2.
In 2007, a freehold 1½ storey terrace
factory in Taman Kantan Permai is let on internal repairing term at RM12,000
per month for 25 years. The market rental of similar properties is RM15,000 per
month. All Risk Yield for the properties is at 8%.
From market
analysis the costs of meeting the various liabilities are indicated as
follows:-
i. Repairs @ 1.5% of the market rent
ii. Insurance @1% of the market
rent
iii. Property Taxes @4.5% of the market
rent
iv. Maintenance fee @ 3% of the market
rent
v. Management fee @ 10% of
passing rent.
a.
Value
the freehold interest of the property.<= Answer
b.
Value
the leasehold interest of the property.< = Answer
