Terminal Value

Brookfield Property Partners L.P. (BPY)

$18.59

-0.05 (-%)
Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.07
Free cash flow (t + 1) 5,982.08
Terminal Value 146,979.95
Present Value of Terminal Value 109,470.03



Now that we’ve estimated the free cash flow generated over the five-year forecast period, we need to estimate the value of Brookfield Property Partners L.P.’s cash flows after that period (if we don’t include this, we would have to assume that Brookfield Property Partners L.P. stopped operating at the end of the five-year forecast period). To do so, we’ll determine the company’s terminal value.