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William Coet
  • Lititz, PA
272
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595
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Net Operating Income: Do Banks Consider A Long-Term Capital Expenditure Budget?

William Coet
  • Lititz, PA
Posted

Hello,

I'm trying to calclulate the Debt Service Coverage Ratio. In order to determine NOI, do I include only annual repair and maintenance expenses or also a budget for long-term capital expenditures (roof, heating, etc)?

Also, do banks include property taxes included in the NOI calculation?

Thank you!

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