Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Question 1 12 pts Determine the NPV, BTCF, Cash-on-Cash return, Return on assets, and IRR (both set up the formula using summation notation and solve

image text in transcribed

Question 1 12 pts Determine the NPV, BTCF, Cash-on-Cash return, Return on assets, and IRR (both set up the formula using summation notation and solve in excel) of the following project. Size: 200,000 sf. Land Costs: $1,000,000 Development Costs: $40/sf. Rent: $15 /sf/yr. Expected Vacancy: 10% OpEx: $5 /sf/yr. fixed. Capital Reserves: $1 /sf/yr. fixed. Loan: Type: 10-year FRM (payments annually) LTV: 75% APR: 6% Terminal Sale: Start of year 11. Valued using a cap rate of 9.44% based on year 10 NOI. Write your solutions in the box below. For the debt service payment and the IRR equations, use the math notation input option to show your forulae (on the tool bar, it's this logo: Vx). Question 1 12 pts Determine the NPV, BTCF, Cash-on-Cash return, Return on assets, and IRR (both set up the formula using summation notation and solve in excel) of the following project. Size: 200,000 sf. Land Costs: $1,000,000 Development Costs: $40/sf. Rent: $15 /sf/yr. Expected Vacancy: 10% OpEx: $5 /sf/yr. fixed. Capital Reserves: $1 /sf/yr. fixed. Loan: Type: 10-year FRM (payments annually) LTV: 75% APR: 6% Terminal Sale: Start of year 11. Valued using a cap rate of 9.44% based on year 10 NOI. Write your solutions in the box below. For the debt service payment and the IRR equations, use the math notation input option to show your forulae (on the tool bar, it's this logo: Vx)

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

Fundamentals Of Financial Management

Authors: Eugene F. Brigham, Joel F. Houston

16th Edition

0357517571, 978-0357517574

More Books

Students also viewed these Finance questions