Question: ABC Development has finished a 50,000 sf retail facility at a cost of $500 per square foot. ABC Development intends to sell the property for

ABC Development has finished a 50,000 sf retail facility at a cost of $500 per square foot. ABC Development intends to sell the property for $30,000,000 in two years. The annual net cash flow is estimated to be $1,000,000. Is it economically possible for ABC Development to invest if the desired rate of return or discount rate is 10% per year? For evaluation, use the NPV approach.

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