I don't under this "How to Analyze any Commercial Deal in 90 Seconds" worksheet
[http://thecommercialinvestor.com/wp-materials/uploads/2016/02/How-To-Analyze-Any-Commercial-Deal-in-90-Seconds.pdf](http://thecommercialinvestor.com/wp-materials/uploads/2016/02/How-To-Analyze-Any-Commercial-Deal-in-90-Seconds.pdf) 

I feel like there are some pieces missing.  In these ultra-simple examples, how are they determining that the real-world NOI can never approach the pro forma NOI? Aren't there some numbers missing from the hypothetical?  I don't get it...thanks. 
[{"id": "e8n0h0u", "text": "I have literally no idea what this is going on about, sorry. I think it\u2019s just someone did a bad job trying to explain that you should do your own diligence. ", "replies": [], "depth": 1}, {"id": "e8n102g", "text": "They are saying that you generally overpay when buying a property off of the proforma, because brokers will beef up the income to unrealistic numbers which puts too high of a value on he property. Depending on how the property is managed rents should grow on average about 3% each year not 10%. It all comes back to how you can provide value to the deal. If the property has a waiting list to rent an apartment then that probably means you can raise the rents quite a lot. ", "replies": [{"id": "e8n9awa", "text": "Thanks all! ", "replies": [], "depth": 2}], "depth": 1}, {"id": "e8n4kku", "text": "Never buy off projected proforma. I saved you like 87 seconds!!!", "replies": [{"id": "e8nbw60", "text": "Depends on the strategy. ", "replies": [], "depth": 2}], "depth": 1}, {"id": "e8pa1hq", "text": "NOI starts with PGI.  You would not pay the same for a 95% occupied 10,000 SF property and a 20,000 SF property that only had 9,500 SF rented because you have the potential to rent another 9,500 SF.  You would value as if the property was leased up and then make a below the line adjustment for the lost rents, lease up expenses and risk.  ", "replies": [], "depth": 1}]