Estimate total return, equity multiple, yield-on-cost, and cash-on-cash return for any ground-up or value-add development project. Free, instant, no sign-in required.
Deal Quality
Below Threshold
Based on total ROI over 5-year hold
Total ROI
4.5%
Total Development Cost
$2.80M
$980K equity required
Projected Exit Value
$2.69M
At 5.5% cap rate
Net Operating Income
$148K
Annual stabilized NOI
Total Profit
$44K
Over 5 years
Yield on Cost
5.29%
Spread: +-0.21%
Cash-on-Cash Return
3.1%
Annual levered cash yield
Annualized ROI
0.9%
IRR approximation
Equity Multiple
1.04x
$1 in → $1KK out
Cost Breakdown
Get a Full AI Feasibility Report
Enter a real address to get zoning verification, market comparables, AI-generated architectural renderings, and a detailed financial model — in 4 minutes.
This calculator estimates the return on investment for ground-up real estate development projects, including multifamily, mixed-use, and build-to-rent. Enter your project's land cost, construction cost per square foot, total buildable area, unit count, and rent assumptions to get an instant ROI estimate.
Yield on Cost (YoC) is the NOI divided by total development cost. A positive development spread (YoC minus exit cap rate) is the fundamental driver of development profit. Most developers target a 100–200 basis point spread.
Cash-on-Cash Return measures annual cash flow after debt service as a percentage of equity invested. A healthy stabilized cash-on-cash for multifamily is typically 6–10%.
Total ROI includes both cash flow during the hold period and the profit from the exit sale. For a 5-year hold, most developers target 50–100%+ total ROI depending on risk profile.
Development Spread is the difference between your yield on cost and the market exit cap rate. A positive spread means you are creating value; a negative spread means you are buying at a premium to replacement cost.