Question: An apartment complex has 1,000 units of which on average 100 are vacant at any given time. Per unit, the rent is $400 per month, and the operating expenses are $1,800 per year (per occupied unit). If you expect both rents and expenses to grow at 3% per year, the required return is 12.5%, and the building value is expected to remain a constant multiple of its net income, then what is the NPV of a deal to buy the property for $25 million?