Now assume that after $4$ years the building will be demolished, and the land will be redeveloped into a strip retail property called Crystal Estates Mall during year $5.$ There thus is income from the storage facility for $4$ years as stated above, and then zero income in year $5.$ At the end of year $5,$ the new property will cost $$700,000$ to development, yield $$240,000$ per year starting in year $6($still end mode$),$ and grow at $2\%$ per year indefinitely. Investors currently earn a total return of $12\%$ on recently built strip retail investments, which is applicable starting in year $6$ after the building is finished and rented. The PV at the EOY $5$ should be discounted back to today using the $12\%$ discount rate.

B$)$ What is the new present value assuming the storage facility for $4$ years and then the retail mall in year $6$ and after? $(5$ points$)$