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Operating Income
1. Operating Income is derived from two sources, Rental Income from businesses operating in the warehouse complex and Interest Income of the project operating account (when in positive balance)
Operating Expenses
1. Advertising is calculated as a percentage of Gross Rental Revenue.
2. Council Rates are calculated as a percentage of the value of the land used in the project. The amount paid for Rates is expected to increase by the inflation rate each year after the initial year of the investment.
3. Light & power (for security lighting and airconditions plant) is a fixed amount per annum projected to increase by the inflation rate each year after the initial year of the investment. Tenants pay for their own power usage.
4. Telephone costs for the administration office are determined from the following;
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