Q1 Given the following information, calculate the capitalization rate for the following apartment complex: number of...
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Q1 Given the following information, calculate the capitalization rate for the following apartment complex: number of apartments: 450; market rent (per month): $1,750; vacancy and collection loss: 5% of potential gross income; operating expenses: 35% of effective gross income; capital expenditures: 5% of effective gross income; acquisition price: $85,550,000 Q2 Given the following information, calculate the going-in capitalization rate for the specific property: First-year NOI: $220,500; Acquisition price: $3,550,000; Equity investment: 35%; Before-tax cash flow: $40,500. Q3 Given the following information, calculate the debt coverage ratio for this investment: Potential gross income: $153,500; Vacancy rate: 5%; Operating expenses: 40% of EGI; Acquisition Price: $1,425,500; Debt service: $66,120. Please show your work in an Excel file (this means using the Excel functions), highlighting the answers. Q1 Given the following information, calculate the capitalization rate for the following apartment complex: number of apartments: 450; market rent (per month): $1,750; vacancy and collection loss: 5% of potential gross income; operating expenses: 35% of effective gross income; capital expenditures: 5% of effective gross income; acquisition price: $85,550,000 Q2 Given the following information, calculate the going-in capitalization rate for the specific property: First-year NOI: $220,500; Acquisition price: $3,550,000; Equity investment: 35%; Before-tax cash flow: $40,500. Q3 Given the following information, calculate the debt coverage ratio for this investment: Potential gross income: $153,500; Vacancy rate: 5%; Operating expenses: 40% of EGI; Acquisition Price: $1,425,500; Debt service: $66,120. Please show your work in an Excel file (this means using the Excel functions), highlighting the answers.
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Answer rating: 100% (QA)
Answer 1 Capitalization rate 630 Net operating Capitalization rate formula IncomeAcquistion cost Net ... View the full answer
Related Book For
Foundations of Financial Management
ISBN: 978-1259194078
15th edition
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen
Posted Date:
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