A Term and Reversion Valuation

In Example 18 of curriculum, Three years ago rent was decided to be 400k, Rent review occurs every 5 yrs. Estimated rental value is 450K. ARY is 5 percent. A lower rate of 4 percent is considered appropriate to discount the term rent because its less risky than the market rent.

Here i am getting confused why is the 400k is discounted for 2 years in the solution given instead of 3 years!

Please help i am very much stuck here since last night. Read multiple times and i am not getting convinced.

The lease started three years ago, and it was a five-year term. That means there are two more years to go (two more payments of $400k) to the end of that lease.

You can refer to this video and see if it helps: https://youtu.be/IH86gZ5aRJs

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Thanks a lot

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