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31. Assume that you are interested in acquiring a retail power center leased to Office Depot and Best Buy for $83M. If you anticipate placing

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31. Assume that you are interested in acquiring a retail power center leased to Office Depot and Best Buy for $83M. If you anticipate placing a $51.5M loan on this asset at closing and assume a 30 year amortization, 10 year term and 4.5% interest rate. Assume an exit cap rate of 6%(6pts) a. What is the leveraged 10-year IRR assuming the cash flows above represent your underwriting? b. At what interest rate does the leverage become negative, everything else equal

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