An office building property can be purchased for $5.0 million. It is expected to generate annual NOIs of: Yr.1: $250,000; Yr.2: $257,500; Yr.3: $265,225;Yr.4:$273,200;Yr.5:$281,400; and is expected to be sold resulting in a net sale proceed in Yr.5 of $5.4 million (i.e., after selling expenses). Assume the project includes a $3.2 million loan having an annual debt service of $172,000 per year, and that the outstanding mortgage balance at the end of the five-year holding period will be $3.0 million. Assume also that the overall going-in cap rate is 5.0 percent; the going-out cap rate is 6.0 percent; the investor's required return on the project, unleveraged, is 7.5 percent; and the investor's required return on the project, leveraged, is 12.0 percent. Using the appropriate information, determine the internal rate of return (IRR) of the project (UNLEVERED). 23.20% 6.69% 10.51% 10.70%