Question
Given the following information provide an analysis that answers the questions at the end of the assignment. Purchase Price: $4,250,000 Rents: Tenant Unit 1 Unit
Given the following information provide an analysis that answers the questions at the end of the assignment.
Purchase Price: $4,250,000
Rents:
Tenant
Unit 1
Unit 2
Unit 3
Unit 4
Unit 5
Unit 6
Unit 7
Unit 8
Monthly Rent
$5,400 Unit 1
$5,400 Unit 2
$6,200 Unit 3
$3,500 Unit 4
$3,600 Unit 5
$3,300 Unit 6
$3,700 Unit 7
$3,100 Unit 8
Year 1 NOI: $248,678
NOI Growth Rate: 2.6%
Loan:
LTV: 75%
Amortization Period: 25 years, Term: 10 years
Interest Rate: 3.35%
Lender Points: 2%
Selling Costs: 3%
Going Out Cap Rate: 5.5%
Discount Rate: 10%
Questions:
- What is the going in cap rate? 5.85%
- What is year 1 PGI? $410,400
- What is the DSCR?
- What is your Initial Investment? $3,187,500
- What is the sale price after the five-year hold? $3,272,500
- What is the loan balance at sale?
- What is the NPV for this project?
- What id the IRR for this project?
- What is the DCF for this project?
- What is the reversion amount?
Can someone teach me how to work this out on excel or at least write out the process so I can transfer it into excel? thank you
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