Solaire - 509, 888 4th Ave SW.pdf - Barclay Street Real Estate

BUY VS. LEASE ANALYSISThe following analysis is based on the cost of leasing a similar downtown property and the resulting dollar value one could afford to buy based onthe monthly costs.BUYCAPITALCOSTPurchase Price $954,800INTERESTRATEANNUALCOSTNew First Mortgage* $716,100 @ 5.00% $49,978Cash to Close ** $238,700 @ 5.00% $11,935Condo Fees $758/Month $9,096Property Taxes $11,696Parking CostsTotal Annual Real Estate Costs $82,705Total Annual Real Estate Costs Less First Year PrincipalRepayment of $14,875Total Costs (per sq. ft.)(Annual Cost-$67,830/ Total Square Footage-1,736sf )Principal Repayment on First$82,297Mortgage over five yearsNil$67,830($5,653/Month)$39.07LEASEPROPERTYComparable“B” ClassDowntownPropertyBASERENTTAXES &OP.COSTSTOTAL(per sq. ft.)ANNUALCOST$25.00 $15.00 $40.00 $69,440Parking 1 stall $500/ month $6,000Total AnnualReal EstateCostsTotal LeaseCost (persq. ft.)$75,440$43.46* 75% financing, 20-year amortization, 5% interest rate**Assumed that cash to close could earn 5% in another investmentView from 4th Avenue SWBuilding’s lobbyThe information contained herein has been gathered from sources deemed reliable, but is not warranted as such anddoes not form any part of any future contract. This offering may be altered or withdrawn at any time without notice.LOCALEXPERTISEMATTERSFOR MORE INFORMATION OR TO VIEW, PLEASE CONTACT: Suite 200, 407 - 8th Avenue SW . Calgary, Alberta T2P 1E5