Okaloosa County BOCC — April 15, 2014 — Foy Shaw Road Project SJPA_Sig Resolution_Appraisals_Land Purchase Agreement Letter — reading text

into account the approaches used, listing the strengths and weaknesses of each? x Yes 93. Was the value reconciliation appropriate and supported? x Yes 94. Was an estimate of reasonable exposure time made? Xx Yes 95. Was an estimate of reasonable marketing time made? X Yes 96 Was the exclusion of any approaches adequately explained? Xx Yes 97. Would the reviewer have excluded the approaches? Xx Yes 98. Were deductions relevant to proposed construction, completed properties that are partially leased, or subdivision tract developments with unsold units (or lots) projected and deducted (for example deductions for lease-up and holding costs, marketing costs, reai estate taxes and other expenses likely to be incurred)? x Yes OTHER USPAP RULES 99. Based on a review of the report, does the appraiser appear to have been impartial, objective and independent without advocating the cause or interest of any party? Ethics Rule X Yes 100. Does the appraiser appear to have reported predetermined opinions and conclusions? Ethics Rule x Yes 14136 www.baileyassociatesinc.com APPRAISAL REVIEW 101. Did the appraiser use or rely on unsupported conclusions relating to characteristics such as race, color, religion, national origin, gender, marital status, familial status, age, receipt of public assistance, income, handicap, or an unsupported conclusion that homogeneity of such characteristics is necessary to maximize value? Ethics Rule 102. Is the reviewer aware of the payment of any undisclosed fees, commissions or things of value in connection with procurement of this assignment? Ethics Rule 103. Based on a review of credentials and the report, does the appraiser have the “geographic” and “specific property type” competence for this type of appraisal? Ethics Rule Yes 104. Does the appraiser’s scope of work decision appear to be reasonable in light of the complexity of the project and the intended use of the report? Scope of Work Rule Yes 105. Did the appraiser gather and analyze sufficient data to properly identify the appraisal problem to be solved? Scope of Work Rule Yes 106. Are the appraiser's assignment results credible? Scope of Work Rule Yes 107. Is there sufficient data and information within the report to allow the intended user to understand the scope of work performed? Scope of Work Rule Yes 108. Did the appraiser comply with the engagement letter? Yes 109. Were there any editing issues (ghosts), redundancies, math errors, boilerplate, frequency of inconsistencies between narrative and the summaries? USPAP Xx Yes If this is an appraisal for a “federally related real estate transaction’, (a) does it comply with USPAP, (b) is it written and contain sufficient information analysis; (c) does it contain appropriate deductions and discounts; (d) is based on the interagency definition of Market Value; and (e) is prepared by an appropriate appraiser who is licensed in the state in which the property is located? FIRREA Yes If personal property, trade fixtures, other intangibles or items that are not real property that constitute a significant portion of value separately valued and labeled? SR 1-4(g) Xx Yes If the property is a lodging facility (hotel or motel, senior care facility), health care facility or a special use property, and has an element of value referred to as Business Enterprise Value as part of the Going Concern Value, was it separately labeled? SR 1-4(g) xX Yes 14136 www. baileyassociatesinc.com APPRAISAL REVIEW Standards Rule 3-1 Review Appraiser Queries Were there any portions of the work the reviewer concluded were not complete? (if yes, reviewer No must provide details and/or additional analysis) Does the Reviewer believe that the data contained in the report is adequate and relevant with Yes appropriate adjustments? (if no, reviewer must provide details) Does Reviewer believe the appraisal methods and techniques used were appropriate (if not, reviewer Yes must develop reasons for disagreement) Were there any special market risks identified that the user should be aware of? No Review Appraiser’s Certification oO O° | certify that, to the best of my knowledge and belief: The facts and data reported by the reviewer and used in the review process are true and correct, The analyses, opinions, and conclusions in this review report are limited only by the assumptions and limiting conditions stated in this review report and are my personal, impartial, and unbiased professional analyses, opinions, and conclusions, | have no present or prospective interest in the property that is the subject of the work under review and no personal interest with respect to the parties involved. | have performed no services, as an appraiser or in any other capacity, regarding the property that is the subject of the work under review within the three year period immediately preceding acceptance of this assignment. | have no bias with respect to the property that is the subject of the work under review or to the parties involved with this assignment. My engagement in this assignment was not contingent upon developing or reporting predetermined results. My compensation is not contingent on an action or event resulting from the analyses, opinions, or conclusions in this review or from its use. My analyses, opinions, and conclusions were developed and this review report was prepared in conformity with the Uniform Standards of Professional Appraisal Practice. | have not made a personal inspection of the subject property of the work under review. As of the date of this report, Ronald Lee Bailey Sr. has completed the continuing education Program of the Appraisal Institute. The reported analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Code of Professional Ethics and Standards of Professional Appraisal Practice of the Appraisal Institute. No one provided significant appraisal, appraisal review, or appraisal consulting assistance to the person signing this certification. p> f 9. x K ral Ely ba Review Appraiser Ronald Lee Bailey, Sr. MAI Date of Review 03/7/2014 14136 www. baileyassociatesinc.com