BJH Advisors provided financial analysis expertise for the Town of Morristown, New Jersey in negotiation with the selected developer for Phase II of the Speedwell Avenue Redevelopment Plan. The redevelopment plan called for construction of multi-family housing, as well as streetscape improvements along a key corridor in the town. BJH Advisors applied the developer’s program, financing, income, and expense assumptions to a cash flow analysis to estimate the developer’s return. BJH Advisors also conducted sensitivity analysis to test the impact on developer return of variables such as percent of affordable housing units, land sale price, and the rate of the payment in lieu of taxes (PILOT). The analysis allowed the Town of Morristown to negotiate a mutually-beneficial agreement with the developer.