The current term structure of interest rates is flat at 2.50%, and is expected to shift...

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The current term structure of interest rates is flat at 2.50%, and is expected to shift up. You have locked into a long-term lease on a real estate in Cambridge to pay $1 million a year forever, starting 3 years (t = 3) from now (t = 0). The current term structure of interest rates is flat at 2.50%, and is expected to shift up. You have locked into a long-term lease on a real estate in Cambridge to pay $1 million a year forever, starting 3 years (t = 3) from now (t = 0).