You own a building with two tenants. The first tenant rents 30,000 square feet at $4/month per square foot and his lease will be in place for the next 5 years. The second tenant rents 20,000 square feet at $3.50/month per square foot. The second tenant's lease expires at the end of this year. You estimate the tenant will renew with a 45% probability, and if the tenant renews he will pay $3.80/month per square foot. If the tenant does not renew, the space will be vacant for 6 months and the new tenant will pay $4.00/month per square foot. When the building is fully occupied, building expenses are $40,000 per month with $10,000 fixed. All tenants pay their pro-rata share of building expenses --------- Using ARGUS conventions, what is potential rent next year?

A $444,000

B $480,000

C $390,000

D $408,000