Cumulative IRR definition
Cumulative IRR means the cumulative internal rate of return, compounded annually, from the Closing Date to the applicable Monetization Event determination date in question, as determined by the Committee, with respect to an investment equal to the Beginning Equity Value (treated as the amount invested on the Effective Date), treating each amount of CD Cash Received and ME Value Received as a return on that investment on the date(s) actually received.
Examples of Cumulative IRR in a sentence
For so long as any such asset backed loan shall be classified as an Impaired Asset, any loss or gain in respect of such loan shall not be included in the Net Asset Value calculations for purposes of determining the Incentive Fee payable to the Investment Manager under Section 8(b) below or for purposes of determining the Cumulative IRR under Section 16 below.
The “Excess Proceeds” shall mean the amount by which the net proceeds from the sale exceed a 25% Cumulative IRR on the Developer’s equity invested into the Development.