- Joined
- 7/13/14
- Messages
- 1
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- 11
Hello everyone,
I want to evaluate a storefront at a busy clothing wholesale market in China. The owner of the storefront rents out the place every year. She received a cash flow of 250,000 yuan in 2012, 350,000 yuan in 2013 and 600,000 yuan in 2014 (this year). She will be happy to sell the place for 8 million yuan if someone wants to buy it now. I think the price of 8 million yuan is too low, but I cannot figure out how to evaluate the place correctly. The main problem I have is that I do not know how to obtain the correct discount rate for this place. Anyone has a clue about this?
I want to evaluate a storefront at a busy clothing wholesale market in China. The owner of the storefront rents out the place every year. She received a cash flow of 250,000 yuan in 2012, 350,000 yuan in 2013 and 600,000 yuan in 2014 (this year). She will be happy to sell the place for 8 million yuan if someone wants to buy it now. I think the price of 8 million yuan is too low, but I cannot figure out how to evaluate the place correctly. The main problem I have is that I do not know how to obtain the correct discount rate for this place. Anyone has a clue about this?
