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2
3
4
5
6
7
8
9
10
Note: Starboard of Miami is a single-phase construction project.
11
Specific Lease Terms
A. Land Lease Evaluation
Years Base Rent
2016 to 2020 $10/sf
2021 to 2025 $20/sf
2026 to 2035 $25/sf
2036 to 2091 $30/sf
B. Land Lease Including Cash Flow and Capital Event
Participation
Cash Flow: Development
Partner is offering 10% of
their Leveraged Cash Flow
share to PortMiami.
Capital Event: Affordable Housing will be donated to
PortMiami after a 10-year holding period. Using 7% cap rate,
the value upon donation will be $57MM.
Returns
Discount Rate 6.3%
NPV 75 year $ 171,047,290
NPV 18 year $ 103,062,574
Existing Financial Position
MSRC Ground Lease
Base Rent $ 1
Discount Rate 2.5%
NPV 18 year $ 4,894,961
Years Escalation
2013 10%
2018 10%
2023 10%
2028 10%
2033 10%
The Discount Rate is lower than Starboard of Miami’s
rate due to MSRC’s minimized risk of their existing lease
structure;
Starboard of Miami is offering 21x better return*
PortMiami Land Sale Option
PortMiami Land Sales
Land value $ 49,005,000
Investment
return 6.8%
Increase 2%
NPV 75 year $67,316,549
NPV 18 year $39,082,839
The Investment return is
5% higher than the
Starboard’s discount rate
based on opportunity
cost;
Years Escalation
2018 5%
2014 5%
2031 10%
2041 10%
2051 10%
2061 10%
2071 10%
2081 10%
2091 10%
Returns
Discount Rate 6.3%
NPV 75 year $ 142,654,495
NPV 18 year $ 74,669,780
Starboard of Miami is offering 2.6x better return*
*Using 18 years holding period
- 192,000 SF of open space yields opportunities for flexible
Program and community outreach space
- Immediate adjacency to transit plaza
- Sustainable Development/ LEED Platinum Facility:
water conservation, energy efficiency, site sensibility
and connection to alternative transportation -- main
cornerstones of the project.
C. Intangible - Land Value Creation
GROUND LEASE ANALYSIS
*Using 18 years holding period
12
13
FINANCIAL AND SENSITIVITY ANALYSIS
General Note: Development Partner’s returns are generated after 10% reduction from
ground land lease cash flow participation
BASELINE ASSUMPTIONS
SOURCES AND USES
14
View towards the city
(Financial Closing Cost)
15
View From Port Miami
STARBOARD OF MIAMI

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Team_5_Presentation

  • 1.
  • 2. 2
  • 3. 3
  • 4. 4
  • 5. 5
  • 6. 6
  • 7. 7
  • 8. 8
  • 9. 9
  • 10. 10 Note: Starboard of Miami is a single-phase construction project.
  • 11. 11
  • 12. Specific Lease Terms A. Land Lease Evaluation Years Base Rent 2016 to 2020 $10/sf 2021 to 2025 $20/sf 2026 to 2035 $25/sf 2036 to 2091 $30/sf B. Land Lease Including Cash Flow and Capital Event Participation Cash Flow: Development Partner is offering 10% of their Leveraged Cash Flow share to PortMiami. Capital Event: Affordable Housing will be donated to PortMiami after a 10-year holding period. Using 7% cap rate, the value upon donation will be $57MM. Returns Discount Rate 6.3% NPV 75 year $ 171,047,290 NPV 18 year $ 103,062,574 Existing Financial Position MSRC Ground Lease Base Rent $ 1 Discount Rate 2.5% NPV 18 year $ 4,894,961 Years Escalation 2013 10% 2018 10% 2023 10% 2028 10% 2033 10% The Discount Rate is lower than Starboard of Miami’s rate due to MSRC’s minimized risk of their existing lease structure; Starboard of Miami is offering 21x better return* PortMiami Land Sale Option PortMiami Land Sales Land value $ 49,005,000 Investment return 6.8% Increase 2% NPV 75 year $67,316,549 NPV 18 year $39,082,839 The Investment return is 5% higher than the Starboard’s discount rate based on opportunity cost; Years Escalation 2018 5% 2014 5% 2031 10% 2041 10% 2051 10% 2061 10% 2071 10% 2081 10% 2091 10% Returns Discount Rate 6.3% NPV 75 year $ 142,654,495 NPV 18 year $ 74,669,780 Starboard of Miami is offering 2.6x better return* *Using 18 years holding period - 192,000 SF of open space yields opportunities for flexible Program and community outreach space - Immediate adjacency to transit plaza - Sustainable Development/ LEED Platinum Facility: water conservation, energy efficiency, site sensibility and connection to alternative transportation -- main cornerstones of the project. C. Intangible - Land Value Creation GROUND LEASE ANALYSIS *Using 18 years holding period 12
  • 13. 13 FINANCIAL AND SENSITIVITY ANALYSIS General Note: Development Partner’s returns are generated after 10% reduction from ground land lease cash flow participation BASELINE ASSUMPTIONS
  • 14. SOURCES AND USES 14 View towards the city (Financial Closing Cost)
  • 15. 15 View From Port Miami STARBOARD OF MIAMI