Please solve b part$)$

You are a real estate mogul considering a three$-$year investment in

an office property project. Your analysts have located a property in

the city. You are provided with the following information:

You can buy the building today for $10$ million without borrowing.

The building's gross leasable area is $80,000$ square feet.

You anticipate that the market rent will be $\frac{20}{?}$ sqft p$.$a$.$ in the

coming year, with rent growth of $3\%$ per year thereafter.

The office building's vacancy allowance is $8\%$ of potential gross

income.

The operating expenses will be $30\%$ of the net gross income.

You estimate that the going$-$out $($exit$)$ cap rate at the end of $3^{rd}$

year $($EOY$3)$ will be $5\%.$

The required rate of return $($discount rate$)$ is $15\%$ p$.$a$.$

Ignore transaction cost.

$($a$)$ Given the table below, what is the net operating income of the

office building in each year?

$(20$ marks$)$

$($b$)$ What are the capital cash flows during the holding period?

$(15$ marks$)$