BUILD NYC RESOURCE CORPORATION PROJECT COST/BENEFIT ANALYSIS July 16, 2015

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1 BUILD NYC RESOURCE CORPORATION PROJECT COST/BENEFIT ANALYSIS July 16, 2015 APPLICANT Hannah Senesh Community Day School 342 Smith Street Brooklyn, NY PROJECT LOCATION 342 Smith Street Brooklyn, NY A. Project Description: The Hannah Senesh Community Day School (the School ) is a not-for profit educational corporation which operates a coeducational school for students from kindergarten through 8th grade. The School is seeking approval for the issuance of approximately $5,000,000 in tax-exempt bonds to: (i) refinance the outstanding New York City Industrial Development Agency ( NYCIDA ) Civic Facility Revenue Bonds Series 2005A in the approximate amount currently outstanding of $4,449,178, the proceeds of which were used, in conjunction with NYCIDA Civic Facility Revenue Bonds Series 2005B, to acquire, renovate, and construct a 26,896 square foot building located at 342 Smith Street, Brooklyn, New York, (ii) refinance a taxable, interest-free loan of $200,000, the proceeds of which were used to accelerate the prepayment of the Series 2005B bond; and (iii) finance certain costs of issuance for the bonds. The School currently employs 53 full-time equivalent employees at the project location and expects to hire 8 additional employees within the next three years. B. Costs to City (New York City taxes to be exempted): Mortgage Recording Tax Benefit: $ 81,250 Estimated NYC Forgone Income Tax on Bond Interest: (estimated NPV %)* 12,842 Total Cost to NYC $ 94,092 *The exact amount of personal income tax revenue that will be lost as a result of this transaction depends on factors including (but not limited to) the percentage of bond bought by entities subject to New York City personal income taxes, the interest income generated from the bonds and the tax rate applied to bond purchasers. C. Benefit to City (Estimated NYC direct and indirect taxes to be generated by Company) (estimated NPV %): $ 2,829,647

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3 Core Application - Project Information Background Please provide a brief description of the Applicant s history and nature of its business, including a description of the industry, competitors and services offered, on a separate sheet. Proposed Project Activities Please provide answers to the following four questions on a separate page. 1. Please provide a brief overview of the entire proposed Project. If necessary, break down by tax lot to describe activities at each Project Location. 2. Please provide a brief description of how the proposed Project will affect current operations. 3. Please provide a brief description of renovations/construction of the proposed Project. 4. Please provide a brief timeline for the entire proposed Project. Project Financing Amounts provided should be aggregates for all Project Locations. Sources of Funds (If needed use an additional sheet to indicate all sources and uses) Uses of Funds Bond Proceeds Commercial Financing (Loan 1) Commercial Financing (Loan 2) Affiliate/ Employee Loans Capital Campaign Company Funds Other (Identify): Total Uses Series 2005A Refunding 4,449,178 4,449,178 Loan Refinancing 200, ,000 Construction Soft Costs Fixed Tenant Improvements Furnishings & Equipment Debt Service Reserve Fund Capitalized Interest Costs of Issuance 100, ,000 Fees (explain): Title, Issuer, etc Other (explain) 250, ,822 Total Sources 5,000,000 5,000,000 Operating Pro Forma (for NYCIDA applicants only) Please provide an operating pro forma or other financial analysis demonstrating how NYCIDA assistance is needed in order to make the Project feasible. Sourcing Please list where machinery, equipment and furnishings will be purchased and what percentage of total machinery, equipment, and furnishings relating to the Project this will represent: New York City New York State (excluding NYC) United States (excluding NYS & NYC) Outside United States N/A No equipment is planned to be purchased for this Project % of Total? % of Total? % of Total? % of Total? 2

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