You want to purchase an office building in Brooklyn. The property contains 32,100 square feet of rentable space and is currently occupied by multiple tenants each with differing maturities on their respective leases. No lease is currently shorter than 1 year. The annual rent in the 1st year of ownership is $37.50/sqft. The vacancy rate is 5.5%. You expect to incur collection losses (from tenant default) on 1.5% of the square feet during your first year. 11. If you buy the property at the asking price of $7,000,000, what will your 'going in' Cap Rate be? 11b. If the annual irr for this property is 8.5%, then based on the cap rate in question 11a, what does this imply is expected NOl growth rate for this property? 11c. You do research and find that similar properties are selling at an 11% cap rate. Using an 11% cap rate, what price would you offer for this property