Your firm is planning to invest in an automated packaging plant. You find a comparable firm, Thurbinar Design, which is engaged in a similar line of business. Thurbinar has a stock price of $16 per share, with 14 million shares outstanding. It also has 101 million in outstanding debt, with a yield on the debt of 4.1%. Thurbinar's equity beta is 1. The risk-free rate is 5%, and the market risk premium is 5%. Thurbinar's unlevered cost of capital is _______%.