To determine the yearly price per square foot of a property a simple equation. If you already have an idea of how much you want to rent the property that you are buying then just take the rent amount times 12 divided by the square footage.
For example, if you know you want to rent a 3,000 sq. ft. building for $2,500. Then take 2,500x12 / 3,000 to get $10 per sq. ft. Or if you want to go the other route and figure out how much $8 a sq. ft. would be fore a 3,000 sq. ft building, then take 3,000x$8 / 12 to get $2,000 for the monthly rent.
Oct 7, 2010