CRE: office development joint venture
A ground-up office development drawing on a construction facility, capitalizing interest through the build, then stabilizing and refinancing.
Every number below is checked against an independent reference implementation on every commit — period by period, and on each metric, inside a declared tolerance. See benchmark methodology.
The case
A ground-up office development in Boston: a 36-story building funded quarter by quarter across a 2000–2003 construction period. Equity goes in first against a $110,738,000 commitment; once that is exhausted the construction facility draws the balance, and interest accrues on the drawn balance through the build.
The reference
A real, named transaction taught as a case study, with its funding exhibits published. The exhibit gives a sixteen-quarter draw schedule, an 8% rate and the equity commitment.
Redistributable. CC BY-NC-SA 4.0, so the source PDF is committed under
reference/ and a reader can mark every figure against it directly.
Every number asserted is the exhibit's, derived by the model from those three published drivers.
Provenance. The expectations are taken from an independent published reference, and a copy of it is committed under this case's reference/ directory, so a reader can open it and check every asserted figure against it.
What it exercises
| Pack | cre |
| Declared | one series assumption (assume … = curve step), one state, four native streams |
| Language features | a series-shaped assumption read per period, declared state as a running total, flows placed mid-period |
| Conventions | equity-first funding, a facility that draws only once equity depletes, construction interest on the drawn balance |
The case runs on native streams and a declared state rather than pack contracts, and that is its purpose: it proves the language expresses a depleting equity commitment with no domain vocabulary. The One Lincoln Street contract case states the same deal through the CRE pack's budget, equity and loan contracts, and the two agree in every cell. The development's cost is a stream, and every funding flow sits mid-quarter, as the exhibit states.
The result
Equity contribution and construction draw reproduce exactly to the dollar across all sixteen quarters. Construction interest totals 16,310,570 in the model against the exhibit's stated $16,312,000, within the case's tolerance.
Asserted: three stream columns quarter by quarter, plus the interest total.
The delta
The interest line carries a wider tolerance than the funding lines because the exhibit rounds its quarterly interest to whole thousands while compounding on unrounded balances, hence a per-period tolerance of 500. The funding lines, which the exhibit states exactly, match exactly.
Run configuration
{
"deterministic": {
"annual_discount_rate": 0.08
}
}Verified results
Checked period by period: 3 series across 16 periods — 48 values in all, each within ±500.0 of the reference.
equity.contributionloan.construction_drawloan.construction_interest
Summary metrics for the base run:
| Metric | Value | Tolerance |
|---|---|---|
domain.cre.debt_service | 16,310,570 | ±1500 |