Metric: Average cashflow

Practical notes for using Koreograph to value, finance, track and compare property opportunities.

Summary

Average cashflow summarises ongoing annual cashflow across the model horizon, with Koreograph excluding some abnormal refurb-period effects where appropriate.

How to apply it when assessing a deal

Use average cashflow to avoid overreacting to one unusually weak or strong year. It is especially useful where year one includes a void, refurb period or one-off finance cost.