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8 <br /> INCOME ANAI,YS I S. <br /> , A basic principal of real estate property value is, that <br /> value is created by zhe expectation of benefits that is to <br /> be derived �rom the ownership. In the income approach these <br /> benefits which include the value o� an anticipated Yuture <br /> income stream and or reversion, which are discounted to a <br /> ' present worth figure through a capitalization process. Also <br /> . a gross rent multiplier or rent per square foot is used in <br /> calculating an income stream. <br /> A cap-rate is a short term for the recapture of your money <br /> over a period o� term and also a return of interest on your <br /> money, depending upon the demand of the investor. Most cap- <br /> . rates will run between ten and fifteen percent depending <br /> upon the owners or investors obligation. <br /> � •" The income approach will not be used in this appraisal. <br /> � <br />