A 100,000 sf building at highest and best use is worth $24,000,000. Its NOI is $1,920,000. If current hard and soft construction costs not including developers profit are $125 per square foot, what would you be willing to pay for the land?

Select one:

a.

More than $11,500,000

cross out

b.

$11,500,000

cross out

c.

Less than or equal to $11,500,000

cross out

d.

The NOI divided by the ROC