A 100 years old building near Taiping is up for sale. Total built-up area is about 15,000 square feet. The building is located on a 25,000 square meter piece of land. The cost of constructing this building today is estimated to be RM550 per square foot. The market value of the land in the vicinity is RM50 per square metre.

Using the cost approach, calculate the value of this building.

Assume that the depreciation amounts to 35% of the cost of reproducing the building.