A 20,000 square-foot commercial building rents for $18.50 per square foot annually (NNN). What is the annual base rent?
Why A. $370,000 Is Correct
Answer A: A. $370,000
Exam Tip: Real Estate Math
Math questions are formula-based. Memorize the key formulas: commission splits, proration, cap rate (NOI ÷ Value), GRM (Price ÷ Gross Rent), and LTV (Loan ÷ Value). Practice converting between annual and monthly figures.
People Also Study
Related Colorado Questions
- A Colorado investor purchases a fourplex for $600,000. Each unit rents for $1,400/month. What is the annual gross rent multiplier (GRM) using annual income?Real Estate Math
- A Colorado commercial lease is 5,000 square feet at $18 per square foot per year. What is the monthly rent?Real Estate Math
- A Colorado warehouse leases for $12.50 per square foot per year on a net lease basis. The warehouse is 8,000 square feet. What is the monthly rent?Real Estate Math
- A Colorado commercial tenant occupies 2,000 sq ft in a 10,000 sq ft building. Under a net lease, they pay their pro-rata share of property taxes of $25,000/year. What is the tenant's annual tax contribution?Real Estate Math
- A Colorado landlord who lives in a 4-unit building and refuses to rent to a person of a different religion may be protected by:Fair Housing
- A Colorado appraiser determines: new building cost = $200,000, land value = $75,000, accrued depreciation = $40,000. What is the indicated value using the cost approach?Property Valuation
- In Colorado, a commercial lease that provides for rent based on the tenant's sales performance is called a:Property Management
- A Colorado commercial tenant whose lease expires but continues to pay rent with the landlord's acceptance creates a:Property Management
Key Terms to Know
A quick valuation metric for income properties calculated by dividing the property price by gross annual rental income.
AmortizationThe gradual repayment of a loan through scheduled periodic payments that cover both principal and interest.
Adjustable-Rate Mortgage (ARM)A mortgage with an interest rate that changes periodically based on a financial index, usually after an initial fixed-rate period.
Loan-to-Value Ratio (LTV)The ratio of a mortgage loan amount to the appraised value or purchase price of a property, expressed as a percentage.
Math Concepts
Study This Topic
Practice More Colorado Real Estate Questions
1,400+ questions covering all exam topics. Start free — no signup required.
Take the Free Colorado Quiz →