Property Valuation
A South Dakota property's 'gross potential income' assumes:
AFull occupancy at market rent for the entire year✓ Correct
BAverage occupancy based on historical data
CIncome after deducting management fees and vacancy
DIncome based on current below-market leases
Explanation
Gross potential income (PGI) assumes 100% occupancy at market rents — the maximum income the property could generate if fully occupied at market rates year-round.
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