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45% BPM303_JUL21_TMA01.pdf Question 3 Eco Realty, a real estate private fund secures a plot of land in Beach Road at the $10,000 pm per GFA.

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45% BPM303_JUL21_TMA01.pdf Question 3 Eco Realty, a real estate private fund secures a plot of land in Beach Road at the $10,000 pm per GFA. Under the 5-year Master Plan, the site is intended for a predominantly office development with a site area of 15,000 sqm and plot ratio of 4. Eco Realty plans to sell the asset after ramping up the occupancy and holding it for a period of 24 months upon completion of the construction. The capitalised rate is work out to be 5% at the time of the sale. The project team advises that the all-in construction cost is forecasted to be $ 3,200 psm on Gross Floor Area (GFA). Basing on the design, the net lettable area (NL) is 90% of the GFA. The schedule for design and construction stage is 4 months and 24 months respectively. The estimated net rent at the time of completion of comparable commercial office building is $100 psm per month. Eco Realty has also managed to secure a short-term loan at an interest rate of 6% p.a. Analyse the data and apply the Profit Evaluation Analysis (risk/retum) to determine the profit margin of the project. (You are to use Appendix 1 for the computation and submit it together with the assignment.) (25 marks) Next 47 0 Calendar To Do Notifications Inbox Eco Realty - Project Evaluatio Pratrisk return) Analysis Net nest Value Il VR News 2 Captain D Nella ) Land Cle IL Spy Laplan C D 1 Gece Professionale All in Che So. unding 2 Developer's teal for 15000.00 G Land Crewhole store Helline Origo By CM for the contingum M Letting and see Developers Total Despre Na Val Low To Do Calendar To Do Notifications 45% BPM303_JUL21_TMA01.pdf Question 3 Eco Realty, a real estate private fund secures a plot of land in Beach Road at the $10,000 pm per GFA. Under the 5-year Master Plan, the site is intended for a predominantly office development with a site area of 15,000 sqm and plot ratio of 4. Eco Realty plans to sell the asset after ramping up the occupancy and holding it for a period of 24 months upon completion of the construction. The capitalised rate is work out to be 5% at the time of the sale. The project team advises that the all-in construction cost is forecasted to be $ 3,200 psm on Gross Floor Area (GFA). Basing on the design, the net lettable area (NL) is 90% of the GFA. The schedule for design and construction stage is 4 months and 24 months respectively. The estimated net rent at the time of completion of comparable commercial office building is $100 psm per month. Eco Realty has also managed to secure a short-term loan at an interest rate of 6% p.a. Analyse the data and apply the Profit Evaluation Analysis (risk/retum) to determine the profit margin of the project. (You are to use Appendix 1 for the computation and submit it together with the assignment.) (25 marks) Next 47 0 Calendar To Do Notifications Inbox Eco Realty - Project Evaluatio Pratrisk return) Analysis Net nest Value Il VR News 2 Captain D Nella ) Land Cle IL Spy Laplan C D 1 Gece Professionale All in Che So. unding 2 Developer's teal for 15000.00 G Land Crewhole store Helline Origo By CM for the contingum M Letting and see Developers Total Despre Na Val Low To Do Calendar To Do Notifications

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