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A method to do node localization in an indoor environment is presented in this paper. The propagation constant between nodes placed at different locations in an indoor office environment varies. Estimating an appropriate propagation constant is necessary in order to convert received signal strength information between two nodes into useful Euclidean distance. Using Euclidean distance as inputs to the multidimensional scaling algorithm, a location map can be plotted. A method to estimate the propagation constant has been developed using information from anchor nodes.