Real Estate IRR Waterfall Calculator

Model real estate joint venture waterfall distributions. Calculate tiered returns based on preferred return hurdles, GP/LP split above hurdles, catch-up provisions, and promote structure for common real estate fund structures.

Principal ($)
Annual Rate (%)
Years
Compounding / Year
$ Finance Disclaimer: These calculators are for educational and illustrative purposes only. Results do not constitute financial advice. Consult a licensed financial advisor before making investment or borrowing decisions.
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How It Works

Model real estate joint venture waterfall distributions. Calculate tiered returns based on preferred return hurdles, GP/LP split above hurdles, catch-up provisions, and promote structure for common real estate fund structures

Each component has a specific meaning:

  • Preferred return hurdles — The preferred return hurdles recorded for the scenario being assessed.
  • GP/LP split above hurdles — The gp/lp split above hurdles recorded for the scenario being assessed.
  • Catch-up provisions — The catch-up provisions recorded for the scenario being assessed.
  • Promote structure — The promote structure recorded for the scenario being assessed.

Note: Interpret the irr waterfall result against the thresholds and context described above.

How to Use

Enter the preferred return hurdles, GP/LP split above hurdles, catch-up provisions, promote structure for the scenario you are assessing. Model real estate joint venture waterfall distributions. Calculate tiered returns based on preferred return hurdles, GP/LP split above hurdles, catch-up provisions, and promote structure for common real estate fund structures. Use the irr waterfall result to inform your calculation.

Frequently Asked Questions