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Greystar is considering acquiring a multifamily property in Boise, Idaho. The price is $125,000,000. The...

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Greystar is considering acquiring a multifamily property in Boise, Idaho. The price is $125,000,000. The proforma projects that the property will earn the following NOI: Y1: $3,500,000 Y2: $4,700,000 Y3: $6,200,000 Y4: $6,800,000 Y5: $7,300,000 Greystar will sell the asset at the end of year 5 for $180,000,000. If the required rate of return is 10%, should this project be pursued?Greystar is considering acquiring a multifamily property in Boise, Idaho. The price is $125,000,000. The proforma projects that the property will earn the following NOI: Y1: $3,500,000 Y2: $4,700,000 Y3: $6,200,000 Y4: $6,800,000 Y5: $7,300,000 Greystar will sell the asset at the end of year 5 for $180,000,000. If the required rate of return is 10%, should this project be pursued?

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