I desparetely need help with a DCF valuation...!

Subscribe

Hello there,

I am a beginner so apologies for sounding like an amateur. I am currently analyzing a DCF valuation from CBRE for a commercial property. See the image below. The discount rate in the DCF is set at 8%. The rent/cash from the property flows monthly in advance (as far as that is relevant).

I'm confused, because the NOI in year 1 is 129.432, of which the PV is then 124.878. The NOI in year 2 is 140.815 of which the PV is 125.895, and the NOI in year 3 is 118.887, of which the PV is then 98.477.

When I calculate the PV of these cash flows at 8% I arrive at 119.844 for year 1, 120.726 for year 2 and 94.376 for year 3, so completely different. I am sure that I am doing something wrong or misunderstanding something.

I was wondering if any of you could help me out. I created my account at Wallstreet Oasis for the purpose of asking for help on this matter. Many thanks in advance for your time, I really appreciate it!

dcf

Comments (1)

Start Discussion

Popular Content See all

Biggest Regret in Undergrad
+52IBby Prospective Monkey in Investment Banking - Mergers and Acquisitions">Prospect in IB-M&A
The lighter side of IB! (Hopefully)
+33IBby 1st Year Analyst in Investment Banking - Mergers and Acquisitions">Analyst 1 in IB-M&A
Making the first move as a woman?
+12OFFby Intern in Investment Banking - Generalist">Intern in IB - Gen
Where are the 6 figs jobs out of undergrad?
+7OFFby Intern in Prop Trading">Intern in PropTrad

Total Avg Compensation

October 2020 Private Equity

  • Principal (6) $693
  • Director/MD (14) $640
  • Vice President (54) $362
  • 3rd+ Year Associate (60) $272
  • 2nd Year Associate (112) $246
  • 1st Year Associate (242) $222
  • 3rd+ Year Analyst (23) $162
  • 2nd Year Analyst (52) $141
  • 1st Year Analyst (151) $119
  • Intern/Summer Associate (17) $66
  • Intern/Summer Analyst (168) $60

Leaderboard See all

1
LonLonMilk's picture
LonLonMilk
98.4
2
Jamoldo's picture
Jamoldo
98.3
3
Secyh62's picture
Secyh62
98.2
4
CompBanker's picture
CompBanker
97.9
5
redever's picture
redever
97.7
6
Addinator's picture
Addinator
97.6
7
NuckFuts's picture
NuckFuts
97.5
8
frgna's picture
frgna
97.5
9
bolo up's picture
bolo up
97.5
10
Edifice's picture
Edifice
97.3