Industrial Condo Development - Modeling

Hi All,

Doing some research for my firm on condo development and was wondering if you had any tips or things to look out for (modeling assumptions commonly missed) when modeling these types of development vs build to hold. A few questions off the top of my head to get started:

Corporate Overhead: This is typically covered off in operating expenses at the asset level when doing rentals. How do you pay for these expenses in condos? Just include in total project cost? Charge a larger asset management fee (which declines as units are sold) from your investors?

Return Metrics: From what I have read in this site, IRR is a poor metric as it is impacted so greatly by the timing of your sales. Is MOIC/profit % the name of the game? What would be a typical target?

Presales: I understand that there are certain thresholds needed to get attractive financing, and this will likely be different for industrial vs residential. Any info on this would be appreciated.

Thanks for the help.