Land Valuation. The most applicable approach to land valuation is the Direct Sales Comparison Approach. All of the comparables are in Skagway. These sales or capitalized leases were chosen based on comparable attributes such as zoning, size, location, and available utilities. A qualitative rating is developed to weigh market differences between the subjects and their comparables whereby, if a comparable attribute is superior to a subject, a minus rating of -1, -2, or -3 is given, depending on its severity. Conversely, if a comparable attribute is inferior to the subject, a plus rating of +1, +2, or +3 is given, depending on its severity, to weight this with other attributes towards the subject. The gradation of weighting 1 to 3 is used since all qualitative attributes are not, in the appraisers’ opinion, equally weighted within the market. 1 Portion ATS 4, Tax Lot 5A, Petro Lease 01/12 $24,000* 1,600 SF $15.00/SF Similar W zoning; near seawalk and harbor 2 Portion ATS 4, Tax Lot 5D, Stowaway 05/13 $110,000* 5,500 SF $20.00/SF Similar W zoning, adjacent seawalk and Congress Way 3 Lot 10, Block 21, Skagway Townsite 09/15 $65,000 5,000 SF $13.00/SF Zoned Light Industrial; vacant lot 4 S 331/3 Lots 11 and 12, Blk 39 12/13 $55,000** 3,330 SF $16.52/SF Zoned Light Industrial with older building 5 Lot 12, Block 60 01/15 $65,000** 5,168 SF $12.58/SF Zoned Light Industrial with house *Fee simple value considering 8% lease rate; **Land Allocation from improved sale. Comparable 1 is the fee simple value based on a capitalized 2012 lease. It is smaller in size and similar in zoning. It is similar to the subject’s location isolated from the major tourist traffic flow and more industrial in use. The smaller size and economies of scale would indicate that this comparable is superior in value based on size. It is ranked as superior Comparable 2 is the fee simple value based on a capitalized 2013 lease. It is similar in waterfront zoning and larger in size. It is superior in its location between Congress Way and the seawalk which accounts for substantial tourist traffic. It also was superior in utilities. It is ranked superior overall. Comparable 3 is the fee simple sale of a parcel of land zoned for light industrial use and surrounded by a combination of residential and commercial uses. It is slightly larger and superior in utilities. It is a very recent transaction, having occurred in late 2015. It is ranked similar after considering adjustments. Comparable 4 is the allocated land value from the sale of a light industrial property with a small fair condition building on it. It is most similar in size, but superior in utilities. It ends up a superior indicator of unit value at $16.52/SF. Comparable 5 is the land allocation of a property zoned light industrial with a small house on it. This comparable was a larger parcel of land with superior utilities and mostly surrounded by residential uses. This is also a recent transaction, having occurred in early 2015. This is considered due to its zoning but is given less weight with its residential use. It is ranked similar. See Table 4.2 on the next page for the Qualitative Adjustment Grid. ORDINANCE 16-13 EXHIBIT A LEASE ATTACHMENT A Sales or Indicated Price Solve $24,000* $110,000* $65,000 $55,000** $65,000** Price/SF Solve $15.00/SF $20.00/SF $13.00/SF $16.52 $12.58 Market Conditions (Time of Sale) 04/16 1/12 0 05/13 0 09/15 0 12/13 0 01/15 0 Conditions of Sale N/A Similar 0 Similar 0 Similar 0 Similar 0 Similar SF Size 3,000 SF 1,600 SF -1 5,500 SF +1 5,000 SF +1 3,330 SF 0 5,168 SF +1 Location/Access Average Similar 0 Superior -2 Similar 0 Similar 0 Similar 0 Zoning W W 0 W 0 IL 0 IL 0 IL 0 Utilities Electric Similar 0 Superior -1 Superior -1 Superior -1 Superior -1 Overall Net Rating Superior -1 Superior -2 Similar 0 Superior -1 Similar 0 *Based on capitalized lease, ** Land allocation 16-044 / Taiya Marine Lease 18 | P a g e Comp 2 05/13 $20.00 Superior -2 Comp 4 12/13 $16.52 Superior -1 Comp 1 01/12 $15.00 Superior -1 Comp 3 09/15 $13.00 Similar Subject 04/16 Solve Similar Comp 5 01/15 $12.58 Similar All of the comparables indicate a range between $12.58/SF and $20.00/SF. After ranking, a tighter range develops between $12.58/SF and $13.00/SF. The subject is estimated at $13.00/SF with slightly less weight applied to Comp 5 due to its residential use and surroundings. In consideration of the data analyzed above, a unit value of $13.00/SF is felt to be most substantiated. This valuation, with an effective date of April 1, 2016 can be summarized as follows: 16-044 / Taiya Marine Lease 19 | P a g e ORDINANCE 16-13 EXHIBIT A LEASE ATTACHMENT A ORDINANCE 16-13 EXHIBIT A LEASE ATTACHMENT A ORDINANCE 16-13 EXHIBIT A LEASE ATTACHMENT A ORDINANCE 16-13 EXHIBIT A LEASE ATTACHMENT A ORDINANCE 16-13 EXHIBIT A LEASE ATTACHMENT A ORDINANCE 16-13 EXHIBIT A LEASE ATTACHMENT A Graduated from Pennsylvania State University, B.S./B.L.A. in Landscape Architecture, 1977 Appraiser, ▇▇▇▇▇ & Company, LLC, 08/04-Present Appraiser, ▇▇▇▇▇, ▇▇▇▇▇ & Company, formerly Pomtier, ▇▇▇▇▇▇▇▇ & ▇▇▇▇▇, 03/87-07/04 Appraiser, Pomtier, ▇▇▇▇▇▇▇▇ & ▇▇▇▇▇, 1986-1987 Associate Planner, City and Borough of Sitka, Alaska 1985-1986 Landscape Architect, U.S. Forest Service, Sitka, Alaska, 1983-1985 Landscape Architect, GWSM Inc., Pittsburgh, PA, 1977-1983 State of Alaska, General Real Estate Appraiser, 618 AIREA Residential Valuation, May 1989, Portland, Oregon AIREA Residential Case Studies and Report Writing, May 1989, Portland, Oregon AIREA Standards of Professional Practice, October 1987, Anchorage, Alaska FNMA Appraisal Guidelines Seminar, July, 1987 FNMA Appraisal Guidelines Seminar, July, 1988 Veterans Administration Guidelines Seminar, February, 1988 AIREA Real Estate Appraisal Principals, October 1988 Traverse City, Michigan Residential Demo - Appraisal Report Writing, Northern California Chapter, August 1992 Feasibility Analysis - Highest and Best Use, Alaska Chapter, November 92 Appraising the Tough Ones, Alaska Chapter, November 1992 Standards of Professional Practice - Part A, Alaska Chapter, January 1993 Standards of Professional Practice - Part B, Alaska Chapter, January 1993 New URAR Seminar, Anchorage, Alaska, December 1993 Valuation of Leasehold Interests, Anchorage, Alaska, December 1993 Understanding Limited Appraisals, Anchorage, Alaska, July 1994 Appraisal Institute, Appraisal Procedures, Pittsburgh, Pennsylvania, February, 1995 The Internet and the Appraiser, May 1996, Seattle, Washington HighTech Appraisal Office, May 1996, Seattle, Washington Dynamics of Office Bldg. Valuation, October 1996, Anchorage, Alaska Appraisal of Retail Properties, October 1996, Anchorage, Alaska Standards of Professional Practice - Part B, April 1997, Seattle, Washington Basic Income Capitalization, March 1998, Chapel Hill, North Carolina Standards of Professional Practice - Part C, 1998, Edmonds, Washington FHA Training Seminar, October 1999, Seattle, Washington FHA Seminar, August 2000, Anchorage, Alaska FHA Appraisal Inspection From the Ground Up, June 2000, Anchorage, Alaska Undivided Partial Interest Valuation/Divided Partial Interest Valuation, May 2001, Anchorage Technical Inspection of Real Estate, April 2003, Anchorage, Alaska Code of Professional Ethics/Scope of Work, April 2003, Anchorage, Alaska Uniform Appraisal Standards for Federal Land Acquisitions (UASFLA), Jan 2004, Philadelphia, PA Rates and Ratios:Making Sense of GIMs, OARs and DCF, Feb 2005, Anchorage, AK USPAP Update; Uniform Standards of Professional Appraisal Practice, Feb 2005, Anchorage, AK USPAP 15 Hr; Uniform Standards of Professional Appraisal Practice, April 2006, Sacramento, CA Basic Income Capitalization 310, July 2006, San Diego, CA General Applications 320, July 2006, San Diego, CA Subdivision Valuation, February 2008, Anchorage, AK Appraisal of Local Retail Properties, February 2008, Anchorage, AK USPAP 7 hr Update; Uniform Standards of Professional Appraisal Practice, June 2009, Juneau, AK Home Valuation Code of Conduct & 1004 Market Conditions Form Seminar, June 2009, Juneau, AK Business Practices and Ethics, November 2009, Online Real Estate Appraisal Operations, February 2010, Online USPAP 7 hr Update; Uniform Standards of Professional Appraisal Practice, February 2010, Kent, WA Uniform Appraisal Standards for Federal Land Acquisitions (UASFLA), Dec 2010, Sacramento, CA Fundamentals of Separating Real Property, Personal Property and Intangible Business Assets, April 2012, Portland, OR Appraising the Appraisal - Appraisal Review - General, September 2012, Reno, NV USPAP 7 hr Update; Uniform Standards of Professional Appraisal Practice, February 2013, Pittsburgh, PA USPAP 7 hr Update; Uniform Standards of Professional Appraisal Practice, April 2014, Juneau, AK Real Estate Finance Statistics and Valuation Modeling; February 2015, Las Vegas, NV Supervisory Appraiser/Trainee Appraiser Course; April, 2015Anchorage, AK Residential - Single family residences, duplexes, tri-plexes, four-plexes, mobile homes, and vacant land Commercial - Warehouses, vacant tracts, islands, office buildings, remote sites, hangars, tidelands, retail buildings, apartments, industrial complexes, market data and research
Appears in 1 contract
Sources: Lease Agreement
Land Valuation. The most applicable approach to land valuation is the Direct Sales Comparison Approach. All of the comparables are in Skagway. These sales or capitalized leases were chosen based on comparable attributes such as zoning, size, location, and available utilities. A qualitative rating is developed to weigh market differences between the subjects subject and their the comparables whereby, if a comparable attribute is superior to a subject, a minus rating of -1▇▇ -▇, -2-▇, or -3 ▇▇ -▇ is given, depending on its severity. Conversely, if a comparable attribute is inferior to the subject, a plus rating of +1, +2, or +3 is given, depending on its severity, to weight this with other attributes towards the subject. The gradation of weighting 1 to 3 is used since all qualitative attributes are not, in the appraisers’ opinion, equally weighted within the market. TABLE 4.1 - COMPARABLE SALES AND CAPITALIZED LEASES TABLE 1 Portion ATS 4, Tax Mill Lot 5A, Petro Lease 01/12 (7922) 04/15 $24,000312,500* 1,600 37,800 SF $15.008.93/SF Similar W I zoning; near between downtown and seawalk and harbor 2 Portion ATS 4▇▇▇ ▇▇, Tax Lot 5D, Stowaway 05/13 $110,000* 5,500 SF $20.00/SF Similar W zoning, adjacent seawalk and Congress Way 3 Lot 10, Block 21, Skagway Townsite ▇▇▇ ▇▇ (9354) 09/15 $65,000 5,000 SF $13.00/SF Zoned Light Industrial; vacant lot 4 S 331/3 IL Zoning, edge of town 3 Lots 11 and & 12, Blk 39 12/13 Block 70, (8089) 05/15 $55,000145,000** 3,330 10,000 SF $16.5214.50/SF Zoned Light Industrial with older building 5 Lot 124 ▇▇▇▇ ▇▇ & ▇▇, Block 60 01/15 ▇▇▇ ▇▇ (10137) 08/16 $65,000** 5,168 188,700 10,000 SF $12.5818.87/SF Zoned Light Industrial with house BG; nearby 5 Ptn Tax Lot 5F (7207) 04/16 $39,000* 3,000 SF $13.00/SF Zoned W; Much smaller Subject 05/17 Solve 15,724 SF Solve Zoned W *Fee simple value considering 8% lease rate; **Land Allocation from improved sale. fm 7922) This comparable is ranked superior. (photo from Comparable 1 2 is the fee simple value based 2015 sale of a 5,000 SF Light Industrial lot on a capitalized 2012 leasethe outskirts of town but on the other side of the town core. It is smaller in size and similar in zoning. It is similar to the subject’s location isolated from the major tourist traffic flow and more industrial in use. The smaller size and economies of scale would indicate that this comparable is superior in value based on size. It is ranked as superior Comparable 2 is the fee simple value based on a capitalized 2013 lease. It is similar in waterfront zoning location and larger in size. It is superior in its location between Congress Way and the seawalk which accounts for substantial tourist traffic. It also was superior in utilitiesaccess. It is ranked superior overall. (photo 030917_0129) Comparable 3 is the land allocation of a fee simple sale of a parcel of land zoned for light industrial use and located near the airport. It is surrounded by a combination of residential and commercial uses. It is slightly larger and superior in utilitiessmaller at 10,000 SF. It is a very recent transaction, having occurred in late May of 2015. It is ranked similar after considering adjustmentssuperior primarily due to size. (photo 090808_1256) Comparable 4 is the allocated land value from the sale of a light industrial property with a small fair condition building on it10,000 SF parcel of land zoned BG and located along State Street, relatively close to the subject. It is most similar in size, but felt to be superior in utilitiesits smaller size and less restrictive zoning. It ends up a ranks superior indicator of unit value at $16.5218.87/SF. (photo 030917_0118) Comparable 5 is the land allocation fee simple indication from a capitalized lease of a property Waterfront zoned light industrial with a small house on itland. This comparable was a larger parcel of land with superior utilities It is much smaller, but is relatively current and mostly surrounded by residential uses. This is also a recent transaction, having occurred in early 2015considered largely due to its similar zoning. This is considered superior due to its zoning much smaller size but is given less weight with its residential useinferior utilities. It is ranked similar. (photo 021612_0448) See Table 4.2 on the next page for the Qualitative Adjustment Grid. ORDINANCE 16-13 EXHIBIT A LEASE ATTACHMENT A TABLE 4.2 - QUALITATIVE ADJUSTMENT GRID Characteristic Subject Comp #1 Ptn Mill Lot Comp #2 ▇▇▇ ▇▇, ▇▇▇ ▇▇ Comp #3 ▇▇▇▇ ▇▇ & ▇▇, ▇▇▇▇▇ ▇▇ Comp #4 ▇▇▇▇ ▇▇ & ▇▇, ▇▇▇▇▇ ▇▇ ▇▇▇▇ #▇ ▇▇▇ Tax Lot 5F Sales or Indicated Price Solve $24,000* $110,000312,500* $65,000 $55,000** 145,000 $65,000*188,700 $39,000* Price/SF Solve $15.00/SF $20.008.93/SF $13.00/SF $16.52 14.50/SF $12.58 Market Conditions (Time of Sale) 04/16 1/12 0 05/13 0 09/15 0 12/13 0 01/15 0 18.87/SF $13.00/SF Conditions of Sale N/A Similar 0 Similar 0 Similar 0 Similar 0 Similar SF Size 15,724 SF 37,800 SF +2 5,000 SF -1 10,000 SF -1 10,000 SF -1 3,000 SF 1,600 SF -1 5,500 SF +1 5,000 SF +1 3,330 SF 0 5,168 SF +1 -2 Location/Access Average Superior -1 Similar 0 Superior -2 Similar 0 Similar 0 Similar 0 Zoning W W 0 W I 0 IL 0 IL 0 IL ▇ ▇▇ -▇ ▇ 0 Utilities Electric All available Similar 0 Similar 0 Similar 0 Similar 0 Inferior +1 Overall Net Rating Inferior +1 Superior -1 Superior -1 Superior -1 -2 Superior -1 Overall Net Rating Superior -1 Superior -2 Similar 0 Superior -1 Similar 0 *Based on capitalized lease, ** Land allocation 16-044 / Taiya Marine Lease 18 | P a g e TABLE 4.3 - SALES RANKING Comp 4 08/16 $18.87 Superior-2 Comp 3 05/15 $14.50 Superior-1 Comp 2 05/13 $20.00 Superior -2 Comp 4 12/13 $16.52 Superior -1 Comp 1 01/12 $15.00 Superior -1 Comp 3 09/15 $13.00 Similar Superior-1 Comp 5 04/16 $13.00 Superior-1 Subject 04/16 Solve Similar Comp 5 01/15 1 04/15 $12.58 Similar 8.93 Inferior+1 All of the comparables indicate a range between $12.588.93/SF and $20.0018.87/SF. After ranking, a tighter range develops between $12.588.93/SF and $13.00/SF. The subject is estimated at $13.0012.00/SF with slightly less weight applied to Comp 5 emphasis towards the upper end of the range due to its residential use and surroundingsthe number of higher indicators in the market. In consideration of the data analyzed above, a unit value of $13.0012.00/SF is felt to be most substantiated. This valuation, with an effective date of April 1May 26, 2016 2017 can be summarized as follows: 16-044 / Taiya Marine Lease 19 | P a g e ORDINANCE 16-13 EXHIBIT A LEASE ATTACHMENT A ORDINANCE 16-13 EXHIBIT A LEASE ATTACHMENT A ORDINANCE 16-13 EXHIBIT A LEASE ATTACHMENT A ORDINANCE 16-13 EXHIBIT A LEASE ATTACHMENT A ORDINANCE 16-13 EXHIBIT A LEASE ATTACHMENT A ORDINANCE 16-13 EXHIBIT A LEASE ATTACHMENT A ADDENDA Graduated from Pennsylvania State University, B.S./B.L.A. in Landscape Architecture, 1977 Appraiser, ▇▇▇▇▇ & Company, LLC, 08/04-Present Appraiser, ▇▇▇▇▇, ▇▇▇▇▇ & Company, formerly Pomtier, ▇▇▇▇▇▇▇▇ & ▇▇▇▇▇, 03/87-07/04 Appraiser, Pomtier, ▇▇▇▇▇▇▇▇ & ▇▇▇▇▇, 1986-1987 Associate Planner, City and Borough of Sitka, Alaska 1985-1986 Landscape Architect, U.S. Forest Service▇.▇. ▇▇▇▇▇▇ ▇▇▇▇▇▇▇, Sitka▇▇▇▇▇, Alaska▇▇▇▇▇▇, 1983▇▇▇▇-1985 ▇▇▇▇ Landscape Architect, GWSM Inc.▇▇▇▇ ▇▇▇., Pittsburgh▇▇▇▇▇▇▇▇▇▇, PA▇▇, 1977▇▇▇▇-1983 ▇▇▇▇ State of Alaska, General Real Estate Appraiser, 618 APRG618 AIREA Residential Valuation, May 1989▇▇▇▇, Portland▇▇▇▇▇▇▇▇, Oregon ▇▇▇▇▇▇ AIREA Residential Case Studies and Report Writing, May 1989▇▇▇▇, Portland▇▇▇▇▇▇▇▇, Oregon ▇▇▇▇▇▇ AIREA Standards of Professional Practice, October 1987, Anchorage, Alaska FNMA Appraisal Guidelines Seminar, July, 1987 FNMA Appraisal Guidelines Seminar, July, 1988 Veterans Administration Guidelines Seminar, February, 1988 AIREA Real Estate Appraisal Principals, October 1988 Traverse City▇▇▇▇ ▇▇▇▇▇▇▇▇ ▇▇▇▇, Michigan ▇▇▇▇▇▇▇▇ Residential Demo - Appraisal Report Writing, Northern California Chapter, August 1992 Feasibility Analysis - Highest and Best Use, Alaska Chapter, November 92 Appraising the Tough Ones, Alaska Chapter, November 1992 Standards of Professional Practice - Part A, Alaska Chapter, January 1993 Standards of Professional Practice - Part B, Alaska Chapter, January 1993 New URAR Seminar▇▇▇▇ ▇▇▇ ▇▇▇▇ ▇▇▇▇▇▇▇, Anchorage▇▇▇▇▇▇▇▇▇, Alaska▇▇▇▇▇▇, December 1993 Valuation of Leasehold Interests, Anchorage, Alaska, December 1993 Understanding Limited Appraisals, Anchorage, Alaska, July 1994 Appraisal Institute, Appraisal Procedures, Pittsburgh, Pennsylvania, February, 1995 The Internet and the Appraiser, May 1996, Seattle, Washington HighTech Appraisal Office, May 1996, Seattle, Washington Dynamics of Office Bldg. Valuation, October 1996, Anchorage, Alaska Appraisal of Retail Properties, October 1996, Anchorage, Alaska Standards of Professional Practice - Part B, April 1997, Seattle, Washington Basic Income Capitalization, March 1998, Chapel Hill, North Carolina Standards of Professional Practice - Part C, 1998, Edmonds, Washington FHA Training Seminar, October 1999▇▇▇▇, Seattle▇▇▇▇▇▇▇, Washington ▇▇▇▇▇▇▇▇▇▇ FHA Seminar, August 2000, Anchorage, Alaska FHA Appraisal Inspection From the Ground Up, June 2000, Anchorage, Alaska Undivided Partial Interest Valuation/Divided Partial Interest Valuation, May 2001, Anchorage Technical Inspection of Real Estate, April 2003, Anchorage, Alaska Code of Professional Ethics/Scope of Work, April 2003▇▇▇▇, Anchorage▇▇▇▇▇▇▇▇▇, Alaska ▇▇▇▇▇▇ Uniform Appraisal Standards for Federal Land Acquisitions (UASFLA), Jan 2004, Philadelphia, PA Rates and Ratios:Making Sense of GIMs, OARs and DCF, Feb 2005▇▇▇▇, Anchorage▇▇▇▇▇▇▇▇▇, AK ▇▇ USPAP Update; Uniform Standards of Professional Appraisal Practice, Feb 2005, Anchorage, AK USPAP 15 Hr; Uniform Standards of Professional Appraisal Practice, April 2006, Sacramento, CA Basic Income Capitalization 310, July 2006▇▇▇▇, San Diego▇▇▇ ▇▇▇▇▇, CA ▇▇ General Applications 320, July 2006▇▇▇▇, San Diego▇▇▇ ▇▇▇▇▇, CA ▇▇ Subdivision Valuation, February 2008▇▇▇▇, Anchorage▇▇▇▇▇▇▇▇▇, AK ▇▇ Appraisal of Local Retail Properties, February 2008, Anchorage, AK USPAP 7 hr Update; Uniform Standards of Professional Appraisal Practice, June 2009, Juneau, AK Home Valuation Code of Conduct & 1004 Market Conditions Form Seminar, June 2009, Juneau, AK Business Practices and Ethics, November 2009, Online Real Estate Appraisal Operations, February 2010, Online USPAP 7 hr Update; Uniform Standards of Professional Appraisal Practice, February 2010, Kent, WA Uniform Appraisal Standards for Federal Land Acquisitions (UASFLA), Dec 2010, Sacramento, CA Fundamentals of Separating Real Property, Personal Property and Intangible Business Assets, April 2012, Portland, OR Appraising the Appraisal - Appraisal Review - General, September 2012, Reno, NV USPAP 7 hr Update; Uniform Standards of Professional Appraisal Practice, February 2013, Pittsburgh, PA USPAP 7 hr Update; Uniform Standards of Professional Appraisal Practice, April 2014, Juneau, AK Real Estate Finance Statistics and Valuation Modeling; February 2015▇▇▇▇, Las Vegas▇▇▇ ▇▇▇▇▇, NV ▇▇ Supervisory Appraiser/Trainee Appraiser Course; April, 2015Anchorage, AK USPAP 7 hr Update; Uniform Standards of Professional Appraisal Practice, January 2017, Online Analyzing Operating Expenses, February 2017, Online Uniform Appraisal Standards for Federal Land Acquisitions (UASFLA), May ▇▇▇▇, ▇▇▇▇▇▇▇, ▇▇ Residential - Single family residences, duplexes, tri-plexes, four-plexes, mobile homes, and vacant land Commercial - Warehouses, vacant tracts, islands, office buildings, remote sites, hangars, tidelands, retail buildings, apartments, industrial complexes, market data and research
Appears in 1 contract
Sources: Lease Amendment