Laserfiche WebLink
9786-2 33 <br /> <br />AFTER VALUE <br /> <br />Sales Comparison Approach to Value <br />Explanation of Adjustments <br /> <br />Time of Sale: <br /> <br />Appreciation in industrial land is estimated to be <br />4% per year over the time period represented by <br />the comparable sales. <br /> <br />This adjustment is based upon the observation <br />that larger sites tend to sell for less per SF and <br />vice versa. The 90% curve is typically found for <br />land markets where growth is occurring and new <br />land for development is available. <br /> <br />The principle of the learning curve is that a site <br />twice as large as the subject would sell for only <br />90% as much per SF. <br /> <br />The subject's size is reduced by 0.67 acres in the <br />after condition. <br /> <br />Location: <br /> <br />Based on the appraiser's judgement of location <br />features, as they affect industrial land. <br /> <br />Usable vs. Unusable <br /> Land Area: <br /> <br />The subject has approximately 18.6% (the <br />subject's wetland area is reduced by 0.67 acres in <br />the after condition) or wetland of other <br />unbuildable area in the before condition. Based <br />on pairing Sales #4 and #5, and #3 and #5, it <br />appears that non-buildable areas contribute <br />approximately 25% of the value of upland areas. <br />In this case, we have given the subject's <br />unbuildable area and the ponding easements on <br />Sales #3 and #4, a weight of 25% of the <br />buildable areas. <br /> <br />Other: <br /> <br />Comparable Sale #1 included a small garage <br />building of limited value. A 15% adjustment was <br />made for the value of this building. <br /> <br />Sale #5 had a triangulated easterly corner and <br />irregular northerly lot line. It is considered to <br />have a less usable shape than the subject, thus it <br />was adjusted 5%. <br /> <br />Patchin & Associates, Inc. <br /> <br />Valuation Consultants <br /> <br /> <br />