Boone Brothers purchased a parcel of land 8 years ago for $375,000. At that time, the firm invested $148,000 modifying the site so that it could be leased to an adjacent car dealer for displaying used car inventory. The lease payment was $42,000 a year. Boone Brothers is now considering building a hotel on the site as the auto dealer is relocating to make room for a nearby shopping mall to expand. The current value of the land is $1.06 million. Boone Brothers has no loans or mortgages secured by the property. What value should be included in the initial cost of the hotel project for the use of this land?