The URL can be used to link to this page

TC Ord. No. 2009-05 Approving the deed of easement for a parcel of land PE-72A located at Lot 72 Block 2 benchmark at beaver creek amendment 4 for the purpose of constructing the east beaver creek boulevard streetscape improvementsEXHIBIT A TOWN OF AVON ORDINANCE 09 -05 SERIES of 2009 AN ORDINANCE APPROVING THE DEED OF EASEMENT FOR A PARCEL OF LAND, PE -72A, LOCATED AT LOT 72, BLOCK 2, BENCHMARK AT BEAVER CREEK, AMENDMENT 4, FOR THE PURPOSE OF CONSTRUCTING THE EAST BEAVER CREEK BOULEVARD STREETSCAPE IMPROVEMENTS WHEREAS, the Town of Avon entered into an Annexation and Development Agreement with EMD LLC, PVRT NOTT I LLC, PVRT NOTT II LLC, and PVRT NOTT III LLC, dated October 13, 1998, which required in Section 4.3(b)(iii) that the Town of Avon acquire right -of -ways to a portion of East Beaver Creek Boulevard as necessary for improvements to be constructed by Traer Creek Metropolitan District; WHEREAS, the Town Council has previously directed, authorized, and budgeted for acquisition of easements required for the East Beaver Creek Boulevard Streetscape Improvements; WHEREAS, Colorado Revised Statutes section 31- 15- 101(1)(a) provides that municipalities may acquire and hold real property; and, WHEREAS, the Town Council finds that acquisition of the Deed of Easement attached hereto shall promote the health, safety and general welfare of the Avon community by allowing improvements to East Beaver Creek Boulevard that enhance traffic circulation; NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF AVON, COLORADO, the following: Section 1. Deed of Easement Approved. The attached Deed of Easement for a Parcel of land, PE -72A, located at Lot 72, Block 2, Benchmark at Beaver Creek, Amendment 4, Town of Avon, Eagle County, Colorado, is hereby approved and accepted. Section 2. Authorization. The Mayor and Town Clerk, or their designees, are authorized to execute all documents as may be necessary for the acceptance and recording the Deed of Easement. Section 3. Effective Date. This Ordinance shall take effect seven days after public notice following final passage in accordance with Section 6.4 of the Avon Home Rule Charter. Section 4. Safety Clause. The Town Council hereby finds, determines and declares that this Ordinance is promulgated under the general police power of the q Town of Avon, that it is promulgated for the health, safety and welfare of the public, and that this Ordinance is necessary for the preservation of health and safety and for the protection of public convenience and welfare. The Town Council further determines that the Ordinance bears a rational relation to the proper legislative object sought to be obtained. Section 5. Publication by Posting. The Town Clerk is ordered to publish this Ordinance by posting notice of adoption of this Ordinance on final reading by title in at least three public places within the Town and posting at the office of the Town Clerk, which notice shall contain a statement that a copy of the ordinance in full is available for public inspection in the office of the Town Clerk during normal business hours. INTRODUCED, APPROVED, PASSED ON FIRST READING, ORDERED POSTED on the 10th day of March, 2009, AND REFERRED TO PUBLIC HEARING and setting such public hearing for 5:30 p.m. on the 24th day of March, 2009, at the Council Chambers of the Avon Municipal Building, located at 400 Benchmark Road, Avon, Colorado. -N, C. Wolfe, Mayor Published by posting in at least three public places in Town and posting at the office of the Town Clerk at least seven days prior to -final action by the Town Council. ATTEST: tty envy, Tow INTRODUCED, FIN LY APPROVED, AND PASSED ON SECOND READING, AND ORDERED PUBLISHED BY POSTING on the 24th day of March, 2009. i Ronald C. Wolfe, Mayor Published by posting by title in at least =ft6,p publ title at the office of the Town Cler PT. F att c envy, T wn • • • 04AUO • '' places in Town and posting by 2 0 EXHIBIT B DEED OF EASEMENT THIS DEED OF EASEMENT ( "Easement Deed ") is made this day of 2C 2009 between Buck Creek Plaza Condominium Association ( "Owner "), whose address is 100 E. Beaver Creek Plaza, Avon, Colorado and the Town of Avon, a Colorado home rule municipal corporation ( "Town "), whose address is P.O. Box 975, Avon, Colorado 81620. WITNESSETH: 1. That for and in consideration of the covenants and agreements herein set forth, the sum of One Thousand Six Hundred Fifteen Dollars ($1,615.00), and other good and valuable consideration in hand paid by the Town to the Owner, the receipt and adequacy of which is hereby acknowledged, the Owner hereby grants, sells and conveys to the Town, its successors and assigns, an exclusive perpetual easement and right -of -way ( "Easement') to install, operate, maintain, repair, reconstruct, replace, inspect and remove, at any time and from time to time, public roadway improvements, including all underground, surface and streetscape appurtenances thereto, and to improve and maintain a suitable slope or grade, together with a right -of -way for access on, along, and in all of the hereinafter described Easement across those certain lands which are situate in the Town of Avon, County of Eagle, State of Colorado, such lands and easement area being described more fully on EXHIBIT A attached hereto and by this reference made a part hereof. 2. The Owner further grants to the Town: (a) The right from time to time to enlarge, improve, reconstruct, relocate and replace any improvements, slopes and grades, or other structures constructed hereunder with any other number or type of utility facilities, slopes and grades, or other structures either in the original location or at any alternate location or locations within the Easement; (b) the right to grant licenses and franchises to common utility providers in a similar manner and subject to similar terms, conditions and standards that the Town may grant to utility provides in other Town right -of -ways; (c) the right to conduct all activities within the Easement area which a municipality may lawfully conduct within public right -of -ways, including but not limited to enforcement of municipal traffic code and parking code provisions and application of street access standards; and, (c) the right to mark the location of the Easement by suitable markers set in the ground; provided that permanent markers shall be placed in locations which will not interfere with any reasonable use Owner shall make of the Easement. 3. Owner reserves the right to use the Easement area for purposes which will not interfere with Memo To: Honorable Mayor and Town Council Thru: Larry Brooks, Town Manager From: Justin Hildreth, Town Engineer4(4r - Shane Pegram, Engineer II Date: March 17, 2009 Re: Ordinance No. 09 -05, Approving the Deed of Easement for a Parcel of Land, PE- 72A, Located at Lot 72, Block 2, Benchmark at Beaver Creek, Amendment 4, For the Purpose of Constructing the East Beaver Creek Boulevard Streetscape Improvements Summary: Attached to this Memorandum is Ordinance 09 -05, an Ordinance that approves the Deed of Easement necessary to construct the East Beaver Creek Boulevard Streetscape Improvements on lot 72, Block 2, Benchmark at Beaver Creek, Amendment 4. Lot 72 is located at 100 E. Beaver Creek Plaza and is known as Buck Creek Plaza. Discussion: The Td Amendment of the Annexation and Development Agreement for The Village at Avon, between the Town of Avon and Traer Creek Metro District, requires the Town to design and obtain easements to install the East Beaver Creek Blvd. Streetscape Improvements by April 15, 2009. Traer Creek Metro district is required to pay the Town "out of pocket' costs for obtaining the necessary easements. The Annexation and Development Agreement also requires that construction is started by April 15, 2009 and completed by December 31, 2009. The East Beaver Creek Boulevard Streetscape Improvement plans propose to construct a new sidewalk along the west side of East Beaver Creek Blvd in front of the Buck Creek Plaza building. The new sidewalk will provide a direct connection to the existing sidewalk on Beaver Creek Place. The parcel of land, PE -72A, is located at the corner of Beaver Creek Place and East Beaver Creek Boulevard. Financial Implications: There is $300,000 budgeted for the East Beaver Creek Blvd. Streetscape Project. The $1,615 required to obtain this Deed of Easement is intended to be reimbursed by the Traer Creek Metro District. Recommendation: Staff recommends approval of Ordinance No 09 -05 on Second Reading, as drafted. Proposed Motion: I move to approve the Second Reading of Ordinance No. 09 -05, Series of 2009, An Ordinance Approving the Deed of Easement for a Parcel of Land, PE -72A, Situated in Lot 72, Block 2, Benchmark at Beaver Creek, Amendment 4, For the Purpose of Constructing the East Beaver Creek Boulevard Streetscape Improvements Town Manager Comm s: Attachme s: Exhibi Or 09 -05, Series of 2009 Exhibit B Deed for Easement, PE -72A EAGLE COUNTY, CO 200906914 TEAK J SIMONTON P9s: 9 01 :15:16PM 04/16/2009 REC: $46.00 DOC: $ 1111111111111 11111111111111111111 111 DEED OF EASEMENT THIS DEED OF EASEMENT ( "Easement Deed ") is made this aq* day of 2009 between Buck Creek Plaza Condominium Association ( "Owner "), whose address is 100 E. Beaver Creek Plaza, Avon, Colorado and the Town of Avon, a Colorado home rule municipal corporation ( "Town "), whose address is P.O. Box 975, Avon, Colorado 81620. WITNESSETH: 1. That for and in consideration of the covenants and agreements herein set forth, the sum of One Thousand Six Hundred Fifteen Dollars ($1,615.00), and other good and valuable consideration in hand paid by the Town to the Owner, the receipt and adequacy of which is hereby acknowledged, the Owner hereby grants, sells and conveys to the Town, its successors and assigns, an exclusive perpetual easement and right -of -way ( "Easement ") to install, operate, maintain, repair, reconstruct, replace, inspect and remove, at any time and from time to time, public roadway improvements, including all underground, surface and streetscape appurtenances thereto, and to improve and maintain a suitable slope or grade, together with a right -of -way for access on, along, and in all of the hereinafter described Easement across those certain lands which are situate in the Town of Avon, County of Eagle, State of Colorado, such lands and easement area being described more fully on EXHIBIT A attached hereto and by this reference made a part hereof. 2. The Owner further grants to the Town: (a) The right from time to time to enlarge, improve, reconstruct, relocate and replace any improvements, slopes and grades, or other structures constructed hereunder with any other number or type of utility facilities, slopes and grades, or other structures either in the original location or at any alternate location or locations within the Easement; (b) the right to grant licenses and franchises to common utility providers in a similar manner and subj ect to similar terms, conditions and standards that the Town may grant to utility provides in other Town right -of -ways; (c) the right to conduct all activities within the Easement area which a municipality may lawfully conduct within public right -of -ways, including but not limited to enforcement of municipal traffic code and parking code provisions and application of street access standards; and, (c) the right to mark the location of the Easement by suitable markers set in the ground; provided that permanent markers shall be placed in locations which will not interfere with any reasonable use Owner shall make of the Easement. 3. Owner reserves the right to use the Easement area for purposes which will not interfere with 1 Town's full enjoyment of the rights hereby granted upon written request to the Town. The parties further agree that the Owner's use of the Easement area shall be subject to the following restrictions and conditions: (a) Owner shall not erect or construct any building or other structure, or drill or operate any well, or construct any permanent obstruction, or subtract from or add substantially to the ground level, or allow the installation of utilities not already in place, in the Easement area without obtaining the specific written permission of the Town, which permission shall not be unreasonably withheld. (b) Owner shall take no action which would impair or in any way modify the earth cover over, or the lateral, or subjacent support for the aforementioned improvements and appurtenances within the Easement area without obtaining the specific written permission of the Town. (c) Owners shall take no action nor shall otherwise permit any activity, event, or permanent or temporary structure which interferes with the movement of pedestrian, non - motorized or vehicular traffic, emergency vehicle access, access for maintenance or inspection, and other lawful purposes within the Easement area in which the Town may use right -of -ways generally. (d) In the event the terms of Paragraphs 3(a), (b) or (c) above are violated by the Owner or by any person in privy with it, such violation shall be corrected and eliminated immediately upon receipt of notice from Town, and, in the alternative, Town shall have the right to correct and eliminate such violation, and the Owner, or its successors and assigns, shall promptly pay the cost'thereof. (e) Owner agrees to defend and hold harmless the Town for any damages or claims arising from Owner's activities within the Easement area. 4. Town agrees that plans for construction of any improvements within the area of the Easement will provided to Owner prior to commencement of construction. Town agrees to hold Owner harmless from any damages caused by negligent acts of the Town during construction, operation and maintenance improvements. Notwithstanding any other provision in this Easement, nothing in this Easement shall be construed to waive, limit, or otherwise modify any governmental immunity that may be available by law to the Town, its officials, employees, contractors, or agents, or any other person acting on behalf of the Town and, in particular, governmental immunity afforded or available pursuant to the Colorado Governmental Immunity Act, Title 24, Article 10, Part 1 of the Colorado Revised Statutes. 5. The parties agree that neither party has made or authorized any agreement with respect to this Easement other than as expressly set forth herein, and no oral representation, promise, or consideration different from the terms herein contained shall be binding on either party, or its agents 2 or employees, hereto. 6. Owner, for himself, his heirs and personal representatives, does covenant, grant, bargain, and agree to and with the Town, its heirs and assigns, that at the time of the ensealing and delivery of these presentments, Owner is well seized of the Easement above conveyed, has good, sure, perfect, absolute and indefeasible estate of inheritance, in law, in fee simple, and has good right, full power and lawful authority to grant, bargain, sell and convey the same in manner and form as aforesaid, and that the same are free and clear from all former and other grants, bargains, sales, liens, taxes, assessments, encumbrances and restrictions of whatever kind or nature soever. Owner further agrees that Owner shall and will WARRANT AND FOREVER DEFEND the above - bargained premises in the quiet and peaceable possession of the Town, its heirs and assigns, against all and every person or persons lawfully claiming the whole or any part thereof. 7. Whenever used herein, the singular number shall include the plural, the plural the singular; and the use of any gender shall be applicable to all genders. All of the covenants herein contained shall be binding upon and inure to the benefit of the parties hereto, their respective heirs, personal representatives, successors and assigns. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 3 IN WITNESS WHEREOF, the undersigned have set their hands hereto on the day and year first above written. [Name of Owner] By- Owner STATE OF } ss. COUNTY OF�� . } Subscribed and sworn to before me this C-P� day of t , 20001 , by L uC � C_�r C Y\ as [Title]. Witness my hand and official seal. My commission expires: ``Z { I 6)C1 Notary Public TOWN A ON �� OTA." • , ` B y Ronald C. Wolfe, Mayor 0F A' AT ST: fop COLO a� My Commission Expires 07/18/2009 J C P ty cKenn , T lerk • °° STATE OF COLORADO } } ss. COUNTY OF EAGLE } Ovjcv� T,4e foregoing document was subscribed and sworn to before me this -31 13L day of 3j=, 2006, by Ronald C. Wolfe as Mayor and Patty McKenny as Town Clerk of the Town of Avon. Witness my hand and seal. My commission expires: /oIQ3 s3 . N&a4 Public 0 EXHIBIT "A" InterMountain ENGINEERING Civil Engineers & Surveyors REAL PROPERTY TO BE ACQUIRED FOR PREMANENT EASEMENT FOR THE TOWN OF AVON, EAST BEAVER CREEK BOULEVARD RECONSTRUCTION PARCEL PE -72A DESCRIPTION A PARCEL OF LAND NO. PE -72A OF THE TOWN OF AVON, STATE OF COLORADO, CONTAINING 0.002 ACRES, MORE OR LESS, SITUATED IN LOT 72, BLOCK 2, BENCHMARK AT BEAVER CREEK, AMENDMENT NO.4 AS RECORDED IN THE OFFICE OF THE CLERK AND RECORDER OF EAGLE COUNTY, COLORADO, AT BOOK 274, PAGE 701, ON SEPTEMBER 5, 1978, BEING MORE PARTICULARLY DESCRIBED AS FOLOWS: THE TRUE POINT OF BEGINNING BEING THE NORTHWEST CORNER OF SAID LOT 72 AND ON THE SOUTH RIGHT OF WAY LINE OF EAST BEAVER CREEK BOULEVARD AND ON THE EAST RIGHT OF WAY LINE OF BEAVER CREEK PLACE AND ON A CURVE TO THE LEFT HAVING A RADIUS OF 125.00 FEET; THENCE ALONG SAID CURVE AND THE WEST LINE OF SAID LOT COMMON TO THE EAST RIGHT OF WAY LINE OF BEAVER CREEK PLACE A DISTANCE OF 16.10 FEET THROUGH A CENTRAL ANGLE OF 07 022'48 ", HAVING A CHORD BEARING AND DISTANCE OF SOUTH 06 003'28" EAST, 16.09 FEET TO A POINT ON A CURVE TO THE RIGHT HAVING A RADIUS OF 19.45 FEET; THENCE ALONG SAID CURVE A DISTANCE OF 27.04 FEET TIIROUGH A CENTRAL ANGLE OF 79 °38'31 ", HAVING A CHORD BEARING AND DISTANCE OF NORTH 47 002'06" EAST, 24.91 FEET TO A POINT ON THE NORTH LINE OF SAID LOT COMMON TO THE SOUTH RIGHT OF WAY LINE OF EAST BEAVER CREEK. BOULEVARD AND ON A CURVE TO THE RIGHT HAVING A RADIUS OF 422.63 FEET; TIIENCE ALONG SAID CURVE AND SAID COMMON LINE A DISTANCE OF 19.95 FEET THROUGH A CENTRAL ANGLE OF 02-42'17", HAVING A CHORD BEARING AND DISTANCE OF SOUTH 87 °11'33" WEST, 19.95 FEET TO THE TRUE POINT OF BEGINNING. THE ABOVE DESCRIBED PARCEL CONTAINS 85 SQUARE FEET (0.002 ACRES), MORE OR LESS. I HEREBY STATE THAT THE ABOVE DESCRIBED LEGAL DESCRIPTION HAS BEEN PREPARED BY ME OR UNDER MY DIRECT SUPERVISION. DENVER OFFICE 6551 S. Revere Pkwy., Suite 165 1 Centennial, CO 80111 1 Phone: 303.948.6220 1 Fax: 303,948.6526 VAIL VALLEY OFFICE 40801 U.S. Highway 6, Suite 203 1 PO Box 978 1 Avon, CO 81620 1 Phone: 970.949.5072 1 Fax: 970.949.9339 DECEMBER 8, 2008 PREPARED BY: INTER- MOUNTAIN ENGINEERING, LTD. 40801 US HIGHWAY 6, SUITE 203 P.O. BOX 978 AVON, COLORADO 81620 (970) 949 -5072 DUANE D. FEHRINGER, P.E. & P.L.S. 26626 PROJECT NO.: 08 -00235 \ a o "oa \ d a - -� W O Y U (� W LU N / / m > W zo / = Ia W Q O m m 0 W Y Y O � 0 'ate aZ o < o U LL W� CD \\ o �< zw1U ? o `O Wp Z 6l z Z W0 m W N w J v 26 Wfr o Z w N / fib\ \ \\ w UO a N a / \ \ m W ;R �i9 N O \ CSC 0 \ 0� W Q W \ \ N CN W� o \ \ \ = LLJ :4 w i 3 \ W W U w \ \\ e p- x Q z \ Q eg rn i�o Q LLJ (n CDt6co Co dCD p in? S O h i S5 11 Ul D:JF� -aUU , �� \ \ OhC�3a cn iisS6L 1 c CV � III O Lo 't N '00 �� ■S� b O a rn z N ' NOrnM Nan' ooi �CJFa4UU I �� 1 =N`��.I � P W EPA 4m z�y �s 00 UJ 00 z N � - M uiconp C3 WZW � LU y I �U 000_p��O Nr lCN�n / cr �a I Z_Z N�CIO NN� _ a m Oz �+ }w CS 1 �z Illlolm= l w w� XJH UU / i o�� S W mu' D� � m Z w o �wo0 OZ (� / ~- ,fir �[R0J Ln ' jj Oz F- Q00 �d•(Amodwaj) lid dZSZJ ZSZJ VllO W VJINOI 'W L£ :80 :5 B OZ /8 /ZT '6Mp•asea- Si008 \Ajeulwllaad\ 1 ��k 0 U � J 1 E� oIt 3 MO I ( "I I\ 0 ��tr117 i �\ N E O O °° Q 0 �l N1YOX / W \ Y U W �- > z w X m N w o 0 t- ED w o Z H Q a o p >W �O m W W N Z = x > pU) � =w x T Z aWUg w w o 0 pz mw US N Z W W 2 w Z N Q � v° w 2 U a w � m a IL m H N' O J 0 J 0 C7 N J cy H W J Q m \ / c E zi �Z - u F.aa O iS ° z O 4`.'�Qpv♦ / % owa0 \ ov 0 41 0 tE�ok a'o:i.o Ei.co /in \P boa°' 1 Lj F V1 O J Vl O = Z W L _ — Q 0 0 �R � S6 '...1lliLTT�33yZ O W s W 0 o€ aZ4'i q y � IL d W m� a „f �.. LU C y'< �V Z o �Z - w Z w_= ~ s H y / U O / owa0 0 F V1 O J Vl O = Z W L _ — Q 0 0 �R � S6 '...1lliLTT�33yZ O W s W 0 o€ aZ4'i q y � IL d W m� a „f �.. LU C y'< �V APPRAISAL OF Specified Permanent and Temporary Easements to be acquired from: The Buck Creek Plaza Condominium Lot 72, Block 2, Benchmark at Beaver Creek Subdivision Town of Avon Eagle County, Colorado Prepared as of January 15, 2009 FOR: Shane Pegram Town of Avon P.O. Box 975 Avon, Colorado 81620 Prepared by: VALUATION CONSULTANTS, LLC Jeffrey P. Maddox, SRA Certified General Appraiser #CGO1313752 j3 VALUATION CONSULTANTS, LLC Real Estate Appraisers - Consultants 20 Eagle Road, Suite 320 P.O. Box 361 Avon, Colorado, 81620 (970) 949 -4898 fax (970) 949 -5376 February 3, 2009 Mr. Shane Pegram Town of Avon P.O. Box 975 Avon, Colorado 81620 Dear Mr. Pegram, In accordance with your request and for the purpose of appraisal, I have examined the following property: Specified Permanent and Temporary Easements to be acquired from: The Buck Creek Plaza Condominium Lot 72, Block 2, Benchmark at Beaver Creek Subdivision Town of Avon Eagle County, Colorado I have inspected the above - referenced parcel and have considered current market conditions, recent sales, rents, listings, contracts & other pertinent market data for the purpose of providing you with my estimate as to the just compensation to be paid to the owner(s) of the subject property, if any, that would arise due to the proposed taking of both temporary and permanent easements from the subject property for the purpose of implementing certain streetscape improvements along East Beaver Creek Boulevard. My opinions and conclusions relating to this assignment are summarized in the 49 page Summary Appraisal Report that follows which sets forth the identification of the property, the assumptions and limiting conditions, pertinent facts about the subject property, and summarizes reasoning leading to the conclusions set forth. Respectfully submitted, VALUATION CONSULTANTS, LLC Digitally signed by Jeffrey P. Maddox Jeffrey P. Maddox, SRA , Certified General Appraiser #CGO1313752 3 SUMMARY OF SALIENT INFORMATION Property: Permanent and Temporary Easements to be Acquired Permanent Easement from: Temporary Easement The Buck Creek Plaza Condominium Damages to the Remainder Lot 72 Specific Benefits to the Remainder: Benchmark at Beaver Creek Subdivision, Block 2 Just Compensation Town of Avon Eagle County, Colorado Larger Property Type: A 4 story mixed -use condominiumized commercial / residential building on a site that is 20,475 sf in size Property Highest & Best Use Continuation of Current Use "before" Easement Types: Permanent easement: PE 72A - 85 sf in size Temporary easement: TE 72A - 921 sf in size Property Highest & Best Use Continuation of Current Use "after" Date of Value: January 15, 2009 Purpose of Appraisal To estimate the just compensation, if any, to be paid to the owner(s) the subject property due to the proposed acquisition of the above - referenced easements from the larger subject property for the purpose of constructing public street im rovements SUMMARY OF VALUATION: Value of the part taken: Permanent Easement $1,615 Temporary Easement $2,625 Damages to the Remainder $0 Specific Benefits to the Remainder: $0 Just Compensation $4,240 TDA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS MGM Page -i- TABLE OF CONTENTS Assumptions and Limiting Conditions Property Identification .. .......................... ............................... 1 Purpose of Appraisal .............................. ............................... 1 IntendedUser .................................... ..............................1 Appraisal Function ................................ ..............................1 Scopeof Appraisal ................................ ..............................1 Market Value Definition .......................... ............................... 2 Competency..................................... ..............................3 Prohibited Influences .............................. ..............................4 RightsAppraised ................................. ..............................4 Ownership...................................... ..............................4 Taxation........................................ ..............................5 Regional........................................ ..............................6 Neighborhood.................................... .............................10 Market Trends / Conditions ....................... ............................... 13 Subject Property .................................. .............................16 Zoning.......................................... .............................19 Highest & Best Use ............................... .............................19 Description of the Proposed Public Improvement ...... ............................... 21 Approaches to Value ............................... .............................29 Sales Comparison Approach ................ ............................... 30 Valuation of the Easement ........................ ............................... 45 Damages to the Remainder ................. ............................... 47 Benefits.................................. .............................48 Final Estimate of Just Compensation ................ ............................... 48 Certification of the Appraiser . .............. ............................... 49 TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS Page -ii- ASSUMPTIONS AND LIMITING CONDITIONS This appraisal report has been made with the following general assumptions: 1. No responsibility is assumed for the legal description or for matters including legal or title considerations. Title to the property is assumed to be good and marketable unless otherwise stated. 2. The property is appraised free and clear of any or all liens or encumbrances unless otherwise stated. 3. Responsible ownership and competent property management are assumed. 4. The information furnished by others is believed to be reliable. However, no warranty is given for its accuracy. 5. All engineering is assumed to be correct. Plot plans, maps, or illustrative material in this report are included only to assist the reader in visualizing the property. 6. The forecasts or projections included in this report are used to assist in the valuation process and are based upon current market conditions, anticipated short-term supply and demand factors, and a continued stable economy. Therefore, these forecasts are subject to changes in future conditions which cannot be accurately predicted by the appraisers and could affect the future income and/or value forecasts. 7. It is assumed that there are no hidden or unapparent conditions of the property, subsoil, or structures that render it more or less valuable. No responsibility is assumed for such conditions or for arranging for engineering studies that may be required to discover them. 8. It is assumed that there is full compliance with all applicable federal, state, and local environmental regulations and laws unless noncompliance is stated, defined and considered in the appraisal report. 9. It is assumed that all applicable zoning and use regulations and restrictions have been complied with, unless a nonconformity has been stated, defined and considered in the appraisal report. 10. It is assumed that all required licenses, certificates of occupancy, consents, or other legislative or administrative authority from any local state, or national government or private entity or organization have been or can be obtained or renewed for any use on which the value estimate contained in this report is based. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS Page -iii- 11. It is assumed that the utilization of the land and improvements is within the boundaries or property lines of the property described and that there is no encroachment or trespass unless noted in the report. This appraisal report has been made with the following general limiting conditions: 1. The distribution, if any, of the total valuation in this report between land and improvements applies only under the stated program of utilization. The separate allocations for land and buildings must not be used in conjunction with any other appraisal and are invalid if so used. 2. Possession of this report, or a copy thereof, does not carry with it the right of publication. It may not be used for any purpose by any person other than the party to whom it is addressed without the written consent of the appraiser, and in any event only with proper written qualification and only in its entirety. 3. The appraiser herein by reason of this appraisal is not required to give further consultation, testimony, or be in attendance in court with reference to the property in question unless arrangements have been previously made. 4. Neither all nor any part of the contents of this report (especially any conclusions as to value, the identity of the appraiser, or the firm with which the appraiser is connected) shall be disseminated to the public through advertising, public relations, news, sales, or other media without the prior written consent and approval of the appraiser. 5. Unless otherwise stated in this report, the existence of hazardous substances, including without limitation asbestos, polychlorinated biphenyls, petroleum leakage, or agricultural chemicals, which may or may not be present on the property, or other environmental conditions, were not called to the attention of nor did the appraiser become aware of such during the appraiser's inspection. The appraiser has no knowledge of the existence of such materials on or in the property unless otherwise stated. The appraiser, however, is not qualified to test such substances or conditions. If the presence of such substances, such as asbestos, urea formaldehyde foam insulation, or other hazardous substances or environmental conditions, may affect the value of the property, the value estimated is predicated on the assumption that there is no such condition on or in the property or in such proximity thereto that it would cause a loss in value. No responsibility is assumed for any such conditions, not for any expertise or engineering knowledge required to discover them. 6. Unless otherwise stated in this report, the subject property is appraised without a specific compliance survey having been conducted to determine if the property is or is not in conformance with the requirements of the Americans with Disabilities Act. The presence of architectural and communications barriers that are structural in nature that would restrict access by disabled individuals may adversely affect the property's value, marketability, or utility. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS page 1 PROPERTY IDENTIFICATION The subject property of this report is identified as follows: The Buck Creek Plaza Condominium Lot 72, Block 2, Benchmark at Beaver Creek Subdivision Town of Avon Eagle County, Colorado This parcel has a street address of 110 East Beaver Creek Blvd. PURPOSE OF APPRAISAL The purpose of this appraisal report is to estimate the just compensation, if any, to be paid to the owner(s) of the subject property due to the taking of both permanent and temporary easements from the subject property for the purpose of implementing certain improvements to the adjoining public right -of -way along East - Beaver Creek Boulevard and Beaver Creek Place. INTENDED USER The intended user of the report is the client, The Town of Avon. FUNCTION The understood function of the appraisal is to solely to provide a basis for negotiation and/or acquisition of the specified easements. SCOPE OF THE APPRAISAL The assignment of the final value estimate to the subject property includes a physical inspection of the subject premises, and at least a street view of all cited comparable properties. Analysis includes TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS page 2 an examination of market factors, transactions, trends, and other pertinent data that may have an influence on the property. Sales, cost data, income / expense figures and other information utilized are gathered from public record and other sources considered to be reliable, confirmed whenever possible with involved parties. Market factors and forces are weighed, their influences on the subject property determined, and their indications reconciled into a final value estimation. The appraisal was prepared in conformance with the requirements of the Uniform Standards of Professional Appraisal Practices (USPAP). This report is intended to represent a "Summary Report" as defined by the USPAP. MARKET VALUE DEFINITION: Market Value may be defined as: "The most probable price in terms of money which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller, each acting prudently, knowledgeably and assuming the price is not affected by undue stimulus. Implicit in this defmition is the consummation of a sale at a specified date and passing of title from a seller to a buyer under conditions hereby: 1) Buyer and seller are typically motivated. 2) Both parties are well informed or well advised and each acting at what he considers to be his own best interest. 3) A reasonable time is allowed for exposure on an open market. 4) Payment is made in cash or its equivalent. 5) Financing, if any, is on terms generally available in the community at the specified date and typical for the property type and its locale. 6) The price represents a normal consideration for the property sold unaffected by special financing amounts and/or terms, services, fees, costs or credits incurred in this transaction." ' ' The Appraisal of Real Estate, 10th Edition, Appraisal Institute, pg. 21 TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS page 3 Values reported in this appraisal are based on several assumptions and conclusions drawn by the appraiser. Title to the property is considered unencumbered and free of any liens other than general property taxes for the current year. The values reported are based on general information, surveys and other descriptions as contained within official Town of Avon and Eagle County records which are assumed to be accurate. Certain data regarding the proposed project, including plans, specifications & descriptions were prepared by Inter- Mountain Engineering, Ltd., supplied by the Town of Avon. Pertinent definitions: Just compensation may be defined as: "the amount of loss for which a property owner is compensated when his or her property is taken 2..." Easement is defined as "an interest in real property that conveys use, but not ownership, of a portion of an owner's property. "3 Damages are defined as "the loss in value to the remainder in a partial taking ofproperty.i4 Benefits are defined as "the advantageous factors that arise from a public improvement for which private property has been taken in condemnation." 5 COMPETENCY z The Dictionary of Real Estate Appraisal, Third Edition, The Appraisal Institute, 1993, pg. 194 s ibid, pg. 110 a ibid, pg. 87 s ibid, pg. 32 TOA Streetscape 2009 - Buck Creek Plaza VAL UATION CONSULTANTS page 4 The appraiser has completed numerous valuations of partial interests and easement acquisitions in the subject market over the past 25 years, and has the competency and appropriate knowledge, training and experience to complete this assignment. PROHIBITED INFLUENCES The appraisal assignment was not based upon a requested minimum, maximum or specific valuation. Neither employment nor compensation are contingent upon the reporting of a pre - determined value, a direction of the value that favors the cause of the client, the amount of the value estimate, the attainment of a stipulated result, or the occurrence of a subsequent event. RIGHTS APPRAISED Although it is recognized that the subject property is presently being held in a condominium form of ownership, entailing a number of divided ownership interests, the property rights appraised for the subject property for the purposes of this report, in accordance with the "undivided fee rule "' are those of a fee simple estate. Fee simple estate may be defined as: "an absolute fee; a fee without limitations to any particular class of heirs or restrictions but subject to the limitations of eminent domain, escheat, police power, and taxation. An inheritable estate. "' OWNERSHIP The subject property consists of 17 individually -owned condominium units. The portion of the subject property in question herein is a part of the condominium's general common elements. ' The Dictionary of Real Estate Appraisal, pg. 378 ' ibid, pg 137 TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS 0 page 5 TAXATION Each of the individual condominium units comprising the subject property have separate assessed values, with no single figure encompassing the entire subject property, and none of this figure allocated to general common elements. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS L Q %i page 6 Regional: The subject property is located in the Town of Avon in Eagle County, which is situated about 110 miles west of Denver along Interstate 70. Eagle County is located in what is generally considered the Central Rocky Mountain Region of the State of Colorado, and extends from the 13,000 foot Gore Fdrlit Collins ,� ,yLaY„ Cra1gQ ., S} - -114 125 . -- i'.r Se e�erioe+ Gajeton ornis Mbybell - __,� h4i er ?gvutt,¢ 1�. Masonville♦ irel3or s t Ha' en Steal nboat Spring S Rand Drake I `. reele r. -. itivelan Y ElSprings +Ham It n t �Y ; `P ^1 _ '{� La Sal lel a}Cersey Est s Park t�t +Evans'- _ *Axial .- illfken+- 4 Creek y�Granrd Lake_ T, :� Oeilcreist 34 " v C,= 7 ,HygiEne� Hama gq_ 13 I p r GrarZby„ randy Jame^t r♦ Nil�.votA LL r9mO1R Meeker Topdnas r y. _ o ' ♦ Botilde� enesfKrrg. , 3Y No Blanco - -- Hot 4�llphur S rings ,_ ;{HBOUl�1� ri�htor> —�_ - .- ^ , Tabernai fl � ; Sugarloaf 'Supei•IdT,""atBtrd�mfieiG,'l Arriake. I— East P,orjal�re5Ze�,t+ I— + Bond+ ♦Slate Bridge 'Wryter Park+ ° I g3 �TbOrl ltOlr` �. FdaR Burns '� r 1 t g I Leyden+ JIRio Blanco` I `� -4, r t umont a older;_A :r A� of r�syrgl, ? ` v &OrgetoWn <E`Ympire aiTcin le Garfield - �dao .— _WM6'.� ,Brookvale� 74 r -o�i1 �W00d- -- FraP' New Cast e Edyr rds n `L� .t MprAetu rPia ral Oil Shale Reserve, , • ' - •'X man rNisco F nder�+ .LR et01r -- fPof. =v'' Cardiff I f RAdd�(jf!' r I s • .,,,aBreCKt?nridgE ,Conifer}• iJ tParker ePaft aliute - Subject ` rt � Gfant {� Carbondale.. El ,label 424 285 - _ �`iI' i - — - 5no�v'lass� = . —. +Meredith 91 -�� 'B l BuFlal� Creekw'- 86 ICiaWa +' [ T` -Comd Jefferson + Lollbrah Woody Creek (C ` © ko t Ile Farrplay I rt - .. ♦ EJbet Molina �Snpwmass Village♦ Redstone aspen 7 i5ke 0'-, 105- IY ,N>`esa4 `- 4 r Garo I } ' ' + .Park Tattydll e7 83 . Clifton 85 ?land Mesa . +Mar bl :Br. nife yartsel -- I { tMd'hument i - ftitewater r'r' ,1 r ;_ -. �- �24 I lkoodland;P.Fk 24 .., . +.. - ' Lake-'George_,vJde e' -� - Cedaredge rlw.omecset 4 i Faloon- + dovie Crested Butte - - +- Pi ewew� f' E ckert +Paonia + , } Buena Vista 91 ,flanitou Spn�gs- ��' Austin g2 + .,. I « C;o_I;�drado: Sprin! ` 50 • +� -♦ Hotchkiss 9.Paso 'q Delta Lazear'` I I Chaffee _z,Nathr p o offeyll oCripple�Creel Security- Widefield +Cram ford Vibtor rf Gunnison . r w- _�_ , e, `. Fountain: —'- -- —• +Al mont OWN f285 011996 bel,oPme; Street Atlas USA I e Regional location of subject property within Eagle County Range on the east, west 50 miles to the area near the mouth of Glenwood Canyon at about 6,000 feet above sea level. A small area generally between Glenwood Springs and Aspen containing the Town of El Jebel is also included in Eagle County, but geographically and economically is distinct. Eagle County contains 1,068,431 acres of which 77% is under federal ownership, mostly National Forest lands. The county is bisected by Interstate 70 and U.S. Highway 6 on a generally east -to -west orientation, following the Gore Creek and Eagle River drainages. State Highway 131 extends from TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS page 7 Wolcott northward to Routt County and the Steamboat Springs area. Air transportation into Eagle County is available at the Eagle County Regional Airport in Gypsum. Physically, Eagle County is characterized by heavily forested high alpine mountain, ridge and meadow areas toward its eastern extent at the Gore Range, providing outstanding scenic beauty as well. Combining with average annual snowfall amounts of 300 inches, this terrain also serves to provide ideal environment for skiing and other wintertime recreational activities. As one moves westward through Eagle County, the topography becomes less severe, with many open valley areas. As elevations descend below 7,000 feet, the terrain, in places, takes on a semi -arid character, particularly along the southern- exposed slopes. Eagle County's modern development began in the 1890's with the establishment of several major mines in its higher south - eastern region, producing mostly silver and gold. Railroads extended to these operations from the more populous Denver /front range locales, and eventually traversed the county on a more or less east to west direction, following the Eagle and Colorado River drainages. Both forestry and general agricultural development were soon to follow, creating an economy in Eagle County firmly based on natural resources. Railroad communities were established and grew at Mintum, Bond and Basalt. Communities based on providing commercial support and transportation needs for surrounding agricultural areas developed at Gypsum, Eagle, Wolcott, Edwards, Avon, Burns and McCoy. Although declines in the importance of mining took place in subsequent years, this basic pattern of economy and development endured from the turn of the century into the 1950's. In the early 1960's Eagle County began to undergo a rapid and major transformation, due almost entirely to the development of the Vail ski resort in 1961. An economic base and population level that had been relatively stable for many years suddenly saw substantial growth due to influx and development corresponding to Vail's emergence and the quickly advancing popularity of skiing. The following graph depicts population gains in Eagle County over the years: TOA Streetscape 1009 - Buck Creek Plaza VALUATION CONSULTANTS ZS page 8 Eagle County Population 1:930 - present .�.Curcc- E= -.;Ic %cu -ty, 'IS Fnau- 50 o 4D m � a o L '•7 `'91) 1935 . `940r 445 '.y_v_ ,0,5 '.�_':' '959 r „ .... :5:� '� :� _ = °_• zv_� Year It is reported by the US Census that from 1990 to 2000, Eagle County saw a population increase of 89 %, and was the state's r fastest growing county over this time period, and in the top ten fastest growing counties in the United States over this time period. In the time since 1960 and essentially to the present, skiing and resort- related industries have dominated the local economy to the extent that 80% of all employment and 88% of all retail sales now generated in Eagle County are attributable to skiing and resort- related businesses, with Eagle County No. 1 in the state in skiing related employment.' Vail is, at present, the largest single ski area in the state at about 5,100 acres; together with Beaver Creek and adjoining Arrowhead, these Eagle County ski resorts claimed about 19% of Colorado's 2007 -2008 approximately 12,000,000 skier days. By comparison, the ski facilities of Pitkin County (Aspen, Highlands, Buttermilk, Snowmass) accounted for 13 %, Routt County Steamboat) 10 %, and Summit County (Breckenridge, Copper Mountain, Keystone, Arapaho Basin) 29 %. While the importance of skiing to Eagle County's growth & viability over the years would be difficult to over - state, the direct linkage of favorable real estate values & marketability with raw use a Colorado Ski County USA "Contribution of Skiing to Colorado Economy" TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS C(IV4 page 9 numbers like skier -days is nowhere near as strong as is has been in the past. The Vail resort region marketplace has shown increasing indifference to skier numbers or snowfall amounts with respect to rate of development, absorption of new product or prices / values. The area's emergence as a year - round resort, individuals purchasing for "lifestyle" choices and the continually growing permanent resident population are all contributing factors to this trend. The growth that Colorado in general and Eagle County in particular has been experiencing in recent years is expected to continue into the near -term future, although likely at a somewhat slower rate due to a cooling national & state -wide economy, combined with consumer uncertainties surrounding recent credit - market events. There are three main components that have been and are expected to continue to be responsible for this area's growth: The sustained and increasing year -round popularity of the resort environment and the accompanying construction boom in second -homes and resort facilities has in turn created numerous new construction and service jobs resulting in a burgeoning permanent population. While diminished in degrees from earlier levels, second -home construction and corresponding employment will continue to be a growth factor. Eagle County and other Colorado Western slope locations have been increasingly attracting numerous families, small businesses and tele- commuters seeking refuge from more urban settings, anticipating an improved quality of life offering lower densities, lower crime, scenic beauty and increased recreational opportunities. The local and regional area has been becoming more and more attractive to retirees as a first or second home location. And because Colorado currently has a disproportionately large share of its population in the baby- boomer age group according to the State demographer, this growth factor is likely to become increasingly dominant over time. TOA Streetscape 2009 - Back Creek Plaza VALUATION CONSULTANTS Z� page 10 NEIGHBORHOOD DESCRIPTION The Town of Avon began as an Eagle County subdivision known as Benchmark at Beaver Creek, which was developed in the mid- 1970's. Concurrently, the development of the Beaver Creek ski area, located immediately south of the town limits, was taking place in preparation for the anticipated 1976 Winter Olympics. Although the Olympic Games were eventually "declined" by Colorado voters, the growth of Avon and Beaver Creek was steady into the late 1970's. In 1978, the Benchmark at Beaver Creek Subdivision was incorporated under the township of Avon. Avon has a physical configuration that occupies, with the exception of the Wildridge and Mountain Star areas, a relatively flat area between the valley walls formed by the Eagle River drainage, at the confluence of Beaver Creek from the south. The Wildridge and Mountain Star portions of town lie north of and well above the central townsite and are exclusively residential in use. The main area of town is divided into a number of distinct sections, formed generally by Interstate 70 and the Union Pacific Railroad right -of -way which both exist along an east -west direction, and by Avon Road, which bisects the town north and south. The area north of I -70 has residential, industrial and vehicular- oriented commercial uses; the area between I -70 and the railroad west of Avon Road is commercial near Avon Road, transitioning to accommodations and multi - family residential west of Avon Road, proximal to a large public park area with a lake and public elementary school. Near the lake is situated the Avon Recreation Center, Town Hall and public library. The extreme west portion of this central area is occupied by the 163 unit Benchmark Trailer Park. South of the rail tracks, west of Avon Road, is the newly developing Riverfront development. The project is to consist at build -out of 200 individual whole - ownership residential condo units, along with 120 fractional - ownership condos, together with a future phase of townhome -style dwellings, all centered around and amid a 285 -room Westin - branded full- service hotel & spa and about 45,000 sf of commercial space. Most significantly in terms of its market appeal, the project has a location along the north banks of the Eagle River, adjoining the Beaver Creek resort across Highway 6 on the TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS r J A page 11 south, and benefits from the presence of the "Riverfront Express" gondola that can transport skiers /guests directly from the hotel / resort to the ski slopes. To the east of Avon Road, uses presently are mostly commercial, with a few residential uses interspersed. Beyond this area to the east is the large Village (at Avon) tract which has to -date been improved with a Home Depot, a Wal -Mart and the Traer Creek retail center. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS 29 IN page 12 IvIo,intair, star wi>a Wri Berry Greek Ranch Nottingham Ridge 163 - —•_y . _L'agiiRiv4 oSwift Gulch ArrO�%kuEIIti Bachelor Ouloh' ;- <M +AVon Nottingham Gulch i Bes ier Greek s O 19915 DeLorme Street Atlas USA Avon Vicinity TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS IN page 13 MARKET TRENDS / CONDITIONS Avon Residential/ Condo Market. While national mortgage credit volatility issues have negatively impacted residential values in many parts of the country recently, the local region has, to -date, been significantly less affected. The residential property market in Avon, which is comprised of about 75% multi - family units, is presently experiencing an environment that is transitioning from one of predominantly increasing prices /values to one that is best typified as variable but mostly stable, although the volume of sales is markedly down and days -on- market are on the rise. A continuation of a variable, mostly stable market is forecast for the near term future for the residential market in Avon and the surrounding locales. Following is a chart which illustrates this trend 9: Avon Condominium S91ES•h.I;e+:ECir•� Tirn T•Enrg saac: r -t Av ra e �a�es Z. 8 o £`' 6 t g ¢ o, a' w o Ala ke r � ayC, . o f..:c _ El 9 excludes Riverfront sales TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS HE& page 14 Avon Commercial Market: Avon has a prominent position in the regional market as a retail & service center, initiated by the original 1987 opening of the Walmart & Market Center projects, solidified by the construction of the new Wal -mart & Home Depot in 2003. As illustrated in the following chart, Avon has been experiencing an environment of increasing sales tax collections since 2003: Town of Avon 'Sales Tax $6,GGG _TJ� �5,5a0 t� V � ca $5,000 �2 $4,500 $4,000 2003 2004 2005 2006 2007 Year Evident is an increasing profile over this time frame; 2008 figures have yet to be finalized and released, but Avon finance personnel indicate that there will likely be an increase on the order of 4- 5% over 2007, this despite the recessionary profile of the national economy. Current retail rental rates in the Avon market segment are observed to run from the $15 -$20 per sf range for older, smaller & less well - located facilities, to as high as $40 per sf for newer, better - located properties, with a viable average in the $20 - $25 /sf range. Office rents tend to run in a range of about $15 to as high as $35 /sf of area, again depending on size, location & quality. Expense terms are most often net, meaning that most or all costs of ownership are passed along to the lessee position in addition to a base rental amount. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS 0 page 15 Although commercial vacancies in the subject's market were very low during much of the 1990's - 2000's, most typically observed to be less than 5 %, vacancies have been observed to be increasing somewhat in this market segment over the past 24 -36 months. A survey suggests that a rate in the 7 -10% range is currently more realistic in the proximal subject marketplace. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS L page 16 SUBJECT PROPERTY DESCRIPTION Site: Following is a summary of the subject site's pertinent characteristics: Location: The subject site lies at the northeast corner of East Beaver Creek Blvd. and Beaver Creek Place. Access: Access to the site is directly off of either East Beaver Creek Blvd., or Beaver Creek Place, both of which are paved and publicly maintained. Exposure: The site enjoys adequate visual exposure to passing traffic along East Beaver Creek Blvd and Beaver Creek Place. Size: The subject site is about 20,475 sf in size, according to official records. Shape / Utility: The site has an irregular but generally rectangular shape, with about 186 feet of frontage along East Beaver Creek Blvd and about 151 feet of frontage along Beaver Creek Place. Although somewhat smaller than most area commercial sites, the subject has an adequate size and shape for ample utility. Topography & Drainage The site has a topography that is very nearly level. Soils: Neither soils reports nor other site - specific geo- technical analysis has been reviewed with respect to the subject site. Soils are assumed to be suitable for development, with no adverse conditions. Vegetation: None other than ornamental plantings. Hazardous Materials: No hazardous materials were observed on site or have been disclosed to the appraiser. The site's current use is not one which typically generates pollutants or hazardous materials. TOA Streeucape 2009 - Buck Creek Plaza VALUATION CONSULTANTS TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS 3S page 17 Environmental Hazards: No adverse site conditions are apparent, nor does the site lie within any kind of hazard I.D. area. FEMA map 0800051 0241C indicates the subject to lie in zone D, "areas of undetermined but possible flood hazards." Easements or Encumbrances: A full survey or other plat which would depict easements or other encumbrances or encroachments was not supplied to the appraiser for this report. No unusual or adverse easements, encumbrances or encroachments have been pointed out or disclosed to the appraiser. The site does have, however, typical building set -backs as well as drainage & utility easements along front, side & rear lot lines. It is assumed for the purposes of this report that there are no adverse easements, encroachments or other encumbrances affecting the subject property. Utilities: All underground utilities are available to the lot line, including electricity by Holy Cross Electric, natural gas by Excel Energy, phone by Qwest, water and sewer by the Eagle Valley Water & sanitation District and cable television by Comcast. Surrounding Land Uses: To the east is the Avon Plaza commercial project, to the south is the North Court retail project, across the street to the west is the Benchmark Shopping Center, and across the street to the north is the Christie Lodge condominium project. Conclusion: The subject site appears to be adequately suited for its present development, with no adverse conditions known or disclosed. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS 3S page 18 Buck Creek Condo site per Eagle County GIS Improvements: The Buck Creek Plaza building was constructed in 1980 and consists of retail, storage and office uses within it's basement level, retail use on the ground floor, office uses on the second, and residential uses on the third level. The building is of a pre- stressed concrete design, with wood and stucco siding and a metal roof covering. The building has smoke - detection devices and is sprinklered for fire suppression. The building's exterior was cosmetically renovated in 1992, including stucco repairs and repainting, enhancing it's visual appeal. Parking for the project is provided by paved open lots, part of which are covered by the overhanging building. The number of spaces available, reported to be about 30, appears to be less than ideal for the building and typically somewhat problematic for occupants / customers. Although meeting zoning requirements at the time of TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS 0 page 19 construction, current zoning would require more parking. Any change in the subject's current office /retail use would require review and approval by the Town of Avon. Improvements in the area of the proposed easements consist of ornamental landscaping, sidewalk, parking & driveway areas and several lighting fixtures. There are a number of mature trees that exist near the easement areas, but are reported to be unaffected. It is specified that any such areas within the temporary easement that are disrupted or altered by the public project are to be restored to a before - project condition or better. ZONING The subject building is located in an area of Avon that is zoned as "SC" or Shopping Center. The SC district is intended to provide: "Areas primarily for major retail establishments and smallerretail shops and personal service establishments, offices, and limited apartments. "10 The Shopping Center zone allows for a wide variety retail, service, and office uses. Residential uses are limited to "Accessory Apartments ", which is a dwelling unit for use with the main dwelling, and shall not be sold separately. The subject property conforms to the SC zone, according to the Town of Avon. HIGHEST AND BEST USE Highest and best use may be described as that use which at the time of the appraisal most develops the site's potential and is the most likely and reasonable use to which the property may be put. It is 10 per Town of Avon Zoning Ordinance TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS page 20 "...the reasonably probable & legal use of land or an improved property which is physically possible, appropriately supported, financially feasible and that results in the highest value." " Highest & Best Use - "Before" Condition The highest & best use of the subject site currently is as a continuation of its present condominium use. Highest & Best Use - "After" Condition The implementation of the proposed project will not change the highest & best use of the subject property. `I The Appraisal of Real Estate, pg. 275 TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS page 21 DESCRIPTION OF THE PROPOSED PUBLIC PROJECT The Town is seeking to implement a series of improvements along East Beaver Creek Blvd. that entail adding or widening sidewalk areas, improving visual aesthetics, and re- aligning certain access points onto the street. Specific to the Subject Property: The proposed public improvement calls for the acquisition of one permanent and one temporary easement on the subject parcel: 1. Permanent Easement PE 72A is being required at the site's East Beaver Creek Blvd / Beaver Creek Place corner, a small triangular tract that is about 16'x 20'x 27'. This easement is for expanding the radius of the corner primarily for improving ease of pedestrian movement. This easement is specified to contain 85 sf of area. 2. The temporary easement entitled TE -72A is being required for the purpose of allowing the placement of construction materials and to facilitate the movement of machinery and personnel associated with the construction of various street improvements abutting the subject property. This temporary easement is about T wide, extending along the length of the subject site's boundary with East Beaver Creek Blvd., and is specified to contain 921 sf, of area. These easements are depicted on the following pages: TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS `�9 page 2 . \ \x\ | a ^ ® k � X27 \ of t � s �3� cj k§� � � C, § \ � § �� <\ \ _ \� § \ § co | X \ ■ ! \A \ asa - |� | � m \ ( ko ) l \ °;RElf � | | ƒ * � &� y ; A� � � � | t & m _| , & ;�,7d mGa ■ ■| »_ K§�$ § § §k Z \J \§) .§2 /p \ PE-72 mk +eetscapea9- Buck Creek a_ VALUATION CONSULTANTS � page 23 Inter- Mountain NGINEERING Civil Engineers & Surveyors REAL PROPERTY TO BE ACQUIRED FOR PREMANENT EASEMENT FOR THE TOWN OF AVON, EAST BEAVER CREEK BOULEVARD RECONSTRUCTION PARCEL PE -72A DESCRIPTION A PARCEL OF LAND NO. PE -72A OF THE TOWN OF AVON, STATE OF COLORADO, CONTAINING 0.002 ACRES, MORE OR LESS, SITUATED IN LOT 72, BLOCK 2, BENCHMARK AT BEAVER CREEK, AMENDMENT NO.4 AS RECORDED IN THE OFFICE OF THE CLERK AND RECORDER OF EAGLE COUNTY, COLORADO, AT BOOK 274, PAGE 701, ON SEPTEMBER 5, 1978, BEING MORE PARTICULARLY DESCRIBED AS FOLOWS: THE TRUE POINT OF BEGINNING BEING THE NORTHWEST CORNER OF SAID LOT 72 AND ON THE SOUTH RIGHT OF WAY LINE OF EAST BEAVER CREEK BOULEVARD AND ON THE EAST RIGHT OF WAY LINE OF BEAVER CREEK PLACE AND ON A CURVE TO THE LEFT HAVING A RADIUS OF 125.00 FEET; THENCE ALONG SAID CURVE AND THE WEST LINE OF SAID LOT COMMON TO THE EAST RIGHT OF WAY LINE OF BEAVER CREEK PLACE A DISTANCE OF 16.10 FEET THROUGH A CENTRAL ANGLE OF 07 °22'48 ", HAVING A CHORD BEARING AND DISTANCE OF SOUTH 06 °03'28" EAST, 16.09 FEET TO A POINT ON A CURVE TO THE RIGHT HAVING A RADIUS OF 19.45 FEET; THENCE ALONG SAID CURVE A DISTANCE OF 27.04 FEET THROUGH A CENTRAL ANGLE OF 79 °38'31 ", HAVING A CHORD BEARING AND DISTANCE OF NORTH 47 °02'06' EAST, 24.91 FEET TO A POINT ON THE NORTH LINE OF SAID LOT COMMON TO THE SOUTH RIGHT OF WAY LINE OF EAST BEAVER CREEK BOULEVARD AND ON A CURVE TO THE RIGHT HAVING A RADIUS OF 422.63 FEET; THENCE ALONG SAID CURVE AND SAID COMMON LINE A DISTANCE OF 19.95 FEET THROUGH A CENTRAL ANGLE OF 02 °42.17', HAVING A CHORD BEARING AND DISTANCE OF SOUTH 87 °11'33" WEST, 19.95 FEET TO THE TRUE POINT OF BEGINNING. THE ABOVE DESCRIBED PARCEL CONTAINS 85 SQUARE FEET (0.002 ACRES), MORE OR LESS. I HEREBY STATE THAT THE ABOVE DESCRIBED LEGAL DESCRIPTION HAS BEEN PREPARED BY ME OR UNDER MY DIRECT SUPERVISION. DENVER OFFICE 6551 S. Revere Pkwy., Suite 165 Centennial, CO 80111 1 Phone: 303.948.6220 1 Fax: 303.948.6526 VAIL VALLEY OFFICE 40801 U.S. Highway 6, Suite 203 I PO Box 978 1 Avon, CO 81620 1 Phone: 970.949.5072 1 Fax: 970.949.9339 TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS page 24 TE -72 TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS 6? Ld U�'0 E 9 1 Q N O \ m $ $ir Q CD J < / Ql � m N �1 r W `Ila] Mma!?I'�r J WptV Lo 0 �N j= i ci w 3 r y l� IRIi Mo S oo�ppl , nY m �� ••�` �� ao�cncv o a s p m g'c� G ,UU `C Z N/ � -0- o ��P m a� ,'� z s 'Be Z= :'� w o rn. Q �y 6? aU R. YI me ¢ N-: ~ /pF< �W W yI( � X16 O f0 i�01 1� CM B G 2 Op°tj`y� 98- ¢ter M=.� / W ° z_k `70 / = m 1 U = p 0 2Z I B u mm f I/'�6 KPH i7U� 4Z` W ( — C� M ' J 6 d'(kUDdWal) -od dZlt Ism V116NI b7INON 'Wd 9 bE :E BO6 51%LZ '6MP' a- Sb008WeIII llaI A [ J TE -72 TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS 6? page 25 ,rater- Mountain NGINEERING Civil Engineers & Surveyors REAL PROPERTY TO BE ACQUIRED FOR TEMPORARY EASEMENT FOR THE TOWN OF AVON, EAST BEAVER CREEK BOULEVARD RECONSTRUCTION PARCEL TE -724 DESCRIPTION A PARCEL OF LAND NO. TE -72A OF THE TOWN OF AVON, STATE OF COLORADO, CONTAINING 0.021 ACRES, MORE OR LESS, SITUATED IN LOT 72, BLOCK 2, BENCHMARK AT BEAVER CREEK, AMENDMENT NO.4 AS RECORDED IN THE OFFICE OF THE CLERK AND RECORDER OF EAGLE COUNTY, COLORADO, AT BOOK 274, PAGE 701, ON SEPTEMBER 5, 1978, BEING MORE PARTICULARLY DESCRIBED AS FOLOWS: THE POINT OF COMMENCEMENT BEING AT THE NORTHWEST CORNER OF SAID LOT COMMON TO THE EAST RIGHT OF WAY LINE OF BEAVER CREK PLACE AND ON A CURVE TO THE LEFT HAVING A RADIUS OF 125.00 FEET; THENCE ALONG SAID CURVE AND THE WEST LINE OF SAID LOT AND THE EAST RIGHT OF WAY LINE OF SAID BEAVER CREEK PLACE; A DISTANCE OF 16.10 FEET THROUGH A CENTRAL ANGLE OF 07°22'48 ", HAVING A CHORD BEARING AND DISTANCE OF SOUTH 06 °03'28" EAST, 16.09 FEET TO THE TRUE POINT OF BEGINNING; THENCE NORTH 80°1424" EAST A DISTANCE OF 2.70 FEET TO A POINT ON A NON - TANGENT CURVE TO THE RIGHT HAVING A RADIUS OF 17.50 FEET; THENCE ALONG SAID CURVE A DISTANCE OF 13.97 FEET THROUGH A CENTRAL ANGLE OF 45 °44'35 HAVING A CHORD BEARING AND DISTANCE OF NORTH 35.50'17" EAST, 13.60 FEET TO A POINT ON A CURVE TO THE LEFT HAVING A RADIUS OF 427.63 FEET; THENCE ALONG SAID CURVE A DISTANCE OF 176.74 FEET, THROUGH A CENTRAL ANGLE OF 23 °40'48" HAVING A CHORD BEARING AND DISTANCE OF NORTH 75 "04'09" EAST, 175.48 FEET TO A POINT ON THE EAST LINE OF SAID LOT; THENCE NORTH 26 °46'15" WEST ALONG SAID LOT LINE A DISTANCE OF 5.00 FEET TO THE NORTHEAST CORNER OF SAID LOT AND ON THE SOUTH RIGHT OF WAY LINE OF EAST BEAVER CREEK BOULEVARD AND ON A CURVE TO THE RIGHT HAVING A RADIUS OF 422.63 FEET; THENCE ALONG SAID CURVE AND THE NORTH LINE OF SAID LOT COMMON TO THE SOUTH RIGHT OF WAY LINE OF EAST BEAVER CREEK BOULEVARD A DISTANCE OF 166.70 FEET, THROUGH A CENTRAL ANGLE OF 22 °36'39 HAVING A CHORD BEARING AND DISTANCE OF SOUTH 74 °32'04" WEST, 165.70 FEET TO A POINT ON A CURVE TO THE LEFT HAVING A RADIUS OF 19.45 FEET; THENCE ALONG SAID CURVE A DISTANCE OF 27.04 FEET, THROUGH A CENTRAL ANGLE OF 79 °38'31 ", HAVING A CHORD BEARING AND DISTANCE OF SOUTH 4702'06" WEST, 24.91 FEET TO THE TRUE POINT OF BEGINNING. DENVER OFFICE 6551 S. Revere Pkwy., Suite 185 1 Centennial, CO 80111 1 Phone: 303.948.6220 1 Fax: 303.948.6526 VAIL VALLEY OFFICE 40801 U.S. Highway 6, Suite 203 1 PO Sox 978 1 Avon, CO 81620 1 Phone: 970.949.5072 1 Fax: 970.949.9339 TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS THE ABOVE DESCRIBED PARCEL CONTAINS 921 SQUARE FEET (0.021 ACRES), MORE OR LESS. 1 HEREBY STATE THAT THE ABOVE DESCRIBED LEGAL DESCRIPTION HAS BEEN PREPARED BY ME OR UNDER MY DIRECT SUPERVISION. DECEMBER 8, 2008 PREPARED BY: INTER- MOUNTAIN ENGINEERING, LTD. 40801 US HIGHWAY 6, SUITE 203 P.O. BOX 978 AVON, COLORADO 81620 (970) 949 -5072 DUANE D. FEHRINGER, P.E. & P.L.S. 26626 PROJECT NO.: 08 -00235 page 26 TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS C-1-14X page 27 view of easement PE -72 area looking NW from Beaver Creek Place at property corner view of easement PE -72 area looking SE from East Beaver Creek Blvd. at property corner TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS page 28 view of TE 72 area looking SW along the subject site boundary with East Beaver Creek. Blvd. secondary view of TE 72 area looking along the subject site boundary with East Beaver Creek Blvd TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS page 29 APPROACHES TO VALUE In the valuation of land, there are six commonly accepted methodologies: 1. Direct sales comparison - a process of value estimation via direct comparison with sales of similar property. Generally accepted as the more reliable indicator of value, provided there are sales of sufficient similarity to the subject 2. Allocation - a process in which a ratio of site value to total value for alternative improved sales is established and then applied to the subject property 3. Extraction - a process in which the depreciated value of improvements is deducted from an alternative improved sale in order to determine land value contribution, which may in turn be applied to the subject property 4. Subdivision development - a process used when subdivision and subsequent development represents the highest & best use of the subject property 5. Land residual - a process in which the net operating income attributable to the land is isolated and capitalized to produce an indicated value for the land 6. Ground rent capitalization - a process in which ground rent income attributable to the land is capitalized to produce an indicated value for the land The direct sales comparison and extraction methodologies have degrees of quantitative basis in the subject marketplace, and will be utilized herein. In that it is concluded that the highest & best use of the subject property is the same in the "after" situation as it was in the "before," only the change in land ownership and value will be analyzed. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS 1�) page 30 Sales Comparison Approach Sales of similar property in the proximal Avon locale were sought for comparison to the subject site; following is a summary of sales of record over the past several years which bear varying degrees of similarity to the subject: TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS IN This is the June 2008 sale of a property that is located west of the subject along the opposite side of Avon Road, adjoining the I -70 right -of -way. The tract is currently improved with a commercial -use structure dating to 1992, presently occupied by a Denny's restaurant. The buyer confirms that the purchase price was based solely on land value, that the unit of measure was gross site square footage, and that the improvements, said to be in rough condition, made no contribution to the price paid, neither positively nor negatively. Buyer plans on complete re- development in a retail format within next 2 years. Considered similar to the subject in most regards, although superior in a more visible, prime location along Avon Road / I -70. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS page 31 Sale No. 1 Lot 2, Block 1, Sunroad Subdivision Sale Price: $2,125,000 Sale Date: 6 -23 -2008 recording: 200813724 Grantor: CNL APF Partners, LP Grantee: Trinity - Sunroad, LLC Site Size: 47,219 sf per Eagle County Improvements: improved with a 5,200 sf single level restaurant -use commercial structure, built in 1992. Price / sf land $45.00 terms: cash equivalent prior sale: 9-92,$633,900 this price equates to$13.42 per sf. of site area; the difference in sale price between this prior sale and the current sale amounts to +235% in 220 months, or just over 1% per elapsed month. This is the June 2008 sale of a property that is located west of the subject along the opposite side of Avon Road, adjoining the I -70 right -of -way. The tract is currently improved with a commercial -use structure dating to 1992, presently occupied by a Denny's restaurant. The buyer confirms that the purchase price was based solely on land value, that the unit of measure was gross site square footage, and that the improvements, said to be in rough condition, made no contribution to the price paid, neither positively nor negatively. Buyer plans on complete re- development in a retail format within next 2 years. Considered similar to the subject in most regards, although superior in a more visible, prime location along Avon Road / I -70. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS page 32 Sale 1 TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS This is the July 2008 sale of a general - commercial zoned site located about 3 miles east of the subject along Highway 6 in Eagle -Vail. The site was purchased for an interim use as commercial vehicle storage, but has a commercial highest & best use most likely as developed in a retail / office - format, although some sort of highway- related (ie. auto or fast -food) activity may be appropriate. This property is considered generally competitive with the subject, but overall somewhat inferior to the subject in location away from central Avon. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS s� page 33 Sale No. 2 Lot 3, Block 2, Eagle -Vail Commercial Service Center Sale Price: $1,300,000 Sale Date: 7 -21 -2008 Recording: 200816317 Grantor: Eagle- Summit Publishing Co. Grantee: Transportation Management Systems, LLC Site Size: 39,770 per Eagle County Improvements: unimproved Price / sf land: $32.68 terms: cash equivalent prior sale: $525,000, 1 -3 -1996 This price equates to $13.20 per sf of site area; the difference in sale price between this prior sale and the current sale amounts to +147% in 156 months, or about .9% per elapsed month. This is the July 2008 sale of a general - commercial zoned site located about 3 miles east of the subject along Highway 6 in Eagle -Vail. The site was purchased for an interim use as commercial vehicle storage, but has a commercial highest & best use most likely as developed in a retail / office - format, although some sort of highway- related (ie. auto or fast -food) activity may be appropriate. This property is considered generally competitive with the subject, but overall somewhat inferior to the subject in location away from central Avon. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS s� page 34 Sale 2 TOA Streetscape 2009 -Buck Creek Plaza VALUATION CONSULTANTS 9 This is the September 2007 sale of a commercial site located about 6 miles east of the subject just to the west of the West Vail / I -70 interchange. This property, proximal to a variety of neighboring commercial uses, was at sale improved with a 3,300 sf vacant structure built in 1987 that was prior occupied by a Wendy's restaurant that has since been removed to make way for the placement of a fire station / emergency response facility. Costs for demolition on the order of $20 per sf or about $66,000 have been reported. Although this parcel adjoins another Town of Vail -owned tract that is being considered for the construction of affordable housing, officials indicate that there was no premium paid in an assemblage effect. Additionally, it should be pointed out that this tract was the prior focus of a possible acquisition by the Town of Vail via eminent domain, but this action was never initiated and town officials state that the price paid was not affected by this prior potential threat. This site is rated roughly similar to the subject in its general character, although somewhat superior in its setting proximal to I -70 in Vail. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS 53 page 35 Sale No. 3 Parcel A, Resub of Tract A, Vail Das Schone Subdivision, Filing 1 Sale Price: $2,066,000 (figure includes reported costs to make ready for development) Sale Date: 9 -21 -2007 recording: 200725886 Grantor: CNL Income Fund H, Ltd Grantee: Town of Vail Site Size: 54,319.3 per Eagle County Improvements: improved with vacant 3,300 sf restaurant structure at sale, to be razed Price / sf land: $38.00 terms: to be cash prior sale: 4 -1987, $651,600; this price equates to$12 per sf, of site area; the difference in sale price between this prior sale and the current sale amounts to +206% in 245 months, or about .8% per elapsed month. This is the September 2007 sale of a commercial site located about 6 miles east of the subject just to the west of the West Vail / I -70 interchange. This property, proximal to a variety of neighboring commercial uses, was at sale improved with a 3,300 sf vacant structure built in 1987 that was prior occupied by a Wendy's restaurant that has since been removed to make way for the placement of a fire station / emergency response facility. Costs for demolition on the order of $20 per sf or about $66,000 have been reported. Although this parcel adjoins another Town of Vail -owned tract that is being considered for the construction of affordable housing, officials indicate that there was no premium paid in an assemblage effect. Additionally, it should be pointed out that this tract was the prior focus of a possible acquisition by the Town of Vail via eminent domain, but this action was never initiated and town officials state that the price paid was not affected by this prior potential threat. This site is rated roughly similar to the subject in its general character, although somewhat superior in its setting proximal to I -70 in Vail. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS 53 page 36 Sale 3 TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS 5� This is the sale of a property located just to the SE of the subject in Avon, along the west aspect of Beaver Creek Place, across the street from City Market & the Chapel Square project. The property was improved at sale with a building originally dating to 1982, having been designed and operated as a bank until 1992, when it was purchased and renovated for use as a medical clinic. Allocation of purchase price to improvements is based on prior inspection, estimated effective age / condition at sale, relative usability of improvements and conversations with the seller, and is approximate. Rated similar to the subject in most respects, but slightly superior in a more open & exposed site. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS 55 page 37 Sale No. 4 Lot 70, Benchmark at Beaver Creek, Block 2 71 Beaver Creek Place Sale Price: $1,750,200 (conveyed in 6 deeds of $291,700 each) Sale Date: 9 -1 -2004 recording: 889933 et seq. Grantor: Feeney, Cohen, et al Grantee: American National Bank Site Size: 33,106 sf per Eagle County Improvements: improved with a 5,020 sf single level commercial structure, built in 1982, first as a bank, later remodeled in 1992 to be medical clinic. Since has been re- converted back to a bank use. Contributory value of Improvements: $625,000 Residual to land: $1,125,000 Price / sf land $34.00 terms: cash equivalent prior sale: 11 -1991, $675,000 The difference in sale price between this prior sale and the current sale amounts to +159% in 172 months, or about .9% per elapsed month. This is the sale of a property located just to the SE of the subject in Avon, along the west aspect of Beaver Creek Place, across the street from City Market & the Chapel Square project. The property was improved at sale with a building originally dating to 1982, having been designed and operated as a bank until 1992, when it was purchased and renovated for use as a medical clinic. Allocation of purchase price to improvements is based on prior inspection, estimated effective age / condition at sale, relative usability of improvements and conversations with the seller, and is approximate. Rated similar to the subject in most respects, but slightly superior in a more open & exposed site. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS 55 page 38 Sale 4 TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS page 39 Comparable sale location map TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS M-1 page 40 Comparable sale location map TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS page 41 Adjustments to the sales data: ► Unit of Comparison: $ /sf of site area is the unit of measure that is being used and relied upon by seller & buyers in this segment of the marketplace. ► Terms of Sale: Financing terms provided by the seller can affect the sale price if they differ from terms available from third party lenders. The value estimate in this appraisal is based on an all cash payment to the seller, with buyers typically using institutional financing based on an appropriate loan -to -value ratio and market interest rate. Favorable or below - market seller financing may have an upward influence on the sale price if favorable terms are provided. Each sale in this analysis is considered to be effectively cash - equivalent, warranting no adjustment. ► Conditions of Sale: Conditions of sale refers to buyer and seller motivations. In order to be meaningful to the analysis, sale prices should be representative of arm's- length transactions with no unusual buyer or seller motivations. Examples of unusual motivations include related parties, assemblage (plottage) value, forced sale, tax considerations, and lack of sufficient exposure on the market. These circumstances may result in manipulation of the price by buyer or seller, distress prices that do not reflect typical exposure or marketing time, or premiums (or discounts) associated with unusual motivations. In these cases, it is necessary to consider any unusual conditions of sale and to make adjustments, if possible. There are no known or disclosed special buyer or seller motivations or other conditions of sale that impacted the sale price on any of the remaining comparables. ► Size: Prices paid for commercial sites like the subject tend to vary in proportion to their size; typically, the larger the site, the less it tends to sell for per unit, in this case square footage. Conversely, the smaller the size, the more the sale price tends to be per unit, other aspects being effectively equal. Each of the sales cited are sufficiently similar in size so as to avoid adjustment for this factor. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS s9 page 42 Location: Location & site / view inferiorities and superiorities, if any, are adjusted in accordance with relative value difference from area to area. Date of Sale (market conditions): Like the proximal real estate market in general, the commercial lot segment of the market has seen varying but generally sustained degrees of upward price / value movement over the past 20 + years, although at present, prices / values are considered to be predominantly stable. Sales cited in prior text portray a fairly close rate of change of .8 to 1 % per month over an extended time frame; somewhat older sales 3 & 4 are each adjusted upward for market conditions in the adjustment grid to follow. In the following grid, each sale is adjusted for differences in size, location or other market- derived differences, if any. Indicated adjustments are based on gross observation of the regional market over time, interviews with buyers & sellers of involved properties, and, when possible, paired sale data. Resultant adjustment amounts necessarily tend to be highly subjective in nature: TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS page 43 Property Sale Price Sale size, sf $ /sf Adjustments Indicated Date Value, $ /sf Sale 1 $2,125,000 6 -2008 47,219 $45.00 Terms of Sale: 0% Market Conditions: 0% Size: 0% Location -20% net adjust -20% $36.00 Sale 2 $1,300,000 7 -2008 39,770 $32.69 Terms of Sale: 0% Market Conditions: 0% Size: 0% Location +20% net adjust +20% $39.22 Sale 3 $2,066,000 9 -2007 54,319 $38.03 Terms of Sale: 0% Market conditions: +10% Size: 0% Location -10% net adjust 0% $38.03 Sale 4 $1,125,000 9 -2004 33,106 $33.98 Terms of Sale: 0% (resid. to land) Market Conditions: +30% Size: 0% Location -10% net adjust +20% $40.77 TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS page 44 Sales 1 & 2 are most recent; sales 1 & 4 are most proximal, while 2 & 3 differ in their locations. The data provide a range of adjusted indications from $36.00 to $40.77. With varying weight afforded the sales, but with No.'s 1 & 4 rated most probably indicative, a value within their range rounded to $38.00 per sf of area is assigned, and considered reasonable for conclusion as the current market value of the subject's site. TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS �DnJ page 45 VALUATION OF THE EASEMENTS 1. Permanent Easement PE -72A: The permanent easement to be acquired is specified to contain 85 sf, of area; with a value of the larger parcel of $38 per sf assigned, a full fee simple contribution of this portion of the site would be: Total Tract Size Rate, $ /sf. Value 85 sf $38 $3,230 The easement does not represent all the rights of ownership of the land, but rather carry only the right to construct, use & maintain the previously described public improvements. Because: 1.) the easements in question are to lie entirely within undevelopable set -back zones, the intended use of the proposed easement does not significantly change the current and reasonably foreseeable use of the affected portion of the subject site, and 2.) the highest & best use of the subject property in the "after" scenario is effectively a continuation of the "before" highest & best use, it is the appraiser's conclusion that a majority of the rights enjoyed by the owner in the "before" remain in the "after." It is the appraiser's opinion, for these reasons, that a percentage, concluded to be 50% of the property owner's rights will have been taken by the acquisition of the proposed easement and the implementation of the proposed public project. This conclusion is summarized as follows: Undivided Value Allocation Rate Value of the Permanent Easement $3,230 50% $1,615 TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS 63 page 46 2. Temporary Easement TE -72A: Use of a portion of a property for a temporary period of time is most often considered as a rental value, based on the value of the underlying fee real estate. It is the appraisers opinion, subjectively based on consideration of alternative investments, current interest rates, etc., that 10% represents a fair rental figure for application to the subject parcel with respect to the temporary easement. For the subject's temporary easement, this would equate to: Easement Size Rate, $ /sf. Rental Rate Rent per Year 921 sf $38 10% $3,500 The temporary use of this easement component is specified to last 9 months, from April 1, 2009 to December 31, 2009. The rental figure derived above is to be applied over this 9 month time frame: Rent per Year Rent per Month # of Months Value $3,500 $292 9 $2,625 I TOA Streetscape 2009 -Buck Creek Plaza VALUATION CONSULTANTS page 47 Damages to the Remainder: Damages are defined as "the loss in value to the remainder in a partial taking of property."" I. Permanent Easement. The imposition of the permanent easement is expected to cause no significant or measurable loss in market rents or increase in either operating expenses or vacancies in the subject project, and no change in subject property utility, appeal, marketability or value is anticipated. Consequently, it is the opinion of the appraiser that the permanent easements cause no damages to the remainder. 2. Temporary Easement: The part of the subject site that is required for the temporary easement is positioned along the site's boundary with East Beaver Creek Blvd., virtually all in an area that falls within typical building set- backs and/or drainage & utility easements. Accordingly, the imposition of the proposed easement is expected to cause no significant or measurable loss in market rents or increase in either operating expenses or vacancies in the subject building, and no change in subject property utility, appeal, marketability or value is anticipated. In addition, the proj ect specifies that reasonable pedestrian and vehicular access & parking circulation will be consistently provided to the subject site, with no significant disruption of customer traffic. Finally, by definition, the portions of the subject site temporarily taken will be completely restored to a "before" condition or better, with all landscaped or otherwise improved areas disrupted to be restored in a like manner. " The Dictionary of Real Estate Appraisal, pg 87 TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS 65. page 48 Benefits: Benefits are defined as "the advantageous factors that arise from a public improvement for which private property has been taken in condemnation." 13 All proximal commercial properties in the subject part of Avon are likely to benefit in varying degrees from the proposed public improvement, due to a more "user- friendly," safer environment for potential customers or clients. No such enhancements, though, are expected to accrue specifically and exclusively to the subject property. Consequently, no benefits are assigned to the subject as a result of the taking or the public improvement. SUMMARY OF VALUATION: Value of the part taken: Permanent Easement $1,615 Temporary Easement $2,625 Damages to the Remainder $0 Specific Benefits to the Remainder: $0 Just Compensation $4,240 13 The Dictionary of Real Estate Appraisal pg. 32 TOA Streetscape 2009 -Buck Creek Plaza VALUATION CONSULTANTS I page 49 CERTIFICATION OF THE APPRAISER I certify that, to the best of my knowledge and belief, ... The statements of fact contained in this report are true and correct. the reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and are my personal, professional analyses, opinions, and conclusions. I have no present or prospective interest in the property that is the subject of this report. my compensation is not contingent on an action or event resulting from the analyses, opinions, or conclusions in, or the use of, this report. this appraisal assignment was not based on a requested minimum valuation, a specific valuation, or the approval of a loan. my analyses, opinions and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice and to the Standards of Professional Ethics of the Appraisal Institute. The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. I have made a personal inspection of the property that is the subject of this report. No one provided significant professional assistance to the person signing this report. as of the date of this report, Jeffrey P. Maddox, SRA, has completed the requirement of the continuing education program of the Appraisal Institute. Digitally agned by Jeffrey P. Maddox Date: 2 .05 12:'18:07 7 -07 - 07'00' Jeffrey P. Maddox, SRA Certified General Appraiser #CG01313752 TOA Streetscape 2009 - Buck Creek Plaza VALUATION CONSULTANTS 6)