You are a financial analyst constructing a multi-year proforma to value a potential property

acquisition. As part of the analysis, you are considering the most likely scenario for a certain

space for which the current tenants lease will expire at the end of 2008. You estimate the

following: the probability the existing tenant renews is 50 percent; if the tenant renews, you

will need to spend an estimated $5.00/SF to upgrade the space; should the tenant not renew, it

will take $15.00/SF to modernize the space for a new tenant; and you expect there will be

six months of vacancy. Leases in this property are triple-net with the owner responsible

for operating expenses associated with vacant space. Reimbursable building level operating

expenses are expected to be $5.50 in 2009, while market rent for triple-net leases is expected

to be $14/SF. What is the expected property before-tax cash flow forecast (on a per sq. ft.

basis) you will put in year 2009 of your proforma for this space?