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QUESTION 19 A single tenant property has an in-place rent of $7.2M/Yr and operating expenses of $2.5M/Yr. Based on market levels, the rent should be

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QUESTION 19 A single tenant property has an in-place rent of $7.2M/Yr and operating expenses of $2.5M/Yr. Based on market levels, the rent should be $7.0M/Yr. Assume a cap rate of 4%. By how much would a buyer over pay if they purchased the property based on the in-place rent? $5M $19M $1M $8M

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