Create a full project return summary

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Reference no: EM132466541

Purchase Price: $1,250,000

Acquisition Costs: $55,000

Hold Period: 5 years

Year 1 PGI: $155,000

Projected PGI annual growth: 3.5%

Annual Vacancy & Loss: 6%

Year 1 OpEx: $35,000

Projected OpEx annual growth: 3%

Project Exit Cap Rate: 8.75%

Cost of Sale: 5%

Loan Information:

Maximum LTV: 70%

Minimum DSCR: 1.35

Interest Rate: 6.5%

Amortization Period: 20 years

Loan Term: 10 years

Loan Costs: 2% of loan

Discount Rate: 12%

Please show how to create a full project return summary that includes: BT NPV (Levered and Unlevered), BT IRR (Levered and Unlevered) and Cash on Cash (Levered and Unlevered), as whether or not to invest in this property and why or why not?

Reference no: EM132466541

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