Assume the numbers below are NOI values for six consecutive years. It is 12/31/2022 and the first number is an historical value. The 2023 to 2027 numbers are projections. Table #1 2022 2,689,404 2023 2,778,872 2024 2,870,848 2025 2,965,305 2026 3,062,320 2027 3,161,973 1) Using Table #1 and the assumptions that accompany it, assume a bidder is looking at the property with these future NOI values and wants to calculate a bid using the Direct Capitalization method. The bidder wants to bid assuming a Cap Rate of 5.75%. What would be the bid using these assumptions?

2) Using Table #1 and the assumptions that accompany it, assume a bidder is looking at the property with these future NOI values and wants to calculate a bid using the Discounted Cashflow method. The bidder wants to assume a four-year holding period, a discount rate of 10% and an Exiting Cap Rate of 5.75%. What would be the bid using these assumptions?