What would the increase be in the property market value

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Question - You are considering spending $2,000 to install water flow control devices that will lower your water costs by $500 per year. Both NOI and cash flow would increase by $500. Assuming a 9.5% capitalization rate, what would the increase be in the property's market value?

a. $1,500

b. $3,500

c. $5,263

d. $10,526

Reference no: EM133092270

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