Based on the following information, develop a front door "Simple Financial Feasibility Analysis" SFFA) for this project estimating the required minimum market gross rent per SF that will support development.
• 40,000 NRSF office building project.
• Acquisition & construction cost = $1,500,000;
• Estimated operating costs to landlord) = $100,000/yr.
• Projected stabilized occupancy = 95%.
• Permanent loan available on completion @ 9% interest-only loan) with 130% debt service coverage requirement on the net operating income, and 75% maximum loan-to-value ratio.
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