Fort Walton Beach Council agenda — 05-10-05 — reading text

opinion that the appraiser' s allocation of value is logical and reasonable. My review of this appraisal is based on the material submitted in the original appraisal reports and appraisal reviews; numerous discussions with the appraiser; numerous discussions with 8 George Gleim; numerous discussions with William K. Kane - Regional Appraiser, Regions and 9; discussions with other knowledgeable Forest Service personnel and other parties; and my the real market. As the review appraiser, I am familiar with the personal knowledge of estate market area, but I have not made a field review of this property and the comparable properties used in the appraisal. The valuation of the subject property is based on a Highest and Best Use premise of mixed use development of low to medium density residential development with a minor commercial component which is logical and adequately supported by the sales cited in the report. The considered all three approaches to value; however, due to the unimproved and appraiser non- income producing nature of the subject property the cost and income capitalization of the subject the appraoaches to value were not developed. Thus, in estimating the market value appraiser only developed the sales comparison approach to value. 2 Forest Supervisor, NFs in FL United States of America Tracts 943 and 944 ( 42.57 acres, more or less) Okaloosa County, FL The estate to be appraised is all the rights, title, and interest in and to 42. 57 acres ofland belonging to the United States. Any outstanding rights, encumbrances, or unauthorized occupancies will be identified. A Specific Purpose Report has been included that reflects condition of title: Right- of-way easement in favor of the Florida State Road Department as set forth in that certain instrument dated August 19, 1969 and recorded September 19, 1969 in Official Records Book 550, Page 204, of the Public Records of Okaloosa County, Florida. Permanent easement in favor of Okaloosa County, a political subdivision of the State of Florida, dated September 1, 1971 and recorded September 21, 1971 in Official Records Book 625, Page 33, of the Public Records ofOkaloosa County, Florida. Subject to right- of-way of Lewis Turner Blvd. ( S. R. 189) as shown on Property Appraiser' s Map. The appraisal review report prepared by George D. Gleim, QRA, dated December 27, 2004, is incorporated here as part of this review and approval. George' s review and supplemental information fully documents the value estimates and recommends approval of the appraisal report. The appraiser concluded a market value of $4, 000, 000 for 42. 57 acres or $93, 963 per acre as of November 28, 2004. The appraiser stated that, if the final acreage, based on an actual survey, is between 38 and 47 acres, the unit value of$ 93, 963 per acre would still be valid. It should be noted that the value is predicated on the extraordinary assumptions that the property is not affected by hazardous material. I have considered the completeness of the material under review, given the scope of the work applicable in the assignment; the adequacy and relevance of the data and the propriety of any adjustments to the data; the appropriateness of the appraisal methods and techniques used; and the reasonableness and appropriateness of the analyses, opinions, and conclusions. The appraisal report prepared for the subject property meets standards required in the Uniform Appraisal Standards for Federal Land Acquisitions and the Uniform Standards ofProfessional Appraisal Practice. Based on the data presented in the report and conversations with the appraiser, George Gleim, and Bill Kane; the appraisal report is accepted and approved for Agency use. This approval is only valid for the estate appraised and described in the report prepared by Jonathan P. Brown. The date of value is November 28, 2004, and unless circumstances change which require re- evaluation, the value will remain valid through November 27, 2005. Although no time adjustment could be supported with paired sales analysis, the appraiser did recognize that market conditions have probably changed within the past four years. The appraiser did not identify any emerging trends or expected events which would lead to a jump in property values. Therefore, a one year time frame is appropriate as the valid life of this report. If there is any change in the stated acreage of 42. 57 acres a supplemental review will be necessary . The reader should note that the appraisal was done under the extraordinary assumptions that the is in any condition property is not affected by hazardous material. If it is found that the property 3 Forest Supervisor, NFs in FL United States of America Tracts 943 and 944 ( 42.57 acres, more or less) Okaloosa County, FL other than being free from a " recognized environmental condition" this approval will not be valid. The assignment letter dated August 4, 2004, instructed the appraiser to allocate the total property value between three phases to occur during the next three years. Below is a summary of the appraiser's allocation. it should be noted that the allocation process is not an appraisal of Again, the three phases (parcels) but an allocation of the appraised value to the three phases. Phase 1 22. 82 acres $ 1. 000. 000* Phase 2 12. 43 acres $ 1, 750, 000 Phase 3 7.32 acres $ 1. 250. 000 Total 42.57 $ 4, 000, 000 It should be noted that the allocated value to Phase 1 is predicated on the assumption that access should access to Phase 1 will be granted across Phase 3 at the time of disposal. The be located so as not to affect the value of Phase 3. G. TRACY STILES, RPRA Senior Review Appraiser - Region GA Certified General Real Property Appraiser # 003525 4 Forest Supervisor, NFs in FL United States of America Tracts 943 and 944 ( 42, 57 acres, more or less) Okaloosa County, FL REVIEWER' S ASSUMPTIONS AND LIMITING CONDITIONS 1. The Appraisal Review Memorandum attached is based on infonnation and data contained in the appraisal report, which is the subject of the review. Data and infonnation from other sources may be considered. If so, they are identified and noted as such. It is assumed that such data and infonnation are factual and accurate. 2. The REVIEWER reserves the right to consider any new or additional data or infonnation, which may subsequently become available, 3. Unless otheIWise stated, all assumptions and limiting conditions contained in the appraisal report, which is the subject of this appraisal review, are also conditions of this review. 4, As the REVIEWER, I reserve the right to request the appraiser to re- examine the appraisal of the subject property in the event the estate deed of conveyance, appraised cited in the appraisal report differs from the estate described in any subsequent option or proposed 5, This appraisal review report is done under the extraordinary assumption that the property is unaffected by hazardous material and, iffound shall be re- mediated prior to to be so affected, the property shall be cleaned up or the effect of the hazardous substances or petroleum products conveyance. If it is found that the property is in any condition other than being free from a " recognized environmental condition" this appraisal review report and approval will not be valid. REVIEWER' S CERTIFICATION I, the undersigned, certify that to the best of my knowledge and belief: I. The facts and data reported by the review appraiser and used in the review process are true and correct. in this review report, 2. The analyses, opinions, and conclusions in this review are limited only by the assumptions and limiting conditions stated and are my personal, unbiased professional analyses, opinions, and conclusions. to the 3, I have no present or prospective interest in the property, which is the subject of this report, and I have no personal bias with respect parties involved. or conclusions in, or the use of, this review 4. My compensation is not contingent on an action or event resulting from the analyses, opinions, report. the requirements of the 5. My analyses, opinions, and conclusions were developed, and this review report have been prepared in confonnity with Practice of Unifonn Standards of Professional Appraisal Practice, along with the Code of Professional Ethics and the Standards of Professional to which the review appraiser belongs, as well as State Licensing or certification requirements where the appraise property is those organizations located. of the various States 6, I, the REVIEW APPRAISER, ([ X] have, [] have not) completed the requirements of the continuing education programs and professional organizations to which I belong, the review report on 7, I, the REVIEW APPRAISER, ([ X] have, [] have not) made a personal inspection ofthe property that is the subject of August 31, 2004. in the original report and 8, I, the REVIEWER APPRAISER, ([] have, [ X] have not) inspected and analyzed all four sales contained acknowledged in the review report. of value, as defined 9. The APPRAISAL REPORT, ([ X]