Sheraton Hotel Redding At Sundial Bridge - Redding Record ...
Sheraton Hotel Redding At Sundial Bridge - Redding Record ...
Sheraton Hotel Redding At Sundial Bridge - Redding Record ...
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Mathematical Proof of<br />
Value<br />
The value is mathematically proven by confirming the market-derived yields are<br />
met for the lender and equity participant during the projection period. Using the<br />
assumed financial structure set forth in the previous calculations, market value<br />
can be allocated between the debt and equity as follows.<br />
Mortgage Component (65%) $11,390,000<br />
Equity Component (35%) 6,133,000<br />
Total $17,523,000<br />
The annual debt service is calculated by multiplying the mortgage component by<br />
the mortgage constant.<br />
Mortgage Component $11,390,000<br />
Mortgage Constant 0.081025<br />
Annual Debt Service $922,873<br />
The eleven-year forecast of net income and ten-year forecast of net income to<br />
equity are presented in the following table.<br />
February-2011 Income Capitalization Approach<br />
<strong>Sheraton</strong> <strong>Hotel</strong> <strong>Redding</strong> <strong>At</strong> <strong>Sundial</strong> <strong>Bridge</strong> – <strong>Redding</strong>, California 87