Q1 comment on your findings and suggest possible means by which the attractiveness of this proper...

1. NPV is small amount of negative figure. therefore the investment under its current conditions is not attractive to potential investors

2. Given the negative NPV would could be done to improve the position ?

2.1. 1. Improve the entry price

2.1.1. by forcing initial purchase yield up

2.2. 2. Improve the cash flow

2.2.1. Higher rental growth

2.2.1.1. by improving asset management

2.2.2. Higher/earlier occupancy

2.2.3. Lower/later costs

2.2.3.1. by reducing operating cost

2.3. 3. Improve the exit price

2.3.1. Lower yield

2.3.1.1. Improve the cash flow for onward sale

2.3.1.2. Improve the property itself resulting in higher cash flow and/or lower yield

2.4. 4. Change the required return

2.5. 5. Other alternatives:

2.5.1. Different holding periods, either shorter or longer

2.5.1.1. depends on discount rate of return

2.5.2. More extensive refurbishment or redevelopment

2.6. 6. Change the financing

2.6.1. by borrowing loan with lower interest rate