Owning your office has great advantages.

Published on September 21, 2018

Owning your office has great advantages.

Additional revenue, say by providing Nerve Conduction Velocity (NCV) and/or Cardiac Studies in there practice, rather than referring out in one’s medical practice can easily provide the 10% down payment for an SBA loan. Owner occupied by 20% and 80% leased out – your rent is covered. Here’s a matrix with shows the details:

Description SF Lease/SF Gross Annual Lease Per MO
Current lease data 3,000 $15.00 $45,000 $3,750
Building Purchase 15,000
Owner Occupied 20.00% 3,000 $0
Tenants 80.00% 12,000 $15.00 $180,000 $15,000
Gross Income $180,000
Vacancy -10.00% ($1,500)
Expenses -25.00% ($45,000)
CADS $133,500
P&I PMT ($45,656)
Taxes & Insurance 3.00% ($15,750)
NOI $72,094
ROI (cash on cash) 137.32%

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