Question
A property produces a first year NOI of $100,000 which is expected to grow by 2% per year. If the property is expected to be
A property produces a first year NOI of $100,000 which is expected to grow by 2% per year. If the property is expected to be sold at the end of year 10, what is the expected sale price based on a terminal capitalization rate of 9.5%?
(A) $1,283,147
(B) $1,308,815
(C) $1,263,158
(D) $1,257,992
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Financial Management Principles And Applications
Authors: Arthur J. Keown, J. William Petty, John D. Martin, Jr. Scott, David F.
10th Edition
0131450654, 9780131450653
