MDL 401 - Middle Housing Proformas and Financing
Course Description
This course focuses on the financial tools and decision-making frameworks required to evaluate, finance, and advance middle housing projects. Learners will develop a working understanding of real estate proformas, including how revenues, costs, and financing assumptions interact to shape project feasibility over time. The course introduces core and advanced financial metrics used by developers and lenders, and emphasizes the iterative nature of proforma development as projects move from concept through construction. Participants will explore a range of financing pathways, from conventional debt and equity to CMHC-backed programs and alternative capital structures, and learn how to assess risk through scenario and sensitivity analysis. Through applied exercises and real-world case studies, the course equips learners to assemble lender- and investor-ready financial packages and to design capital stacks that align with different middle housing project types, ownership models, and developer profiles.
Course Details
Learning Outcomes:
- Explain the purpose, structure, and iterative use of a real estate proforma for middle housing projects, and identify the key revenue, cost, and financing components that shape project feasibility across development stages.
- Construct a comprehensive middle housing proforma by integrating land, soft and hard costs, financing assumptions, and debt service, and calculate core financial metrics including Return on Cost (ROC), Return on Equity (ROE), and Internal Rate of Return (IRR).
- Model multiple development and ownership scenarios within a proforma, including rental versus for-sale outcomes, and apply sensitivity and scenario analysis to assess financial risk, uncertainty, and upside potential.
- Differentiate between common sources of capital for middle housing development, including debt, equity, and hybrid financing, and evaluate conventional and specialized lending products such as CMHC-backed programs in the Canadian context.
- Develop a financing strategy for a middle housing project by aligning the capital stack with project type and developer profile, preparing lender- and investor-ready documentation, and analyzing real-world case studies to support financing decisions.