Real Estate Investment/Appraisal, Spring 98, Prof.Geltner

The following table presents the pro-forma developed on an Excel spreadsheet (downloadable from Classware as “hw2ans.xls”). Assuming reversion at the end of year 5, with a sale price equal to 10 times the following year's expected Net Operating Income (NOI), and at a discount rate of 12% per annum, Rentleg Plaza has a present value of ... ................
................