$1.(26$ points$)$ You are considering buying a shopping plaza currently listed for $$13\mathrm{.}75$ million. Based on

the current rent roll, NOI in the first year you own the property will be $$862,991.$ The broker offers

you the option of assuming the current interest$-$only mortgage on the property which has the following

terms

$$ Remaining balance: $$6,250,000$

$$ Interest rate: $4\mathrm{.}61\%$

$$ Start date: July $2015$

$$ Term: $20$ yrs

$$ End date: Oct $2035$