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30. You are looking to acquire an apartment building that is currently for sale in the Washington, DC market. Assume that the cash flows provided

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30. You are looking to acquire an apartment building that is currently for sale in the Washington, DC market. Assume that the cash flows provided below represent your analysis of the investment. ( 6pts ) a. Assuming current market cap rates for similar product are 4.5%, what is the value of the building assuming a direct capitalization approach to value? b. Assume you intend ito hold the asset for 4 years and that you expect fo sell that asset using an exit cap rate of 5% at the end of the 4t year. Using the value you determined in the prior question, what is the unleveraged IRR for this investment? c. Assume that you put a 65% loan on the building at closing. The loan has an interest rate of 3.0%,30 year amortization and 4 year term. What is the leveraged IRR assuming your purchase price in the prior

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