one slider. six buildings. same parcel. — OnlyPlans applet #1
Weighted cost of capital
8.5%
5%8%11%14%
8-story podium
Units that pencil—
Stories—
Construction type—
Cost / SF—
Required yield-on-cost—
Same parcel, different building
As the cost of capital rises, the required yield-on-cost rises. Tall concrete stops penciling. Then podium. Then wood wrap. Then garden. Then nothing. Same architect. Same parcel. Capital drew every one of these.