A property owner is evaluating the following attematives for lessing space in his office building for the next five years: Net lease with steps. Rent will be $15 per square foot the first year and will increase by 5190 per square foot each year until the end of the lease All operating expenses will be paid by the tenant. Net lease with CPl adjustments. The rent will be $16 pec square foot the first year. After the first year, the rent wall be increased by the amount of any increase in the CPI. The CPI is expected to increase 7 percent per year. Gross lease. Rent will be $34 per square foot each year with the lessor responsible for payment of all operating expenses. Expenses are estimated to be $9 during the first year and increase by $1 per year thereafter. Gross lease with expense stop and CPl adjustment Rent will be $26 the first year and increase by the full amount of any change in the CPt after the first year with an expense stop at $9 per square foot. The CPI and operating expenses are assumed to change by the same amount as outlined above. Required: o. Calculate the effective rent to the owner (after expenses) for each lease alternative using a 10 percent discount rate b. How would you rank the altematives in terms of risk to the property owner? Complete this question by entering your answers in the tabs below. Calculate the effective rent to the owner (after expenses) for each lease attemative using a 10 percent discount rate. Note: Do not round your intermediate calculations. Round your final answers to two decimal places