% Change
ASSUMPTIONS			ANNUAL EXPENSES		Base Year	Year 2	Year 3	Year 4	Year 5
Land
Building	$13,308,306		Operating Expense Increase Schedule:
General Contractors Fee	(included)		Payment in Lieu of Property taxes		253,778	0%	3%	3%	3%
Construction Eng'g Fee	$399,249		Gas and Electric		100,000	3%	3%	3%	3%
Architectural Fee	$798,498		Water/sewer		50,000	3%	3%	3%	3%
Developer Fee	$1,330,831		Insurance		30,000	3%	3%	3%	3%
Closing Costs	$1,081,664		Maintenance-snow, garden, etc		100,000	4%	4%	4%	4%
Total Cost	$16,918,549		Janitorial		70,000	3%	3%	3%	3%
						0%	0%	0%	0%
Land Value	15%
			Operating Expenses:
Square Footage	100,000		Payment in Lieu of Property taxes		253,778	253,778	261,392	269,233	277,310
Total Cost/Sq Ft	$169.19		Gas and Electric		100,000	103,000	106,090	109,273	112,551
			Water/sewer		50,000	51,500	53,045	54,636	56,275
			Insurance		30,000	30,900	31,827	32,782	33,765
FINANCING			Maintenance-snow, garden, etc		100,000	104,000	108,160	112,486	116,986
Loan to Value	100%		Janitorial		70,000	72,100	74,263	76,491	78,786
Total Debt	16,918,549
Interest Rate	7.00%		Total Operating Expenses		603,778	615,278	634,777	654,901	675,673
Amortization Period	20
Annual Payment	$1,596,991		Debt Service		1,596,991	1,596,991	1,596,991	1,596,991	1,596,991
Equity	$0
			Total Annual Expense		2,200,770	2,212,270	2,231,768	2,251,893	2,272,665
CLOSING COST ESTIMATES			Annual Cost per Square Foot		$22.01	$22.12	$22.32	$22.52	$22.73
Loan Fee - 2%	266,166		to the University of Michigan
Appraisal	5,000
Survey	5,000
Improvements	0
Title	5,000
Recording Fee	2,000
Interest Res. (12% Constr loan)	798,498
Total Closing	1,081,664
											Blue numbers are variables
											Red numbers are results