Long time lurker here. Currently enrolled in a MSRE program looking to make a career switch. Been helping out with the modeling on a few deals. Just curious where it is most appropriate to include an annual broker-dealer fee (1.5% of initial equity) in the proforma cash flows? Would you include it below NOI but before equity, before tax cash flows, or would you not include until doing your cash flow available for distribution calculations?
Any insight as to industry norm (and why) would be much appreciated.
Hopefully, the question makes sense. Thanks