The Template provides two measures of a developer's return on equity. These automatically calculated fields are:

• Cash on Cash Return (on equity), which calculates the percent of return on equity given the amount invested by the developer (developer equity) and the cash flow at the end of the each year. Note that the Template considers the developer fee a development cost and not a form of financing or equity for the project.
  
  
• Internal Rate of Return (IRR), which represents the rate of return on an initial investment across cash flows from multiple years, until the property is sold. The calculation includes an estimate of the value of the project when it will be sold.
  
  Note that the IRR calculation assumes that all profit accrues to the developer. However, projects may have more complex partnering agreements that distribute income among multiple entities. Note also that the IRR calculation does not take into account the tax benefits enjoyed by investors.