Based on the following information/data answer the questions
Land Area Sq.mt - 725
Total Built-up area Sq.mt - 325
Permissible FSI - 1
Rate of construction cost per sq.mt - Rs. 5000
Rate of land cost per sq.mt - Rs. 2000
Desired yield - 9%
Usable Carpet area sq.mt - 250
Monthly rent on carpet area basis per sq.mt - Rs. 50
Usable outgoing (Assuming 1/6 of the yield)
01. The total cost of Construction is ......
a. Rs. 975000
b. Rs. 1500000
c. Rs. 2525000
d. Rs. 2275000
02. The encumbrance factor is ......
a. 0.833
b. 1.075
c. 0.75
d. 0.66
03. Desired yield is ......
a. RS. 87750
b. RS. 204750
c. RS. 135000
d. None of the above
04. The net Annual yield is ......
a. RS. 125000
b. RS. 150000
c. RS. 225000
d. None of the above
05. What will be the usable FSI?
a. 328 Sq. meters
b. 450 Sq. meters
c. 400 Sq. meters
d. 475 Sq. meters
Solution
1-d
Cost of construction = 325 x 5000 = 1625000
Cost of FSI used = 325 x 2000 = 650000
Total cost = 2275000
2-a
Estimated Yield = 50 x 250 x 12 = 150000
Usual outgoings = 1/6 of yield = 150000/6 = 25000
Net annual yield = 125000
Hence, encumbrance factor Net Annual yield/Estimated yield
= 125000/150000 = 0.833
3-b
Desired Yield = Total cost*%desired rate of return
=2275000 x 0.09
=204750
4-a
Estimated Yield = monthly rent on carpet area*usable carpet area*month
50 x 250 x 12 = 150000
Usual outgoings = 1/6 of yield = 150000/6 = 25000
Net annual yield=Estimated yield-usual out going
=150000-25000
=125000
5-c
Usable FSI = Land area-Total builtup area
725 - 325
= 400 Sq meter
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