1. A hotel is on the market for a price of $ 10,000,000. The NOI projection for the 1st year is $ 900,000. It is then estimated to grow at a constant rate of 1.5%. You plan on getting a loan from a bank which offers you a 20-year, quarterly amortizing loan at a nominal rate of 6%. What is the maximum loan the bank would give you with a DSCR of 1.3?

a) $ 8,152,517.31

b) $ 8,032,036.76

c) $ 8,502,736.83

d) $ 10,000,000.00