Based on the following information, develop a front door Simple Financial Feasibility Analysis (SFFA) for this project estimating the required minimum market gross rent per SF that will support development.

50,000 Milwaukee Downtown office building project.

Acquisition & construction cost = $1,500,000;

Estimated operating costs (to landlord) = $100,000/yr.

Projected stabilized occupancy = 90%.

Permanent loan available on completion at 10% (interest-only loan) with 120% debt service coverage (DCR) requirement on the net operating income, and 80% maximum loan-to-value(LTV) ratio.

What is the required NOI?

Question options:

	$120,000
	$131,625
	$144,000
	$135,200