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11-12-1991 ERMU MIN
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11-12-1991 ERMU MIN
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City Government
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ERMUMIN
date
11/12/1991
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I • <br /> a 1 <br /> 1 HOWARD LAWRENCE APPRAISALS INC. <br /> VALUE ESTIMATES (All Eight Sites in a Single Transaction) <br /> 1 <br /> On page a, a value for each of the eight lots , in eight separate <br /> transactions, was assigned. <br /> In assigning the following value, it is assumed that all eight lots <br /> are sold in a single transaction. Effectively, the buyer becomes the <br /> investor in an eight lot marketing enterprise. The buyer must <br /> I discount the "retail" values/selling prices of the eight lots as eight <br /> separate transactions. The discounting must reflect the owner's <br /> selling costs and likely extended holding costs until all eight lots <br /> are sold. <br /> An "eight lot" transaction is-41 an unusual real estate opportunity which <br /> would find a very limited market. Such an investor-buyer would <br />:. / <br /> negotiate aggressively. <br /> There is no reliable body of market information to be used as a guide <br /> to value on such a unique transaction. A land subdivider/developer <br /> z might be considered as a prospective buyer willing to undertake the <br /> 11 1 acquisition of the "as is" , "eight lot" transaction. <br /> We judge that a discount of 25% is reasonable to attract a sale . <br /> ESTIMATED VALUE OF THE "EIGHT LOTS" IN A SINGLE TRANSACTION <br /> $364, 800 ( from page a) x 75% ( 25% discount ) = $273 , 600 <br /> 1 <br /> i <br /> 1 <br />. w <br /> 3 •. <br /> s <br /> 4 <br /> l <br /> 4 <br /> I <br /> S <br /> X <br /> I <br /> 4. <br /> I <br /> I <br />
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