NAVPS confusion

[jsush190]

Hi,
In the question below, NAVPS calculation does not add Book Value of properties into the NAVPS calc. Shouldnt this be considered “Other tangible Assets” and added to the Value?
[question removed by moderator]

 

[jonta999]

Does it consider only market values?

 

[S2000magician]

They compute the market value of the properties by capitalizing NOI. If they added the book value as well, they’d be counting them twice.

 

[jonta999]

Since NAV= NOI/cap +assets -Liabilities, how do we know what assets and Liabilities that we should include in the calculations

 

[S2000magician]

Don’t include the assets that are already in the NOI/cap calculation: the properties. Include all other assets, and all liabilities.

 

[jonta999]

Thank you

 

[S2000magician]

You’re quite welcome.