What is the NOI based upon the following data provided?

Calculate the purchase price based on 8% Cap Rate.

NOI _______________________________

SALES PRICE ____________________

Industrial Building (125,000 SF)

Rent is $ 7.25 PSF NNN (Tenant pays NNN CAM, RE TAXES and INSURANCE)

Expense Data

Vacancy Rate and Credit Loss run approximately 8% per Annum

Management Fees are 5% of GOI

Utilities are paid by Tenant and are separately metered

Real Estate Taxes are $ 125,000 per year

Common Area Maintenance is $ .75 PSF Per Annum

Accounting and Legal are $ 3500 per annum.

Insurance is $ .35 PSF Per Annum

Capita Reserves are $ .15 PSF per Year

Show your work using the standard format for the real estate operating statement (APOD)