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1.You just acquired a $200M office building. 1) What is your weighted average cost of financing if you take out a mortgage at 70% loan

1.You just acquired a $200M office building.

1) What is your weighted average cost of financing if you take out a mortgage at 70% loan to cost at 6.7% and a mezzanine loan that brings your loan to cost up to 85% at 10%.

2) What is the Interest Coverage Ratio and Equity Yield? If I want a 7% cap rate, does this meet my objectives?

3) Is the project positive or negatively leveraged? Why?

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