I currently have $5,000,000 invested in a fund of common stock of different commercial real estate properties. I expect the return on this investment to be 17% per year over the next 10 years. I have an opportunity to invest in a commercial property in Brooklyn. The property costs $5,000,000. I will not borrow to finance the purchase, (no mortgage). My advisers have given me the following data on net operating income; Year Cash Flow (NOI) 0 -$5,000,000 1 $450,000 2 $450,000 3 $450,000 4 $450,000 5 $450,000 6 $450,000 7 $450,000 8 $450,000 9 $450,000 10 $450,000+ $7,000,000 The cash flow at year zero is negative because I buy the property. Its a cash outflow. The cash flow at the end of year 10 includes the sales price. The net operating income of the property for the next 10 years is $450,000. I will plan to sell the property at the end of year 10 for $7,000,000. My investment rule is; invest in the property if the Internal Rate of Return is greater than 18%. Should I make the investment in this property based on the information have given? Use the Excel IRR function to come up with your advice. Please explain