Calculate the effective rent of the following lease from the landlord's perspective assuming a discount rate of 10%. the lease is a 5 year lease with fixed base rent of $25 per sqft. expenses are expected to be $8 per sqft initially and grow at $1 per year. the lease has an $8 per sqft expense stop. what is the effective rent of the lease?

 Hint: You are being asked to find an effective rental (potential) income not an effective net income

Answer rating: 100% (QA)

To calculate the effective rent from the landlords perspective we need to consider the base rent exp... View the full answer