ABC Company purchased a piece of land for $450,000 and intends to build and lease on it, an office building with a total rental space of 30,000 sq. ft. It is estimated that the construction cost will be $120 per square foot. Lease will be at an average of $15 per square foot (noting that the vacancy is calculated in this average). The operation and maintenance expenses are ___ $25,000 Banker's discount rate is 2% of the mortgage amount Brokerage fee is 2% of the mortgage amount Taxes during construction is ___ $ 9,000 The capitalization rate is 12% The lender will only provide 75% of the project value as a long term mortgage Construction loan interest is ___ $200,000 Closing costs including title insurance is ___ $8,000 Assume 10% debt service Straight-line depreciation over 20 years Resale price ___ $5,000,000 Capital gain tax rate @ 30% ABC Company is in the 18% tax bracket Mortgage amount @ EOYI ___ $2, 900,000 Determine the amount of mortgage, the amount of cash outlay, ROR before taxes, ROR after taxes with appreciation