Bob purchased a property for $6,500,000 at a 5.50% cap rate. At the time of purchase, there were 15 years remaining on the lease with 7.50% rent increases every 5 years. Bob purchased the above property at 65% LTV, 25-year amortization schedule, 10-year term, and at a 4.50% interest rate.

 

1. What will his rent be when there are 8 years remaining on the lease? Round up to the nearest dollar, include $ sign.

 

2. What is Bob's annual debt service? Round to nearest dollar, show as a positive number, include $ sign.

 

3. What is Bob's cash on cash return as a percentage in year 5? Two decimal points, round up, include % sign.

 

4. What is Bob's NOI upside between year 1 and year 10? Two decimal points, round up, include % sign.

 

5. How much will Bob owe on the property when the loan comes due? Round up to nearest dollar, include $ sign.