943-945 Warren Rd. Darden Case Study UVA-F-1638

a Pro-forma containing after tax cash flows from operations and reversion for the seven years mentioned in the case.B)Grant, Hoffman and Krouse decide that they want to earn an additional 5% over their historical return. Although the number is rather arbitrary they have a justification for it. What is it.C) the NPV for the building. Based on this number should they invest? Explain.D) the Going-Out cap rate. E)Why would happen to the going-out Cap Rate when they would lose a tenant in the last year? Explain.F)Calculate the MIRR and IRR for the equity investors and explain the difference. Based on these numbers should they invest? Explain.

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