What is the NOI based upon the following data provided? Calculate the purchase price based on 8% Cap Rate.
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
NOI _______________________________
SALES PRICE ____________________
NOI and purchase price are:
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