Computing the vacancy allowance

Assignment Help Other Subject
Reference no: EM132530959

A tenant with 10,000 square feet has a lease that is about to expire. With 30% probability, the tenant will vacate the lease. If the tenant vacates the lease, it will take you 7 months to find a new tenant and the new tenant will pay the market rate of $1.25 per square foot per month. If the tenant renews the lease, he will renew at $1.15 per square foot per month. What is potential rent for the year? Use the ARGUS convention for handling vacancy. (Hint: when computing the vacancy allowance that is a component of potential rent, use $1.25 per square foot per month for rent).

Reference no: EM132530959

Questions Cloud

Determine total cash flows for year of project life : You have been hired as a consultant for Medicals Inc., manufacturer of medical devices. The company projects unit sales for a new dental implant as follows:
Identify the potential investment : What suggestions are you putting forward to Senior Leadership to prevent or reduce the above from occurring in future and Identify the potential investment
What is its unlevered beta : If Hairston's beta is currently 1.25 and its tax rate is 35 percent, what is its unlevered beta, bU?
How many shares remain outstanding after recapitalization : Based on PBs new total corporate value in problem 7 and its new value of debt in problem 8, how many shares remain outstanding after the recapitalization?
Computing the vacancy allowance : A tenant with 10,000 square feet has a lease that is about to expire. With 30% probability, the tenant will vacate the lease. If the tenant vacates
Remaining mortgage balance after 7 years of payments : If you take the bi-weekly mortgage option, what is your remaining mortgage balance after 7 years of payments?
Explain what is meant by market stabilization : Explain what is meant by market stabilization
How does it relate to the cost of consumer credit : What is usury, and how does it relate to the cost of consumer credit
Appraise network security issues and emerging technologies : Appraise network security issues and emerging technologies and Analyze emerging network technologies and their implementation

Reviews

Write a Review

Other Subject Questions & Answers

  Characterize behavior that society or particular institution

Have you or anyone you know ever felt like an "outsider?" or been labeled a troublemaker or any of the terms that are used to characterize behavior

  Critically evaluate a statistical significance

Critically evaluate a statistical significance that is found in a study, but the effect in reality is very small

  Explain the benefits and disadvantages of the rfid system

Explain the Benefits and/or disadvantages of the RFID system, Security concerns or practices associated with the RFID system and Appendices (Documentation could include: business case, project plan, etc).

  Identify dilemmas that occur during end-of life care

What signs might alert you to a potential professional boundary violation or crossing? Identify at least 3 moral dilemmas that occur during end-of life care.

  Define the various methodologies for sociological research

Define the basic concepts used in the discipline of sociology. Define the various methodologies for sociological research.

  Effective relationship between the client and the therapist

What do you think are the essential characteristics of an effective relationship between the client and the therapist?

  What was the purpose or angle of the story

What was the purpose OR angle of the story? Meaning, out of all the information available about this celebrity or personality, what did the writer chose to focus on.

  Communication tone and style in the field of media

How does communication tone and style in the field of media and culture compare with standard academic communication? How is it similiar? How is it different?

  Which methods of needs assessments would work best

Which methods of needs assessments would work best for each of these issues? Why would these methods work best? What sorts of questions would you ask.

  How ethical decision making affect diversity in the army

How Ethical Decision Making Affect Diversity in the Army. Application of an ethical theory and the implications of managing employee situations.

  What is the purpose of the exposure assessment

What is the purpose of the exposure assessment - Why was the exposure assessment conducted?

  What is the importance of understanding these differences

Explain the differences between a frisk and a search. What is the importance of understanding these differences

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd