Estimated rental 1,200 sq.

m @ £300 £360,000
value
YP in perp @ 6% 16.6667
GDV £6,000,012
Less costs of sale @ £300,000
5%
Net proceeds of sale £5,700,012
Development costs
IPMS 2 area 1,500 @ £1,000 psm £1,500,000
Surface car parking Say £150,000
Contingencies @ 5% £82,500
£1,732,500
Professional fees @ £259,875
15%
£1,992,375
Finance @ 9%
On construction @ £77,963
50%
On professional fees £17,542
@ 75%
On total cost and £45,516
void of 3 months
£141,021
Agency fees
Fees @ 10% of rents £36,000
Marketing campaign £20,000
£56,000
Total costs of £2,189,396
development
Add site value £400,000
Acquisition costs @ £24,000
6%
Site plus £424,000
acquisition costs
Finance interest for £48,209
1.25 years @ 9%
Costs of £2,661,605
development and
site and acquisition
costs
Profit available £3,038,407
Profit as a 53%
percentage of GDV
after costs