Question: Start IN Key Assumptions Construction cost ($) 1,000,000 Loan ($) 500,000 Loan interest rate 4.8% Loan term (yrs.) 5 Hangar space (sq.ft.) 22,000 Rent ($/sq.ft.

Start IN Key Assumptions Construction cost ($) 1,000,000 Loan ($) 500,000 Loan interest rate 4.8% Loan term (yrs.) 5 Hangar space (sq.ft.) 22,000 Rent ($/sq.ft. per month) 1.30 Rent inflator 2.0% Operating Costs ($/yr.) 140,000 Cost inflator 2.0% Tax rate 21.0% Discount rate 6.5% Depreciation/year ($) 20,000 Cash Flows Rent Income minus: Operating Costs minus: Interest minus: Depreciation = Taxable Income minus: Taxes = Net Income minus: Principal = Net Operating Cash Flow minus: Cash Outlay at Start plus: Depreciation = Total Cash Flows NPV

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