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Answer should be b. $2,233,333. Can you show how to get that answer pls 24. A developer plans to purchase a vacant lot and build

Answer should be b. $2,233,333. Can you show how to get that answer pls image text in transcribed
24. A developer plans to purchase a vacant lot and build apartment units which represent the highest and best use of the land. Assuming the anticipated NOI from the projected units is $850,000, the market-derived capitalization rates for the building and land are 11% and 9% respectively, and the projected value of the proposed building is $5,900,000. Based on the land residual technique, the land value would be: (a. $2,166,667 (b. $2,233,333 d. $2,900,000 The answer falls outside of the range provided. 5,050,000

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