A property with an analysis start date of January 2021 has Market Rent for both new and renewal tenants at $20.50/SF/Year. If a tenant rolls to market and a new lease begins in September 2025, what rent would ARGUS Enterprise use for the speculative tenant? Assume Market Rent Inflation is 4% beginning in the second year of the analysis.   $23.98/SF/Year $23.06/SF/Year $22.17/SF/Year $24.94/SF/Year

Financial Reporting, Financial Statement Analysis and Valuation
8th Edition
ISBN:9781285190907
Author:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
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Chapter7: Financial Activities
Section: Chapter Questions
Problem 1AIC
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A property with an analysis start date of January 2021 has Market Rent for both new and renewal tenants at $20.50/SF/Year. If a tenant rolls to market and a new lease begins in September 2025, what rent would ARGUS Enterprise use for the speculative tenant?

Assume Market Rent Inflation is 4% beginning in the second year of the analysis.

 

  • $23.98/SF/Year
  • $23.06/SF/Year
  • $22.17/SF/Year
  • $24.94/SF/Year 
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