Evaluating profitability for a $10 M multi-family apartment project (100 units, 20 % vacancy, 4.6 % mortgage, $600 k annual interest, $400 k fixed costs, variable cost = 10 % of rent, equipment ROI 10 %).

Which financial and operational factors must be considered when setting rent price for this property? What is the minimum monthly rent per unit that achieves break-even (or target profit) under current 80 % occupancy? If the unit rent is lowered to $1 200, what percentage of units must be rented to maintain the same annual profit?

Think mortgage payments, fixed vs. variable costs, vacancy, required ROI, and sensitivity analysis for rent vs. occupancy.

Capital One Data Scientist interview question: Determine Rent Price Factors for Multi-Family Apartment Profitability. {"blocks": [{"key": "ad443132", "text": "Scenario", "type": "header-two", "depth": 0, "inlineStyleRanges": [], "entityRanges": [], "data": {...