To answer this question you will need to construct a simple 10 year DCF in excel and calculate the NPVs and IRR for the next tenancy.Constructing A Is an industrial Warehouse with a Gross Lettable Space of 10,000m2 which was let on a ten year lease of which two years have expired. The face lease within the lease is $200/m2 and there’s a mounted four% every year escalation of lease all through the time period. A terminal yield of eight% is taken into account acceptable. Present market lease for the property is $210/m2 and is predicted to develop at 2percentpa. On the finish of the present lease a new lease will be signed on the market lease with a 2% every year escalation.You’ve got simply bought the manufacturing unit for $22million and have a goal price of return of 12%%. Out of your spreadsheet which of the next are the closest figures to your answer for NPV = $200,000$500,000$600,000$1,200,000$2,500,000$three,500,000101314151820 with an IRR of $200,000$500,000$600,000$1,200,000$2,500,000$three,500,000101314151820%.Could i please have the excel sheet connected. Thank you

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