PROFORMA. Assumptions: Project Cost: $5.5M Building: 70,000sf Rent: $14 psf gross RETax: $1.50psf CAM: $3.50psf gross Cap

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PROFORMA. Assumptions:

Project Cost: $5.5M

Building: 70,000sf

Rent: $14 psf gross

RETax: $1.50psf

CAM: $3.50psf gross

Cap Exp: $.15psf

Vacancy Allow: 10%

Financing: 5.5%, 10yr, 25 yr amort

DSCR: 1.20

Cap rate: 7%

LTV: 65%

a. Write out the stabilized proforma for the above property.

b. What will the loan amount be? Derive it both ways. How much equity will be required for the project?

Related Book For answer-question

Management Accounting Information for Decision-Making and Strategy Execution

ISBN: 978-0137024971

6th Edition

Authors: Anthony A. Atkinson, Robert S. Kaplan, Ella Mae Matsumura, S. Mark Young

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Posted Date: Oct 22, 2020 06:30 AM

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PROFORMA. Assumptions: Project Cost: $5.5M Building: 70,000sf Rent: $14 psf gross RETax: $1.50psf CAM: $3.50psf gross Cap

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aProject Cost 55M Building 70000sf Rent 14 psf gross RETax 150psf CAM 350psf gross Cap Exp 15psf Vac... View the full answer

Management Accounting Information for Decision-Making and Strategy Execution

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