Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A building in Manhattan is sold at the price of $ 1 0 0 million. It contains 1 2 7 4 0 9 square feet

A building in Manhattan is sold at the price of $100 million.
It contains 127409 square feet of rentable space.
The monthly rent equals $ 43 per square foot.
The vacancy rate equals 6%.
The operating expenses equals 10% of its effective operating income.
The cap rate of this building equals ______%.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Finance Capital Markets Financial Management And Investment Management

Authors: Frank J. Fabozzi, Pamela Peterson Drake

1st Edition

0470407352, 978-0470407356

More Books

Students also viewed these Finance questions

Question

Discuss how an AC is designed and implemented.

Answered: 1 week ago