You have been hired to underwrite the financing of a recently acquired apartment building that cost $3.6 million to purchase. The building has thirty apartments that are currently rented each for $1,335 per month, or $16,020 annually. You anticipate an annual vacancy rate of 5%, and operating expenses of 25% of EGI. PGI is expected to increase at 2% per year. Capital expenditures are expected to be $41,380 per year (which do not increase). The owner is anticipated to hold the building for 5 years, incur selling expenses of 5% when the property is sold, and has an opportunity cost or alternative return to equity of 6%. The owner is also able to finance any potential cash flow deficits by borrowing at 5%. The current cap rate for similar buildings is 6.5%, which is anticipated to increase to 7% when the property is sold at the end of the 5th year. Download the below file and answer the questions listed at the bottom of the worksheet by creating a 5-year pro forma of the office building. Please place your answers directly in the worksheet in the space provided and your name at the top of the worksheet. Upload your file to canvas when completed. You have been hired to underwrite the financing of a recently acquired apartment building that cost $3.6 million to purchase. The building has thirty apartments that are currently rented each for $1,335 per month, or $16,020 annually. You anticipate an annual vacancy rate of 5%, and operating expenses of 25% of EGI. PGI is expected to increase at 2% per year. Capital expenditures are expected to be $41,380 per year (which do not increase). The owner is anticipated to hold the building for 5 years, incur selling expenses of 5% when the property is sold, and has an opportunity cost or alternative return to equity of 6%. The owner is also able to finance any potential cash flow deficits by borrowing at 5%. The current cap rate for similar buildings is 6.5%, which is anticipated to increase to 7% when the property is sold at the end of the 5th year. Download the below file and answer the questions listed at the bottom of the worksheet by creating a 5-year pro forma of the office building. Please place your answers directly in the worksheet in the space provided and your name at the top of the worksheet. Upload your file to canvas when completed