There is a perceived lack of affordable housing in the UAE. This document discusses potential options for delivering affordable housing, focusing on ways to reduce costs and risks for developers rather than demand-side initiatives. It outlines various product options and models used in other countries, including different types of affordable tenures like social rent, affordable rent, and shared ownership. It also analyzes ways to reduce the cost of land and construction risks for developers through mechanisms like long leaseholds, structured land payments, joint ventures, and government or corporate backed projects that take on more risk.
This document discusses hybrid financing through preferred stock. Preferred stock is a type of stock that promises a fixed dividend but payment is at the discretion of the board. It has preference over common stock for dividend payments and claims on assets up to par value. Key features of preferred stock include cumulative dividends that must be paid before common dividends, participating dividends that increase with common dividends, and potential voting rights in special situations. Advantages are that missed preferred dividends do not cause bankruptcy as with bonds, it avoids dilution of common equity, and repayment is spread over long periods. Disadvantages are preferred dividends are not tax deductible, so cost is higher than debt, and their use increases financial risk and cost of
This document summarizes two types of real estate financing structures - sale and leaseback and build-to-suit. Sale and leaseback involves selling an existing asset to an investor and leasing it back long-term, allowing the seller to access cash while maintaining control. Build-to-suit involves an investor funding and developing a new asset according to the occupier's specifications and then leasing it back long-term. Both structures provide upfront cash to occupiers in exchange for long-term lease payments and maintenance of operational control. The document outlines the key steps and structures for each approach.
Hybrid financing combines characteristics of both equity and debt. There are several types of hybrid financing including preference shares, convertible debentures, and warrants. Preference shares carry a fixed dividend and may be convertible or redeemable. Convertible debentures function as a debt instrument but can be converted into equity shares. Warrants provide the right to purchase shares at a fixed price over a set time period and are often issued with debentures.
Risk Insights - Wrap-up Insurance Programs for Construction ProjectsNicholas Toscano
Insuring all of the risks associated with large-scale construction projects can be a daunting task for the parties involved. The traditional insurance approach requires each party to procure and maintain separate coverage. Generally, the contractor and subcontractor then include the cost of insurance, plus a mark-up, in their project bids.
Typically, risk is then pushed downstream—from owners to general contractors, and from general contractors to subcontractors—through contractual indemnifications, contractually mandated minimum insurance requirements and additional insured provisions.
A Public Private Partnership Approch to Climate FinanceAldo Baietti
The detrimental effects of climate change are growing, yet investments in clean technologies are still grossly insufficient, making it necessary to re-think how these projects should be evaluated, structured and financed in order to render them viable and attractive opportunities to polluting alternatives. Existing approaches lack key features in order to adequately address the key financing challenges of these investments, and do not utilize public support to its maximum effectiveness. The international community is essential in resolving this financing challenge, and host governments need to create an environment that levels the playing field for green investments vis-à-vis their conventional alternatives. The Green Infrastructure Finance Framework places clean investments in a commonly understood framework of structured finance with public finance components, as in many hybrid PPPs. The framework includes four
main elements: (i) a viability gap methodology for evaluating, structuring and equitably allocating financing responsibilities to different private and public parties; (ii) linkage to a country’s PPP’s procurement and regulatory framework along with an MRV component for ensuring the service obligations of projects; (iii) measures for addressing the adequacy of the climate for these investments; and (iv) a financing and advisory interface for allocating a wide variety of public sources of financing in a coherent fashion.
Maurice inherited $500,000 and invested it in various assets on the advice of a financial advisor. He is now considering selling some investments and wants tax advice. The investments include stock, patents, franchises, bonds, partnerships, and real estate. Maurice does not understand the tax benefits of capital gains and wants an explanation. The chapter on capital gains and losses must be reviewed to formulate a response.
Roles for Financial Engineering In the Life Insurance IndustryFrank Zhang
Roles for Financial Engineering in the Life Insurance Industry
[1] Life insurance products are increasingly derivatives oriented and many of the same derivatives valuation techniques apply. [2] The hybrid products also create unique challenges and opportunities to financial engineers and derivative markets. [3] Quantitative research and stochastic model development are needed to address pricing of guarantees, hedging strategies, and dynamic policyholder behavior modeling.
This document discusses various sources of finance for companies, including debt instruments like term loans and debentures, equity like ordinary shares, and hybrid instruments such as preference shares, warrants, convertible securities, and American Depository Receipts (ADRs) and Global Depository Receipts (GDRs). Term loans are repaid over a set time period, debentures are unsecured debt, and ordinary shares represent equity ownership. Preference shares entitle holders to fixed dividends before ordinary shares, while warrants, convertible securities, and ADRs/GDRs are hybrid financial instruments.
This document discusses hybrid financing through preferred stock. Preferred stock is a type of stock that promises a fixed dividend but payment is at the discretion of the board. It has preference over common stock for dividend payments and claims on assets up to par value. Key features of preferred stock include cumulative dividends that must be paid before common dividends, participating dividends that increase with common dividends, and potential voting rights in special situations. Advantages are that missed preferred dividends do not cause bankruptcy as with bonds, it avoids dilution of common equity, and repayment is spread over long periods. Disadvantages are preferred dividends are not tax deductible, so cost is higher than debt, and their use increases financial risk and cost of
This document summarizes two types of real estate financing structures - sale and leaseback and build-to-suit. Sale and leaseback involves selling an existing asset to an investor and leasing it back long-term, allowing the seller to access cash while maintaining control. Build-to-suit involves an investor funding and developing a new asset according to the occupier's specifications and then leasing it back long-term. Both structures provide upfront cash to occupiers in exchange for long-term lease payments and maintenance of operational control. The document outlines the key steps and structures for each approach.
Hybrid financing combines characteristics of both equity and debt. There are several types of hybrid financing including preference shares, convertible debentures, and warrants. Preference shares carry a fixed dividend and may be convertible or redeemable. Convertible debentures function as a debt instrument but can be converted into equity shares. Warrants provide the right to purchase shares at a fixed price over a set time period and are often issued with debentures.
Risk Insights - Wrap-up Insurance Programs for Construction ProjectsNicholas Toscano
Insuring all of the risks associated with large-scale construction projects can be a daunting task for the parties involved. The traditional insurance approach requires each party to procure and maintain separate coverage. Generally, the contractor and subcontractor then include the cost of insurance, plus a mark-up, in their project bids.
Typically, risk is then pushed downstream—from owners to general contractors, and from general contractors to subcontractors—through contractual indemnifications, contractually mandated minimum insurance requirements and additional insured provisions.
A Public Private Partnership Approch to Climate FinanceAldo Baietti
The detrimental effects of climate change are growing, yet investments in clean technologies are still grossly insufficient, making it necessary to re-think how these projects should be evaluated, structured and financed in order to render them viable and attractive opportunities to polluting alternatives. Existing approaches lack key features in order to adequately address the key financing challenges of these investments, and do not utilize public support to its maximum effectiveness. The international community is essential in resolving this financing challenge, and host governments need to create an environment that levels the playing field for green investments vis-à-vis their conventional alternatives. The Green Infrastructure Finance Framework places clean investments in a commonly understood framework of structured finance with public finance components, as in many hybrid PPPs. The framework includes four
main elements: (i) a viability gap methodology for evaluating, structuring and equitably allocating financing responsibilities to different private and public parties; (ii) linkage to a country’s PPP’s procurement and regulatory framework along with an MRV component for ensuring the service obligations of projects; (iii) measures for addressing the adequacy of the climate for these investments; and (iv) a financing and advisory interface for allocating a wide variety of public sources of financing in a coherent fashion.
Maurice inherited $500,000 and invested it in various assets on the advice of a financial advisor. He is now considering selling some investments and wants tax advice. The investments include stock, patents, franchises, bonds, partnerships, and real estate. Maurice does not understand the tax benefits of capital gains and wants an explanation. The chapter on capital gains and losses must be reviewed to formulate a response.
Roles for Financial Engineering In the Life Insurance IndustryFrank Zhang
Roles for Financial Engineering in the Life Insurance Industry
[1] Life insurance products are increasingly derivatives oriented and many of the same derivatives valuation techniques apply. [2] The hybrid products also create unique challenges and opportunities to financial engineers and derivative markets. [3] Quantitative research and stochastic model development are needed to address pricing of guarantees, hedging strategies, and dynamic policyholder behavior modeling.
This document discusses various sources of finance for companies, including debt instruments like term loans and debentures, equity like ordinary shares, and hybrid instruments such as preference shares, warrants, convertible securities, and American Depository Receipts (ADRs) and Global Depository Receipts (GDRs). Term loans are repaid over a set time period, debentures are unsecured debt, and ordinary shares represent equity ownership. Preference shares entitle holders to fixed dividends before ordinary shares, while warrants, convertible securities, and ADRs/GDRs are hybrid financial instruments.
Project financing involves mobilizing debt, equity, hedges and guarantees through a newly organized company or partnership to fund a project. It has benefits like minimizing equity commitment, negotiating risk sharing, and separating project liabilities from corporate balance sheets. However, it also has disadvantages like delays in closing financing, higher risk premiums, and lenders requiring greater oversight. Major participants typically include sponsors, a project vehicle, construction contractors, lenders, insurance providers, off-takers, operators, and sometimes resource suppliers or government entities.
This document outlines key concepts and terms related to insurance. It defines risk management and explains the purpose of insurance is to transfer risk from the insured to the insurer. The main parties to an insurance contract are the insurer, who accepts the risk of loss in exchange for a premium, the insured, who is protected by the policy, and the policy itself, which is the contract. There are several types of insurance discussed, including life, property, health, automobile, and others. The document provides details on concepts like insurable interest, deductibles, and coinsurance. It also explains various types of policies and coverages in more depth.
This document summarizes the key aspects of IAS 23 Borrowing Costs. It defines borrowing costs and qualifying assets. For qualifying assets, borrowing costs directly attributable to the acquisition or construction must be capitalized as part of the asset cost, while other borrowing costs are expensed. Capitalization begins when expenditures are incurred, borrowing costs are incurred, and activities necessary for intended use/sale begin, and ceases when activities are substantially complete. An entity must disclose the amount of borrowing costs capitalized and capitalization rate used.
This document discusses sources of long-term financing for businesses. It focuses on debt financing through the issuance of bonds. It describes the basic features of bonds, including par value, coupon rate, maturity date, and current yield. It outlines the roles of trustees and indentures in bond issuances. It also discusses the risks associated with bonds, such as interest rate risk, reinvestment risk, default risk, inflation risk, and liquidity risk. Finally, it covers various types of bonds like zero-coupon bonds, floating-rate notes, junk bonds, convertible bonds, and Eurobonds.
This document provides an overview of mortgages and security interests. It defines key terms like secured vs unsecured loans and security interests. It describes different types of mortgages including conventional, adjustable rate, interest-only, balloon payment, and reverse mortgages. It explains the roles of Fannie Mae, Ginnie Mae, and Freddie Mac in the mortgage market and how securitization contributed to the financial crisis through risky loans like liar loans and NINJA loans. It also covers creating security interests in personal property and requirements for attachment.
This document provides information about Unit Linked Insurance Plans (ULIPs). It discusses that ULIPs focus on both risk coverage and investments. A portion of ULIP premiums goes towards life insurance coverage, while the remaining amount is invested in funds consisting of stocks and bonds. ULIPs offer flexibility to switch funds and alter life coverage amounts. Charges are deducted from ULIP premiums and ongoing fund values. Overall, ULIPs provide both insurance protection and investment opportunities for long-term goals.
This document discusses various types of long-term financing including leases, hire purchase financing, project financing, and venture capital financing. It provides details on operating leases, financial leases, sale and lease back arrangements, and differences between hire purchase and lease financing. Project financing relies on cash flows from the specific project, while venture capital involves equity participation and management involvement to support new firms over the long term.
Integrity Capital Management - Residential Proposal 2015Terrell Jolly
This document proposes a partnership between Integrity Capital Management and a property owner for residential property management. ICM would handle tasks like tenant screening, rent collection, maintenance coordination and reporting to maximize returns and minimize risks and liability for owners. The proposal outlines ICM's core principles and methodology, including tenant mapping, quarterly reporting and a commitment to open communication between owners, tenants and ICM. It argues that 2014 presents opportunities for real estate investing and outlines next steps to establish a management relationship.
BOARD OF REGISTRATION OF ARCHITECTS AND QUANTITY SURVEYORS (BORAQS) KENYA.
CONTINUOUS PROFESSIONAL DEVELOPMENT (CPD) SEMINAR ON THE THEME: “PROJECT FINANCING AND INVESTMENT PLANNING”.
BY OUMAR DIOP ENG, MBA, PMP
Bonds are a type of debt security where the issuer owes the bond holders interest payments and repayment of principal at maturity, with interest typically paid at fixed intervals. Bond holders are creditors who provide funds to the issuer in exchange for these payments. The major types of bonds include government bonds, corporate bonds, high yield bonds, zero coupon bonds, and convertible bonds.
Capitalism has a long history of boom and bust, we have to continue to learn by every crisis. Two key problems arose especial in Mega Developments in the region with the soft economy and mix use / market shift, the first being most developments are designed for continuous construction rather than phased and the second most master plans could not be phased efficiently with sustainability issues pushes to the forefront. The Presentation focuses on Developers dilemmas and lessons learned and highlight some of the solutions including cost share and cost recovery mechanisms adopted through a project case study.
This document discusses various forms of long term debt financing for companies. It describes capital markets which facilitate the trade of securities like stocks and bonds. Private placements involve direct selling of bonds to a small number of qualified institutional investors like banks and insurance companies. Commercial papers are short term unsecured notes issued by large companies and financial institutions with maturities of up to nine months. Corporate bonds are longer term debt instruments issued by corporations to raise funds. Medium term notes have maturities between 5-10 years and combine aspects of commercial papers and corporate bonds.
Issues in Public Private Partnership in India IPPAI
This document discusses issues with public-private partnerships (PPPs) in infrastructure projects in India. It outlines the ideal structure of a PPP, including creation of public assets using private capital that are eventually transferred to the government. However, it notes several issues that commonly arise with PPPs in different sectors like power generation, transmission, and other areas. Key challenges mentioned include unclear land acquisition frameworks, difficulties obtaining permits and clearances, financial closure problems, cost overruns due to delays, inaccurate demand estimates, and underestimation of total project costs. The document analyzes specific problems with the design-build-finance-operate-transfer (DBFOT) model used for many PPPs in India.
Short-term finance usually refers to additional money needed by a business for periods under one year. Main sources include trade credit, bridge financing from banks, commercial bank loans, commercial paper, and inter-corporate deposits. Venture capital finances new, risky ventures through equity, conditional loans, income notes, or participating debentures. Leasing and hire purchase provide equipment financing by periodic rental payments, with ownership transferring after full payment in hire purchase. Government programs subsidize industries in backward areas and defer or exempt sales taxes to attract businesses.
The document discusses Diminishing Musharakah (DM) as an Islamic financing mode for agricultural projects. DM is a form of Musharakah where a financier and client jointly own an asset, with the client gradually purchasing the financier's shares over time until becoming sole owner. The example shows a client purchasing a tractor through DM by initially contributing 10% equity and paying rent to purchase the bank's remaining 90% share over 3 years, after which the client owns the tractor outright.
role of state and market in housing delivery for low income groupsvikashsaini78
The document summarizes the role of the state, private sector, housing cooperatives, and financial institutions in providing housing for low-income groups in India. It discusses how early government programs from the 1950s-1980s primarily benefited higher income groups and failed to address the acute housing shortage. While the private sector now provides 84% of housing, most housing for the poor is informal and illegal as land is acquired at low cost. More recently, policies have aimed to enable affordable housing for all income groups through strengthening private and cooperative housing as well as expanding access to housing finance.
- Urbanization in India has increased rapidly, with the urban population growing at a CAGR of 2.8% between 2001-2011. This has led to a shortage of housing and overcrowding in urban areas.
- As of 2011, the estimated housing shortage in urban India was 24.71 million units, with 88% of the shortage for economically weaker sections and lower-income groups.
- Affordable housing is defined differently by various organizations but generally refers to housing that costs less than 5 times the annual income and has a monthly mortgage or rent payment of less than 30-40% of monthly income. There is still a large gap between the supply and demand of affordable housing in India.
W06.01 Summary Affordable Homes: Building mass housing in IndiaShuvashish Chatterjee
India has a deficit of 18 million homes in its cities. Majority of the demand is at a significantly lower price point compared to the mainstay industry. Over the next decade the country has to produce on an average 8500 low cost homes every day.
This adds up to an annual business potential of 30 Bn $.In our recent report Affordable Homes: Building Mass housing in India we evaluate the levers India has to pull it off.
Introduction to Housing: Housing And Delivery ProcessesAllona Alejandre
The document provides an introduction to housing in the Philippines. It discusses that housing varies for individuals based on factors like age, family, and geography. It also notes that the Philippines faces a huge demand for affordable housing units due to its growing population. Several government agencies are involved in housing delivery, including the National Housing Authority, Home Development Mutual Fund, and Housing and Urban Development Coordinating Council. The government aims to address the housing backlog through regulations, production of housing units, financing programs, and infrastructure development. However, challenges remain as rapid urbanization continues to outpace the government's ability to provide adequate housing and relocation assistance.
Project financing involves mobilizing debt, equity, hedges and guarantees through a newly organized company or partnership to fund a project. It has benefits like minimizing equity commitment, negotiating risk sharing, and separating project liabilities from corporate balance sheets. However, it also has disadvantages like delays in closing financing, higher risk premiums, and lenders requiring greater oversight. Major participants typically include sponsors, a project vehicle, construction contractors, lenders, insurance providers, off-takers, operators, and sometimes resource suppliers or government entities.
This document outlines key concepts and terms related to insurance. It defines risk management and explains the purpose of insurance is to transfer risk from the insured to the insurer. The main parties to an insurance contract are the insurer, who accepts the risk of loss in exchange for a premium, the insured, who is protected by the policy, and the policy itself, which is the contract. There are several types of insurance discussed, including life, property, health, automobile, and others. The document provides details on concepts like insurable interest, deductibles, and coinsurance. It also explains various types of policies and coverages in more depth.
This document summarizes the key aspects of IAS 23 Borrowing Costs. It defines borrowing costs and qualifying assets. For qualifying assets, borrowing costs directly attributable to the acquisition or construction must be capitalized as part of the asset cost, while other borrowing costs are expensed. Capitalization begins when expenditures are incurred, borrowing costs are incurred, and activities necessary for intended use/sale begin, and ceases when activities are substantially complete. An entity must disclose the amount of borrowing costs capitalized and capitalization rate used.
This document discusses sources of long-term financing for businesses. It focuses on debt financing through the issuance of bonds. It describes the basic features of bonds, including par value, coupon rate, maturity date, and current yield. It outlines the roles of trustees and indentures in bond issuances. It also discusses the risks associated with bonds, such as interest rate risk, reinvestment risk, default risk, inflation risk, and liquidity risk. Finally, it covers various types of bonds like zero-coupon bonds, floating-rate notes, junk bonds, convertible bonds, and Eurobonds.
This document provides an overview of mortgages and security interests. It defines key terms like secured vs unsecured loans and security interests. It describes different types of mortgages including conventional, adjustable rate, interest-only, balloon payment, and reverse mortgages. It explains the roles of Fannie Mae, Ginnie Mae, and Freddie Mac in the mortgage market and how securitization contributed to the financial crisis through risky loans like liar loans and NINJA loans. It also covers creating security interests in personal property and requirements for attachment.
This document provides information about Unit Linked Insurance Plans (ULIPs). It discusses that ULIPs focus on both risk coverage and investments. A portion of ULIP premiums goes towards life insurance coverage, while the remaining amount is invested in funds consisting of stocks and bonds. ULIPs offer flexibility to switch funds and alter life coverage amounts. Charges are deducted from ULIP premiums and ongoing fund values. Overall, ULIPs provide both insurance protection and investment opportunities for long-term goals.
This document discusses various types of long-term financing including leases, hire purchase financing, project financing, and venture capital financing. It provides details on operating leases, financial leases, sale and lease back arrangements, and differences between hire purchase and lease financing. Project financing relies on cash flows from the specific project, while venture capital involves equity participation and management involvement to support new firms over the long term.
Integrity Capital Management - Residential Proposal 2015Terrell Jolly
This document proposes a partnership between Integrity Capital Management and a property owner for residential property management. ICM would handle tasks like tenant screening, rent collection, maintenance coordination and reporting to maximize returns and minimize risks and liability for owners. The proposal outlines ICM's core principles and methodology, including tenant mapping, quarterly reporting and a commitment to open communication between owners, tenants and ICM. It argues that 2014 presents opportunities for real estate investing and outlines next steps to establish a management relationship.
BOARD OF REGISTRATION OF ARCHITECTS AND QUANTITY SURVEYORS (BORAQS) KENYA.
CONTINUOUS PROFESSIONAL DEVELOPMENT (CPD) SEMINAR ON THE THEME: “PROJECT FINANCING AND INVESTMENT PLANNING”.
BY OUMAR DIOP ENG, MBA, PMP
Bonds are a type of debt security where the issuer owes the bond holders interest payments and repayment of principal at maturity, with interest typically paid at fixed intervals. Bond holders are creditors who provide funds to the issuer in exchange for these payments. The major types of bonds include government bonds, corporate bonds, high yield bonds, zero coupon bonds, and convertible bonds.
Capitalism has a long history of boom and bust, we have to continue to learn by every crisis. Two key problems arose especial in Mega Developments in the region with the soft economy and mix use / market shift, the first being most developments are designed for continuous construction rather than phased and the second most master plans could not be phased efficiently with sustainability issues pushes to the forefront. The Presentation focuses on Developers dilemmas and lessons learned and highlight some of the solutions including cost share and cost recovery mechanisms adopted through a project case study.
This document discusses various forms of long term debt financing for companies. It describes capital markets which facilitate the trade of securities like stocks and bonds. Private placements involve direct selling of bonds to a small number of qualified institutional investors like banks and insurance companies. Commercial papers are short term unsecured notes issued by large companies and financial institutions with maturities of up to nine months. Corporate bonds are longer term debt instruments issued by corporations to raise funds. Medium term notes have maturities between 5-10 years and combine aspects of commercial papers and corporate bonds.
Issues in Public Private Partnership in India IPPAI
This document discusses issues with public-private partnerships (PPPs) in infrastructure projects in India. It outlines the ideal structure of a PPP, including creation of public assets using private capital that are eventually transferred to the government. However, it notes several issues that commonly arise with PPPs in different sectors like power generation, transmission, and other areas. Key challenges mentioned include unclear land acquisition frameworks, difficulties obtaining permits and clearances, financial closure problems, cost overruns due to delays, inaccurate demand estimates, and underestimation of total project costs. The document analyzes specific problems with the design-build-finance-operate-transfer (DBFOT) model used for many PPPs in India.
Short-term finance usually refers to additional money needed by a business for periods under one year. Main sources include trade credit, bridge financing from banks, commercial bank loans, commercial paper, and inter-corporate deposits. Venture capital finances new, risky ventures through equity, conditional loans, income notes, or participating debentures. Leasing and hire purchase provide equipment financing by periodic rental payments, with ownership transferring after full payment in hire purchase. Government programs subsidize industries in backward areas and defer or exempt sales taxes to attract businesses.
The document discusses Diminishing Musharakah (DM) as an Islamic financing mode for agricultural projects. DM is a form of Musharakah where a financier and client jointly own an asset, with the client gradually purchasing the financier's shares over time until becoming sole owner. The example shows a client purchasing a tractor through DM by initially contributing 10% equity and paying rent to purchase the bank's remaining 90% share over 3 years, after which the client owns the tractor outright.
role of state and market in housing delivery for low income groupsvikashsaini78
The document summarizes the role of the state, private sector, housing cooperatives, and financial institutions in providing housing for low-income groups in India. It discusses how early government programs from the 1950s-1980s primarily benefited higher income groups and failed to address the acute housing shortage. While the private sector now provides 84% of housing, most housing for the poor is informal and illegal as land is acquired at low cost. More recently, policies have aimed to enable affordable housing for all income groups through strengthening private and cooperative housing as well as expanding access to housing finance.
- Urbanization in India has increased rapidly, with the urban population growing at a CAGR of 2.8% between 2001-2011. This has led to a shortage of housing and overcrowding in urban areas.
- As of 2011, the estimated housing shortage in urban India was 24.71 million units, with 88% of the shortage for economically weaker sections and lower-income groups.
- Affordable housing is defined differently by various organizations but generally refers to housing that costs less than 5 times the annual income and has a monthly mortgage or rent payment of less than 30-40% of monthly income. There is still a large gap between the supply and demand of affordable housing in India.
W06.01 Summary Affordable Homes: Building mass housing in IndiaShuvashish Chatterjee
India has a deficit of 18 million homes in its cities. Majority of the demand is at a significantly lower price point compared to the mainstay industry. Over the next decade the country has to produce on an average 8500 low cost homes every day.
This adds up to an annual business potential of 30 Bn $.In our recent report Affordable Homes: Building Mass housing in India we evaluate the levers India has to pull it off.
Introduction to Housing: Housing And Delivery ProcessesAllona Alejandre
The document provides an introduction to housing in the Philippines. It discusses that housing varies for individuals based on factors like age, family, and geography. It also notes that the Philippines faces a huge demand for affordable housing units due to its growing population. Several government agencies are involved in housing delivery, including the National Housing Authority, Home Development Mutual Fund, and Housing and Urban Development Coordinating Council. The government aims to address the housing backlog through regulations, production of housing units, financing programs, and infrastructure development. However, challenges remain as rapid urbanization continues to outpace the government's ability to provide adequate housing and relocation assistance.
The document discusses urban regeneration as a tool for housing delivery in Nigeria. It outlines the concepts and types of regeneration, challenges of housing delivery in Nigeria including issues with land, finance, and previous housing policies. It provides examples of urban renewal programs in Lagos, challenges they face, and examples of regeneration programs in other countries. Regeneration can help address poverty, unemployment, infrastructure issues, and improve communities when implemented as a coordinated long-term economic, social and environmental intervention.
Infrastructure Planning & Housing Delivery - Who Pays?Samuel Stafford
1) Infrastructure delivery and housing development viability depend on balancing the interests of local planning authorities, developers, and landowners.
2) The Community Infrastructure Levy aims to capture some of the land value uplift from development to fund new infrastructure, but regulations and viability concerns have limited its effectiveness.
3) In weak economic times, regeneration and residential land delivery face challenges from constrained public spending and credit availability, changing the way infrastructure is funded and sites are brought forward.
At our Wednesdays With Redchip event in July, experts from our property team discussed the common issues and questions that arise surrounding major transactions, including:
Development, funding and joint venture structures.
How do put and call options work, and why would I use one?
Transactional and holding taxes: can I limit, defer or avoid?
Property Development Finance Guide-20 Steps to Success-Blueray Capital.pdfBlueray Capital
20 key steps, important terminology and metrics to secure development finance for your UK property development project. A useful development finance guide by Blueray Capital.
Shared Ownership 2.0 towards a fourth mainstream tenureChristoph Sinn
Shared ownership could help address the UK's broken housing market by becoming a mainstream tenure option for more people. The report examines barriers to expanding shared ownership, including increasing awareness of the product, developing consistency in eligibility criteria to boost lender confidence, and providing flexibility for households as their circumstances change. Achieving greater scale will require efforts from housing associations, developers, government, lenders, and regulators to streamline the product and increase investment.
REAL ESTATE LAW DUMBED DOWN 2022 - Representing the Commercial LandlordFinancial Poise
The process of representing a commercial landlord in a lease transaction is multi-faceted. While generation of cash flow is the ultimate goal, there are other very important goals. These include minimizing risk, preserving the asset, enhancing the property and about a multitude of other issues.
This webinar provides powerful ammunition for both landlord reps and tenant reps to have in their arsenal. It focuses on the major concerns of real estate professionals in advising a landlord. When should the landlord insist on the language in the lease, and when should the landlord consider a concession or compromise? What is the role of the local real estate market in this analysis and why is it so important? After participating in this webinar, one will have a solid grasp of what commercial landlords need and why.
Part of the webinar series:
REAL ESTATE LAW DUMBED DOWN 2022
See more at https://www.financialpoise.com/webinars/
This document proposes an interest-free housing investment model based on diminishing musharaka. It aims to provide Muslims in the UK an alternative to conventional mortgages to purchase homes through non-riba loans and give investors an opportunity for interest-free returns. The model involves investors funding a property purchase, with the buyer gradually increasing ownership through monthly installments and rental payments until owning it completely after a predefined period. It also discusses synthetic diminishing musharaka as a viable Islamic financing structure that behaves like a normal mortgage but provides investors returns comparable to buy-to-let.
This chapter discusses factors to consider when making housing decisions, including evaluating options like renting, buying, or building a home. It covers the home buying process, financing options, costs of purchasing a home, refinancing, and developing a strategy for selling a home. The document provides guidance on analyzing costs and benefits of different housing choices and implementing the steps to purchase, finance, and sell a property.
This document provides an overview of various project financing methods, including equity methods like common stock and preferred stock, debt methods like bonds and loans, and discusses their advantages and disadvantages. It also categorizes the major worldwide segments of project financing as infrastructure like power, transportation, oil and gas. Motivations for project financing include reducing risks, making use of tax benefits, and ensuring projects are completed on time. The document discusses the definitions of projects and project financing and provides a history of project financing dating back to the 13th century.
Nj future redevelopment forum 2014 eminent domain valloneNew Jersey Future
This document discusses 12 strategies for real estate developers to acquire land for redevelopment projects without using eminent domain. It describes strategies such as joint ventures with landowners, various types of seller financing through purchase money notes, options to purchase land in phases or entirely, and sale contracts with extended timelines or formula-based pricing. The goal is to structure deals that balance the risks and rewards for both the developer and landowner.
The document discusses the challenges of financing commercial real estate projects in the current economic downturn. It notes that obtaining financing now requires savvy sponsors with solid projects, as liquidity in the capital markets is severely constrained. It provides an overview of the information needed to understand financing options and increase the odds of success, such as understanding different capital providers and how to structure financing to address operating considerations, rates, and exit options. The document emphasizes the importance of a comprehensive capital formation strategy and maximizing the use of structured finance solutions to improve leverage, efficiency, and costs.
This document discusses various approaches to investing in property, focusing on residential property investments. It outlines some of the key reasons why property investing has become popular, including the familiarity and comfort people have with property, and the ability to use leverage through mortgages. The document then examines different types of residential property investments including home ownership, which provides tax advantages but less liquidity, and buy-to-let properties, which generate rental income but involve management responsibilities. It analyzes some of the risks and benefits of each approach.
The real estate market has been impacted by inflationary prices, increased opportunities for remote work, and racial justice challenges to historical disinvestment in communities of color. This Financial Poise webinar examines the types of real estate projects that help stabilize and strengthen our population centers, including affordable housing and other types of community developments, and explains the various types of economic incentives available to investors who participate in these projects.
Part of the webinar series: REAL ESTATE INVESTING 101 - 2022
See more at https://www.financialpoise.com/webinars/
Volition Properties hosted an investment mastermind on insurance for real estate investors. An insurance expert discussed common pitfalls in investment property insurance policies, including named perils coverage versus broad form coverage, actual cash value versus replacement cost valuation, vacancy period allowances, and ensuring coverage for tenant damage, rental income loss, and risks like flooding and earthquakes. The expert also introduced an investment property asset protection program tailored for real estate investors.
This document provides information to help readers choose an appropriate loan for a property investment. It discusses how the right loan can influence cash flow and returns. It then introduces Mortgage Choice, who can help investors understand their borrowing capacity and recommend suitable loan options. Key services mentioned are providing estimates of potential rental income and repayments to help narrow a property search.
What is Fractional Ownership in Real Estate and How Does it WorkJohnEdward80
Real estate ownership can be a lucrative investment, but it can also come with significant financial and logistical burdens. This is where fractional ownership comes into play, offering a way to invest in high-value real estate properties without shouldering the full burden of ownership. In fractional ownership, multiple investors come together to jointly own a property and share the costs and benefits of ownership.
This arrangement has become increasingly popular in recent years, particularly for vacation homes and luxury properties. In this blog post, we will delve into the concept of fractional ownership in real estate, how it works, its benefits and drawbacks, the different types of fractional ownership, and how to invest in fractional ownership in real estate. By the end of this article, you will have a solid understanding of this innovative investment strategy and whether it is the right choice for your real estate investment goals.
Fractional ownership is a popular way for multiple individuals to share ownership of a real estate property. In fractional ownership, each owner owns a percentage of the property, typically in the form of shares. This can be a great way to invest in a high-value property that may be out of reach for a single buyer. The shares can be sold or transferred like any other asset, and the owners may be able to use the property for a certain amount of time each year. In this blog, we will explore the basics of fractional ownership and how it works. Fractional ownership, also known as shared ownership, is a form of real estate ownership where multiple individuals hold shares in a single property. Each owner holds a percentage of the property, which can be represented in the form of shares.
Term loans are commonly used by small businesses to purchase equipment, buildings, or other fixed assets needed to operate. They typically have maturities of 1-5 years and require collateral. Interest rates can be fixed or variable. Lenders often include restrictive covenants in loan agreements regarding working capital, debt levels, dividends, management changes, asset sales, and additional borrowing. Common sources of term loans include banks, insurance companies, finance companies, the SBA, and other government agencies.
Building housing that will remain affordable for years to come is a complex undertaking. It can also be expensive. How do we talk and think about cost comparisons, cost containment, and new approaches? What has recent analysis taught us about costs and alternative development models? We’ll get a preview of the work that’s still ahead to reach agreement on priorities and to communicate well about the tradeoffs and choices we make.
Margaret Van Vliet, Director, Oregon Housing and Community Services
Michael Parkhurst, Affordable Housing Initiative Program Officer. Meyer Memorial Trust
An appraisal of sale leaseback transaction in nigeria property marketAlexander Decker
This document summarizes a research paper on sale-leaseback transactions in Nigeria's property market. It begins by defining sale-leaseback as a transaction where a property owner sells real estate to an investor and then leases it back, providing both parties benefits. The paper then explores perceptions of and adoption of sale-leaseback in Nigeria. It finds that while sale-leaseback can provide alternative financing and free up capital for property owners, investors in Nigeria lack awareness of it due to cultural, policy and land title issues. The paper recommends the government develop frameworks and an enabling environment to promote greater use of sale-leaseback transactions.
A bondable lease, also known as a credit tenant lease or hell or high water lease, is a long-term commercial lease granted to a tenant with a strong credit rating that generates a stable income stream to repay bonds. The lease transfers responsibilities from the landlord to the tenant through a triple net structure. This allows a special purpose vehicle to finance the property through bond issuances backed by the tenant's credit instead of the underlying real estate asset. Typical bondable leases have terms of 20-25 years and include provisions to mitigate risk for bondholders such as mandatory insurance policies and restrictions on the tenant's early termination rights.
CPC Finance July Investor Day - Emma Cox HMO brainstormCPCFinance
Emma Cox, Sales Director at Shawbrook Bank, presented on HMO financing options at a property investor event. She discussed using short term loans to purchase or refinance properties for conversion to HMOs, and using term finance once converted. Overall costs for investment products start at 5.8% APR and 12.2% APR for short term products. Topics included HMO regulations, valuation considerations for HMOs, legal processes, and title insurance. The role of brokers in assisting with complex transactions was also noted.
Similar to Affordable Housing Delivery Feb 2016 (20)
Jumeirah Village Circle is a large master planned community located 20 minutes from Downtown Dubai and 30 minutes from Al Maktoum International Airport. The community covers 860 hectares and will contain over 12,700 residential units including apartments, villas and townhouses when complete. Amenities include a shopping mall, community center, sports fields, mosques, schools and parks. Recent sale listings in the community include two 2-bedroom villas for AED 2.6 million each and a 1-bedroom apartment for AED 790,000.
Saadiyat Island is a man-made island off the coast of Abu Dhabi that is being developed into residential, cultural, and tourism districts. It will be home to world-class museums like the Louvre Abu Dhabi and Guggenheim Abu Dhabi. The island is divided into the Saadiyat Beach District with luxury hotels and resorts, the Saadiyat Marina District with residential communities and offices, and the Saadiyat Cultural District containing museums, parks and other attractions. Development is expected to be completed by 2020.
The document provides an overview of the Abu Dhabi residential property market in Q1 2016. It notes that apartment and villa prices declined slightly by 1-2% compared to the previous quarter, while rental rates also decreased between 1-2%. The report also highlights that 2,400 new residential units are expected to be completed in Abu Dhabi during 2016.
The document provides a quarterly report on the Dubai residential property market. Some key points:
- Apartment and villa sale prices declined 2-5% in Q1 2016 compared to Q4 2015, with overall average decreases of 3%, while rents also declined up to 4%.
- Approximately 4,600 residential units were completed in Q1 2016, with 44% being apartments and 38% townhouses. New supply has put downward pressure on both prices and rents.
- Macroeconomic factors like lower oil prices, a strong dollar, and increased supply continue to impact the real estate market negatively. The outlook remains cautious as buyers and sellers wait for further price adjustments.
This document discusses best practices for selecting a hotel operator partner. It advises commissioning an independent feasibility report to identify the right operator fit. Developers should look at multiple operator options rather than setting their heart on one, to encourage competition and better terms. Negotiating contracts requires specialized advice, as agreements can contain hidden fees weighted towards the operator. Choosing the right long-term operator partner is important to maximize returns and property value over the life of the project.
The document provides statistics on contract awards and projects in Egypt's hotel and tourism sector from 2008 to 2014. It shows the total contract value and number of projects planned or underway each year. The top 10 projects are also listed, ranging from large resort and hotel developments to malls and entertainment facilities. The largest project was a $1.6 billion beach resort developed by Emaar Misr for Development.
Arabian Ranches is a 1,650 acre residential development in Dubai launched in 2003 and completed in 2005. It consists of 14 sub-communities containing villas and townhouses ranging from 2 to 7 bedrooms. Amenities include the Dubai Equestrian & Polo Club, Arabian Ranches Community Centre, and schools. Saheel is one of the sub-communities within Arabian Ranches containing 829 villas ranging from 3 to 5 bedrooms. It has community facilities like pools, parks, and sports courts. Recent villa sales in Saheel have ranged from AED 2.5-6.7 million.
This document summarizes the Abu Dhabi residential property market in Q4 2015. It finds that apartment and villa prices declined slightly by 1% during the quarter. Over the past year, apartment prices dropped 3% on average while villa prices fell 4%. Rent performance was mixed across areas, with some like Al Raha Beach and Al Reem Island seeing stable rents and others like Al Reef Downtown declining 1-2%. Approximately 2,700 new residential units were completed in 2015, mainly on Al Reem Island and Saadiyat Island. Over 14,600 additional units are scheduled to enter the market between 2016-2018, with over 60% in 2017.
This document summarizes the Dubai residential property market report for Q4 2015 from Cavendish Maxwell. It finds that during this period, apartment prices declined 1% on average across Dubai, with some peripheral locations falling more. Villa prices also declined 1% on average. Rents for both apartments and villas declined approximately 1% as well. Looking ahead to 2016, the report forecasts continued supply of new residential units but some delays, with prices and rents expected to remain stable.
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Amit Shukla
Senior Associate
Development Advisory and Real Estate Research
M: +971 56 360 3540
E: amit.shukla@cavendishmaxwell.com