• Total Area: 3,374 sq. ft. (including extended mezzanine)
• Rent: 10 per sq. ft for the first three years, increasing to 20 per sq. ft from the 4th year
• Purchase Price: 742,500 (based on current built area)

Term and Reversion Valuation Approach:

1. Calculate Current Rent Income (Term):

• Rent for the first three years: 3,374 sq. ft 10/sq. ft = 33,740 per year
• Monthly rent for the first three years: 33,740 / 12 = 2,811.67 per month

2. Calculate Reversionary Rent (Post-Rent Review):

• Rent from the 4th year onwards: 3,374 sq. ft 20/sq. ft = 67,480 per year
• Monthly rent from the 4th year: 67,480 / 12 = 5,623.33 per month

A) Task Show us a Commercial Valuation DCF template of the commercial property.

B) There will be a minimum of two non-identical tenants in DCF template . You should assume the lease structure including inter alia, hypothetical tenants, unit sizes, unexpired terms, rent review clauses, lease obligations and incentives.