Question
PROFORMA. Assumptions: Project Cost: $5.5M Building: 70,000sf Rent: $14 psf gross RETax: $1.50psf CAM: $3.50psf gross Cap Exp: $.15psf Vacancy Allow: 10% Financing: 5.5%, 10yr,
- PROFORMA. Assumptions:
Project Cost: $5.5M Building: 70,000sf
Rent: $14 psf gross RETax: $1.50psf
CAM: $3.50psf gross Cap Exp: $.15psf
Vacancy Allow: 10% Financing: 5.5%, 10yr, 25 yr amort
DSCR: 1.20
Cap rate: 7% LTV: 65%
- Write out the stabilized proforma for the above property.
- What will the loan amount be? Derive it both ways.
- How much equity will be required for the project?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Fundamentals Of Financial Management
Authors: Eugene F. Brigham, Joel F. Houston
Concise 10th Edition
1337902578, 978-1337902571
