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Sample Pro Forma Single Family Rentalsconstruction financing costs and holding costs and/or has equity at risk in the project. Fees are typicallylower if NsP or other sources are funding all holding costs and the developer has little or no equity in theproject' ln general, fees should also be lower for "easy" proiects -- such as acquiring and selling homes ingood condition that require littte or no rehabilitation. Sometimes fees are established as a specific dollaramount per dwelling unit; this may be appropriate in projects where the per-unit development costs arerelatively low. For example, L5% ol a 5aQ000 total development cost may not be sufficient incentive for adeveloper to participate' Finally, it is generally not a good practice to both pay a fee and also reimburse thedeveloper for staffing and other internal costs; this raises the possiblity of ',double dipping.,,B. OPERATIT'JG PRO FORMAThe Operating Proforma worksheet is designed to summarize a rental project's bedroom distribution,income targets, operatinB income and expenses, net operating income (Nol) before debt service, estimateddebt service (from the operating page) and the NSP gap financing needed. This example shows only a singlerental unit and should be adapted as needed by the individual project.r First enter the Project Name, Developer Name and Address of property.t Enter the number of dwelling units of each type. A proforma could be used for several scattered-site unitsin one project, but with single-family rentals, the pro forma will typically be for a single dwelling unit, thoughit might be for a 2-4 unit property.r Enter the estimated monthly rental amounts. These should be based on "rent comparables,, of similarunits in the vicinity of the project, in conditions similar to the after-redeveloment condition of the rentalunit(s) in the project.r No "other income" is included because single-family rentals do not have income from sources such ascommon laundries or renting a function room.I Next, enter your project's estimated annual expenses in the expense line items. These should be based onpast experience of the developer or data obtained from similar types of rental projects. Maintenance costsof detached or semi-detatched single-family rentals are typically higher than for low-rise apartments.However, tenants in scattered-site rental units are typically responsible for grounds maintenance, per theirleases.