4. (10 points) Valuation using Income Approach An appraiser appraises a food court and lounge and provides the following assessment: o O The building consists of 2 floors with the following (6) properties: 1st floor (3) fine dining restaurants: (1) - Charles Mulligan's Steakhouse - rents for $3250/month (2) - Tom's Bistro - rents for $2400/month 2nd floor (1) bar/lounge and (2) fast food joints (same company) Snakehole Lounge - rents for $3200/month (2) Paunch Burgers (fast food) - rents for $1200/month Vacancy and Collection Losses: 6% per year Miscellaneous Income: $1550 per year Operating expenses: 30% per year Capital expenditures: 6% per year a) What is the estimated Potential Gross Income (PGI)? b) What is estimated Effective Gross Income (EGI)?| c) What is the estimated Net Operating Income (NOI)? d) Suppose the average overall capitalization rate for the comparable properties is 7.65%. What is the indicated value of the subject property using the cap rate? e) Now suppose this is a small income-producing property and the average Effective Gross Income Multiplier (EGIM) for the comparable is 8.64. What is the indicated value using the EGIM