

0.5346

2,881,558

2,595,999

2,338,737

2,215,473

1,105,745

1,798,128

3,198,530

3,198,530

3,198,530

3,363,244

1,863,244

3,363,244

0.8929

0.7972

0.7118

0.6355

0.5674

0.5066

2,855,830

2,549,848

2,276,650

2,137,402

1,057,255

1,703,924

-

R1

x NPVR2

-

11.00

NPVR1 +

x

3,097,085 264,330 +

x

x

(using function)

3,097,085 2,832,755 1.0933

NPVR1

3,097,085

2013 7 6.62%

2014 8 0%

2015 9 0%

2016 10 6.62%

2017 11 0%

2018 12 0%

239,775 248,167

239,775 248,167

239,775 248,167

255,648 264,596

255,648 264,596

255,648 264,596

286,469 272,498 290,302 2,671,456 319,661

286,469 272,498 290,302 2,671,456 319,661

286,469 272,498 290,302 2,671,456 319,661

305,433 290,537 309,520 2,848,306 340,823

305,433 290,537 309,520 2,848,306 340,823

305,433 290,537 309,520 2,848,306 340,823

366,681 367,635

366,681 367,635

366,681 367,635

390,955 391,973

390,955 391,973

390,955 391,973

5,062,644

5,062,644

5,062,644

5,397,791

5,397,791

5,397,791

6% 259,700 4,802,945

0

6% 259,700 4,802,945

0

6% 259,700 4,802,945

0

7% 323,040 5,074,751

1,500,000

7% 323,040 5,074,751

0

7% 323,040 5,074,751

0

546,403

546,403

546,403

591,936

591,936

591,936

4,256,542

4,256,542

4,256,542

4,482,814

4,482,814

4,482,814

681,047

681,047

681,047

717,250

717,250

717,250

3,575,495

3,575,495

3,575,495

2,265,564

3,765,564

3,765,564

(26,804,882)

(25,574,814)

(24,237,115)

(22,782,368)

(22,510,261)

(20,714,344)

(2,345,427)

(2,237,796)

(2,120,748)

(1,993,457)

(1,969,648)

(1,812,505)

(25,574,814)

(24,237,115)

(22,782,368)

(22,510,261)

(20,714,344)

(18,761,285)

0.5559

0.5112

0.4700

0.4322

0.3974

0.3655

1,987,611

1,827,688

1,680,633

979,228

1,496,608

1,376,191

3,575,495

3,575,495

3,575,495

2,265,564

3,765,564

3,765,564

0.4817

0.4339

0.3909

0.3522

0.3173

0.2858

1,722,167

1,551,502

1,397,750

797,897

1,194,751

1,076,352

3,575,495

3,575,495

3,575,495

2,265,564

3,765,564

3,765,564

0.4523

0.4039

0.3606

0.3220

0.2875

0.2567

1,617,372

1,444,082

1,289,359

729,451

1,082,510

966,527

2019 13 6.62%

2020 14 0%

2021 15 0%

2022 16 6.62%

2023 17 0%

2024 18 0%

272,572 282,112

272,572 282,112

272,572 282,112

290,616 300,788

290,616 300,788

290,616 300,788

325,653 309,771 330,011 3,036,864 363,385

325,653 309,771 330,011 3,036,864 363,385

325,653 309,771 330,011 3,036,864 363,385

347,211 330,277 351,857 3,237,905 387,442

347,211 330,277 351,857 3,237,905 387,442

347,211 330,277 351,857 3,237,905 387,442

416,836 417,922

416,836 417,922

416,836 417,922

444,431 445,588

444,431 445,588

444,431 445,588

5,755,125

5,755,125

5,755,125

6,136,114

6,136,114

6,136,114

8% 393,629 5,361,496

0

8% 393,629 5,361,496

0

8% 393,629 5,361,496

1,500,000

8% 419,688 5,716,427

0

8% 419,688 5,716,427

0

8% 419,688 5,716,427

0

637,470

637,470

637,470

683,004

683,004

683,004

4,724,026

4,724,026

4,724,026

5,033,423

5,033,423

5,033,423

755,844

755,844

755,844

805,348

805,348

805,348

3,968,182

3,968,182

2,468,182

4,228,075

4,228,075

4,228,075

(18,761,285)

(16,434,716)

(13,904,572)

(12,653,041)

(9,532,106)

(6,138,090)

(1,641,612)

(1,438,038)

(1,216,650)

(1,107,141)

(834,059)

(537,083)

(16,434,716)

(13,904,572)

(12,653,041)

(9,532,106)

(6,138,090)

(2,447,098)

0.3361

0.3090

0.2842

0.2613

0.2403

0.2209

1,333,555

1,226,258

701,355

1,104,777

1,015,887

934,149

3,968,182

3,968,182

2,468,182

4,228,075

4,228,075

4,228,075

0.2575

0.2320

0.2090

0.1883

0.1696

0.1528

1,021,863

920,598

515,861

796,114

717,219

646,144

3,968,182

3,968,182

2,468,182

4,228,075

4,228,075

4,228,075

0.2292

0.2046

0.1827

0.1631

0.1456

0.1300

909,405

811,969

450,928

689,691

615,795

549,817

2025 19 6.62%

2026 20 0%

309,855 320,700

309,855 320,700

370,197 352,142 375,150 3,452,254 413,090

370,197 352,142 375,150 3,452,254 413,090

473,852 475,086

473,852 475,086

6,542,325

6,542,325

9% 503,405 6,038,920

0

9% 503,405 6,038,920

0

728,537

728,537

5,310,383

5,310,383

849,661

849,661 53,499,939

4,460,722

57,960,661

(2,447,098)

1,799,503

(214,121)

157,457

1,799,503

59,917,621

0.2032

0.1868

906,252

10,827,994

4,460,722

57,960,661

0.1377

0.1240

614,142

7,189,087

4,460,722

57,960,661

0.1161

0.1037

517,920

6,008,594

NPV =

11,193,586.22

SENSITIVITY ANALYSIS Change in variable RM %

base

base

base

base

base

base

GDV 181,447,319 201,608,132 221,768,945

TDC 138,852,681 154,280,757 169,708,833

LANDSCAPING COST 30,000 50,000 70,000

OPERATOR'S SHARE 35% 40% 45%

FINANCE RATE 9% 10% 11%

LAND VALUE 250 320 350

-10% 10%

-10% 10%

40% -40%

13% -13%

10% -10%

22% -9%

Change in profit RM %

27,578,599 46,787,376 67,053,471

SENSITIVITY INDEX

41%

4.11

-43%

4.33

62,215,451 46,787,376 31,359,299

-33%

-3.30

33%

-3.30

46,848,276 46,787,376 46,726,476

-0.130%

-0.0033

0.1302%

-0.0033

63,733,713 46,787,376 29,841,038

-36%

-2.90

36%

-2.90

48,240,518 46,787,376 45,325,320

-3%

-0.31

3%

-0.31

58,583,732 46,787,376 41,731,794

-25%

-1.15

11%

-1.15

SENSITIVITY

Sensitive

Sensitive

Not Sensitive

Sensitive

Not Sensitive

Sensitive

THE VIABILITY OF A 10 STOREYS HOTEL BUILDING AT PRECINT 2, PUTRAJAYA. A. GROSS DEVELOPMENT VALUE

TYPE OF ROOM

1.0 Presidential Suite 1.1 Weekdays 1.2 Weekends 1.3 Public Holidays

TOTAL ROOM

UNIT

ROOM RATE PER DAY (RM)

OCCUPANCY RATE

1 1 1

room room room

$5,000 $5,000 $5,000

50% 50% 50% 50%

2.0 Executive Suite 2.1 Weekdays 2.2 Weekends 2.3 Public Holidays

20 20 20

rooms rooms rooms

$1,500 $1,500 $1,500

55% 60% 65% 60%

3.0 Standard Deluxe 3.1 Weekdays 3.2 Weekends 3.3 Public Holidays

85 85 85

rooms rooms rooms

$500 $500 $500

70% 75% 80% 75%

4.0 Standard 4.1 Weekdays 4.2 Weekends 4.3 Public Holidays

90 90 90

rooms rooms rooms

$250 $250 $250

70% 75% 80% 75%

Average occ. Rate

65%

GROSS INCOME FROM ROOM plus: OTHER INCOME a) Food & Beverages less Cost of Sale ( F&B ) b) Cocktail Lounge c) Ballroom d) Conference Room e) Meeting Room e) Coffee House f) Telephone and Telex g) Pub and Snooker h) Fitness Centre i) Convention centre j) Health & Beauty Treatment k) Business Centre l) Laundry

50% 30%

from from

1 40 2 1 1

area tables rooms area unit

1 1 1 1 2

unit unit room room rooms

24,212,250 12,106,125 $3,000 $800 $2,800 $2,000 $2,500 $1,200 $50,000 $2,500 $3,500 $8,400 $1,500 $2,000

60% 60% 65% 65% 65% per month per month 60% 60% 65% 40%

plus: OTHER RENTAL a) Gift Shop c) Theme Restaurant d) Money Changer e) Car parking f) Karaoke g) Travel Agent

377 14,000 377 300 11,786 377

sq.f sq.f sq.f bay sq.f sq.f

$15 $15 $15 $100 $15 $15

1

8

person persons persons persons persons persons persons persons

$10,000 $5,000 $2,000 $1,000 $1,500 $1,000 $800 $1,000

3%

of salary

psf per mth psf per mth psf per mth per bay per mth psf per mth psf per mth

GROSS INCOME less: OPERATING EXPENSES a) Salary 1. General Manager 2. Assistance Genaral Manager 3. Administration 4.Cleaner & Housekeeping 5. Driver 6.Security 7.Gardener 8. Valet

b) income tax c) EPF & SOCSO

4 10 30 5 15 7

x x x x x x x x

12 12 12 12 12 12 12 12

months months months months months months months months

11% of salary

d) Stationery

$500

x 12 months

e) Utility bills

$100,000

x 12 months

f) Promotion & Marketing g) Transportation & Uniform h) Room Up-keep i) Insurance j) Interest (on working capital) k) Repairs and renewal Pillows and mattress Furniture Bed Sheets Electrical items l) Laundry TOTAL OPERATING EXPENSES DIVISIBLE BALANCE

less: OPERATOR'S SHARE

40% from divisible balance

GROSS RENT less: OUTGOINGS a) Insurance b) Maintenance c) Quit Rent d) Management TOTAL NET RENT YP in perp

10%

GROSS DEVELOPMENT VALUE

B. DEVELOPMENT COST

TYPE OF DEVELOPMENT COST

QUANTITY

UNIT

COST PERUNIT

DEVELOPMENT COST

1.0 PRELIMINARIES

2.9

acre

$15,000

$43,500

2.0 SITE PREPARATION 2.1 Site Inspection/ Soil Investigation 2.2 Site Clearance 2.3 Earthwork

2.9 2.9 2.9

acre acre acre

$20,000 $10,000 $20,000

$58,000 $29,000 $58,000

$45,440,248 $681,604 908,805 $908,805 $681,604 $908,805 $4,089,622

$650,000 $200,000 $200,000 $80,000 $200,000 $1,000,000

30,505 sq.m

$165.90

$5,060,780

30,505 30,505 30,505 30,505 30,505 30,505 30,505

$203.15 $111.51 $6.57 $6.57 $6.20 $7.41 $49.55

$6,196,938 $3,401,613 $200,418 $200,418 $188,978 $226,042 $1,511,370

3.0 INFRASTRUCTURE 3.1 Road and drainage 3.2 Sewerage 3.3 Electrical Supply 3.4 Telecommunication 3.5 Water Supply 3.6 Contribution to relevant authorities 4.0 BUILDING COST 4.1 Substructure 4.2 Superstructure 4.2.1 Frame 4.2.2 Upper Floor 4.2.3 Roof 4.2.4 Stairs 4.2.5 External Wall 4.2.6 Windows & External Doors 4.2.7 External Wall & Partition

1.5% 2% 2% 1.5% 2%

sq.m sq.m sq.m sq.m sq.m sq.m sq.m

4.2.8 Internal Door 4.3 Finishes Internal Wall Finishes Internal Floor Finishes Internal Ceiling Finishes External Finishes 4.4 Fittings & Furnishing 4.5 Services 4.51 Sanitary Appliances Plumbing Installation Air-Conditioning System Electrical Installation Fire Protection Installation Lift & Conveyor Installation Communication Installation Other Installation total building construction cost

30,505 sq.m

$23.28

$710,156

30,505 30,505 30,505 30,505 30,505

sq.m sq.m sq.m sq.m sq.m

$43.71 $32.97 $13.55 $33.87 $5.07

$1,333,374 $1,005,750 $413,190 $1,033,204 $154,660

30,505 30,505 30,505 30,505 30,505 30,505 30,505 30,505

sq.m sq.m sq.m sq.m sq.m sq.m sq.m sq.m

$7.39 $1.85 $210.89 $167.90 $52.56 $52.65 $42.33 $244.76

$225,432 $56,282 $6,433,047 $5,121,637 $1,603,343 $1,606,088 $1,291,277 $7,466,251

5.0 PROFESSIONAL FEES 5.1 Building Works 5.2 Infrastructure Works

7 5

% of % of

$45,440,248 $2,330,000

$3,180,817 $116,500

6.0 PROJECT MANAGEMENT FEE

5

% of

$45,440,248

$2,272,012

7.0 MARKETING & LAWYERS' FEE

2

% of

$201,068,132

$4,021,363

2.9

acre

$50,000

$145,000

12

% of

5

% of

$146,603,625

$7,330,181

196

units

$170,000

$33,320,000 250,000 180,000 150,000 200,000 150,000 200,000

126,324 5% 12%

sq.f of of

$300 $37,897,200 $39,792,060

$37,897,200 $1,894,860 $10,123,100

8.0 LANDSCAPING 9.0 INTEREST ON FINANCE 9.1 Project Financing

10.0 CONTINGENCIES 11.0 FURNITURE ( Caunter,chair, table, bedstead, blanket, pillow,towel,rostrum,a/c, catering,counter bar,vase, cabinet, light,kitchen,laundry, TV,refrigerator,etc.) 11.1 Room 11.2 Main Lobby 11.3 Meeting Room 11.4 Coffee House 11.5 Kitchen facilities 11.6 Cocktail Lounge 11.7 Ballroom 12.0 LAND COST 12.1 Land Purchased 12.2 Acquisition cost 12.3 Holding cost for 2 years

$45,440,248 for 1 year

$4,544,025

TOTAL DEVELOPMENT COST

GROSS DEVELOPMENT VALUE less TOTAL DEVELPOPMENT COST

$201,068,132 $156,693,429

DEVELOPER'S PROFIT % on GDV % on TDC

44,374,703 = =

22% 28%

TOTAL DAYS PER YEAR

GROSS DEVELOPMENT VALUE

234 121 10

$585,000 $302,500 $25,000

234 121 10

$3,861,000 $2,178,000 $195,000

234 121 10

$6,961,500 $3,856,875 $340,000

234 121 10

$3,685,500 $2,041,875 $180,000

24,212,250

$8,474,288 365 365 365 365 365 365 12 12 365 365 365 365

$657,000 $7,008,000 $1,328,600 $474,500 $593,125 $438,000 $600,000 $30,000 $766,500 $1,839,600 $711,750 $292,000

x x x x x x

12 12 12 12 12 12

months months months months months months

$67,860 $2,520,000 $67,860 $180,000 $2,121,480 $67,860 52,450,673

$120,000 $240,000 $240,000 $360,000 $90,000 $180,000 $67,200 96000 $1,393,200 $41,796 $153,252 $6,000 $1,200,000 $1,700,000 $800,000 $2,740,000 $230,000 $500,000

$101,600 $140,000 $99,000 $40,000 $300,000 $9,444,848 43,005,825

divisible balance

$17,202,330 25,803,495

645,087 4,386,594 7,000 658,000

5,696,681 20,106,813 10.00

$201,068,132

TOTAL DEVELOPMENT COST

$43,500

$145,000

$2,330,000

5,089,622

$45,440,248

$3,297,317 $2,272,012 $4,021,363 $145,000

$4,544,025

$7,330,181

$34,450,000

$49,915,160

$156,693,429

THE VIABILITY OF A 10 STOREYS HOTEL BUILDING AT PRECINT 2, PUTRAJAYA. A. GROSS DEVELOPMENT VALUE

TYPE OF ROOM

1.0 Presidential Suite 1.1 Weekdays 1.2 Weekends 1.3 Public Holidays

TOTAL ROOM

UNIT

ROOM RATE PER DAY (RM)

OCCUPANCY RATE

1 1 1

room room room

$5,000 $5,000 $5,000

50% 50% 50% 50%

2.0 Executive Suite 2.1 Weekdays 2.2 Weekends 2.3 Public Holidays

20 20 20

rooms rooms rooms

$1,500 $1,500 $1,500

55% 60% 65% 60%

3.0 Standard Deluxe 3.1 Weekdays 3.2 Weekends 3.3 Public Holidays

85 85 85

rooms rooms rooms

$500 $500 $500

70% 75% 80% 75%

4.0 Standard 4.1 Weekdays 4.2 Weekends 4.3 Public Holidays

90 90 90

rooms rooms rooms

$250 $250 $250

70% 75% 80% 75%

Average occ. Rate

65%

GROSS INCOME FROM ROOM plus: OTHER INCOME a) Food & Beverages less Cost of Sale ( F&B ) b) Cocktail Lounge c) Ballroom d) Conference Room e) Meeting Room e) Coffee House f) Telephone and Telex g) Pub and Snooker h) Fitness Centre i) Convention centre j) Health & Beauty Treatment k) Business Centre l) Laundry

50% 30%

from from

1 40 2 1 1

area tables rooms area unit

1 1 1 1 2

unit unit room room rooms

24,212,250 12,106,125 $3,000 $800 $2,800 $2,000 $2,500 $1,200 $50,000 $2,500 $3,500 $8,400 $1,500 $2,000

60% 60% 65% 65% 65% per month per month 60% 60% 65% 40%

plus: OTHER RENTAL a) Gift Shop c) Theme Restaurant d) Money Changer e) Car parking f) Karaoke g) Travel Agent

377 14,000 377 300 11,786 377

sq.f sq.f sq.f bay sq.f sq.f

$15 $15 $15 $100 $15 $15

1

8

person persons persons persons persons persons persons persons

$10,000 $5,000 $2,000 $1,000 $1,500 $1,000 $800 $1,000

3%

of salary

psf per mth psf per mth psf per mth per bay per mth psf per mth psf per mth

GROSS INCOME less: OPERATING EXPENSES a) Salary 1. General Manager 2. Assistance Genaral Manager 3. Administration 4.Cleaner & Housekeeping 5. Driver 6.Security 7.Gardener 8. Valet

b) income tax c) EPF & SOCSO

4 10 30 5 15 7

x x x x x x x x

12 12 12 12 12 12 12 12

months months months months months months months months

11% of salary

d) Stationery

$500

x 12 months

e) Utility bills

$100,000

x 12 months

f) Promotion & Marketing g) Transportation & Uniform h) Room Up-keep i) Insurance j) Interest (on working capital) k) Repairs and renewal Pillows and mattress Furniture Bed Sheets Electrical items l) Laundry TOTAL OPERATING EXPENSES DIVISIBLE BALANCE

less: OPERATOR'S SHARE

40% from divisible balance

GROSS RENT less: OUTGOINGS a) Insurance b) Maintenance c) Quit Rent d) Management TOTAL NET RENT YP in perp

10%

GROSS DEVELOPMENT VALUE

B. DEVELOPMENT COST

TYPE OF DEVELOPMENT COST

QUANTITY

UNIT

COST PERUNIT

DEVELOPMENT COST

1.0 PRELIMINARIES

2.9

acre

$13,000

$37,700

2.0 SITE PREPARATION 2.1 Site Inspection/ Soil Investigation 2.2 Site Clearance 2.3 Earthwork

2.9 2.9 2.9

acre acre acre

$20,000 $10,000 $20,000

$58,000 $29,000 $58,000

3.0 INFRASTRUCTURE 3.1 Road and drainage 3.2 Sewerage 3.3 Electrical Supply 3.4 Telecommunication 3.5 Water Supply 3.6 Contribution to relevant authorities 4.0 BUILDING COST 4.1 Lounge 4.2 Rooms 4.2.1 Presidential Suite 4.2.2 Executive Suite 4.2.3 Standard Deluxe 4.2.4 Standard 4.3 Swimming pool 4.3.1 Jacuzzi 4.3.2 Wading pool

$650,000 $200,000 $200,000 $80,000 $200,000 $1,000,000

16,870

sq.f

$250

$4,217,500

8,240 24,960 45,730 38,790 3,500 75 100

sq.f sq.f sq.f sq.f sq.f sq.f sq.f

$300 $250 $200 $200 $50 $50 $50

$2,472,000 $6,240,000 $9,146,000 $7,758,000 $175,000 $3,750 $5,000

4.3.3 Sauna 4.4 Ballroom 4.5 Conference & Meeting Room 4.6 Restaurant 4.7 Business Centre 4.8 M & E Room 4.9 Backroom 4.10 Laundry Room 4.11 Beauty & Health Treatment 4.12 Squash Court 4.13 Tennis Court 4.14 Retail shop 4.15 Management Office 4.16 Fitness Centre 4.17 Pub, Snooker & Karaoke 4.18 Other cost total building construction cost

150 10,440 7,084 14,000 600 2,064 9,494 581 12,000 1,548

sq.f sq.f sq.f sq.f sq.f sq.f sq.f sq.f sq.f sq.f

$30 $200 $180 $150 $70 $50 $70 $70 $180 $70

1,131 1,076 504 13,240 78,909

sq.f sq.f sq.f sq.f sq.f

$100 $70 $85 $70 $85

$4,500 $2,088,000 $1,275,120 $2,100,000 $42,000 $103,200 $664,580 $40,670 $2,160,000 $108,360 $6,000 $113,100 $75,320 $42,840 $926,800 $6,707,265

5.0 PROFESSIONAL FEES 5.1 Building Works 5.2 Infrastructure Works

7 5

% of % of

$46,475,005 $2,330,000

$3,253,250 $116,500

6.0 PROJECT MANAGEMENT FEE

5

% of

$46,475,005

$2,323,750

7.0 MARKETING & LAWYERS' FEE

2

% of

$201,068,132

$4,021,363

2.9

acre

$50,000

$145,000

12

% of

5

% of

$142,868,713

$7,143,436

196

units

$170,000

$33,320,000 250,000 180,000 150,000 200,000 150,000 200,000

126,324 5% 12%

sq.f of of

$270 $34,107,480 $35,812,854

$34,107,480 $1,705,374 $9,110,790

8.0 LANDSCAPING 9.0 INTEREST ON FINANCE 9.1 Project Financing

10.0 CONTINGENCIES 11.0 FURNITURE ( Caunter,chair, table, bedstead, blanket, pillow,towel,rostrum,a/c, catering,facilities,counter bar,vase, cabinet, light,kitchen,laundry, TV,refrigerator,etc.) 11.1 Room 11.2 Main Lobby 11.3 Meeting Room 11.4 Coffee House 11.5 Kitchen facilities 11.6 Cocktail Lounge 11.7 Ballroom 12.0 LAND COST 12.1 Land Purchased 12.2 Acquisition cost 12.3 Holding cost for 2 years

$46,475,005 for 1 year

$4,647,501

TOTAL DEVELOPMENT COST

GROSS DEVELOPMENT VALUE less TOTAL DEVELPOPMENT COST

$201,068,132 $150,012,148

DEVELOPER'S PROFIT % on GDV % on TDC

51,055,984 = =

25% 34%

TOTAL DAYS PER YEAR

GROSS DEVELOPMENT VALUE

234 121 10

$585,000 $302,500 $25,000

234 121 10

$3,861,000 $2,178,000 $195,000

234 121 10

$6,961,500 $3,856,875 $340,000

234 121 10

$3,685,500 $2,041,875 $180,000

24,212,250

$8,474,288 365 365 365 365 365 365 12 12 365 365 365 365

$657,000 $7,008,000 $1,328,600 $474,500 $593,125 $438,000 $600,000 $30,000 $766,500 $1,839,600 $711,750 $292,000

x x x x x x

12 12 12 12 12 12

months months months months months months

$67,860 $2,520,000 $67,860 $180,000 $2,121,480 $67,860 52,450,673

$120,000 $240,000 $240,000 $360,000 $90,000 $180,000 $67,200 96000 $1,393,200 $41,796 $153,252 $6,000 $1,200,000 $1,700,000 $800,000 $2,740,000 $230,000 $500,000

$101,600 $140,000 $99,000 $40,000 $300,000 $9,444,848 43,005,825

divisible balance

$17,202,330 25,803,495

645,087 4,386,594 7,000 658,000

5,696,681 20,106,813 10.00

$201,068,132

TOTAL DEVELOPMENT COST

$37,700

$145,000

$2,330,000

$46,475,005

$3,369,750 $2,323,750 $4,021,363 $145,000

$4,647,501

$7,143,436

$34,450,000

$44,923,644

$150,012,148

SENSIVITY ANALYSIS

base

base

base

base

base

base

GDV 181,447,319 201,608,132 221,768,945

PROFIT 27,578,599 46,787,376 67,053,471

SI 4.11

TDC 138,852,681 154,280,757 169,708,833

PROFIT 62,215,451 46,787,376 31,359,299

SI -3.30

4.33

-3.30

FINANCE RATE 9% 10% 11%

PROFIT 48,240,518 46,787,376 45,325,320

SI -0.31

LAND VALUE 250 320 350

PROFIT 58,583,732 46,787,376 41,731,794

SI -1.15

OPERATOR'S SHARE PROFIT 35% 63,733,713 40% 46,787,376 45% 29,841,038

SI -2.90

LANDSCAPING COST (per acre) 30,000 50,000 70,000

PROFIT 46,848,276 46,787,376 46,726,476

-0.31

-1.15

-2.90

SI -0.0033 -0.0033

PERIOD BY PERIOD CASHFLOW APPROACH PARTICULARS 1st Quarter NO RENTAL GROWTH net income TOTAL INFLOW

0

DEVELOPMENT COST a) Preliminaries b) Site Preparation c) Infrastructure d) Building Cost e) Professional fees f) Project Management fee g) Marketing & lawyer fee h) Furniture i) Contingencies j) Landscaping k) Land cost TOTAL OUTFLOW

0

23,500 105,750 125,313 58,870 92,456 2,005,915 2,411,803

NET CASHFLOW

DISCOUNTED CASHFLOW FOR THE PRO FIRST YEAR 2nd Quarter 3rd Quarter

(2,411,803)

23,500 105,750 125,313 58,870 92,456 405,888

0

125,313 1,382,533 120,628 48,000 58,870 92,456 1,827,799

(405,888)

(1,827,799)

CAPITAL OUTSTANDING FROM PREVIOUS PERIOD

0

(2,411,803)

(2,819,621)

COST OF FUNDING/FINANCE

0

(1,929)

(2,256)

(2,819,621)

(4,649,676)

CAPITAL OUTSTANDING / SURPLUS

0%

(2,411,803)

SHFLOW FOR THE PROPOSED HOTEL DEVELOPMENT IN CYBERJAYA R SECOND YEAR 4th Quarter 1st Quarter 2nd Quarter 3rd Quarter 0

0

0

125,313 1,382,533 120,628 48,000 58,870 92,456 1,827,799

125,313 1,382,533 120,628 48,000 58,870 92,456 1,827,799

125,313 1,382,533 120,628 48,000 58,870 92,456 1,827,799

(1,827,799)

(1,827,799)

(4,649,676)

0

4th Quarter 0

125,313 1,382,533 120,628 48,000 58,870

125,313 1,382,533 120,628 48,000 58,870

92,456 47,000

92,456 47,000

1,874,799

1,874,799

(1,827,799)

(1,874,799)

(1,874,799)

(6,481,195)

(8,314,179)

(10,148,630)

(12,031,548)

(3,720)

(5,185)

(6,651)

(8,119)

(9,625)

(6,481,195)

(8,314,179)

(10,148,630)

(12,031,548)

(13,915,973)

1 2007

2 2008

3 2009

4 2010

5 2011

6 2012

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331

2,119,331

2,119,331

2,119,331

2,119,331

2,119,331

(9,697,890)

(7,586,317)

(5,473,055)

(3,358,103)

(13,915,973) (11,807,775) (11,133)

(9,446)

(7,758)

(6,069)

(4,378)

(2,686)

(11,807,775)

(9,697,890)

(7,586,317)

(5,473,055)

(3,358,103)

(1,241,458)

7 2013

8 2014

9 2015

10 2016

11 2017

12 2018

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331

2,119,331

2,119,331

2,119,331

2,119,331

2,119,331

(1,241,458)

876,880

2,996,912

5,118,641

7,242,067

9,367,192

(993)

702

2,398

4,095

5,794

7,494

2,996,912

5,118,641

7,242,067

9,367,192

11,494,016

876,880

13 2019

14 2020

15 2021

16 2022

17 2023

18 2024

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331

2,119,331

2,119,331

2,119,331

2,119,331

2,119,331

11,494,016

13,622,543

15,752,772

17,884,705

20,018,344

22,153,689

9,195

10,898

12,602

14,308

16,015

17,723

13,622,543

15,752,772

17,884,705

20,018,344

22,153,689

24,290,743

19 2025

20 2026

21 2027

22 2028

23 2029

24 2030

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331

2,119,331

2,119,331

2,119,331

2,119,331

2,119,331

24,290,743

26,429,507

28,569,981

30,712,168

32,856,069

35,001,685

19,433

21,144

22,856

24,570

26,285

28,001

26,429,507

28,569,981

30,712,168

32,856,069

35,001,685

37,149,017

25 2031

26 2032

27 2033

28 2034

29 2035

30 2036

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331

2,119,331

2,119,331

2,119,331

2,119,331

2,119,331

37,149,017

39,298,068

41,448,837

43,601,327

45,755,539

47,911,475

29,719

31,438

33,159

34,881

36,604

38,329

39,298,068

41,448,837

43,601,327

45,755,539

47,911,475

50,069,135

31 2037

32 2038

33 2039

34 2040

35 2041

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331 2,119,331

2,119,331

2,119,331

2,119,331

2,119,331

2,119,331

50,069,135

52,228,521

54,389,635

56,552,478

58,717,051

40,055

41,783

43,512

45,242

46,974

52,228,521

54,389,635

56,552,478

58,717,051

60,883,356

36 2042 2,119,331 2,119,331

2,119,331 60,883,356 48,707 63,051,393

THE MARKET VALUE OF A 10 STOREYS HOTEL BUILDING AT PRECINT 2, PUTRAJAYA. A. GROSS DEVELOPMENT VALUE

OCCUPANCY RATE

TOTAL DAYS PER YEAR

1.0 Executive Suite 1.1 Weekdays 1.2 Weekends 1.3 Public Holidays

TYPE OF ROOM

TOTAL ROOM

10 10 10

rooms rooms rooms

UNIT

ROOM RATE PER DAY (RM)

$1,500 $1,500 $1,500

60% 65% 70%

234 121 10

GROSS DEVELOPMENT VALUE

$2,106,000 $1,179,750 $105,000

2.0 Precident Suite 2.1 Weekdays 2.2 Weekends 2.3 Public Holidays

20 20 20

rooms rooms rooms

$1,000 $1,000 $1,000

60% 65% 70%

234 121 10

$2,808,000 $1,573,000 $140,000

3.0 Standard Deluxe 3.1 Weekdays 3.2 Weekends 3.3 Public Holidays

50 50 50

rooms rooms rooms

$800 $800 $800

60% 65% 70%

234 121 10

$5,616,000 $3,146,000 $280,000

GROSS INCOME FROM ROOM

16,953,750

plus: OTHER INCOME a) Food & Beverages b) Cocktail Lounge c) Ballroom d) 2 Conference Room e) Coffee House f) Telephone and Telex g) Pub and Snooker plus: OTHER RENTAL a) Gift Shop c) Theme Restaurant d) Money Changes

50% 1 20 2 1

from unit tables rooms unit

1

unit

16,953,750 $3,000 $800 $2,500 $1,000 $1,200 $1,700

500 1,210 285

sq.f sq.f sq.f

$15 $15 $15

1 2

4

person person person person person person person

$10,000 $5,000 $2,000 $1,000 $1,500 $1,000 $800

3%

of salary

60% 60% 65% 65%

365 365 365 365 365 365

psf per mth psf per mth psf per mth

x 12 months x 12 months x 12 months

$8,476,875 $657,000 $3,504,000 $1,186,250 $237,250 $438,000 $620,500

$90,000 $217,800 $51,300

GROSS INCOME

32,432,725

less: OPERATING EXPENSES a) Salary 1. General Manager 2. Assistance Genaral Manager 3. Administration 4.Cleaner 5. Driver 6.Security 7.Gardener

5 10 2 10

b) income tax c) EPF

x x x x x x x

12 12 12 12 12 12 12

months months months months months months months

$120,000 $120,000 $120,000 $120,000 $36,000 $120,000 $38,400 $674,400 $20,232

11% of salary

$74,184

d) Stationery

$500

x 12 months

$6,000

e) Utility bills

$55,000

x 12 months

$660,000

f) Promotion

$500,000

g) Transportation

$400,000

TOTAL OPERATING EXPENSES

$2,334,816

DIVISIBLE BALANCE

30,097,909

less: OPERATOR'S SHARE

40% from divisible balance

$12,039,164

GROSS RENT

18,058,745

less: OUTGOINGS a) Insurance b) Maintenance c) Quit Rent d) Management

50,000 250,000 5,000 1,000

306,000

TOTAL NET RENT

17,752,745

YP in perp

8%

12.50

GROSS DEVELOPMENT VALUE

$221,909,318

B. DEVELOPMENT COST

TYPE OF DEVELOPMENT COST

QUANTITY

UNIT

1.0 PRELIMINARIES

3

acre

$0

$0

$0

2.0 SITE PREPARATION 2.1 Site Inspection/ Soil Investigation 2.2 Site Clearance 2.3 Earthwork

3 3 3

acre acre acre

COST PERUNIT

$0 $0 $0

DEVELOPMENT COST

$0 $0 $0

TOTAL DEV. COST

$7,000

23,269 9,464 122,932

sq.f sq.f sq.f

$50 $150 $150

$1,163,450 $1,419,600 $18,439,800

5.0 PROFESSIONAL FEES 5.1 Building Works

7

% of

$21,022,850

$1,471,600

$1,471,600

6.0 PROJECT MANAGEMENT FEE

5

% of

$21,022,850

$1,051,143

$1,051,143

7.0 MARKETING AND LAWYERS' FEE

2

% of

$221,909,318

$4,438,186

$4,438,186

10

% of

10

% of

3.0 INFRASTRUCTURE 3.1 Road and drainage - high rise 3.2 Sewerage 3.3 Electrical Supply 3.4 Telecommunication 3.5 Water Supply 3.6 Contribution to relevant authorities 4.0 BUILDING COST 4.1 Basement 4.2 Ground Floor 4.3 Office Spaces (Level 2 - 18)

$1,750,000

total building construction cost

$21,022,850

8.0 INTEREST ON FINANCE 8.1 Project Financing 8.2 Letting Delay

9.0 CONTINGENCIES 10.0 DEVELOPER'S PROFIT

$21,022,850 for 1 year $30,086,063 for 6 months

$2,102,285 $1,468,466 $3,570,751

2

% of

$31,554,529

$631,091

20

% of

$221,909,318

$44,381,864

$631,091 $44,381,864

TOTAL DEVELOPMENT COST

$78,324,484

GROSS DEVELOPMENT VALUE less TOTAL DEVELPOPMENT COST

$221,909,318 $78,324,484

RESIDUAL PV OF RM1 FOR 3 YRS @

143,584,834 10%

0.7513

$107,877,411 LESS COST OF ACQUISITION

6%

$6,472,645 SITE VALUE

$101,404,766 $25,062,967 $2,506.30 $232.84

/ ha / sq. meter /sq. feet

Assumptions: Footnote 1 The rental value for Level 1 is at RM6.00 per square feet inclusive of service sharge. Therefore the service charge must be first deducted as it is borne by the tenants. The service charge is RM1.00 per square feet which includes security, cleaning & upkeeping, electricity and maintenance of common area. Footnote 2 & 3: As footnote 1 Footnote 4: Void allowance must be made to take care of responsibility that the building may not be totally occupied at all time. However, due to the strategic location of the property, it is assumed that the void allowance is at 0%. Footnote 5: The outgoings consists of: a) external & internal repair b) taxation c) management total outgoings

10% 5% 5% 20%

Footnote 6: The typical site preparation cost is to estimated be at RM15,000 per hectare. Footnote 7: The building cost are normally calculated by reference to the gross internal floor area of building and based upon analysis of principal elements such as foundation, basement, superstructure, services, finishes and external works (landscaping). Footnote 8 & 9: As footnote 7 Footnote 10: Professional fees will vary considerably, depending upon the nature of the work. The break down of the professional fees are: a) Architect 4% b) Engineer (Civil & Structure) 1.5% c) Quantity Surveyor 1.5% Footnote 11: Project management is assumed 5% of Building Cost as the fee for managing the whole project from initial stage until the completion of the development. Footnote 12 The amount of budget allowed for promotion and marketing can vary accordingly, depending upon the nature of the work and location of the project. The reasonable percentage for these letting fees and advertising ausually pitched at about 2% of GDV. Footnote 13: The cost of financing the project is based on the 'Build and Sell' concept.The full rate of interest is applied to the entire building cost and half of the construction period. The building period has been taken as 2 years and therefore the finance costs are calculated over half of the period, i.e 1 year. The formula of Amount of RM1 is adopted in the calculation taking into consideration the future element. Footnote 14: Upon completion the building work, there will be normally be a letting delay. It is normal practice to make allowance for this letting delay depending on the location. Therefore finance will be required for the full period of the delay as the total cost (building cost, infrastructure cost, prof.fees and finance incurred during the building period) will be outstanding until the building can be refinanced which normally will not be until the building has been let. Footnote 15: A reasonable contingency budget is essential in the development to offset the degree of uncertainty. A contingency allowance between 2% - 5% of the building cost and related cost incurred is usual, depending on the the type of development. Footnote 16: Developer's profit reflect the required margin of return for the organisation. The common practice for developer's profit is between 15% - 20% of GDV or 20% - 50% of the total development cost. Footnote 17: Cost of acquistion consists of: a) Agent fee b) Legal fee c) Stamp duty (ad valorem) total acquisition cost

2% 1% 3% 6%

CONCLUSION: The market value for Lot 452, Section 67, Town of Kuala Lumpur by using the residual value method of valuation is at

RM RM

101,404,766.28 232.84psf

PERIOD BY PERIOD CASHFLOW METHOD ASSET Example Year

Net Cashflow 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 IRR

Capital Outstanding Interest from previous period 8.75% 0 0.00 0.00 (9,857,447) 0.00 0.00 (9,696,570) (9,857,446.93) (862,526.61) 2,119,331 (20,416,543.12) (1,786,447.52) 2,119,331 (20,083,659.63) (1,757,320.22) 2,119,331 (19,721,648.83) (1,725,644.27) 2,331,264 (19,327,962.08) (1,691,196.68) 2,331,264 (18,687,894.65) (1,635,190.78) 2,331,264 (17,991,821.31) (1,574,284.36) 2,543,197 (17,234,841.55) (1,508,048.64) 2,543,197 (16,199,692.97) (1,417,473.13) 2,543,197 (15,073,968.88) (1,318,972.28) 2,755,130 (13,849,743.94) (1,211,852.59) 2,755,130 (12,306,466.21) (1,076,815.79) 2,755,130 (10,628,151.68) (929,963.27) 2,967,063 (8,802,984.63) (770,261.16) 6.94%

Capital Outstanding/ Surplus 0.00 (9,857,446.93) (20,416,543.12) (20,083,659.63) (19,721,648.83) (19,327,962.08) (18,687,894.65) (17,991,821.31) (17,234,841.55) (16,199,692.97) (15,073,968.88) (13,849,743.94) (12,306,466.21) (10,628,151.68) (8,802,984.63) (6,606,182.36)

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