Husky Development purchased an apartment building for $$12\mathrm{.}5$ million in Brookline at the beginning of $2003.$ It contains $12$ one$$bedroom and $28$ two$$bedroom units, which are rented monthly at $$1800$ and $$2400$ respectively. The rent is expected to increase $5\%$ in the second year. The vacancy rate is estimated at $5\%$ a year. The company quickly converted the property into a condominium and planed on selling all units in $2$ years. Assume all units are rented for two years and are sold at the end of year $2.$ While renting the units, the company had to contribute to the condo association fund at $$275$ and $$350$ for the one$$bedroom and two$$bedroom units that cover the operating expenses. In addition, the company had to incur a cost of $$80,000$ management expenses and make $$55,000$ payment towards the real estate taxes each year. The land to value ratio is $25\%.$ The company expected to sell the two types of units at $$380,000$ and $$475,000$ each, an average renovation cost of $10\%$ of the selling price, and $2\mathrm{.}5\%$ of selling broker commission $($the company has a broker$$s license and can serve as the listing broker$).$ During the holding period, a conventional annually amortized $30$ years FRM loan can be obtained at $7\%$ annual interest rate and LTV at $70\%.$ The investor is in the $35\%$ tax bracket. Analyze the risk and return of this investment, and form investment strategies for the company.