REIT operating model, part eight, non-controlled investments or NCI. On the Calculations tab, we have another section below the equity co-investment beginning in row 45 for the non-controlling interest. And again, these are buildings that we've purchased a controlling stake, but not 100%. The building itself and its earnings have been consolidated into our earnings, but we are setting aside a portion to show the amount that we do not actually own. So again, we have a couple of assumptions here. Basically, the way this would work is not unlike the equity co-investment. We have an assumption for the net income attributable to the non-controlling interest, and then we also have any distributions that might be paid out. Now, in this situation, we are showing the distributions. It just depends on the building itself. If it is part of the REIT, and the REIT is paying distributions, then we would have to make some assumptions about distributions for that particular asset. But this is where it starts to get complicated. So I am showing the distributions here because this is a building that is controlled by a REIT and the REIT does pay distributions. Therefore, it is only logical that we assume that there are distributions going to the original owners of the building that are going to the non-controlling stakeholders of the building. So as far as calculating the net income is concerned, we have to go to the operating model. And we have an assumption in row 11 that says the net income attributable to NCI is growing at 3% per year. So we have two options here, and it's really just a matter of preference to calculate this on the operating model or to bring everything back to the calculations tab. There really isn't a right answer here. I think because the assumption is on this page, as well as the previous year's NCI income, I'm going to calculate it here. It's going to be one plus the 3% assumption times the previous year's NCI income. I can go ahead and remove the highlighting, Alt + H + H + N. Copy that across. And now I've got my NCI net income into my operating model income statement. So now to go back and finish the NCI calculation, the net income is going to increase the value of the NCI on the balance sheet. So I have to go ahead and link to my operating model to get that number. The beginning NCI balance is again equal to last year's ending NCI balance. And my current year's ending balance is the beginning balance plus the net income attributable to NCI minus any dividends.

And if I copy that across, and again, since my distributions does not change, I'm safe to copy the whole block. I now have my ending balance for the NCI. Now, I have a comment in G49 and I will scroll down so we can see it a little bit better. It says, technically, the NCI will also increase by the percentage of acquisitions that are not 100% owned. And that means that below, we have these assumptions for our acquisitions. And if we were to acquire buildings that we didn't have 100% ownership of, technically, the NCIs would increase by that amount as well. But as you can see, that would get very complicated and definitely beyond the scope of this model. So for this, we're just assuming that all of the acquisitions that we've made down below that have already factored into the model are 100% owned.