Qusetion you are considering purchasing a small income, Ask an Expert

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Qusetion: You are considering purchasing a small income producing building for $12,500,000. The property produces EGI of $1,350,000 and NOI of $750,000 Per year

A) What is the Implied first year capitalization rate ?

B) What is the effective gross income multiplier (EGIM)?

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Category:- Basic Finance
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