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What is a ‘debt service’?

1.     What is the structure of the payback difference for a GC for a short-term versus a long-term loan?

2.     If a GC is running short on operational cash, why doesn’t the business owner just contribute more of his or her own personal cash?

3.     What is a developer’s ‘draw’?

4.     What is a ‘debt service’?

5.     What is the difference between a cap rate and an interest rate?

6.     Why would a contractor keep its development operations separate from its construction operations?

Solution:

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