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Spreadsheet Supplement for case 205019

In September 2001, Armando Codina, the CEO and chairman of Codina Group, is facing the decision of whether to go ahead as planned with its $220 million Beacon Lakes project, a 6.6-million-square-foot warehouse and office park in Miami's Airport West submarket. Although his firm has already spent more than two years and almost $2 million to get the project underway, the various obstacles ahead make him ponder whether to continue. Codina feels that an unsuccessful project could hurt his otherwise untainted career. Among the issues facing him: the uncertainty regarding the expansion of the Urban Development Boundary line to the west to include the site of the project, which is currently zoned to prohibit any type of development, and the heated environmental debate regarding the site's proximity to the Northwest Wellfield Protection Area and the Everglades National Park. Codina needs to analyze fully the economics of the deal, taking into account market conditions as well as the ultimate profitability of the project given the concessions that he is willing to make.

The Torre Almirante office tower, Hines' newest project in Rio de Janeiro, was a 36-story, Class AA office tower with an adjoining 420-stall parking structure and a preserved 14-story historic facade. It was completely different from anything that had previously been built in the city. It was also the first time that a developer took the risk of publicly announcing to the Brazilian business community its intention and commitment to complete such a complex real estate project on schedule. It was an impressive and unprecedented enterprise, but at this stage, the project was enmeshed in some operational complications. Several project designs were not yet ready, and discussions among the different companies involved in the development had intensified in the past weeks. Robert A.M. Stern Architects, the New York-based design architect, was debating with Hines about issues ranging from the glass window specifications to the material for the gold leaf lobby ceiling. Pontual Arquitetura, the local production architect, was concerned about the fire protection system. In addition, Racional, the local general contractor, just pointed out a serious problem in the freight elevator shaft that could force Hines to modify substantial parts of the project and, consequently, trigger a new round of required approvals. Includes color exhibits.

Certain key principles govern the landlord-tenant relationship in both commercial and residential settings. Because most property law is state specific, this note provides an overview of how many states would generally analyze a particular situation or relationship.

Summarizes several of the major federal environmental statutes, most notably the Comprehensive Environmental Response, Compensation and Liability Act ("CERCLA" or "Superfund"). Also discusses several state and local regulations.

The establishment of the principal-agent relationship, the duties owed by the agent to the principal, and the principal's liability for illegal actions or representations made by the agent are all examined. Also covers the creation of partnerships and the duties of partners to one another.

Begins with a brief overview of the bankruptcy process, discussing key debtor protections and the administration of claims against the estate. Discusses the treatment of bankruptcies filed by property owners. Also summarizes the tenant's bankruptcy protections and powers relating to the creditor-landlord. Ends with a brief comparison of international bankruptcy regimes.

Abstract to follow.

Holt Lunsford is debating how to grow his Dallas-based commercial real estate services firm and how to advise a long-time client who is wondering whether to lease or buy an industrial warehouse. Focuses on the highly competitive and increasingly institutionalized $50 billion real estate services industry, which encompasses property management, leasing, tenant representation, and other activities. What makes Lunsford's firm, The Holt Companies, special? Explores what corporate strategy Lunsford should choose for his firm, and what recommendation he should make to his client.

Describes the intricate parts of an early real estate deal from the standpoint of the developer including feasibility analysis, market choice, acquisition of land, project development, design and construction issues, investment returns, and equity financing issues. Thirty-two-year-old Dr. Philipp von Wilmowsky is director of Hungarian operations for ECE Projektmanagement, a German real estate development conglomerate. He has been working for two years on the development of a 30,300 square-meter (m2), 75 million Eurodollar shopping project located in the city of Gyor, Hungary. Allows students to analyze the viability and attractiveness of the project and perform calculations on project returns (including co-investor returns), cost analysis, sensitivity analysis, composition of leasing revenues, and loan structuring.

It was March 2003 and Chuck Perry was awaiting the arrival of his New York-based business partner, Jonathan Rose. He and Rose had begun Highlands' Garden Village, their latest mixed-use, mixed-income development project. In 1996, they had optioned the unused Elitch Gardens amusement park site and since then had transformed the site into a traditional neighborhood development that was now nearly complete. The amusement park rides had been dismantled and replaced with apartments, homes, and two acres of open space. The project's pro formas were positive and the residential units were fully sold.

In 2003, Lee Stuart, who had successfully used the Nehemiah Strategy to create thousands of units of affordable housing in the South Bronx, was working with the Greater Boston Interfaith Organization to implement the strategy in Boston. She and her colleagues faced a number of challenges in transferring the strategy, with some questioning whether the strategy was appropriate for the Boston marketplace. The project was at a critical point, and key decisions had to be made regarding project direction. Teaching Purpose: To explore a model of building affordable housing and the challenge of implementing it in different communities.

On September 25, 2002, Peter Anderson was due to meet with Morgan Stanley in ten minutes. Anderson had been the finance director of Canary Wharf Group (CWG) since Paul Reichmann and a group of investors had repurchased Canary Wharf in 1995. Anderson had joined Olympia & York in 1989 to finance Canary Wharf and had struggled through the bankruptcy of the project and its parent company, Olympia & York. He had stayed with Reichmann through those difficult years and worked with him to buy back the project from the banks. Largely due to Anderson's ability to raise the capital necessary for Canary Wharf to fund its growth, the project was now universally acclaimed as hugely successful. Anderson had now invested over half his professional life in Canary Wharf and he was anxious to find a solution to the conflicting objectives of the CWG.

Julio Martinez finds himself as one of the owners of the Arts Hotel Project in Barcelona, Spain. The 455-room hotel is managed by the Ritz Carlton and is in a 44-story tower along Barcelona's beachfront. Julio needs to figure out a strategy to maximize his investment, including a negotiation of the Ritz's operating agreement. Includes color exhibits.

This technical note explains in detail the investment evaluation techniques introduced in "Bonnie Road", HBS case no. 813-186.

Covers the evolution of retail real estate in the United States. Specifically covers types of retail centers, such as neighborhood, community, regional, and super-regional as well as the recent phenomenon of the 1990s to 2002 of the growing emergence of value retail, i.e., discount, off-price, and manufacturer outlet retailers.

Scott Malkin, CEO of Value Retail, a developer and operator of European outlet villages serving luxury brands, is planning on developing a 18,503 m2 open-air outlet village to be built 98 kilometers south of Milan on land he was about to acquire for 7.26 million lira. Is this a good investment? What are the risks associated with the project? Could Value Retail pursue its outlet strategy in Italy? Includes color exhibits.

Jack and Bruce Aspen must decide how they want to grow their commercial real estate finance company during a time of tremendous change in the industry.

Discusses the recent history of the commercial real estate financial market (pre-1990s-2001). Looks at the shift to more conventional capital markets for commercial real estate debt.

Doral Costa is a proposed 277,803 square foot Class A office park development in Miami, FL. Trammell Crow Co. would like to develop this office park in joint venture with a partner. Celia Cabrera, the acquisitions partner at Titan Associates, a large real estate institutional advisory firm, must decide whether to recommend participation in this development to her client, QRS, a public pension fund. Celia must evaluate this location, the Southern Florida office market, the proposed building design, the lease-up and financial projections, the economic terms of the deal, and the potential partner to make a decision.