3. A small shopping center is expected to produce net operating income of $23,880 in year 1. You expect NOI to increase by 4 percent per year over an expected holding period of seven years. Property value is expected to increase by 3 percent per year. The discount rate is 10 percent. Assume there will be no costs of sale. Estimate the value of the shopping center. HINT: Use the Net Operating Income and Net Selling Price Model.