developer’s budget calculation, Finance Basics

A prospective developer is considering purchasing a site for the construction of a ‘Business Village’ at a price of £750 000. It will provide a let-able office floor space of 17 500 m2. The estimated construction costs of the office block is £9 450 000. The contract period is assessed at 2 years; and that when fully let, the office block is expected to have an annual rental value of £1 400 000, with the landlord’s annual outgoings estimated at £300 000. Legal, agency and advertising fees are assessed at £420 000. The client requires a return of 9% on the office block. Professional fees are 12% of the construction costs, and finance is at 9%.
Set out a developer’s budget calculation to determine the profitability of the development.
Posted Date: 5/17/2013 9:33:43 PM | Location : Hong Kong







Related Discussions:- developer’s budget calculation, Assignment Help, Ask Question on developer’s budget calculation, Get Answer, Expert's Help, developer’s budget calculation Discussions

Write discussion on developer’s budget calculation
Your posts are moderated
Related Questions

Evaluation of Suppliers or Vendors  Vendor selection or evaluation is usually based on comparison along dimensions Inventory management that are thought to be important. It

Net Present Value Method - DCF Technique The method discounts outflows and inflows and ascertains the total present value via deducting discounted outflows from discounted inf

Financial Forecasting Financial forecasting refers to determination of the firm of financial requirements in advance. Financial forecasting is needs financial planning using b

effect of gdp in the domestic market

what are the difference between receipt and payment account and income and expenditure account ?


Asset: - An asset stands for an item of value owned and controlled by an organization which can generate revenue for the organization or can help in generating the organization re

the nominal fee interest rate in your account is 7% your semi-annually rate of interest APY will be?