A single tenant property has an in-place revenues of $7.8M/ Yr and operating expenses of $4.0M/Yr. Based on market levels, the revenue should be $7.4M/Yr. The existing tenant has a month to month lease (meaning the landlord would have to release the space at the market rent if the tenant opts not to renew). Assuming a cap rate of 4.0%, what is a the price for the asset based on market levels? 1.$85.0M 2. $77.7M 3. $75M 4. $72M