Financials · Flagship Project Pro-Forma
Notre Dame
Financial Model
Project-level financial pro-forma for the Notre Dame Centenarian Village flagship redevelopment. $212M capital raise into a $412M total-development program. Sources and uses, phase-level stabilised NOI, exit scenarios, and return profile.
Project Financials
Capital Raise$212M
Total Development Cost$412M
Stabilised NOI (Y5–6)~$26.3M
Base Case Exit Value~$478M
Upside Exit Value$1B+
Base Case MOIC~2.25x
Target Investor IRR15–20%
Incentives Absorbed$25.5M (base)
Total Incentives Available$100M+
Regional Impact (10-yr)$5.4B
01
Capital Stack
Sources and Uses
| Notre Dame (USD) | Amount | % |
|---|
| Sources |
| K7 Capital Raise (this ask) | $212M | 51% |
| Historic Tax Credits (HTC) | $15M | 4% |
| Tax Increment Financing (TIF) | $10M | 2% |
| Grants + Low-Carbon Incentives | $0.5M | <1% |
| Additional Incentives Available | $74.5M | 18% |
| Later-Stage Debt + Equity Tranches | $100M | 24% |
| Total Sources | $412M | 100% |
| Uses (across 10 phases) |
| Campus Acquisition (50 acres + 300K SF) | $60M | 15% |
| Phase 1 — Workforce Housing (327 units) | $35M | 8% |
| Phase 2 — Historic Hotel (120 suites) | $40M | 10% |
| Phase 3 — Health Center (25,900 SF) | $12M | 3% |
| Phase 4 — Mixed-Use (120 apts + 41 retail) | $28M | 7% |
| Phase 5 — Senior Living (200 units) | $25M | 6% |
| Phase 6 — Duplex BTR (120 units) | $35M | 8% |
| Phase 7 — Multifamily (240 units) | $65M | 16% |
| Phase 8 — Sports + Aquatic Lease | $5M | 1% |
| Phase 9 — Hydrogen Energy Hub (15 MW) | $10M | 2% |
| Academic Activation (PA + Nursing) | $2.5M | <1% |
| Soft Costs / Permits / Legal | $35M | 8% |
| Contingency | $30M | 7% |
| Working Capital / Lease-Up | $30M | 7% |
| Total Uses | $412M | 100% |
Phase 10 (AI Cloud Computing · 200 racks) structured as separate $200M tranche, not included in Notre Dame capital stack above.
02
Stabilised NOI
Revenue by Phase at Stabilisation
| Phase | Units / Scale | Stabilised Gross Revenue | NOI Margin | Stabilised NOI |
|---|
| Phase 1 · Workforce Housing | 327 units | ~$6.5M | ~60% | ~$3.9M |
| Phase 2 · Historic Hotel | 120 suites | ~$13M | ~30% | ~$3.9M |
| Phase 3 · Health Center | 25,900 SF | ~$1.5M | ~65% | ~$1.0M |
| Phase 4 · Mixed-Use Apts + Retail | 120 apts · 41 retail | ~$4.5M | ~55% | ~$2.5M |
| Phase 5 · Senior Living | 200 units | ~$9.5M | ~45% | ~$4.3M |
| Phase 6 · Duplex BTR | 120 units | ~$3.6M | ~60% | ~$2.2M |
| Phase 7 · Multifamily | 240 units | ~$7.0M | ~55% | ~$3.9M |
| Phase 8 · Sports Lease | Existing | ~$1.5M | ~80% | ~$1.2M |
| Academic Lease (PA + Nursing) | 15-yr term | ~$1.0M | ~90% | ~$0.9M |
| Phase 9 · Hydrogen Power | 15 MW | ~$5M | ~50% | ~$2.5M |
| Total Stabilised NOI | — | ~$53.1M | — | ~$26.3M |
Stabilisation assumed by Year 5–6 depending on phase. Hotel NOI margin reflects hospitality operating cost structure; housing phases reflect standard residential operating ratios.
03
Exit Scenarios
Path to $1B+ Stabilised Value
Stabilised NOI
~$26.3M
Base case · Y5-6
Blended Cap Rate
~5.5%
Mixed-use institutional asset
Base Case Exit Value
~$478M
NOI ÷ cap rate
Upside Exit Value
$1B+
With full incentive absorption + rent growth
Path to $1B+ Valuation
The management-projected $1B+ exit value assumes: (1) full absorption of the $100M+ available HTC/TIF/incentives over 2 years (vs $25.5M in base-case capital stack), (2) 3–4% annual rent escalation across housing phases driving Y5 NOI to ~$32M+, (3) cap-rate compression to 4.0–4.5% for institutional-grade mixed-use asset at full stabilisation, (4) separate valuation of Phase 10 AI cloud computing revenue stream (not included in base NOI above). Combined, these produce the $1B+ exit target.
Return Profile — Base Case
On $212M invested at base-case exit of ~$478M, gross return is ~2.25x MOIC over 5-year hold. Applying preferred-return waterfalls (typical 8% preferred + 80/20 LP/GP split above) produces investor IRR in the 15–20% range — aligned with K7's stated target profile. Upside case produces higher.
04
Incentive Stack
$100M+ Available · $25.5M Base-Case Absorption
Historic Tax Credits (HTC) — absorbed$15M
Tax Increment Financing (TIF) — absorbed$10M
Grants + Low-Carbon Incentives — absorbed$0.5M
Base Case Subtotal$25.5M
Additional HTC / TIF / OZ Available$74.5M
Total Stack Available Over 2 Years$100M+
Unmodeled Upside to LP Equity$74.5M+
Why This Matters
The base-case pro-forma only absorbs $25.5M of the $100M+ incentive stack. Every additional dollar absorbed reduces required LP equity, compresses payback, and drops straight through to investor IRR. This is the single largest source of asymmetric upside in the Notre Dame capital stack.
05
Key Assumptions
Pro-Forma Assumption Ledger
Construction timelinePhased across 24–36 months
Stabilisation timingYears 5–6 per phase
Annual rent escalation3–4% across housing phases
Hotel stabilised occupancy80%+
Housing NOI margin (blended)~55%
Hotel NOI margin~30%
Base-case exit cap rate~5.5%
Upside exit cap rate4.0–4.5%
LP preferred return8% (typical)
LP / GP waterfall split above preferred80 / 20 (typical)
Contingency reserve per phase5–8% of phase budget
Complete due-diligence package
Phase-by-phase build schedule, unit mix, incentive-award documentation, sponsor track record, and full sensitivity analyses available on request to accredited investors.
Disclaimer · Confidential Financial Model
Projected Financials · Forward-Looking
All financial figures for Notre Dame Centenarian Village are projected and forward-looking, based on management assumptions regarding construction cost, lease absorption, rent growth, hospitality ADR, and macro conditions. Actual results may differ materially. This is a 506(c) Reg D offering limited to accredited investors. Investment involves risk of loss of principal.
K7 Capital Partners · 2025 Guadalupe Street, Suite 260, Austin, TX 78705 · www.k7capitalpartners.com