1. Value the subject property based on the following information:

An apartment (freehold) has 10 units with each unit let for $1,250 per month. Vacancies are 2% of gross income. Outgoings as below: (all figures in per annum)

Council rate: $18,200 Land tax: $14,650 Water: $12,000

Insurances: $2,000 Repairs: $3,500 Cleaning: $3,000

Common electricity: $3,500 Grass cutting: $1,000

Allowances/Contingencies: $2,000 Management: 5%

Cap Rate: 6%.

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