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The detailed design of the commercial building described in Example 3-2 affects the utilization of the gross square feet (and, thus, the net rent able

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The detailed design of the commercial building described in Example 3-2 affects the utilization of the gross square feet (and, thus, the net rent able space) available on each floor. Also, the size and location of the parking lot and the prime road frontage available along the property may offer some additional sources. As project manager, analyze the potential revenue impacts of the following considerations. The first floor of the building has 15,000 gross square feet of retail space, and the second floor has the same amount planned for office. Use Based on discussions with the sales staff, develop the following additional information: (a) The retail space should be designed for two different uses-60% for a restaurant operation (utilization = 79%, yearly rent $23/sq.ft.) (b) There is a high probability that all the office space on the second floor will be leased to one client (utilization = 89%, yearly rent = $14/sq ft.). (c) An estimated 20 parking spaces can be rented on a long-term basis to two existing businesses that adjoin the property. Also, one spot along the road frontage can be leased to a sign company, for erection of a billboard, without impairing the primary use of the property

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