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Your client owns a 4- unit industrial building with tthe following leases: Unit 1: 10,000 sqft ,Yearly rent $10 ,lease type gross Unit 2: 15,000

Your client owns a 4- unit industrial building with tthe following leases:

Unit 1: 10,000 sqft ,Yearly rent $10 ,lease type gross

Unit 2: 15,000 sqft yearly rent $12, gross lease type

Unit 3: 15,000 sqft , yearly rent 6$ ,lease type triple net

Unit 4: 10,000 sqft,yearly rent 8$, double net lease type

Common areas are 8,000 square feet

No lease expires within the next three years and rents are comparable to the market

The operating expenses for the building are:

Property taxes: 70,000

Insurance 15,000

Maintenance: 10000

Security 3000

Snow removal 2000

Other: 5000

The owner handles the property managment himself but estimates that it would cost about 2% of base rents if he hired a property managemnt firm. Depreciation expense is 5000$. The vacancy and credit losses on average are 1% of the total base rent. The owner has a 50,000 non amortizing mortgage on the building and pays interest of 4000$ per year.

A) what is the total base rent included in the stablized NOI of the property

B)What is the total expense recover rent included in the stablized NOI of the property

C) what is the vacancy and credit allowance included in the stablized NOI of the property

D) what are the total expenses included in the stablized NOI of the property

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