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A shopping centre yields $100,000 in NOI and has been appraised for $2,000,000. The mortgage constant is 7% for a loan that may be offered.
A shopping centre yields $100,000 in NOI and has been appraised for $2,000,000. The mortgage constant is 7% for a loan that may be offered. If a lender insists on 1.25 debt service coverage ratio and a loan-to-value ratio of no more than 75%, what is the largest loan this shopping centre can support?
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Intermediate Accounting
Authors: Kin Lo, George Fisher
3rd Edition Vol. 1
133865940, 133865943, 978-7300071374
