REAL ESTATE FINANCE Directions: Read the following case study. Based on the information, complete the project sources and uses of funds. Calculate the debt service on the proposed project. Complete the developer pro forma. Calculate the real estate analysis ratios and determine any financing gap. Remember to show your calculations! DO NOT ROUND your figures. CASE STUDY Real Estate Tiny Tate wants to acquire a renovate a 25,000 square foot building. The acquisition cost is S300,000 and the renovation cost is $50,00 per square foot. (Contingency is 10 percent of construction costs.) Tate will rent the space at $13,00 per square foot. The vacancy rate is estimated at 10 percent. Tate's cash expenses will be $5.50 per square foot. New City Bank offers to finance 70 percent of the total project cost at 6 percent for 20 years. Project Sources and Uses