MODEL DESIGN
How to Build a Multifamily Core/Core-Plus Pocket Model
Overview
ARTICLE IN PROGRESS
We're writing a deep engineering essay on AQ-110. How we built it, the design choices behind it, and how to use it. The model itself is live and available today.
AQ-110 is the multifamily screener for stabilized deals. When the asset already works (the rent roll is full, the operations are clean, the only question is price) you don't need ten tabs of structure to underwrite it. AQ-110 gives a one-page pro forma and return summary calibrated to the inputs a stabilized multifamily teaser actually delivers.
Planned Sections
When the full piece is published, it will cover:
- When the deal is stabilized: why a one-page pocket beats a 10-tab pro forma.
- Design choice: annual cash flows over monthly. Why monthly granularity is wasted on core deals.
- Design choice: simple rent growth and expense growth as scalar inputs.
- Design choice: levered IRR computed off a single capital stack, no waterfall.
- What's left for the boutique-tier model when you outgrow this one.
- How to use the pocket as a brokerage offering memo response.
For an example of the engineering-essay format this article will follow, see how we engineered AQ-141, the Multifamily Opportunistic Pro Forma Model.
About the Model
AQ-110 is a Pocket-tier multifamily core/core-plus screener. Single tab, scalar growth assumptions, single capital stack, no waterfall. Built for REPE analysts, brokers, and family offices triaging stabilized multifamily acquisitions where the work is pricing, not repositioning.